Price paid?

Doobs41378 · January 16, 2016

Hey Guys,

A dealer ordered a 2016 Sierra Denali 1500 with my selected options. He just informed me that it is expected to arrive in the next few days. I don't have any deposit down yet. He also said that another customer wants to buy the truck (might just be a sales tactic,or might actually be true).

MSRP is $60,835 (including $1,195 destination fee).

Invoice is $56,554 (also including destination fee).

I really do want to buy this truck, but I need to get the best price possible.

All things considered, what price do you think I should offer?

Thanks much for any advice.

Kind of a dick move if the dealer is shopping the truck you ordered to other people.

tooldogg · January 16, 2016

Check out http://www.laurabuickgmc.com the price you see is the price you pay

BulldogSilverado · January 16, 2016

Don't be afraid to show him you will walk and go somewhere else.

I wouldn't pay any higher than $48,000 -- 20% off MSRP. Start at $42,000 - 30% off - and see where he goes from there, can't hurt. Don't let him pit you against this other guy interested, "well Joe said he'd buy it for $52,000" kind of BS.

But I'm by no means an expert, only purchased one new car and that's the truck I drive now lol.

Good luck!

flogrown · January 16, 2016

Hi Everyone,

I purchased a 15'Crew Cab SLT 2wd (Z71 Package). MSPR I believe was 48k, Invoice was 45k and on sale for 41k. I ended up purchasing it for 36k w/o tax.

SandyNeck · January 16, 2016

Don't be afraid to show him you will walk and go somewhere else.

I wouldn't pay any higher than $48,000 -- 20% off MSRP. Start at $42,000 - 30% off - and see where he goes from there, can't hurt. Don't let him pit you against this other guy interested, "well Joe said he'd buy it for $52,000" kind of BS.

But I'm by no means an expert, only purchased one new car and that's the truck I drive now lol.

Good luck!

Hey Guys,

Thanks much for your responses, I really appreciate the input. I'd love to get into this thing for $50K or less, as it would make a world of difference in being able to afford it. But I believe that the 20% off prices you're referencing were associated with the year end sales event from GM, which is over now. Without that incentive, how could I negotiate such a deep discount? I would estimate actual dealer cost to be around $54,750 (invoice minus holdback). I'd love to throw the $48K number at him, but need something to back it up so it will be taken seriously. If he's paying $55K for the truck and GM isn't subsidizing the price further, how can he sell it for $48K? Please enlighten me on that if you could, so that I can better understand.

Also, I appreciate the value of the walkout and I'll keep it in mind, but I just spent 3 months waiting for this order to arrive and I really don't want to start that process all over again. It is a rather unique configuration and no other dealers in my area have another like it.

Thanks again to all for your input. The benefit of your knowledge and experiences is very helpful and much appreciated.

lsxrx7 · January 16, 2016

they need to get the truck off their lot

everyday they let it sit it cost them more money, especially the 2015 models

you are not taking food off their kid's mouth if you got a 30% off deal,

your concern is not about them not making money

just walk out if the number is not what you have in mind, there is another dealer out there wants to sell another truck

BulldogSilverado · January 16, 2016

If they refuse to go lower or work with you on price then just say sorry we couldn't come to a deal and walk away. I can almost guarantee you they will call you in a few days (if not the next day) to get to talking again. Or they will immediately respond with a new number if you walk away.

When buying my truck we got to the point in negotiating where we were a grand apart from each other. He went and talked to his manager. Came back and said the best we can do is get you $500 more off at this point. I said ok well I'll have to go look at some other dealers and compare this price and get back to you on Monday. He immediately responded asking what would it take to make a sale today. And I told him my number and he did it. I know that's a different situation because I was buying a 2015...but just wanted to throw my story out there.

My buddy was buying a new 2013 years back around March. Same type situation. The dealer told him they couldn't get it for his asking price and that they will lose money. My buddy simply apologized that they couldn't come to an agreement....long story short they called him the next day and they worked something out....the dealer finally lowered their price. Not to his asking price but that got the ball rolling.

