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Does anyone know how much dealer $ holdback the dealer gets on a Giulia from the manufacturer?
It appears that when selling a Fiat, the dealer gets 3% of the MSRP when they sell a new Fiat...

https://www.autocheatsheet.com/new-car/dealer-holdback.html
A few months ago on Leasehackr the number $1500 was used for a Ti, so inline with your 3% you heard based on a $50k MSRP for the Ti..

I purchased my Ti for $1250 below invoice, when conquest cash was $750... Sales Manager told me the next day they made money on the deal, and that he was within ~$400 of having to say "no dice"..
 

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Check into the FCA Affiliates Reward Program. You can become part of it by joining treadlightly.com at the $100. level. Alfa purchases are included, I checked. Be sure to ask you Dealer if they participate in the ARP. I believe that is gives you a further discount of 1% off MSRP.
 

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I purchased my Ti for $1250 below invoice, when conquest cash was $750... Sales Manager told me the next day they made money on the deal, and that he was within ~$400 of having to say "no dice"..
Of course he still made money on the deal. You don't really believe that "invoice" is a real number do you? according to true car, invoice is supposedly $2200 under MSRP, or 5%. The real invoice is still more than likely around 20-25% like it used to be published back before numbers were extremely easy to find online. Nowadays these fake invoice numbers are published to trick people into thinking they got a great deal, especially with sites like TrueCar which work hand in hand with dealerships.
 

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Discussion Starter · #7 · (Edited)
fake dealer invoice?

Of course he still made money on the deal. You don't really believe that "invoice" is a real number do you? according to true car, invoice is supposedly $2200 under MSRP, or 5%. The real invoice is still more than likely around 20-25% like it used to be published back before numbers were extremely easy to find online. Nowadays these fake invoice numbers are published to trick people into thinking they got a great deal, especially with sites like TrueCar which work hand in hand with dealerships.
Interesting. I just came back from the dealer since the car i ordered arrived after a 4 month wait. (I did not take delivery...more on that in my next post)

Sales Manager showed me on his screen and later gave me a copy (which he took back when I was not looking) a copy of the invoice. On a MSRP of $51,390 it showed a dealer cost of $48,638. He said his department has to pay $200 for the PDI (pre-delivery service). He said he wanted to get at least a $500 profit so the discount off MSRP I can get came to $2552. (NOT INCLUDING FCA INCENTIVE OF $2750)

Does that sound right?? On a fully loaded Giulia TI 2WD?

I was expecting a $4000 discount off the MSRP since Alfa is selling such a low volume of vehicles.
 

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Interesting. I just came back from the dealer since the car i ordered arrived after a 4 month wait. (I did not take delivery...more on that in my next post)

Sales Manager showed me on his screen and later gave me a copy (which he took back when I was not looking) a copy of the invoice. On a MSRP of $51,390 it showed a dealer cost of $48,638. He said his department has to pay $200 for the PDI (pre-delivery service). He said he wanted to get at least a $500 profit so the discount off MSRP I can get came to $2552. (NOT INCLUDING FCA INCENTIVE OF $2750)

Does that sound right?? On a fully loaded Giulia TI 2WD?

I was expecting a $4000 discount off the MSRP since Alfa is selling such a low volume of vehicles.
Think about it from a business perspective. If they truly only made $2752 on every car if they sold at MSRP, would they be able to be in business? They probably only sell.... 2 a week? 3 if they are lucky? Gotta pay salaries, rent, utilities, upkeep, etc. It's not great margins on new cars, that's why every dealer has a used car lot, huge margins on those. But every single year "invoice" or "dealer cost" price creeps up a percent or so while engineering costs, tooling costs, and materials get cheaper. I work in the automotive engineering field, and suppliers are expected to basically cut their costs by 5-10% every year, or manufactures will switch suppliers in a heartbeat. It's a cutthroat world in automotive supply. The cars themselves aren't expensive to make (expensive to tool!) so automakers can make good money, then dealers markup as well.

Long story short, don't believe any "invoice" number or "dealer cost" number they show you. Unless it's like 25% off MSRP, then okay that might actually be logical. They are master salesmen, they want you to feel like you are getting a great deal, so you'll feel good about the deal, feel good about them, and about the car.

It's up to you how badly you want the car. They know that you want it bad, since you special ordered it, and probably won't budge on price since they figure you'll take anything. If you walk from the deal I bet they'll drop the cost a bit more.

But if the car makes you happy, and you are happy with the price, is saving $2k over the life of the car really worth it? Gotta ask yourself those questions sometimes I suppose.

