my father bought a GSF on monday
04-09-16, 03:38 PM
#16
Say a dealer wants as many RX350 it can get that sells like hotcakes for June. Lexus might say you can only have 70 RX350, and you must order 3 RC F and 3 GS F with it. However, I can give your dealership 100 RX350 if you take 2 more RC F and 2 more GS F. Deal.
From the dealer's perspective, they are making profits on the 30 additional RX. If they manage to sell the additional RC F and GS F for a profit, great. If they get some help from Lexus with trunk money, that's also good. Even if they have to sell the RC F and GS F at a loss, it's amortized between the additional RX350 units and potential profits from service department.
If the car sits on the lot, eventually the dealer will have to start paying interest on the inventory. So, eventually the dealer will make a deal to boost the monthly/quarterly/annual sales figure, taking advantage of current manufacture incentive, and limiting loss.
But at the same time, the dealer just need one buyer or in some case one sucker to get rid of its unwanted inventory. That's where the "manager's special" comes in.
04-09-16, 08:48 PM
#17
You cannot think on a per vehicle basis but rather a fleet basis.
Say a dealer wants as many RX350 it can get that sells like hotcakes for June. Lexus might say you can only have 70 RX350, and you must order 3 RC F and 3 GS F with it. However, I can give your dealership 100 RX350 if you take 2 more RC F and 2 more GS F. Deal.
From the dealer's perspective, they are making profits on the 30 additional RX. If they manage to sell the additional RC F and GS F for a profit, great. If they get some help from Lexus with trunk money, that's also good. Even if they have to sell the RC F and GS F at a loss, it's amortized between the additional RX350 units and potential profits from service department.
If the car sits on the lot, eventually the dealer will have to start paying interest on the inventory. So, eventually the dealer will make a deal to boost the monthly/quarterly/annual sales figure, taking advantage of current manufacture incentive, and limiting loss.
But at the same time, the dealer just need one buyer or in some case one sucker to get rid of its unwanted inventory. That's where the "manager's special" comes in.
Say a dealer wants as many RX350 it can get that sells like hotcakes for June. Lexus might say you can only have 70 RX350, and you must order 3 RC F and 3 GS F with it. However, I can give your dealership 100 RX350 if you take 2 more RC F and 2 more GS F. Deal.
From the dealer's perspective, they are making profits on the 30 additional RX. If they manage to sell the additional RC F and GS F for a profit, great. If they get some help from Lexus with trunk money, that's also good. Even if they have to sell the RC F and GS F at a loss, it's amortized between the additional RX350 units and potential profits from service department.
If the car sits on the lot, eventually the dealer will have to start paying interest on the inventory. So, eventually the dealer will make a deal to boost the monthly/quarterly/annual sales figure, taking advantage of current manufacture incentive, and limiting loss.
But at the same time, the dealer just need one buyer or in some case one sucker to get rid of its unwanted inventory. That's where the "manager's special" comes in.
04-11-16, 07:14 PM
#20
You cannot think on a per vehicle basis but rather a fleet basis.
Say a dealer wants as many RX350 it can get that sells like hotcakes for June. Lexus might say you can only have 70 RX350, and you must order 3 RC F and 3 GS F with it. However, I can give your dealership 100 RX350 if you take 2 more RC F and 2 more GS F. Deal.
From the dealer's perspective, they are making profits on the 30 additional RX. If they manage to sell the additional RC F and GS F for a profit, great. If they get some help from Lexus with trunk money, that's also good. Even if they have to sell the RC F and GS F at a loss, it's amortized between the additional RX350 units and potential profits from service department.
If the car sits on the lot, eventually the dealer will have to start paying interest on the inventory. So, eventually the dealer will make a deal to boost the monthly/quarterly/annual sales figure, taking advantage of current manufacture incentive, and limiting loss.
But at the same time, the dealer just need one buyer or in some case one sucker to get rid of its unwanted inventory. That's where the "manager's special" comes in.
Say a dealer wants as many RX350 it can get that sells like hotcakes for June. Lexus might say you can only have 70 RX350, and you must order 3 RC F and 3 GS F with it. However, I can give your dealership 100 RX350 if you take 2 more RC F and 2 more GS F. Deal.
From the dealer's perspective, they are making profits on the 30 additional RX. If they manage to sell the additional RC F and GS F for a profit, great. If they get some help from Lexus with trunk money, that's also good. Even if they have to sell the RC F and GS F at a loss, it's amortized between the additional RX350 units and potential profits from service department.
If the car sits on the lot, eventually the dealer will have to start paying interest on the inventory. So, eventually the dealer will make a deal to boost the monthly/quarterly/annual sales figure, taking advantage of current manufacture incentive, and limiting loss.
But at the same time, the dealer just need one buyer or in some case one sucker to get rid of its unwanted inventory. That's where the "manager's special" comes in.
