toyota dealers think their cars are made of gold

[JTK]

Originally Posted by wag123
Originally Posted by JTK
Originally Posted by eljefino

One toyota dealer played the game and gave me actual numbers, and they were lower than I thought I could get otherwise. Oddly, the distributor is threatening to yank their affiliation, so maybe they're "too good"?

I hadn't thought of the whole Toyota distribution network thing effecting what people pay for their Toyota products and how big of a 'deal' you can get.
I don't think that this is legal. It would be price fixing. The manufacturer or distributor can't tell dealers what price they charge customers for their vehicles. The only way they can do this is if the dealer is favoring one racial/ethnic/religious group over another, but this sort of thing would be very hard to prove.


That wasn't what I was getting at.

I was wondering if all Toyota dealerships. coast to coast are forced to source their inventory through the Toyota distribution network, or can some areas go straight through Toyota.

I would imagine those have to use distribution, have to charge more to recoup the 'middle man' costs.

 

[wag123]

Originally Posted by JTK
Originally Posted by wag123
Originally Posted by JTK
Originally Posted by eljefino

One toyota dealer played the game and gave me actual numbers, and they were lower than I thought I could get otherwise. Oddly, the distributor is threatening to yank their affiliation, so maybe they're "too good"?

I hadn't thought of the whole Toyota distribution network thing effecting what people pay for their Toyota products and how big of a 'deal' you can get.
I don't think that this is legal. It would be price fixing. The manufacturer or distributor can't tell dealers what price they charge customers for their vehicles. The only way they can do this is if the dealer is favoring one racial/ethnic/religious group over another, but this sort of thing would be very hard to prove.


That wasn't what I was getting at.

I was wondering if all Toyota dealerships. coast to coast are forced to source their inventory through the Toyota distribution network, or can some areas go straight through Toyota.

I would imagine those have to use distribution, have to charge more to recoup the 'middle man' costs.
It depends on where you live. In most states the the vehicles come from Toyota Motor Sales, U.S.A. (owned by Toyota), which is where the Toyotas come from in your area, but in 10 states the vehicles come from independent distributors, Gulf States Toyota and Southeast Toyota. This is a throwback to when Toyota first came to the U.S. to sell their vehicles in the 1960's and they assigned independent distributors to sell them. In the 1970's Toyota started buying back the distributors, but there were two holdouts who would not sell-out at any price and remain to this day. In the states where there are those independent distributors, the difference between the MSRP (which is set by Toyota) and dealer cost is much narrower, which means that there is less discount available to buyers. Additionally, these distributors often add dubious high profit items to many of their vehicles before they ship them to their dealers.

 

[earthbound]

Originally Posted by PWMDMD
Some dealerships are good and some are bad. My last purchase was a 2020 Tundra - I walked into the first dealership and walked out about 10 mins later - the usual pressure tactics and their price was refreakingdiculous. Drove 20 mins and that dealership had the truck I wanted and gave me the deal I wanted the way I wanted it. These differences between dealerships start at the top and are a function of the overall culture. Why anyone deals with the losers is beyond me but I can tell you both dealerships sell a buttload of cars/trucks regardless of their very different atmospheres.


and bingo this is exactly what I experienced, and on Friday of last week the dealership who treated me like a human being won. I know I received a fair deal, and know they did as well....smooth seamless transaction in and out...

 

[earthbound]

Originally Posted by littlehulkster
Originally Posted by earthbound
so I've been looking around for another cuv, and one of them I'm cross shopping is the rav4 hybrid. just to see where the #'s are at I asked to give me a firm price on the trd in and vehicle on the lot. their offer....500.00 off msrp, and a few thousand less for my trade then other(non Toyota) dealers. Toyota is offering 0/60 financing on these, and 1.9/60 for the regular rav's. I know Toyota would only do this for reasons that would only benefit Toyota corp. the so called "Toyota tax" is real, and the dealers think their you no what doesn't stink. I'm just baffled that they think a pot of gold is in each one of their vehicles...


They're doing it because they can do it. If they're selling cars at their current price, why would they sell them for less? You only give discounts if the sales are slow. Given as the new Rav4 is setting sales records for Toyota, you probably won't be able to find one at a discount.

and yet their offering zero percent financing so somethings a muck. I know they have gas tank issues maybe that's feeding the fire...

 

[PimTac]

With all brands there are good and bad dealerships and good and bad sales personnel. Sometimes they are mixed together. You can get a great sales person at a dealership with bad reviews.

I've done the same thing. Went to a Toyota dealer near me 25 years ago looking at the Tacoma. They wouldn't budge. Drove 20 miles and got a great deal.

The best part is when the first dealer calls back in a week and asks if I am still interested.

 

[jeepman3071]

Originally Posted by PimTac
With all brands there are good and bad dealerships and good and bad sales personnel. Sometimes they are mixed together. You can get a great sales person at a dealership with bad reviews.

I've done the same thing. Went to a Toyota dealer near me 25 years ago looking at the Tacoma. They wouldn't budge. Drove 20 miles and got a great deal.

The best part is when the first dealer calls back in a week and asks if I am still interested.


Exactly.

There are good and bad dealerships from all brands. My family has two opposite experiences with both Honda and Jeep. One Honda dealer is a total nightmare, service staff are awful, sales is a joke, and another dealer is much better to deal with. Same with the Jeep dealers. One that is close to me I wouldn't buy a pencil from, and another that is further away is family owned with an honest service dept. I'll drive to the one further away every time, because I know whatever I need won't turn into a fiasco.

 

[supton]

Originally Posted by earthbound

and yet their offering zero percent financing so somethings a muck. I know they have gas tank issues maybe that's feeding the fire...

I think everyone is hurting right now. Although just what is going on is pretty murky and uncharted territory. Sales dried up, but factories went idle at the same time, so... will sales come roaring back? Or should OEM's toss a bunch of incentives to make sure? Seems safer to toss some blood into the water--no one is going to have a good year this year.

 

[jeepman3071]

Originally Posted by supton
Originally Posted by earthbound

and yet their offering zero percent financing so somethings a muck. I know they have gas tank issues maybe that's feeding the fire...

I think everyone is hurting right now. Although just what is going on is pretty murky and uncharted territory. Sales dried up, but factories went idle at the same time, so... will sales come roaring back? Or should OEM's toss a bunch of incentives to make sure? Seems safer to toss some blood into the water--no one is going to have a good year this year.



Yeah I doubt anyone will be doing well sales-wise for cars. There are still a ton of people with no jobs. One of my friends lives at home, and he is paying his parents' mortgage right now because both of them were laid off.

 

[BMWTurboDzl]

Originally Posted by wag123


I would imagine those have to use distribution, have to charge more to recoup the 'middle man' costs.
It depends on where you live. In most states the the vehicles come from Toyota Motor Sales, U.S.A. (owned by Toyota), which is where the Toyotas come from in your area, but in 10 states the vehicles come from independent distributors, Gulf States Toyota and Southeast Toyota. This is a throwback to when Toyota first came to the U.S. to sell their vehicles in the 1960's and they assigned independent distributors to sell them. In the 1970's Toyota started buying back the distributors, but there were two holdouts who would not sell-out at any price and remain to this day. In the states where there are those independent distributors, the difference between the MSRP (which is set by Toyota) and dealer cost is much narrower, which means that there is less discount available to buyers. Additionally, these distributors often add dubious high profit items to many of their vehicles before they ship them to their dealers.
[/quote]

+1,000 Very few people are aware of this arrangement with the ball-n-chain organizations of Gulf States Toyota and Southeast Toyota and how it impacts their ability to negotiate for a new car.