Lightning Dealer Markups

[CyberT]

Re-looked at label, what is “windshield treatment” $895?

I did the research and "Windshield Treatment" is that they used the really good kind of Windex, you know the kind that doesn't leave any streaks.

 

[TruckDaddy]

After $50,000 markup, $895 for windex, $1,000 for fabric treatment, $400 for wheel locks, $400 for window tint, etc, etc, things start to add up quickly.

Bought a car 3 years ago that had these ridiculous add-ons. Saleswoman said I can't just tell them you won't pay for them. I said $30 on the wheel locks per Amazon, $100 on the window tint per a guy I know that can do it, $5 on fabric treatment. Late in the day, end of year, they said yes, knowing I would walk.

Good to be in a buyer's market!

 

[Sirfun]

Look at the MSRP. $96,060, add the 4 add-ons it's $98,744, then add their $50,000 mark-up you come to a grand total of $148,744.00. CRAZY!!!!!!!!!!

 

[FutureBoy]

Do t see how the four adds equal $50k?

Gotta read the fine print before signing the contract.

Can you imagine the surprise of someone who doesn't pay attention and just buys thinking he is getting a $96k truck? Gets distracted arguing about the $2,684 of expensive dealer add-ons. Eventually gives in and buys the truck. Gets home and is shocked when the first bill arrives that it's much higher than expected. Investigates and finds out he paid $148,744 for that $96k truck.

 

[Ogre]

Hadn't thought about that but Yikes that could be painful with a $148K pickup. Also, I was wondering how do you get a loan for a vehicle with $50k markup. I would think only the manufacturer takes on that kind of loan.
If you're wondering about the pickup with $50K markup, I'm referring to the TRX that I posted a sticker photo, at the beginning of this thread.

Just imagine paying $100k+ on a truck which will be upside down for almost the entire life of the loan. Buy gap insurance I guess.

 

[Sirfun]

Just imagine paying $100k+ on a truck which will be upside down for almost the entire life of the loan. Buy gap insurance I guess.

Gap insurance for the most powerful pickup ever produced, and sold at $50K over MSRP. That's gonna add more cost to an already overly priced vehicle.
I guess there's a sucker born every minute. I PITY THE FOOL!!!!!!!

 

[Cyberman]

Something does not add up in the article’s math.

Dealer has over 200 reservations, let’s be generous at 250. 10% is allocated to the dealer, 25 units.

Pay 5,000, non refundable if you do not take order, to prioritize in the list. First come, first served regardless of reservation status. OK, the first 25 Laing 5,000 gets the slot.

So, first 25 pays the 5K agreed markup

But wait, another message, your markup is now 30k and if you don’t want to be the first 25, your markup will be 10k after the 25 are fulfilled.

what’s my markup and deposit again?

Whaddya mean what's your markup and deposit again! Do ya want da truck, ors not?



?

 

[jhogan2424]

Are you mad you didn't think of it or that you can't afford to jump the line? I ordered 1 each for my wife, son and myself. They both have no interest in any pickup truck but are free to change their mind. Believe me life is different for wealthy folks.

Most times I’ve heard someone mention how wealthy they are it turns out they aren‘t nearly as stout as they had pretended. Almost certainly the case here. The posers claiming to have deep pockets aren‘t the ones that are wealthy, it’s that quiet guy that keeps his mouth closed and has to carry his money in bags because they don’t make pockets that deep who is actually the wealthy one. ?

 

[jhogan2424]

Hadn't thought about that but Yikes that could be painful with a $148K pickup. Also, I was wondering how do you get a loan for a vehicle with $50k markup. I would think only the manufacturer takes on that kind of loan.
If you're wondering about the pickup with $50K markup, I'm referring to the TRX that I posted a sticker photo, at the beginning of this thread.

You wouldn’t actually get a typical auto loan on the vehicle for the total price. You would pay that 50k markup as a down payment or use some other type of credit line to pay for the truck. Or, always the full cash option if someone doesn’t mind paying the markup. Personally, I do mind and will never pay such a markup to be first in line. Even if that means driving diesel for the rest of my life.

 

[Cybertruck Hawaii]

Auto Dealership offering the perfect usury experience.

 

[Cybertruck Hawaii]

Auto dealership also offering a usurp experience. I avoid them like the plague. Tesla skips the torture experience.