There is absolutely no way, that they sold the vehicle for $9000 under invoice 4 months after release.
04-12-16, 03:00 AM
#21
I appreciate that you work for a dealership, but guess what? I used to own one!
Actually it was part of the estate. Had we opted to keep it though, I would've been the one running it and of course co-own it as well. Point being that you are not the only expert in the house and with all due respect I was arguably higher up on the food chain. Which might be the reason why I have a different perspective and believe me I know the tricks that the managers use to "prettify" the numbers on the monthly/quarterly/annual reports.
Word of advice if I may, as a sales person you never want to make assumptions. And one day if you decide to go into a different business, remember that you still have to sell yourself to your perspective clients, customers and even your own employees.
You are making a negative claim that you cannot substantiate. You are also making assumptions on what a dealership will or will not do at the other side of the country!
Was the RC F traded in as part of the deal? If so, we don't know how much that was traded in for. The dealer could've made a few grands on the trade or simply thought that they could make a few grands on that trade. Oh the pain... THE PAIN! The F***ING PAIN! As a sales person it is easy for you to be oblivious of that.
Perhaps the dealer already knew that the GS F can be difficult to move, just like huh... wait for it... the RC F. So if we gonna take a hit anyways sooner or later, might as well use it as an opportunity to make a repeating customer happy and to attract business from his extended family.
Yeah, 4-5 months after release seems a bit quick. But don't forget that people also smell blood quick. What do you think it is that bought me here? Oh and the Lexus dealers they are bathing in it!
If this was a used car, I will throw in kickbacks from financing and aftermarket warranty into the equation as well, that's an easy few grands. Oh and rust proofing, that's a couple hundred bucks right there.
You might also have a little bit of "California bias", it is much much harder to sell a RWD luxury sedan in the rust belt, this one running summer tires no less! The dealerships here might be much much more motivated than you think.
It is funny that when the dealers are clearly taking a hit on some models, the consumers have zero sympathy for the dealers. When they try to rinse that off with "market adjustment" on high demand models in short supply, the forums are all out for the blood of the greedy dealers, which could've easily been me!
Personally I think market adjustment just brings bad publicity. But most dealerships are independently owned and operated, so if they think no publicity is bad publicity then who am I to judge. Which brings me back to my point that who are you to assume whether a dealership far far away from you will sell a GS F at a particular price or not?
Actually it was part of the estate. Had we opted to keep it though, I would've been the one running it and of course co-own it as well. Point being that you are not the only expert in the house and with all due respect I was arguably higher up on the food chain. Which might be the reason why I have a different perspective and believe me I know the tricks that the managers use to "prettify" the numbers on the monthly/quarterly/annual reports.
Word of advice if I may, as a sales person you never want to make assumptions. And one day if you decide to go into a different business, remember that you still have to sell yourself to your perspective clients, customers and even your own employees.
Was the RC F traded in as part of the deal? If so, we don't know how much that was traded in for. The dealer could've made a few grands on the trade or simply thought that they could make a few grands on that trade. Oh the pain... THE PAIN! The F***ING PAIN! As a sales person it is easy for you to be oblivious of that.
Perhaps the dealer already knew that the GS F can be difficult to move, just like huh... wait for it... the RC F. So if we gonna take a hit anyways sooner or later, might as well use it as an opportunity to make a repeating customer happy and to attract business from his extended family.
Yeah, 4-5 months after release seems a bit quick. But don't forget that people also smell blood quick. What do you think it is that bought me here? Oh and the Lexus dealers they are bathing in it!
If this was a used car, I will throw in kickbacks from financing and aftermarket warranty into the equation as well, that's an easy few grands. Oh and rust proofing, that's a couple hundred bucks right there.
You might also have a little bit of "California bias", it is much much harder to sell a RWD luxury sedan in the rust belt, this one running summer tires no less! The dealerships here might be much much more motivated than you think.
It is funny that when the dealers are clearly taking a hit on some models, the consumers have zero sympathy for the dealers. When they try to rinse that off with "market adjustment" on high demand models in short supply, the forums are all out for the blood of the greedy dealers, which could've easily been me!
Personally I think market adjustment just brings bad publicity. But most dealerships are independently owned and operated, so if they think no publicity is bad publicity then who am I to judge. Which brings me back to my point that who are you to assume whether a dealership far far away from you will sell a GS F at a particular price or not?
Last edited by 8spd; 04-12-16 at 03:04 AM. Reason: spelling
04-23-16, 02:06 PM
#22
I appreciate your bold text response, and congratulations on having owned a (used or new) dealership in the past. The poster is the son of the actual buyer; a young kid at that. Not only did he not sign any of the documents, but he also has no idea how the deal is itemized on the purchase agreement.
