What's a decent dealer's profit

[Gordon Dewald]

Originally Posted by wnytaxman

Newmar has a different margin than Entegras and some other brands. From what I've seen on here you would be doing well to get in the 27-28% range on a Newmar. Entegras are more in the 30-32% range.

BTW, Motorhome Specialist is not a Newmar dealer.

It all depends upon how much they inflated the MSRP. Since MSRP is a fictitious number you can get a better discount simply by adding a couple thousand to the MSRP. It is all a numbers game on paper.

The fact that Newmar dealers will not go past 28% where the others will go to 32% may mean that they have raised their MSRP 4% less or have included 4% more material in the production.

IMO one will never truly know what the mark up is and how realistic the MSRP is unless you are the CEO or CFO of the manufacturer. It is all a marketing game that skirts the line between what is legal and what is unfair or misleading trading.

[stoners]

I sent requests for price quotes out to some of the big online guys. Found what seemed to be a median price level for what I was looking at.

Purchased a 2014 Tuscany XTE 36MQ. MSRP $278,000.00 Purchase price $175,000.00.

[Mr_D]

Originally Posted by Gordon Dewald

It all depends upon how much they inflated the MSRP. Since MSRP is a fictitious number you can get a better discount simply by adding a couple thousand to the MSRP. It is all a numbers game on paper.

The fact that Newmar dealers will not go past 28% where the others will go to 32% may mean that they have raised their MSRP 4% less or have included 4% more material in the production.

Not so with Newmar as they publish the MH price and an option sheet for each model. Every dealer/customer works off that and the price sheets are available to everyone. The requested specials might give the dealer something to add some too though.

[Rusty years]

Originally Posted by wagonmaster2

Sorry, I'm awfully good about leaving out pertnant information. I'm working on a 2015 Dutch Star 40'. And the trouble with walking off from a low deal is that one of these dealers is the one I eventually want to use as I've heard and read he is the most reliable on any repairs. So I don't want him to hang up on me or tell me to go jump in the lake if my 26-28% offer insults him the next time we talk.

Just shop around the country and then show the prices to your local dealer. If he comes reasonably close, buy from him.

[ahicks]

Another way you might save some money, and maybe learn something at the same time, is to pick your new coach up at the factory. Even if it hasn't been "dealer prepped", SOMEBODY is going to need to drive it from the factory to your dealer. In my way of thinking, that somebody might just as well be me?

[wnytaxman]

Originally Posted by Gordon Dewald

It all depends upon how much they inflated the MSRP. Since MSRP is a fictitious number you can get a better discount simply by adding a couple thousand to the MSRP. It is all a numbers game on paper.

The fact that Newmar dealers will not go past 28% where the others will go to 32% may mean that they have raised their MSRP 4% less or have included 4% more material in the production.

IMO one will never truly know what the mark up is and how realistic the MSRP is unless you are the CEO or CFO of the manufacturer. It is all a marketing game that skirts the line between what is legal and what is unfair or misleading trading.

You can go on line and build and price Entegras and Newmar has their price list on line. MSRP is not a made up number. I can look on line and find the same price for the same unit. Where some of the dealers get crazy is on things like dealer prep charges and other made up items. I'm going to guess that other brands can also be built and priced on line as well.

Now do different manufacturers build more or less margin into their MSRP.? I have no doubt that they do and the wide variety of discounts is the best indication of that disparity with Entega discounts consistently being at or over 30% and a similar discount is rarer than hen's teeth on Newmar.

Shop around and get the best deal you can. Then don't look back and enjoy your new purchase.

[DSL417]

Originally Posted by Gordon Dewald

It all depends upon how much they inflated the MSRP. Since MSRP is a fictitious number you can get a better discount simply by adding a couple thousand to the MSRP. It is all a numbers game on paper.

The fact that Newmar dealers will not go past 28% where the others will go to 32% may mean that they have raised their MSRP 4% less or have included 4% more material in the production.

IMO one will never truly know what the mark up is and how realistic the MSRP is unless you are the CEO or CFO of the manufacturer. It is all a marketing game that skirts the line between what is legal and what is unfair or misleading trading.

