Nissan 370Z Forum - View Single Post - How much Nissan dealers are Paying for their 370Z

Ambidxtrous · 04-11-2011, 07:31 PM

Percentage Margins are very helpful in determining how much a dealer purchases a car for their inventory. Though never accurate, these are mere estimates.

Dealership Estimated Margin of Profit

Large Mark up percentages on initial purchase price

3-4% profit from Financing (example: They make $900-$1200 in $30,000 that is Financed.

2-3% Manufacture floor or hardback incentives from MSRP (around $720)

3% Profit margin for Dealer Fees (For 370z $1000 profit is not uncommon)

Brand name. 370z have a strong brand name. Dealers keep these cars overpriced and sometimes order a fewer amount to control and tighten their inventory costs. Making these cars more overvalued

NOTE: No dealer will not sell at their true cost or near it. It is counterproductive on their sales philosophy and or goals. It is not something you should aim to do as well. The costs of running a dealership are significant. So it's important for them to maintain healthy sales margins.

04-11-2011, 07:31 PM	#5 (permalink)
Ambidxtrous Base Member Join Date: Apr 2011 Location: Los Angeles Posts: 7 Drives: 370z Rep Power: 14	Percentage Margins are very helpful in determining how much a dealer purchases a car for their inventory. Though never accurate, these are mere estimates. Dealership Estimated Margin of Profit Large Mark up percentages on initial purchase price 3-4% profit from Financing (example: They make $900-$1200 in $30,000 that is Financed. 2-3% Manufacture floor or hardback incentives from MSRP (around $720) 3% Profit margin for Dealer Fees (For 370z $1000 profit is not uncommon) Brand name. 370z have a strong brand name. Dealers keep these cars overpriced and sometimes order a fewer amount to control and tighten their inventory costs. Making these cars more overvalued NOTE: No dealer will not sell at their true cost or near it. It is counterproductive on their sales philosophy and or goals. It is not something you should aim to do as well. The costs of running a dealership are significant. So it's important for them to maintain healthy sales margins. Last edited by Ambidxtrous; 04-11-2011 at 07:36 PM.