With your situation the cat is out of the bag because the dealer knows that's the car you want. There is a chance you walk away and they don't get back to you and sell it to someone else. But at this point I'm sure any other dealer can easily place an order for a truck and get you what you want.

I probably didn't tell you anything new but just wanted to throw my thoughts out there. I'm sure there are way more experienced buyers on here that could give you a more defined strategy.

Keep us posted!

jamin87ss · January 16, 2016

Whats the unique configuration?

mrhonestlyinsane · January 16, 2016

Hey Guys,

A dealer ordered a 2016 Sierra Denali 1500 with my selected options. He just informed me that it is expected to arrive in the next few days. I don't have any deposit down yet. He also said that another customer wants to buy the truck (might just be a sales tactic,or might actually be true).

MSRP is $60,835 (including $1,195 destination fee).

Invoice is $56,554 (also including destination fee).

I really do want to buy this truck, but I need to get the best price possible.

All things considered, what price do you think I should offer?

Thanks much for any advice.

Ok I am lost here .

You can order a truck before agreeing on a price ?

Did you put a deposit on the truck?

I honestly believe that if its truly unique .Being you ordered it and it is a 2016 you don't have much negotiating room.

Whether or not the have another customer on it.

Personally I don't have that kinda cash to blow on a truck. I bought my truck at the end of the year in 2014 for 13,000 less than sticker . i also probably contacted 15 dealers in 4 different states about 4 of them were willling to wheel and deal 2 of them had the truck I wanted .( I actually wanted an ALL Terrain SLE. It was hard to find most are slt's loaded) .

when I was looking for mine saw plenty of denali's around 44 to 46k range all had the 6.2l

If you must have a truck now buy it .

If you can wait . Do so.

Other option is find a 2015 I bet there are more than you think out there.

mrhonestlyinsane · January 16, 2016

SandyNeck

I just noticed you were in central mass. I live in Western mass.

Not sure what dealer you are dealing with but Nobody out in central mass was willing to make a GREAT deal when I was looking . The all stuck to the rebates gm was giving them which at the time was 15%.

Try Brattleboro Automall in Vermont. I just about gave up .I drove out to central buick gmc and colonial out east because they had a few trucks I might be interested in . While I was out east I called Brattleboro. The truck the sold me was not even on the Black Friday list , but the internet sales manager told me they would beat any deal and they did. They did make me haggle(about and hour) but I kept the email I was sent where he said he would match a previous offer I had elsewhere or they would give me a $1000.00 . So they gave it to me for the exact amount and they beat the best financing that I had . My loan is 1.79 % I was offered 1.9 at the time by a local credit union.

SandyNeck · January 16, 2016

Ok I am lost here .

You can order a truck before agreeing on a price ?

Did you put a deposit on the truck?

I honestly believe that if its truly unique .Being you ordered it and it is a 2016 you don't have much negotiating room.

Whether or not the have another customer on it.

Personally I don't have that kinda cash to blow on a truck. I bought my truck at the end of the year in 2014 for 13,000 less than sticker . i also probably contacted 15 dealers in 4 different states about 4 of them were willling to wheel and deal 2 of them had the truck I wanted .( I actually wanted an ALL Terrain SLE. It was hard to find most are slt's loaded) .

when I was looking for mine saw plenty of denali's around 44 to 46k range all had the 6.2l

If you must have a truck now buy it .

If you can wait . Do so.

Other option is find a 2015 I bet there are more than you think out there.

Thanks again for the replies guys. To answer your questions:

Yes, you can order a truck without agreeing on a price. Some dealers figure that if you don't buy it when it arrives, they'll just sell it to someone else - unless it's something exotic. In my case, I consulted with a dealer and he asked me what options I wanted. He contacted me about a week later and said he needed to order some Denalis for stock, so he configured one with my options in case I wanted to buy it. Upside is that it's exactly what I want, but I'm not married to it (no deposit). Downside is that someone else could snag it and I'd have to place a new order and start all over again.

