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Will dealers negotiate price in 2021?


brooksrimes

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When we bought our Allegro Bay in 2004 it listed for 120k and we negotiated and bought it for 90k.

We were told that due to the high markups on RV's, you should be able to get 25% off the list price.

Now, due to Covid-19, RVing seems to be in a frenzy, RV's sell fast and dealers are more in control of price due to supply and demand.

Would like to know if other recent buyers, new or used, were able to negotiate on the dealer's asking price?

Thanks,

Brooks

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24 minutes ago, brooksrimes said:

Would like to know if other recent buyers, new or used, were able to negotiate on the dealer's asking price?

If you buy an RV, that is what you must do. The catch is that most likely many dealers are holding at a higher price than before. It is unlikely that they would accept a 25% discount on an RV with buyers waiting to pay 80 or 90% of MSRP. Keep in mind that an RV has no MSRP in the way that automobiles do. There is a suggested retail price with any of them but there is no requirement that you be shown that price and frequently what you see is a document that was prepared in the dealership's office and on their letterhead, thus giving you the numbers that the sales department wants you to have. The numbers may not be anywhere close to what you would have seen from the manufacturer.  There are some manufacturers who list a "starting at" price on their website, as Winnebago does, but those prices do not reflect any added optional equipment.

As is always the case, negotiating success will depend on the dealership chosen and their desire to make the sale. 

Good travelin !...............Kirk

Full-time 11+ years...... Now seasonal travelers.
Kirk & Pam's Great RV Adventure

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If a dealer does not want to deal on price, find another dealer.  Won't give me the price I want, I keep on using what I have, shop around, someone will take your offer.

2002 Fifth Avenue RV (RIP) 2015 Ram 3500 Mega-cab DRW(38k miles), 6.7L Cummins Diesel, A668RFE, 3.73, 14,000 GVWR, 5,630 Payload, 27,300 GCWR, 18,460 Max Trailer Weight Rating(For Sale) , living in the frigid north, ND.

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RVs are in high demand and low supply so dealers have no incentive to negotiate much but still will a little to make a sale. My daughter went out this week looking for a used TT private party and could not believe the high prices and unwillingness to accept less. She is also looking at a used car and experiencing the same. I just bought a new HD motorcycle and the dealer would not budge at all on the price but did come up a little on my trade. So I guess it is happening every market not just RVs.

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7 hours ago, Twotoes said:

RVs are in high demand and low supply so dealers have no incentive to negotiate much but still will a little to make a sale. My daughter went out this week looking for a used TT private party and could not believe the high prices and unwillingness to accept less. She is also looking at a used car and experiencing the same. I just bought a new HD motorcycle and the dealer would not budge at all on the price but did come up a little on my trade. So I guess it is happening every market not just RVs.

Add real estate to that list, at least here in Florida.  I’m not in the market to replace my condo but I do enjoy watching the listings.  Listings pop up one day and the next day they are pending sales, often after a bidding war from competing purchasers.  The old saying “I’ll sleep on it” doesn’t fare well in today’s market.  “You snooze, you lose” is more appropriate these days.

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I think some of it depends on the dealer if they will negotiate or not. When we bought our current RV we were able to negotiate a price. However, the dealer was starting that process from near MSRP. We are currently in the process of purchasing a new RV and the dealer has already priced the RVs at 25% below MSRP, therefore they are not negotiating.

 

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One of the fellows in the RV park was a bank finance officer and he dealt with loans for RV dealers to buy the RVs from the factory and also buyer financing for the dealers.  He said typical dealer cost is 37% below MSRP and then you have dealer kick back for sales volume.  So the dealers have lots of room to negotiate.

Ken

Amateur radio operator, 2023 Cougar 22MLS, 2022 F150 Lariat 4x4 Off Road, Sport trim <br />Travel with 1 miniature schnauzer, 1 standard schnauzer and one African Gray parrot

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On 3/21/2021 at 7:25 AM, TXiceman said:

One of the fellows in the RV park was a bank finance officer and he dealt with loans for RV dealers to buy the RVs from the factory and also buyer financing for the dealers.  He said typical dealer cost is 37% below MSRP and then you have dealer kick back for sales volume.  So the dealers have lots of room to negotiate.

Ken

Nothing wrong with a dealer making money. They have rent, payroll, insurance ect..... Unless it says United Way dealer, they are there to make $$. The word profit should not be a dirty word. 
Can you imagine if you had to buy from the manufacture and had to back there for any service? That’s when a dealer network comes in handy.

Edited by rynosback

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23 hours ago, Chalkie said:

They do still have some room, but since it is a sellers market they are not likely to negotiate as they will have plenty of folks looking to buy. 

Commissioned sales people are usually very good at number shuffling and misleading their customers. A sales trainer that I once knew said that selling is much like being a magician in that both involve a lot of sleight of hand, and using lots of words to distract you. He taught methods to lead a customer to believe that he was getting a better price than was actually the case. 

Good travelin !...............Kirk

Full-time 11+ years...... Now seasonal travelers.
Kirk & Pam's Great RV Adventure

            images?q=tbn:ANd9GcQqFswi_bvvojaMvanTWAI

 

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The dealers have every right to make a profit otherwise they cannot stay in business....but a reasonable profit.  I was in technical sales for high dollar systems, so it was not a quick sale commodity item.  As Kirk pointed out, they are a master of shuffling numbers to make it look like you are getting a deal.  This is why I tell them I am interested in ONE number only....I want the final total price ... out the door including Tax, titel, license fees, etc. 

I have walked out the door on more than one sales person that wanted to play games.  I tell them up front that I was a sales professional for close to 30 years and read all the same books and took the same sales courses that they took....so no BS will be tolerated.

Ken

Amateur radio operator, 2023 Cougar 22MLS, 2022 F150 Lariat 4x4 Off Road, Sport trim <br />Travel with 1 miniature schnauzer, 1 standard schnauzer and one African Gray parrot

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5 hours ago, TXiceman said:

I tell them I am interested in ONE number only....I want the final total price ... out the door including Tax, titel, license fees, etc. 

We do that, too. We don't care how much they are calling sales price vs trade-in just give me the bottom line--with the warranty they will otherwise try to add on after negotiations are complete.

Linda

Blog: http://sandcastle.sandsys.org/

Former Rigs: Liesure Travel van, Winnebago View 24H, Winnebago Journey 34Y, Sportsmobile Sprinter conversion van

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