Test drove the Ioniq 5..

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Stevewallace said:
If you had followed Scotty the mechanic on YouTube, you would know about markup. Because of the supposed chip shortage and inflation, there is not one car in North America that does not have a sharp markup. It is also why used car prices are 47% higher than last year, followed closely by new car prices. You won't purchase a vehicle over markup above MRSP? Then expect not to purchase a vehicle, because it is happening all over...
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Except Tesla’s.
 
Stevewallace said:
You won't purchase a vehicle over markup above MRSP? Then expect not to purchase a vehicle...
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That's precisely the idea. Publicize the issue, get media attention and apply pressure to the manufacturers. I anticipate DOJ and States Attorneys General initiating antitrust prosecutions.

Anyone that buys a new car under these circumstances encourages even worse abuse of a rigged market.

https://www.corvetteblogger.com/202...ns-dealers-against-market-adjustments-on-z06/
 
Domenick said:
A friend's dad -- InsideEVs Podcast regular, Kyle -- just went through a similar ordeal. Was assured there was no markup, so drove 3 hours to try out a rear-drive version and then was a told, by a different dealership employee, it was thousands above MSRP.
He was unhappy and made a video telling the story which got a lot of views. The dealer got back in touch and offered him the original deal, but he turned them down on principle. But then, besides harassing calls, messages, the dealer got a death threat so they removed the video from YouTube.
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Unfortunate about his dad's experience and eventual need to protect the dealer I agree with @Jim Matthews we could think of better alternatives. Similar stories on other brand forums bottom line there are many deep pockets out there willing to shell out anything to allow them to jump on the first edition wagon. I don't mind waiting out to let range and quality results speak for itself, if not may look closer to e-tron, Ocean, or BZ4X options.
 
Stevewallace said:
If you had followed Scotty the mechanic on YouTube, you would know about markup. Because of the supposed chip shortage and inflation, there is not one car in North America that does not have a sharp markup. It is also why used car prices are 47% higher than last year, followed closely by new car prices. You won't purchase a vehicle over markup above MRSP? Then expect not to purchase a vehicle, because it is happening all over...
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It is true that it isn't easy to find vehicles at MSRP right now, but I've seen lots of reports of dealers not tacking on market adjustments. Even in this very thread.
NRH said:
Fwiw, our dealership in Bangor Maine called me about the Ioniq5, and said they are not pricing anything over msrp.
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Domenick said:
A friend's dad -- InsideEVs Podcast regular, Kyle -- just went through a similar ordeal. Was assured there was no markup, so drove 3 hours to try out a rear-drive version and then was a told, by a different dealership employee, it was thousands above MSRP.
He was unhappy and made a video telling the story which got a lot of views. The dealer got back in touch and offered him the original deal, but he turned them down on principle. But then, besides harassing calls, messages, the dealer got a death threat so they removed the video from YouTube.

Anyway, maybe we should make a new thread listing dealers selling at or below MSRP.

Wish I could add my local dealer, but they have a $5,600 upcharge they call "Werner Care," instead of the more blatant "market adjustment." They include a number of extras you probably don't need/want worth, they say, $8,000 to make it at least seem like you're getting something for the extra money.

I plan to go over and take a test drive and see if you can buy without the "Werner Care" package, but I strongly suspect not. It's added to every model on their site.
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Funny enough the dealer that I bought our Kona from was similarly pedaling a "mandatory non negotiable" dealer package of tire insurance, theft assistance, VIN etching and other non desired nonsense. Anyway the package was completely negotiable. Interestingly speaking of dealer death threats I noticed the finance office window had bullet hole in it(wasn't me, lol).
 
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Jim Matthews said:
There's an open line of inquiry as to why the protected dealership model persists in the US, particularly when it's directly contradicting the manufacturer represented.

https://www.theatlantic.com/technol...ership-power/621330/?utm_source=pocket_mylist
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What's the current bet then since some of the laws have been in place for 60+ years. With current congressional inaction/inactivity, is an optimistic outlook for significant adjustments before another 3, 5, or 10 years as the billionaires continue to rake it all in.
 
Wildeyed said:
Tesla has continually raised prices over the last year. It might not be "mark-up" but it amounts to the same thing.
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All the car makers have been raising prices. Tesla sets a price and honors their purchase agreements at the time of delivery.

It's remarkably transparent, in notable contrast to the well documented, expensive gatekeeping roiling the new car market.
 
SkyShotEV said:
What's the current bet then since some of the laws have been in place for 60+ years. With current congressional inaction/inactivity, is an optimistic outlook for significant adjustments before another 3, 5, or 10 years as the billionaires continue to rake it all in.
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Federal law does not set auto franchise rules. In a State like Washington, funding of campaigns is a matter of public record.
https://www.pdc.wa.gov/

Name and shame - publish the facts. Your representative should represent *your* interest, don't you think?



https://www.mercatus.org/publications/regulation/state-franchise-law-carjacks-auto-buyers
 
NRH said:
Fwiw, our dealership in Bangor Maine called me about the Ioniq5, and said they are not pricing anything over msrp.
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I have a local dealer that isn’t marking their i5s up either, but they are adding $5k of paint protection etc, non-negotiable in this Covid car market with a high-demand vehicle.

So be careful all - don’t make a long drive to a dealership based purely on a ‘No markup’ promise !


