Dealer adding market adjustment
Looked at a Tundra TRD Pro today and the dealer had a $10,000 “market adjustment” sticker added to the MSRP bringing the price up to $65,000. Has anyone else seen this? They tried telling me that’s built in and non negotiable. Sounds like BS
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Don't support that dealer. Even if theirs is the only Toyota dealer in your immediate area, travel the distance to go somewhere else so that they don't get your $. As a bonus, tell them after you purchase somwhere else just what you think of their price gouging and the current and future business that they lost.
The dealer has the right to set the selling price and to determine whether their advertised price is negotiable. They are not bound by the MSRP. However, any such adjustments or mark-ups have no effect on what the dealer invoice price was that they paid Toyota to get the truck.
The price the dealer paid for the truck is going to be the dealer invoice price, which is roughly 5% below MSRP, plus they receive about a 2% hold back, plus other incentives from Toyota (or the Toyota Regional Distributor).
Generally, prices are based on supply and demand. If the dealer can only get one or two of the TRD Pro, and they think someone will pay $10K over MSRP, maybe they won't negotiate to start off with. But generally speaking car prices and real estate are always negotiable.
A guy has to be a moron to buy a new truck. Buy lightly USED! Let some other goof take the 30% loss of value when driving it off the dealer lot. Haha.
Haya.....
Haya.....
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17 Posts
So I've been in the car industry for nearly 30 years, granted most of my career has been with highline brands. That said, I've never seen this before. Currently working for the past 2 years at a local Toyota store in So. Cal.
Do not buy used cars right now. Ever since Kelly Blue Book figured out manufacturers aren't building new vehicles like before, used car values sky rocketed. People saw this and took advantage of their 1-4 year old vehicles and either traded it in for a new vehicle or simply sold it to the dealers for an insane amount of money. Simply put, dealers allocation has been cut in some cases over 50% hence the mark up. Now, not every dealer has a mark up, some have added dealer accessories at a ridiculous price while just a handful like the store I'm at is still selling at MSRP. Oh, and forget about using a broker, it's a sellers market and no deal to be had. There's always exceptions to the rules however do your due diligence.
Disclaimer, I reside in California and I only know what the market is doing in my state however I'm hearing the same is happening in other states.
Do not buy used cars right now. Ever since Kelly Blue Book figured out manufacturers aren't building new vehicles like before, used car values sky rocketed. People saw this and took advantage of their 1-4 year old vehicles and either traded it in for a new vehicle or simply sold it to the dealers for an insane amount of money. Simply put, dealers allocation has been cut in some cases over 50% hence the mark up. Now, not every dealer has a mark up, some have added dealer accessories at a ridiculous price while just a handful like the store I'm at is still selling at MSRP. Oh, and forget about using a broker, it's a sellers market and no deal to be had. There's always exceptions to the rules however do your due diligence.
Disclaimer, I reside in California and I only know what the market is doing in my state however I'm hearing the same is happening in other states.
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14 Posts
It’s simple, Boycott Toyota until the dealers act in a fair manner. Without customers they can not survive for long. The people have the power in the market place not the sellers. I was going to purchase a 2022 Tacoma Limited but I will not pay the MSRP. The MSRP reflects a $2,000 dealer profit.
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1 Posts
Which dealer do you work? I’m in SoCal too
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