R52 Reasonable Dealer Profit
If you had made the investment in facilities and people and infrastructure your dealer has to support MINI sales, would you accept 8% profit on your investment?
A reasonable profit is whatever he agress to sell you the car at and you agree to buy it.......
A reasonable profit is whatever he agress to sell you the car at and you agree to buy it.......
Well, in most industries, a gross profit margin of 8% is pretty respectable, but I get your point.
Daniela - just out of curiosity, how does the "8% over invoice" number compare with the MSRP on the MINI you've configured? I'm just curious what kind of gross profit margin is included in the MSRP.
Daniela - just out of curiosity, how does the "8% over invoice" number compare with the MSRP on the MINI you've configured? I'm just curious what kind of gross profit margin is included in the MSRP.
Last edited by ScottRiqui; Mar 15, 2008 at 10:34 AM.
A quick reference of 2008 invoice vs MSRP...
It looks like MINI MSRP is usually 10% or 11% over invoice. 8% sounds fair, but at least around here MINI dealers have lots of buyers and no incentive to sell for under MSRP.
It looks like MINI MSRP is usually 10% or 11% over invoice. 8% sounds fair, but at least around here MINI dealers have lots of buyers and no incentive to sell for under MSRP.
Daniela,
I think you'll find that general formulas on fair pricing (i.e. how much over invoice?) are not very useful in MINI purchases.
Most dealers are still asking and getting MSRP (some on West Coast, over MSRP). I certainly wish you good luck, but don't be disappointed if you can't get below MSRP -- and don't feel like you're being cheated and everyone else is paying less for MINIs.
However, try to get something thrown in -- like mats . . . and the windscreen.
I think you'll find that general formulas on fair pricing (i.e. how much over invoice?) are not very useful in MINI purchases.
Most dealers are still asking and getting MSRP (some on West Coast, over MSRP). I certainly wish you good luck, but don't be disappointed if you can't get below MSRP -- and don't feel like you're being cheated and everyone else is paying less for MINIs.
However, try to get something thrown in -- like mats . . . and the windscreen.
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paying MSRP for a car that still retains the highest resale and residual values of any car sold in America under $80K is NOT a bad thing. Paying MSRP for a car that'll depreciate 30% the second it leaves the lot is.
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