Unique configuration is a Crew Cab Standard Bed Denali with a 6.2L and the exact options and color that I want. No one around here stocks Crew Cab Standard Bed configurations on their lot - ya have to order them. It's not exotic, but it's not common either.

I especially appreciate responses with numbers and a formula justifying them so I can make that argument to the dealer. My research indicates that it costs around 1% of MSRP per month for the dealer to keep a vehicle on their lot. So that is motivation to move the truck, but I doubt he would take a $5K loss to avoid incurring a $600 expense.

In a previous conversation with the dealer, he quoted some prices on other vehicles which were roughly around invoice, so I think that's what he has in mind. I also qualify for Supplier pricing through work, but that's not a very good deal either ($200 over invoice). The Supplier Program transaction would also get the dealer the Supplier Incentive from GM. Between the SUPINC and the holdback, it would allow them around $3K profit. So that's my worst case option.

Lastly, I just got notified that the truck just arrived. It's not prepped yet, but this transaction is probably gonna go down in the next few days. He'll be motivated to sell it quickly, before the cost of keeping it starts eating into the holdback. It would be tremendously helpful to get into it around 20% off or better, as I'm seeing that some folks are doing, but I need a formula to get there.

Please keep the responses coming guys. I really do appreciate the advice. Thanks Again!

martha3065 · January 17, 2016

Thanks again for the replies guys. To answer your questions:

Yes, you can order a truck without agreeing on a price. Some dealers figure that if you don't buy it when it arrives, they'll just sell it to someone else - unless it's something exotic. In my case, I consulted with a dealer and he asked me what options I wanted. He contacted me about a week later and said he needed to order some Denalis for stock, so he configured one with my options in case I wanted to buy it. Upside is that it's exactly what I want, but I'm not married to it (no deposit). Downside is that someone else could snag it and I'd have to place a new order and start all over again.

Unique configuration is a Crew Cab Standard Bed Denali with a 6.2L and the exact options and color that I want. No one around here stocks Crew Cab Standard Bed configurations on their lot - ya have to order them. It's not exotic, but it's not common either.

I especially appreciate responses with numbers and a formula justifying them so I can make that argument to the dealer. My research indicates that it costs around 1% of MSRP per month for the dealer to keep a vehicle on their lot. So that is motivation to move the truck, but I doubt he would take a $5K loss to avoid incurring a $600 expense.

In a previous conversation with the dealer, he quoted some prices on other vehicles which were roughly around invoice, so I think that's what he has in mind. I also qualify for Supplier pricing through work, but that's not a very good deal either ($200 over invoice). The Supplier Program transaction would also get the dealer the Supplier Incentive from GM. Between the SUPINC and the holdback, it would allow them around $3K profit. So that's my worst case option.

Lastly, I just got notified that the truck just arrived. It's not prepped yet, but this transaction is probably gonna go down in the next few days. He'll be motivated to sell it quickly, before the cost of keeping it starts eating into the holdback. It would be tremendously helpful to get into it around 20% off or better, as I'm seeing that some folks are doing, but I need a formula to get there.

Please keep the responses coming guys. I really do appreciate the advice. Thanks Again!

Looks like there is a $1000 rebate on Sierra CC. Do you have any non GM vehicles? There is a GM Conquest program worth another $1000. Ask the dealer to bonus tag it. That's another $1000. But, this is only allowed twice a month and the next round is coming up this next week (tag Monday, applies to vehicle Tues) at least in my area. Try like hell to get a private offer popup in the next few days: another $1500, but cannot be combined with the Conquest Cash. If you can get all these, you should be able to get invoice less 3000-3500 pretty easily, and they have not dug into hold back yet. The $5K off invoice may not be as far off as you think.