 

[No-mo-ice]

This is the sign of end times for the legacy auto makers… or why else would these mark up take place. It’s time to review our laws.

To me, EV makes a world of difference in day to day life, and now that dealers are doing this, it makes even more sense to own a Tesla. I can get the Cybertruck and easily justify a plaid version, due to the outlandish mark ups.

This takes away the argument about the cost of battery replacement costs…. I would rather pay 20k than 50k for a dealership mark-up. The CT will probably come close to the million mile battery, and I hope it does, it truly will put the nail in the coffin. I will celebrate when they wallow in their own corrupt filth.

 

[MEDICALJMP]

Ford To Dealers: Break The Rules And Lose F-150 Lightning Allotment
Ford's basically saying "operate ethically or we won't send you any Lightning in 2022".

Jan 07, 2022 at 4:48pm ET
9
By: Tom Moloughney


There have been many reports of Ford dealers telling customers that they will be adding thousands of dollars of ADM (added dealership markup) including as much as $30,000 over the MSRP.


I have an F-150 Lightning reservation and spoke to a number of local Ford dealers, and I could only find one that promised me (although they wouldn't put it in writing) that they would sell me my vehicle at MSRP, and that's the dealership I'm going with.

However, it seems as though the price-gouging isn't limited to ADMs at some dealerships. There have been reports that a small amount of Ford dealers are telling customers that they need to pony up additional money if they want to be one of the first customers to be able to order an F-150 Lightning. That's not sitting well with Ford.

"It has come to our attention that a limited number of dealerships are interacting with customers in a manner that is negatively impacting customer satisfaction and damaging to the Ford Motor Company brand and Dealer Body reputation." -Andrew Frick, Ford vice president of U.S. and Canada sales.

To be clear, this isn't about ADMs. There are very clear laws that prevent auto manufacturers from interfering with the dealer/customer relationship, and OEMs have very limited control over what pricing the dealers set. This issue is different because it appears as though some dealers are "selling" early delivery slots to those that are willing to pay the exorbitant additional fee.

The document was first posted on the F150 GEN14 Forum

Ford views that as violating the Sales and Service agreement that every dealership has with Ford, as it is "negatively impacting customer satisfaction and damaging to the Ford Motor Company brand and Dealer Body reputation".


As a punishment, the letter states that "if it is determined that your dealership is engaging in such practices, Ford Motor Company reserves the right to redirect that dealership's allocation of the F-150 Lightning for the entirety of MY 2022".

"The Dealer shall avoid in every way any 'bait,' deceptive, misleading, confusing or illegal advertising or business practices"

No-Sale Provision
Additionally, the letter advises dealers to add a No-Sale Provision to all F-150 Lightning contracts. The intent of that clause is to prevent customers from taking delivery of an F-150 Lightning and instantly flipping it for more than what they paid.

Ford provided the language which requires the buyer to agree not to sell, offer to sell, or transfer any ownership interest in the Lightning within one year of purchase. If the buyer violates the agreement they can face legal action including blocking the title transfer to the purchaser.

This clause is just a recommendation. Ford isn't telling their dealers they have to do it, which I don't think they legally have the power to enforce in any event. Those pesky dealer franchise laws would most likely prevent Ford from requiring it.

I'm curious to see how many dealers agree to add the no-sale provision to their contracts, as they really don't have anything to gain from it. Once the sale is made, most dealers really don't care what you do with your vehicle - you can keep it or sell it, it makes no difference to them. If anything, it will create animosity between the dealership and the customer.

I can see customers saying they won't agree to it, and for good reason. What if the Lightning doesn't suit their needs and they need to sell it and get another vehicle? What if the customer's financial condition changes shortly after making the purchase and they cannot afford it anymore? How about if they just don't like it? Having a clause that forces the buyer to keep it for at least a year or face legal action won't go over well with many people.
https://insideevs.com/news/559386/ford-threatens-dealers-f150-lightning/

 

[kev12345]

They’re asking customers not to pull a John Cena and sell the thing immediately for profit. Super weird.

 

[Ogre]

They’re asking customers not to pull a John Cena and sell the thing immediately for profit. Super weird.

Really what they want to avoid is people buying them then selling them as soon as their Cybertruck number gets pulled.