Quote:
Originally Posted by Click_ID
Dealerships are not perfect. A lot of them suck, and nobody’s defending useless add-ons or games in the finance office.
But, they do bring value. Having working for a manufacturer they’re the only leverage buyers have against MSRP. (outside simply not buying/boycott) Competing quotes mean you can negotiate. You lose that when you can’t cross shop.
Direct sales doesn’t remove markup. It just shifts it to the manufacturer. Tesla, and rivian proved it, margins are higher because they keep what dealers used to take. Buyers don’t see the savings.
MSRP isn’t fake, Its the manufacturer’s target. The only reason you sometimes pay less is because dealers compete for your business. Remove them and MSRP becomes the ceiling. Manufacturers are not charities. Any savings goes in their pocket.
Dealers fight for survival, true. But the side effect is buyers keep leverage. With direct sales, you don’t. I’d rather deal with a sales manager who wants to move a car this month than a manufacturer who will never change its online price.
I like having the choice of where I do business.
Dealership=the devil you know
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Couple of points:
If we were on a direct marketing each manufacturer would be competing against each other: BMW vs. Mercedes vs. Audi, etc.
I have never known any middleman, a dealer for example, to reduce the price. Those salesmen wearing $1500 suits, all those finance guys, etc. must be paid. Where do you think the money to pay them comes from?
Home Depot, Costco, and other stores have shown that removing the middleman reduces prices and saves the customer money!
Just my $.02[/LIST]