What's "cost-price" to a dealer?

[barlimow]

Anyone know what mark-up the dealer makes on a GTi / Ed30 / R32?

Thanks

[TeddyKGB]

Too much..

[Rhyso]

i reckon about 20-30%  i think BWM at least try to run with this line of profit margin 

sickening really 

[illyun]

i reckon about 20-30%  i think BWM at least try to run with this line of profit margin 

sickening really 

What do you base that figure on?  If trues its is rather sickening as I have been told by dealers that they don't really make much money from selling new cars nowadays.  Its the part-ex's, servicing, finance, options and things like Autoglym Lifeshine that they get the money from.  Apparently VW has them on a tight leash as regards to selling price and profit margins on new cars which is why they are notoriously difficult to get discounts from.

[Rhyso]

i reckon about 20-30%  i think BWM at least try to run with this line of profit margin 

sickening really 

What do you base that figure on?  If trues its is rather sickening as I have been told by dealers that they don't really make much money from selling new cars nowadays.  Its the part-ex's, servicing, finance, options and things like Autoglym Lifeshine that they get the money from.  Apparently VW has them on a tight leash as regards to selling price and profit margins on new cars which is why they are notoriously difficult to get discounts from.

there was an article in Evo a few months back about the new Mini and how BMW was reducing costs as it wasn't making as big a margin other BMW cars and from what i remember it said BMW run at around 20-30% margin.  I'll try and dig out the article to see if I'm right lol

[illyun]

i reckon about 20-30%  i think BWM at least try to run with this line of profit margin 

sickening really 

What do you base that figure on?  If trues its is rather sickening as I have been told by dealers that they don't really make much money from selling new cars nowadays.  Its the part-ex's, servicing, finance, options and things like Autoglym Lifeshine that they get the money from.  Apparently VW has them on a tight leash as regards to selling price and profit margins on new cars which is why they are notoriously difficult to get discounts from.

there was an article in Evo a few months back about the new Mini and how BMW was reducing costs as it wasn't making as big a margin other BMW cars and from what i remember it said BMW run at around 20-30% margin.  I'll try and dig out the article to see if I'm right lol

Does this profit go to BMW or their dealer network? Taking into account the fact that the Mk5 is being produced at a relatively high cost compared to say the Ford Focus and I wonder whether dealers make more than 10% if that on the cars they sell.  That would translate to about £2000 on a standard GTI which is around the figure that a couple of dealers have told me.  BTW I'm not trying to defend Stealers - they aren't called Stealers for nothing.   

[Rhyso]

think i may have mis-read the topic title........ :embarassed:

but I'm not entirely sure to be honest; most likely to BMW directly  so you're probably right when you say that the DEALER makes around 10% on the sale of the car 

[Peskarik]

I got a 9% discount on my Ed30 (my boss at work has contacts). The dealer will still make about the same. So 15-20% markup is there for sure.

[illyun]

I got a 9% discount on my Ed30 (my boss at work has contacts). The dealer will still make about the same. So 15-20% markup is there for sure.

So they are lying barstewards 

[Rhyso]

So they are lying barstewards 

wouldn't be the first time