Dealer Markups (Stateside)?

[mr_joshua]

For those of in the US, we clearly have to contend with actual dealerships who are notorious for all sorts of shenanigans. Wondering folks thoughts about artificially high dealer markups. A member had posted in another thread that Victory Lotus (NJ) added a $20k dealer mark up to which they responding by withdrawing their deposit. I, for one, have no qualms about dealers marking up vehicles due to limited supply and high demand (I'm an economist at heart). Having said that, as a "third" vehicle, I have no intention of paying above MSRP. You could say my "demand" is just not that high. Would like to hear from others...

1) Is anyone getting word that their dealers are adding markups? If so, which dealers?
2) General thoughts on your tolerance for markups? No way jose or depends how high the mark up?

 

[mjw930]

I will not pay more than MSRP, never have and never will. Because of that I'm rarely a first adopter but I've been pretty good about getting in right after the initial insanity.

 

[VL3X]

No markup from Lotus of North Jersey in Summit. It's on my deposit contract and handshake agreement with the GM. I will walk if it gets marked up. If there's no integrity in sales, I'm not willing to struggle through owning any vehicle from this quirky brand with pathetic dealer network in the States.

 

[4thedrivers]

ADM could really cripple the current Lotus brand momentum. With a legitimate competitor in the Emira and EV on the way, Lotus needs to oversee their dealer network to avoid markups and build some brand loyalty, particularly here in the states.

 

[TXEMIRA]

ADM could really cripple the current Lotus brand momentum. With a legitimate competitor in the Emira and EV on the way, Lotus needs to oversee their dealer network to avoid markups and build some brand loyalty, particularly here in the states.

ADM is the Second Suspect on the Potential Crippler List.

First? Main Suspect? #MarketingCommunications

#ForTheSorryNotSorry

 

[mjw930]

ADM is the Second Suspect on the Potential Crippler List.

First? Main Suspect? #MarketingCommunications

#ForTheSorryNotSorry

And the third crippler will be delayed deliveries. The attention span of the average buyer won't withstand a 4 - 6 month delay, IMHO. It will weed out the impatient but it could cast a bad shadow on the entire brand.

 

[Hodl]

I'll never pay anything above MSRP, with that being said though, the dealer I've chosen was upfront about initial markups on the FE but said they would not do it for the Base back when I asked for information last summer. Can't fault them for being upfront about that early on in the process. Whether they hold to the no markup for the Base models however is up in the air and would just be my loss if there will be a markup.

 

[Climber]

I'll never pay anything above MSRP, with that being said though, the dealer I've chosen was upfront about initial markups on the FE but said they would not do it for the Base back when I asked for information last summer. Can't fault them for being upfront about that early on in the process. Whether they hold to the no markup for the Base models however is up in the air and would just be my loss if there will be a markup.

I don’t pay mark up, period! Walked away from a 14 year relationship with the San Antonio Tx Porsche dealership because their adding 10k to all vehicles..
when to Houston both dealerships don’t make up even on 718 GT4 & Spyders! Got my wife extended leather on her new truck! She’s happy. More stores in Houston 🎊🍾

 

[elromulous]

No markup from SF lotus. Meanwhile Cayman gt4 orders are marked up $50k (I just spoke to a few dealers).

 

[trackday14]

For those of in the US, we clearly have to contend with actual dealerships who are notorious for all sorts of shenanigans. Wondering folks thoughts about artificially high dealer markups. A member had posted in another thread that Victory Lotus (NJ) added a $20k dealer mark up to which they responding by withdrawing their deposit. I, for one, have no qualms about dealers marking up vehicles due to limited supply and high demand (I'm an economist at heart). Having said that, as a "third" vehicle, I have no intention of paying above MSRP. You could say my "demand" is just not that high. Would like to hear from others...

1) Is anyone getting word that their dealers are adding markups? If so, which dealers?
2) General thoughts on your tolerance for markups? No way jose or depends how high the mark up?

I’m paying a markup at Lotus of Glenview (just north of Chicago)…I’m rolling the dice a bit, but I didn’t want another GT4 - and even if I went for a 718 GT4 instead, my wait could be longer and/or the markup appears to be at least as much.

 

[motorpool]

Gator is MSRP and been excellent to deal with. I usually buy below MSRP on another brand because of employee discount but happy to pay up to MSRP on the Emira. It is surprising some of the markups dealers will add as they will lose the long term relationship with customers (IMO). I walked away from one dealer I've bought my last 4 or 5 cars from because of ADM and went 'down the road' to someone that didn't. I just purchased a new vehicle this weekend and literally saved $15k going to a dealer that cares (I think) more about getting/keeping customers as long term vs the short term one time gain of ADM. I love capitalism and don't fault them but I do think they are hurting themselves in the long run. Getting back to Lotus, I will continue my relationship with Gator going forward as they are a solid company.

