Dealer Jacking up prices!!!

[bpad1]

I've heard about some of this going on. My buddy and i went to the local dealer to pick up his 1098S. The bike by the way is awesome. Much better in person. Back to the point. While going over the paperwork, the dealer had added $1300 for dealer prep and $2500 for what they called PMA. Point Market adjustment. "This is what we charge so you can be the first person to have the bike". I immediately called bullshit. They went on to further say that DNA is actually encouraging dealers to charge this PMA which doesn't sound right to me. Why would Ducati advertise a new lower price only to have the dealer jack it back up. The sales manager was a total asshole and basically said "this is what we are chargeing and if you wont pay it, there are guys lined up who will". He went on further to say that all the dealerships in the area are doing it which we found out to be a total lie. We called 2 other dealers who said that was not true. Needless to say, the deposit was refunded and we walked. My buddy was heartbroken. He's been waiting for this bike for 3 months only to have the dealer pull this shit. They are basically ripping off their customers. I will never set foot in this un-named dealer (Cycleriders of Longwood) again. I have plans to buy a 1098 in the next year or so as well as some dirt bikes. They have lost my business forever.....

[ricster]

Its a hot bike and I can see the temptation for doing this...so if this dealer can get the extra $$$'s more power to them!!

[bevel450]

Originally Posted by bpad1

Why would Ducati advertise a new lower price only to have the dealer jack it back up.........

What you seem to be suggesting is completely illegal in the US. Only the dealer can set the sell price for anything. And he can change it at anytime up to the point the ink is on the paper.

Not likeable at all, but commercial reality with a hot product.

[DucatiMio]

Originally Posted by ricster

Its a hot bike and I can see the temptation for doing this...so if this dealer can get the extra $$$'s more power to them!!

True, but highly unscrupulous. Dealers can sell their inventory at whatever price they think they can get, however the ADM (Additional Dealer Markup) or PVM or whatever they want to call it should be made clear to anyone wishing to purchase a product. When you give them a deposit, the price should already be agreed upon and in writing. If you just give them a deposit then it's on you if they change their minds.

Just my .02

[bpad1]

Originally Posted by ricster

Its a hot bike and I can see the temptation for doing this...so if this dealer can get the extra $$$'s more power to them!!

I understand the laws of supply and demand, and that we live in capitalistic society. But this is just plain bad business. Ducati lowered their prices for a reason. Part of a marketing strategy to sell more bikes. I doubt it if they would be too happy to know that the dealers are jacking the prices back to last years prices. Every advertisment that i have seen has listed the the base price at 20k. Hell, i would even understand several hundred dollars above due to the hype of the new product but not several thousand. This dealer would have done well to recognize that my friend and I are likely to buy more bikes in the future and treat us as potential long term customers. Not rape us out of $2500 just because they can. Instead of earning our business, we have placed deposits at another dealer in the next town who will not charge this ridiculous fee. Like i said, i'll never set foot in that dealership for service or another bike.

[vduc]

Good for you bpad1 and your friend I would have told him to screw off too. The worst part is "$1300 for dealer prep" what an ass.

[fff]

I also agree that this is very short sighted bad business from the dealer. When the gotta have it factor wears off these bikes will be on the floor at a discount. It will probably take close a year but it will happen. As you said this dealer has lost 2 customers forever.

[ColinMc]

When I bought my CTS Type V this one local dealer would NOT negotiate at all, he said i'd never be able to get the car at the price I was looking for. He didn't take me seriously and kept on saying I should come back with my parents...so I said I would take my money elsewhere and he told me to "come back when I was serious and he could sell me a real nice Cobalt" I called around and found a dealer in western NY who not only gave me the car for what I wanted to pay, but transported it to me FOR FREE! So first place I went with my brand new car? Right to that dealer that didn't think I was serious. That was no small sale either...needless to say the look on his face made me VERY happy. Anyways so I guess what my rambling is leading up to is that you made a good choice taking your business elsewhere, it'll take more work, but you can and will find a dealer willing to work with you. You wouldn't want to go to a dealer like that for your service anyways, I know I wouldn't. If they treat potential buyers that way, what do they do to their service customers? Who knows...

[gator232]

Before I put down a deposit to be the first one in line, I specifically asked if the selling price of the bike was going to invoice list plus dealer prep. That was agreed upon. I think it is madness to put a deposit down on something if you do not know what you are going to end up paying.

Of course there are some out there who will do so that they then turn around and try to sell that option like that dude on eBay.

[Geof3]

I'm with gator... A deposit usually means a deal has been stuck and a number has been qouted. In fact, when I put the deposit down on my Speed Triple awhile back, basically all the paperwork with a balance due was issued. Dealer is definately an asshole, but your friend should have had a firm price in place.