View Single Post
Old 07-19-2012, 03:30 PM   #13071
Dallara
Creaks When Walks...
 
Dallara's Avatar
 
Joined: Sep 2006
Location: South Texas
Oddometer: 1,550
Cool2 Hagglin'...

Quote:
Originally Posted by Mikef5000 View Post
Yeah but... how is this different from any other retail business? Doesn't every retailer pay a cost for an item, and then choose what to sell it for? Whether they choose to have a huge markup or not, or whether they choose to negotiate or not, none of this affects the cost they paid.

I fail to see how haggling "only hurts the dealer", if they're getting 'hurt', they're doing it wrong. I mean, no matter how hard I try to grind a dealer, what they choose to sell it to me for, is just that, their choice. If they go out of business for not making enough profit margin, how is that anyone's fault but their own?


All that being said, I'm not much of a negotiator. If I want something, I buy it. I'll call around (or search online) to find the best price, and I may even ask if they can do any better, but that's it. No grinding from me.

Certainly true enough, Mikef5000...

Perhaps I didn't say what I was trying to confer as eloquently as I could have, but a professional scribe I'm not. My real point is that all too often some folks *THINK* that when they grind a better deal out of the dealer they somehow are getting some kind of discount from the factory - when nothing could be further from the truth.

The factory *ALWAYS* gets full-boat "retail" essentially. No price breaks, no haggling, no discounts (unless under a specific incentive or promotional program), no nothing. The factory sets the price and the dealer has to pay it, period. Then the factory will usually nationally advertise some sort of "Manufacturer's Suggested Retail Price" which essentially fixes the ceiling of profit margin for the dealer, and hence any price "haggling" comes right out of of the dealer's bottom line - and doesn't affect the manufacturer at all.

It's this way for bikes, parts, and extended warranty coverage. I just wanted people to know that no matter how much haggling, grinding, negotiating, etc. somebody does they're not getting Yamaha to lessen the price even one red cent... Only carving bucks out of the dealer's margin.

And believe me, that margin is a whole lot *LESS* than most people think.

Just FYI...

Dallara



~
__________________
~

You never see a motorcycle parked outside a psychiatrist's office

~
Dallara is online now   Reply With Quote