That being said, unless the poster wants to snap a pic of the purchase agreement proving his claim, I wouldnt go believing such ridiculous claims.
Regardless of what the ACV of the RCF is, it doesnt make sense as a business to sell a vehicle that just came out a few months ago for thousands below invoice because it was "motivated" to move its floor plan around.
In your response, I can see why you're a former owner.
That being said, unless the poster wants to snap a pic of the purchase agreement proving his claim, I wouldnt go believing such ridiculous claims.
Regardless of what the ACV of the RCF is, it doesnt make sense as a business to sell a vehicle that just came out a few months ago for thousands below invoice because it was "motivated" to move its floor plan around.
In your response, I can see why you're a former owner.
04-23-16, 02:09 PM
#23
"Overall, i think this is a great car but is a little over priced at $88000 but we got a deal with $10000 off so it was $78000. ill insert pics here"
Sounds like they got a $10,000 discount off MSRP, not a $15,000 discount.
Sounds like they got a $10,000 discount off MSRP, not a $15,000 discount.
04-23-16, 02:32 PM
#24
Lexus Champion
^ both of you are wrong. This 16 yr olds dad owns a Toyota dealer so he received corporate discount where the average buyer wishes to receive.
So this post about how great of a price and arguing back and forth is pointless.
His simple posting history search shows this post.
"I am getting a car next year as a 16 year old, my dad owns a toyota dealership so we have connections with lexus for a first car. i have the option of keeping his 2016 RC350 F Sport, which is fully..."
So this post about how great of a price and arguing back and forth is pointless.
His simple posting history search shows this post.
"I am getting a car next year as a 16 year old, my dad owns a toyota dealership so we have connections with lexus for a first car. i have the option of keeping his 2016 RC350 F Sport, which is fully..."
04-23-16, 04:13 PM
#25
Likewise Megaman had no idea if it happened and certainly has no proof that it didn't happen. Yet he is out here calling BS and he must be right because he "work for a dealership"? That is what I have an issue with, and his condescending tone.
04-23-16, 04:54 PM
#26
I appreciate your bold text response, and congratulations on having owned a (used or new) dealership in the past. The poster is the son of the actual buyer; a young kid at that. Not only did he not sign any of the documents, but he also has no idea how the deal is itemized on the purchase agreement.
That being said, unless the poster wants to snap a pic of the purchase agreement proving his claim, I wouldnt go believing such ridiculous claims.
Regardless of what the ACV of the RCF is, it doesnt make sense as a business to sell a vehicle that just came out a few months ago for thousands below invoice because it was "motivated" to move its floor plan around.
In your response, I can see why you're a former owner.
That being said, unless the poster wants to snap a pic of the purchase agreement proving his claim, I wouldnt go believing such ridiculous claims.
Regardless of what the ACV of the RCF is, it doesnt make sense as a business to sell a vehicle that just came out a few months ago for thousands below invoice because it was "motivated" to move its floor plan around.
In your response, I can see why you're a former owner.
You are also absolutely right to insinuate that I would be a terrible boss, because I am one. I have the tendency to care more about people than the bottom line sometimes, when the in fact my fiduciary duty is to the shareholders first and foremost.
Since this is a GS F forum, I do hope that we can set our personal differences aside and focus on GS F related discussions. Speaking of which, with 573 GS F on Cars.com and notwithstanding the OP's special case, the deep discounts are coming!
04-23-16, 08:23 PM
#27
Nice thoughts. If only they were true. I have almost 2k on my under invoice since Jan. **** happens. Simply put; I stated my price point and they made a deal. (Too many RCF's on the lot and they understood my French speak and took the hit) I laughed at the price as well. Yeah; that so called managers special. There is an actual waiting list for the GSF in Japan. Hotcakes be damned. The U.S. market has always been a tough nut to crack. I believe(with no basis in fact) IMO that the allotted number of GSF's slated for the US market are all here; hence the high numbers. There were definite miscalculations made by corporate as to the market for the GSF but I am sure the Engineering gurus do not mind since the got their baby out into the world. Frankenstein is out and the villagers are beside themselves as to what to make of it. Dealers will yield. They have no choice. MY 17 is not that faraway and they don't have that much space on the lot. The ones with any sense of break even will make those deals soon. In a way I cheated since I actually wanted an RCF, but if you are tall it does not make for a comfortable ride. My last hooligan car was gutted for the track. I like the GSF's guts.
05-07-16, 04:20 PM
#30
Cars are so cheap in USA. Even locally in Japan, the GS-F Is $11m Yen or ~ USD $102K . Where I live, the GS-F is ~USD $120K.
That's why I'd rather import one from Japan than buy one from the local dealership at excessive mark up prices.
That's why I'd rather import one from Japan than buy one from the local dealership at excessive mark up prices.