Start finding cars of similar MSRP on autotrader or cars.com and call up those dealers, figure out their real price, and give it to your local dealer.

https://www.cars.com/vehicledetail/detail/704219094/overview/ ($7k off MSRP)

https://www.cars.com/vehicledetail/detail/704323701/overview/ ($5500 off MSRP)

https://www.cars.com/vehicledetail/detail/705541993/overview/ ($7345 off MSRP)
 

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Discussion Starter · #9 ·
$5500-$7345 off MSRP? Giulia TI's

Think about it from a business perspective. If they truly only made $2752 on every car if they sold at MSRP, would they be able to be in business? They probably only sell.... 2 a week? 3 if they are lucky? Gotta pay salaries, rent, utilities, upkeep, etc. It's not great margins on new cars, that's why every dealer has a used car lot, huge margins on those. But every single year "invoice" or "dealer cost" price creeps up a percent or so while engineering costs, tooling costs, and materials get cheaper. I work in the automotive engineering field, and suppliers are expected to basically cut their costs by 5-10% every year, or manufactures will switch suppliers in a heartbeat. It's a cutthroat world in automotive supply. The cars themselves aren't expensive to make (expensive to tool!) so automakers can make good money, then dealers markup as well.

Long story short, don't believe any "invoice" number or "dealer cost" number they show you. Unless it's like 25% off MSRP, then okay that might actually be logical. They are master salesmen, they want you to feel like you are getting a great deal, so you'll feel good about the deal, feel good about them, and about the car.

It's up to you how badly you want the car. They know that you want it bad, since you special ordered it, and probably won't budge on price since they figure you'll take anything. If you walk from the deal I bet they'll drop the cost a bit more.

But if the car makes you happy, and you are happy with the price, is saving $2k over the life of the car really worth it? Gotta ask yourself those questions sometimes I suppose.

Start finding cars of similar MSRP on autotrader or cars.com and call up those dealers, figure out their real price, and give it to your local dealer.

https://www.cars.com/vehicledetail/detail/704219094/overview/ ($7k off MSRP)

https://www.cars.com/vehicledetail/detail/704323701/overview/ ($5500 off MSRP)

https://www.cars.com/vehicledetail/detail/705541993/overview/ ($7345 off MSRP)
These are some pretty incredible discounts on cars that are advertised as having zero miles on the website (ha, ha)
...I'm in the process of checking with the dealers to verify that the FCA incentive is NOT included in the advertised discounted prices. I'll report back as soon as I hear back...
 

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These are some pretty incredible discounts on cars that are advertised as having zero miles on the website (ha, ha)
...I'm in the process of checking with the dealers to verify that the FCA incentive is NOT included in the advertised discounted prices. I'll report back as soon as I hear back...
Guarantee every one has all the incentives. That's why the $7k off ones are probably the ones that are actually discounting $4k off MSRP for the dealer discount. Then FCA discount on top of that. That's 15% off MSRP in total. If you start creeping into the 20-25% region, that's when a really freaking good deal happens. Which probably will start happening in November/December when all the 2018 cars start showing up, the Stelvio won't sell nearly as well as they are hoping (came in way too late in the SUV market) and they gotta figure out how to move volume.

All the articles about "we aren't going to incentivitise" or "we aren't going to discount big" are there just to get people to BUY NOW. Think if they said "yea we'll discount them in the future by a lot" anyone in their right mind would go out and purchase one right now if they knew FCA was going to discount in the future?
 

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Discussion Starter · #11 ·
fine print on $7000 off MSRP

Think about it from a business perspective. If they truly only made $2752 on every car if they sold at MSRP, would they be able to be in business? They probably only sell.... 2 a week? 3 if they are lucky? Gotta pay salaries, rent, utilities, upkeep, etc. It's not great margins on new cars, that's why every dealer has a used car lot, huge margins on those. But every single year "invoice" or "dealer cost" price creeps up a percent or so while engineering costs, tooling costs, and materials get cheaper. I work in the automotive engineering field, and suppliers are expected to basically cut their costs by 5-10% every year, or manufactures will switch suppliers in a heartbeat. It's a cutthroat world in automotive supply. The cars themselves aren't expensive to make (expensive to tool!) so automakers can make good money, then dealers markup as well.

Long story short, don't believe any "invoice" number or "dealer cost" number they show you. Unless it's like 25% off MSRP, then okay that might actually be logical. They are master salesmen, they want you to feel like you are getting a great deal, so you'll feel good about the deal, feel good about them, and about the car.

Start finding cars of similar MSRP on autotrader or cars.com and call up those dealers, figure out their real price, and give it to your local dealer.

https://www.cars.com/vehicledetail/detail/704219094/overview/ ($7k off MSRP)

https://www.cars.com/vehicledetail/detail/704323701/overview/ ($5500 off MSRP)

https://www.cars.com/vehicledetail/detail/705541993/overview/ ($7345 off MSRP)

This is what i was told:

Our internet posted prices reflect the FCA incentive ($2,750) and Lease rebate from FCA ($1,000). What could be an additional discount for you is the USAA certificate, if you are a member.

So in realty, they are giving $3246 off of MSRP.
 
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