Sent from my iPhone using Inside EVs
 
Domenick said:
Hey, @NRH, if you can tell me the name of the dealer, I'll it it to kick off a new thread of dealerships not charging above MSRP. That could be helpful to new buyers.
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I was hunting a Hyunda PHEV end of last year being boxed out of Hyundai IONIQ 5 in NC. The dealers carrying PHEV's will most likely carry the IONIQ 5. Before driving 8 hours I was getting confirmations about what their dealer adjustments were.

I found two that were at MSRP over the phone and sounded like it was on principle. They are Balise Hyundai Of Fairfield 338 Commerce Drive Fairfield, CT 06824 at (203) 418-4445 and Hyundai 112 2114 Route 112 Medford, NY 11763 at (631) 758-2200.

Dealers have to prepare for PHEV's and BEV's even if they've sold HEV's before so my guess is those two will have BEV stock coming. It's best to leave a deposit so you're the first they will call. Use the Hyundai web page to look for local (Florida) inventory of those PHEV's and change the zip code to an area you don't mind traveling to; to widen your search. If they carry the SantaFe PHEV then call and ask if they carry the IONIQ 5. If yes; don't beat around the bush! Just ask if they have a Dealer Adjustment. Any answer other than NO means they do and politely hand up.

I called over 50 dealers to come up with those two. Yes I tried to leave that information for Kyle and his dad. If you want my NE spreadsheet of dealers that were over MSRP, DM me.

Great idea!
 
Wildeyed said:
Tesla has continually raised prices over the last year. It might not be "mark-up" but it amounts to the same thing.
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I disagree.

Anyone ordering a Tesla from any location in Canada (or pick your country) six months ago, or six days ago, or six years from now, will have the same price as anyone else ordering their new car at the same time, via the online ordering system, regardless if they order from Vancouver or St. Johns.
 
I generally have ownership of two vehicles. The newest one is kept in the business for four years so I can take that hefty new vehicle depreciation as a business expense. After that period I would "sell it to myself" paying the sales tax on the residual value and get another new one. Not this year for two reasons: (1) Is that the vehicle shortage means paying a higher price than otherwise might be the case. (2) The Osborne effect.

(2) EVs right now are like the early days of personal computers. Next years model would cost less and do more. The lesson I take from the current situation is that if you don't HAVE to buy a new vehicle right now just DON'T. Your patience will be rewarded next year.
 
Paul LVEVA said:
Also, check with the Florida attorney general. This may qualify for a lawsuit.
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There are laws against price gouging for gasoline during hurricanes but I don't think that there are laws covering market price adjustments..
Anyways, I did find a dealer that will sell the IONIQ 5's at MSRP and it's only 35 miles from my home.. but my wife has been turned off based on the experience we had. I'm pretty sure that they marked up the price even higher than their normal mark up because I pulled in in a new Tesla and they probably thought that money is not an issue for someone who can afford such car.. I'd bet if I pull in in a 1990's Chevy Cavalier with rust all over it, they would not gouge the price as much.
 
Zoe N said:
Notwithstanding the fact that 61k is a lot/too much, it’s quite possible that was msrp for that particular vehicle, which was likely fully loaded with all the extras. It was matte grey, for starters, which on its on is a 1k markup (msrp markup not dealer markup), and matte grey is only available on the high end models with all the bells and whistles, not available on base model. I had priced out that loaded model myself online a few weeks ago and came to 61k. So I don’t think it was the dealers markups, but they should have informed you it was the fully loaded model they had in stock anyway since the price difference is quite a lot.
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The particular model was not "loaded". It had an MSRP of $47920 with the options installed and they wanted over $61k for it.
 
I don't understand why people pay these markups... If people just refused to buy them, they'd have to charge MSRP. I wanted a Niro EV when they came out but the dealers were marking up $3000. I refused and bought one for $2000 off MSRP 3-4 months later!

I'd love to have an Ioniq 5 but will wait a while until inventories increase if I want to buy. I'm very happy with my 2019 Niro Premium EV. Wondering if the Ioniq 5 is a bit too big for me. But I like the look of the Ioniq 5 much more than the Kia EV6 and would like the extra range for sure.
 
FloridaSun said:
There are laws against price gouging for gasoline during hurricanes but I don't think that there are laws covering market price adjustments..
Anyways, I did find a dealer that will sell the IONIQ 5's at MSRP and it's only 35 miles from my home.. but my wife has been turned off based on the experience we had. I'm pretty sure that they marked up the price even higher than their normal mark up because I pulled in in a new Tesla and they probably thought that money is not an issue for someone who can afford such car.. I'd bet if I pull in in a 1990's Chevy Cavalier with rust all over it, they would not gouge the price as much.
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Retailers can charge whatever they want for a product. They can sell a $999 iPhone for $1399 if they want. Strange thing about car dealers is that discrimination is tolerated. How would we feel if they sold the iPhone for $999 to better informed buyers and for $1399 to others.
Rivian and Tesla are building better brands by avoiding all the Dealerships and games they play. I hope we'll have more car manufacturers like them.
 
Christian Reading said:
Retailers can charge whatever they want for a product. They can sell a $999 iPhone for $1399 if they want.
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The problem is structural barriers *preventing* competition are in place. With the iPhone example, there are multiple resellers.

With cars, Americans are forced into the dealerships, by law.
 
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