 

[Nick in Sydney]

I feel for you guys. I spent years working in the auto industry, and I firmly believe that the American dealership model is a terrible one for the consumer and the manufacturer— only the dealer wins.

Europeans, Aussies, etc often don't realise that direct manufacturer auto sales are prohibited in almost every US state (other than ordering online). Compared with other markets, auto manufacturers have relatively little power in the US and struggle to force the dealers to "play nice". ADM is just one symptom of this.

 

[edwardbradley]

On the fence! My dealer from New Jersy was to order my car in March, didn't happen. Now April. Got an email from him Saturday afternoon was ready to order (not sure since it was 11 PM in GB) and oh by the way wants $20,000.00 for MARK-UP. Whoa this had never been discussed. I think this isn't right and just greed with the dealer. Talking delivery date Nov / Dec 2022. Which may mean Jan / Feb? Summer tires , it would properly have it shipped to Maryland.
So I am taking the day to rethink this whole thing over.

 

[TXEMIRA]

On the fence! My dealer from New Jersy was to order my car in March, didn't happen. Now April. Got an email from him Saturday afternoon was ready to order (not sure since it was 11 PM in GB) and oh by the way wants $20,000.00 for MARK-UP. Whoa this had never been discussed. I think this isn't right and just greed with the dealer. Talking delivery date Nov / Dec 2022. Which may mean Jan / Feb? Summer tires , it would properly have it shipped to Maryland.
So I am taking the day to rethink this whole thing over.

D
I
R
T
Y

#ForTheGreedy

 

[GetawayDriving]

Gator is MSRP and been excellent to deal with. I usually buy below MSRP on another brand because of employee discount but happy to pay up to MSRP on the Emira. It is surprising some of the markups dealers will add as they will lose the long term relationship with customers (IMO). I walked away from one dealer I've bought my last 4 or 5 cars from because of ADM and went 'down the road' to someone that didn't. I just purchased a new vehicle this weekend and literally saved $15k going to a dealer that cares (I think) more about getting/keeping customers as long term vs the short term one time gain of ADM. I love capitalism and don't fault them but I do think they are hurting themselves in the long run. Getting back to Lotus, I will continue my relationship with Gator going forward as they are a solid company.

Seconded. Gator has been fantastic so far.

 

[TXEMIRA]

Seconded. Gator has been fantastic so far.

@GatorMotorsport - getting so much love on here lately. Nice work y’all!

 

[NicolasB]

On the fence! My dealer from New Jersy was to order my car in March, didn't happen. Now April. Got an email from him Saturday afternoon was ready to order (not sure since it was 11 PM in GB) and oh by the way wants $20,000.00 for MARK-UP. Whoa this had never been discussed. I think this isn't right and just greed with the dealer. Talking delivery date Nov / Dec 2022. Which may mean Jan / Feb? Summer tires , it would properly have it shipped to Maryland.
So I am taking the day to rethink this whole thing over.

Reach out to Lotus customer service. If you had a reservation and they never mentioned this before, I would think you would have some recourse. Do not pay that mark-up!

 

[Climber]

Reach out to Lotus customer service. If you had a reservation and they never mentioned this before, I would think you would have some recourse. Do not pay that mark-up!

Personally I would reach out to lotus HQ and discuss the matter with them. Many dealerships in the US are NOT marking up the price…
1. Lotus will help you get a Emira at the retail.
2. Dealership may be forced to change its strategy.. I could lose allocations which would have a devastating effect on their Business.

 

[VL3X]

On the fence! My dealer from New Jersy was to order my car in March, didn't happen. Now April. Got an email from him Saturday afternoon was ready to order (not sure since it was 11 PM in GB) and oh by the way wants $20,000.00 for MARK-UP. Whoa this had never been discussed. I think this isn't right and just greed with the dealer. Talking delivery date Nov / Dec 2022. Which may mean Jan / Feb? Summer tires , it would properly have it shipped to Maryland.
So I am taking the day to rethink this whole thing over.

I assume this was Victory in NJ? Lotus of North Jersey in Summit has been fantastic. I ordered and scheduled for an estimated November delivery.

 

[4GIV8M3]

On the fence! My dealer from New Jersy was to order my car in March, didn't happen. Now April. Got an email from him Saturday afternoon was ready to order (not sure since it was 11 PM in GB) and oh by the way wants $20,000.00 for MARK-UP. Whoa this had never been discussed. I think this isn't right and just greed with the dealer. Talking delivery date Nov / Dec 2022. Which may mean Jan / Feb? Summer tires , it would properly have it shipped to Maryland.
So I am taking the day to rethink this whole thing over.

Sorry you're dealing with Victory Lotus. I got the same phone call and canceled. They told me they already have people lined up to pay 20k. Clearly they don't and are continuing their trend of lying to customers. As other said this should be reported to Lotus North America as they would like to know this information.