One more reason to flush the dealer system

[spectre6000]

https://247wallst.com/autos/2021/11/16/wrangler-is-the-car-that-dealers-overcharge-for-the-most/

This headline just crossed my feed. JL is #1 (28.6% over MSRP), JT is #4 (26.0% over MSRP), and JLU is #8 (24.2% over MSRP). It checks out with what I've been seeing around here.

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[MrZappo]

I never begrudge any person or businesses that takes advantage of a market situation, grabs it by the balls and squeezes.

I just don't like it when the balls are mine.

Dealerships are not a monopoly. And anyone can drive to the next town or wait a few months.

It's supply and demand. Part of life.

You might just as well flush every company that is taking advantage. Not very practical.

I'll agree that it sucks though. And I'm damn glad that I bought my Mojave before all of this nonsense.

 

[spectre6000]

It's profiteering.

 

[Gren71]

It's profiteering.

A jeep is not a necessity so hard to sell profiteering. Also hard to really determine what is an exorbitant profit to be made from sale since it’s essentially a luxary item and not rationed or rare.

That being said…

I also think its crappy that dealers intentionally upcharge certain vehicles. But my outrage would rest with the people who willingly pay those prices…how anyone justifies $60,000+ for a vehicle is mind boggling to me.

 

[MrZappo]

It's profiteering.

Profiteering: the practice of making or seeking to make an excessive or unfair profit, especially illegally or in a black market.

No.

A 20% premium ? Illegal ? Gimme a break.

Buying food, water, and generators and selling at triple the retail price to hungry families in a hurricane aftermath is profiteering.

Didn't say it was "nice". But it is simply supply and demand. Nothing more.

 

[kevman65]

There are dealers still selling for below invoice, you just have to be willing to travel.

Just because some are pricing them above MSRP doesn't mean they all are.

 

[Trickster]

That’s some odd premium pricing above MSRP.
Not happening around here other than the TRX. I haven’t heard of any “bidding wars” on new stock, just selling pretty much at MSRP or very close to it.
What is interesting to me, is how busy the wife’s service department is doing repairs on used. With new shortages and silly pricing on used, many are just fixing up their current vehicles and waiting to see what happens in the marketplace in the future.

 

[NachoRuby]

I think it's weird that they consider the Wrangler Unlimited a different vehicle than the Wrangler, and the Mini 4 door a different vehicle than the 2 door. But they don't consider the 2 door Bronco a separate vehicle than the 4 door version, or the Defender 90 different than the Defender 110 on the same page.

That’s some odd premium pricing above MSRP.

Not happening around here other than the TRX. I haven’t heard of any “bidding wars” on new stock, just selling pretty much at MSRP or very close to it.

Not happening here either, even on the TRX. I'm not sure I'd be willing to pay over MSRP for anything that depreciates. I don't think they are going under MSRP here right now, but they aren't going over. That being said, they have no new Wranglers, and only 1 used one, and just 2 Gladiators at our dealership.

 

[johnparjr]

Around here it’s not happening yet

 

[Garemlin]

Peopje that are paying these premiums for vehicles now are going to be so upside down they will never be able to get out of them. It's hard enough to not be upside down when you buy at a discount.

 

[Casique]

A fool is soon parted from his/her money!

 

[LostWoods]

It's profiteering.

It's people being non-confrontational and just paying what the dealership asks for a vehicle that is high in demand.

Either that or this isn't telling the whole story because the Wrangler has to be the #1 dealer-add-on vehicle on the market. When I bought my JT there were 3 more (of about a dozen on the lot) lifted with wheels and tires and a whole fleet of Wranglers with the same. Clearly these are going to be sold above MSRP.

But, we'll never know because it's some clickbait bullshit article summarizing a dataset it never links.

 

[Delhux]

Having to route all sales and support through a network of dealers is just insane (30% markup for no reason other than a law that hurts consumers?).

I’d much rather deal with the manufacturer directly. Frankly, if your dealership couldn’t compete without government intervention, then it shouldn’t stay in business. I don’t need some goofball local businessman as the middleman on my vehicle purchases.

I would LOVE to see Native American tribes find a way to allow manufacturers to sell/support directly to consumers with manufacturer-owned locations on reservation lands (like Tesla did in New Mexico) . And if I could hit up a casino while I’m getting an oil change, all the better!

 

[Hootbro]

They are not holding the cure for cancer hostage so I really do not care what they charge.

Recently was shopping to replace my 2020 Gladiator and knew it was going to be rough buying off a dealer lot. The closer to the Philly area, the more likely dealerships were charging ADM pricing. A little farther out and it was strict MSRP. I had a control number for Affiliate Rewards pricing and it took a while longer but finally found a dealership hungry enough to want a quick sale and gave me that pricing.

Point being is that most buyers have a choice to not accept these markups if they expand their search area but most are too lazy to make that effort and rather pay their "dummy tax" and feed into these high markup dealers. Some people think there is not a world outside the 20 miles they live in.

 

[Gren71]

Having to route all sales and support through a network of dealers is just insane (30% markup for no reason other than a law that hurts consumers?).

I’d much rather deal with the manufacturer directly. Frankly, if your dealership couldn’t compete without government intervention, then it shouldn’t stay in business. I don’t need some goofball local businessman as the middleman on my vehicle purchases.

I would LOVE to see Native American tribes find a way to allow manufacturers to sell/support directly to consumers with manufacturer-owned locations on reservation lands (like Tesla did in New Mexico) . And if I could hit up a casino while I’m getting an oil change, all the better!

totally agree!

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