FWIW, the MSRP price for both Newmar and Entegra (also American Coach) is NOT set by the dealer!. You can go to the company's website, build you own and get the MSRP, and that is the same MSRP I've seen shown by different dealers at different shows. Their MSRP pricing is open and above board.

Secondly, the dealers hate threads like these because the dealer decides what margin he's willing to sell out. My guess it varies, but Entegra at 32-34%...well the only time I've seen that level of discount was with closeouts at the end of the model year (by MHSRV this last year)....it was a little unusual, because there were major changes, requested by customers in previous customer meetings that were incorporated into 2015s. Entegra made a marketing mistake and showed these changes at the Tampa Supershow in January, and people started canceling orders, or waiting...suddenly there was stock on the lots unsold.

I think 28% is an achievable number under normal circumstances in a non-trade deal where the dealer is hungry. JMHO

[Gordon Dewald]

Originally Posted by Mr_D

Not so with Newmar as they publish the MH price and an option sheet for each model. Every dealer/customer works off that and the price sheets are available to everyone. The requested specials might give the dealer something to add some too though.

I was referring to the discount off MSRP. If Newmar wanted to have their dealers discount by 32% they could simply raise the MSRP by 4%. Since it is common in RV to have a large discount the MSRP is likely near the line for deceptive or misleading advertising.

It seems many posters on threads use the discount to determine the brand of coach they will purchase.

Suggested retail price - Wikipedia, the free encyclopedia

The manufacturer's suggested retail price (MSRP), list price or recommended retail price (RRP) of a product is the price which the manufacturer recommends that the retailer sell the product. The intention was to help to standardise prices among locations. While some stores always sell at, or below, the suggested retail price, others do so only when items are on sale or closeout/clearance.
Suggested pricing methods may conflict with competition theory, as they allow prices to be set higher than would otherwise be the case, potentially negatively affecting consumers. However, resale price maintenance goes further than this and is illegal in many regions.
Much of the time, stores charge less than the suggested retail price, depending upon the actual wholesale cost of each item, usually purchased in bulk from the manufacturer, or in smaller quantities through a distributor.
Suggested prices can also be manipulated to be unreasonably high, allowing retailers to use deceptive advertising by showing the excessive price and then their actual selling price, implying to customers that they are getting a bargain. Game shows have long made use of suggested retail prices both as a game element, in which the contestant must determine the retail price of an item, or in valuing their prizes.

[The Randall]

I would say at most 5%. These RV's tank in value and the only way you can ease the bleeding somewhat is to get the best deal you can from the onset.

[AUPOP]

Originally Posted by jdoran1973

Don't worry about offending them with an offer, worse they can do is say no or tell you to leave and allow another dealer to take your money. Besides, you're not insulting them by offering too little, but they ARE insulting you by asking too much��

X 2

[indycoltsguy]

I can personally tell you I have seen invoices on a Dutch Star and Entegra Anthem
The Dutch Star has 28.63% markup not incl 1.25% holdback.
The Entegra Anthem 44B has 39.26% mark up.
No hold back but it was written that if they reordered within 10 days that the factory would rebate them $10,000 on the sold unit or the ordered unit.
Hope this helps

[DSL417]

Originally Posted by indycoltsguy

I can personally tell you I have seen invoices on a Dutch Star and Entegra Anthem
The Dutch Star has 28.63% markup not incl 1.25% holdback.
The Entegra Anthem 44B has 39.26% mark up.
No hold back but it was written that if they reordered within 10 days that the factory would rebate them $10,000 on the sold unit or the ordered unit.
Hope this helps

I would think that your experience with the Entegra dealer would lead you to not trust anything they showed you, if this is your first dealer in PA. Wasn't that the same one that gave you an iPad trying to trick you into thinking it had been integrated with the Firefly and Crestron system?

[msturtz]

Originally Posted by RoysRV

Again, thank you all for everything! Just as a side note, what is everyone's opinion on this V10 Gas RV vs the diesel pusher?
2002 Class A, 31ft. Fourwinds, Hurricane

We looked at a Hurricane and it looked like a good coach. Didn't buy it because it only has 5K in towing. We need more than that.

[indycoltsguy]

I actually happened to be on a factory tour of one of the brands and I won't say which one and they handed me a build sheet but it was actually an invoice.
Showed floorplan source etc.
You are correct some dealers are not capable of telling the truth.