SandyNeck · January 17, 2016

Looks like there is a $1000 rebate on Sierra CC. Do you have any non GM vehicles? There is a GM Conquest program worth another $1000. Ask the dealer to bonus tag it. That's another $1000. But, this is only allowed twice a month and the next round is coming up this next week (tag Monday, applies to vehicle Tues) at least in my area. Try like hell to get a private offer popup in the next few days: another $1500, but cannot be combined with the Conquest Cash. If you can get all these, you should be able to get invoice less 3000-3500 pretty easily, and they have not dug into hold back yet. The $5K off invoice may not be as far off as you think.

Thanks very much for this information Martha3065!

This is the type of data that I was hoping for. It allows a few specific avenues to approach the dealer with and try to get the price down. Someone posted a recent screenshot of the Private Offer they received on the "Private Offer Tips" thread here. I think it specifically referenced 2015 models, but I also thought I heard someone else mention that they used it on a 2016.

I'm going into battle very soon guys, so any further information would be very helpful and much appreciated! Please keep these responses coming. Thanks!

Chettmanley · January 19, 2016

I'm currently in the process of replacing my 2013 Sierra 1500 Denali with a 2016 model. My '13 is on an Ally lease which ends in May. I have made no headway in getting a reasonable deal. I tried going back to the dealer where I leased my '13 in October. On a '15 they were quoting me about $4k off MSRP. Which was about $1500 over invoice, factoring out incentives.

After that I got sidetracked until December. I went to one of the other two GMC dealers in my area. They were basically at invoice on a '16, plus incentives. However, they insist on marking up the interest (money factor) on the lease by a full 1%. Which was a deal breaker for me. And they have 'no haggle pricing'. So they wouldn't move on price. I refuse to deal with the only other GMC dealer in the area, as they are notorious weasels.

I'm now looking in western WA, and being quoted about $1k over invoice. What gives? I realize that with leasing, some of the incentives for a purchase go away. But invoice+ on a $60k pick up? If anyone has some useful advice, it would be greatly appreciated .

Chettmanley · January 19, 2016

I'm currently in the process of replacing my 2013 Sierra 1500 Denali with a 2016 model. My '13 is on an Ally lease which ends in May. I have made no headway in getting a reasonable deal. I tried going back to the dealer where I leased my '13 in October. On a '15 they were quoting me about $4k off MSRP. Which was about $1500 over invoice, factoring out incentives.

After that I got sidetracked until December. I went to one of the other two GMC dealers in my area. They were basically at invoice on a '16, plus incentives. However, they insist on marking up the interest (money factor) on the lease by a full 1%. Which was a deal breaker for me. And they have 'no haggle pricing'. So they wouldn't move on price. I refuse to deal with the only other GMC dealer in the area, as they are notorious weasels.

I'm now looking in western WA, and being quoted about $1k over invoice. What gives? I realize that with leasing, some of the incentives for a purchase go away. But invoice+ on a $60k pick up? If anyone has some useful advice, it would be greatly appreciated .

I'm currently in the process of replacing my 2013 Sierra 1500 Denali with a 2016 model. My '13 is on an Ally lease which ends in May. I have made no headway in getting a reasonable deal. I tried going back to the dealer where I leased my '13 in October. On a '15 they were quoting me about $4k off MSRP. Which was about $1500 over invoice, factoring out incentives.

After that I got sidetracked until December. I went to one of the other two GMC dealers in my area. They were basically at invoice on a '16, plus incentives. However, they insist on marking up the interest (money factor) on the lease by a full 1%. Which was a deal breaker for me. And they have 'no haggle pricing'. So they wouldn't move on price. I refuse to deal with the only other GMC dealer in the area, as they are notorious weasels.

I'm now looking in western WA, and being quoted about $1k over invoice. What gives? I realize that with leasing, some of the incentives for a purchase go away. But invoice+ on a $60k pick up? If anyone has some useful advice, it would be greatly appreciated .