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Discussion Starter #1
After discovering the website seedealercost.com, I'm really quite shocked at the amount of markup dealers have on new bikes. I mean nearly $4000 on a Road King?

Now in all fairness, I do not know the accuracy of this information on this site, but even if it's 50% accurate, $2000 markup on a Road King is considerably more than what I've been led to believe.

Does anyone have any knowledge of this, or anything to add? I just sold my SG, and knowing what I know now I'm gonna be shopping a whole lot harder for my next new one.
 

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Mississippi Cajun
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$4K doesn't sound like that much when you look at how much car dealers actually skin you for on a new car. That invoice price they show you ain't nearly it. And you have to factor in the rebates and such they get. Big scam. I suspect it is not much different on bikes.
 

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Wayward Son
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Two of the best kept secrets in the world. Actual production cost per car. Actual production cost per bike.
 

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Discussion Starter #4
My problem is they try to make you feel like a good deal by selling at MSRP. Not for me, not anymore.
 

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Mississippi Cajun
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I walked into a stealership down in the local area...one state over,,, and was greeted at the door by a salesjerk who stated "We are a MSRP dealer only." I walked out. Haven't been back to the place since. You can get a deal under MSRP at some places and not others...depends on the owner's philosophy.
 

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Wayward Son
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Think it was late 80`s\mid 90`s when things were booming for them. People were waiting in line and reserving bikes a year in advance. Dealers were getting full MSRP no questions asked. Some were gouging and still selling bikes.
Then the bottom fell out. No way would I pay MSRP now.
 

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I'm not posting this to defend HD or any of their stealerships, but so far I have never been in a crappy looking stealership. And all with good locations as well. In my mind when I start trying to figure what the land the dealership is on is worth, then add in what that building cost to build, then add the lifts, bays, computers and other equipment in the service department, add in the value (at their cost) of all the parts in stock and don't forget their in house clothing and boot boutique, and of course the administration offices/cubicles need to be equipped, and the value (their cost) of all the bikes they have both new and used, well, I start running out of zeros trying to figure what all of that cost. Then, you need to hire people and pay them whether you sell any bikes or not. And I bet my life savings wouldn't pay their dang utility bills for more than a month or two. Yes, they take in a lot of money every day--bike sales, services, clothing, etc. But.... If I had or could borrow enough to get a dealership started, and if that's what I wanted to do (which it ain't!) I would be a nervous f***ing wreck every morning when I was unlocking the front door and realizing what it was going to cost me to operate the place that day.

I don't begrudge any business trying to make money. That's why they went into business. But when you realize just how damn high their overhead is you know, even at full MSRP, they ain't gettin rich. Personally, I could be quite happy doing my HD business with a good outfit that treated me fair and wasn't out to screw me out of every dime they could because they didn't have to cause they didn't have all the frills such a nice & expensive place may have. maintain.
 

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Wayward Son
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@ Louisville Joe
HD forced the Dealerships into the new floor layouts\boutique design of the shops.
That is when and why a lot of smaller shops went out of business.
 

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@ Louisville Joe
HD forced the Dealerships into the new floor layouts\boutique design of the shops.
That is when and why a lot of smaller shops went out of business.
Yeah, the old "image" thing. If I had the finances and the desire to get into motorcycle sales it would be a nice, but not luxurious, place dealing in used bikes. And if forty would join in we could have a BBQ chicken and omelette eatery on the premises. :)
 

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Think it was late 80`s\mid 90`s when things were booming for them. People were waiting in line and reserving bikes a year in advance. Dealers were getting full MSRP no questions asked. Some were gouging and still selling bikes.
Then the bottom fell out. No way would I pay MSRP now.
Those were the days when used bikes costs more than new bikes because you didn't have to wait a year or more for the bike. There were some dealers charging just to get your name on the list for a bike (certain models). Then Harley increased production and the wait was over. A lot of dealerships have been bought by groups of investors and those dealers are out for pure profit. They are not out to build long client relationships. They know people will pay for these bike and service.
 

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The Fighting Chicken
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Yeah, the old "image" thing. If I had the finances and the desire to get into motorcycle sales it would be a nice, but not luxurious, place dealing in used bikes. And if forty would join in we could have a BBQ chicken and omelette eatery on the premises. :)

Deal, I get 50% of profits for supplying eggs and BBQ chicken. All you gotta do is supply the rest.....
 

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ZVO
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I have seen the wholesale price dealers buy bikes for.

Its 50 % of the bike cost

A 24k msrp bike will be sold to a dealer for 12K

It cost Harley 6k to make it.

Harley doubles the price then the dealer doubles the price.
 

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Official Forum [email protected]
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In my opinion and with the experiences I've had locally , I find the attitude in the dealership to be the deciding factor in whether to deal with them or not . If I get the hint of a chip on their shoulder , I'm gone . Their profit margin is their problem , not mine .
 

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In my opinion and with the experiences I've had locally , I find the attitude in the dealership to be the deciding factor in whether to deal with them or not . If I get the hint of a chip on their shoulder , I'm gone . Their profit margin is their problem , not mine .
DING! We have a winner. And one of our two HD dealerships here in Louisville changed hands earlier this year and I believe the primary reason was exactly that--their attitude.
 

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I was once told by a very smart business man (my dad) it's not a good deal unless it's a good deal for both parties involved. I said what? He said think about it. If it's a good deal for the business and not the customer, the customer will eventually figure it out and won't be back, then the business is out of business. If it's a good deal for the customer and not the business, the business won't be able to pay overhead and then he is out of business. Hence it has to be a good deal for both parties.


Sent from Motorcycle.com App
 

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Discussion Starter #16
In my opinion and with the experiences I've had locally , I find the attitude in the dealership to be the deciding factor in whether to deal with them or not . If I get the hint of a chip on their shoulder , I'm gone . Their profit margin is their problem , not mine .
Bam! You hit the nail on the head!
 

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Keep on Ridin’
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The true value of any thing is what some person is willing to pay for it on an open market. A luxury motorcycle is a "want", not a need. It's candy, not bread. If they are not willing to sell it to you for what you want to pay for it, it's up to you to decide whether to buy it at their price, try to find it elsewhere, or do without it. Nobody is forcing you to buy it. It's called Free Enterprise and that's part of what built this country's economy. Some call it greed, some call it motivation. Competition supplies the checks and balances. I have no sympathy for someone who uses his family's bread money to buy a motorcycle.

Not a rant, just perspective.

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The true value of any thing is what some person is willing to pay for it on an open market. A luxury motorcycle is a "want", not a need. It's candy, not bread. If they are not willing to sell it to you for what you want to pay for it, it's up to you to decide whether to buy it at their price, try to find it elsewhere, or do without it. Nobody is forcing you to buy it. It's called Free Enterprise and that's part of what built this country's economy. Some call it greed, some call it motivation. Competition supplies the checks and balances. I have no sympathy for someone who uses his family's bread money to buy a motorcycle.

Not a rant, just perspective.

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Dave, you got it right and summed it up quite well. And since a nice Harley is, indeed, a luxury item and not a staple of life, part of the process is doing your homework and comparative shopping. To sell me a bike you have to work at it, be flexible, don't BS me, and be honest. Besides all that you also have to have the best, for my needs, combination of prices for add ons, services, etc.
 

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I'd love to have the money (to throw away) and go in and buy a bike out of a showroom but, I'll never own a new out of a showroom car or bike again. I want to thank you guys who do. Especially when you keep the miles down, out of the weather, operate it well, pay the interest and bolt on some cockamamie bling. I love buying your bike as is, for less then you paid for all that. He, he.
 

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Face it, MSRP is about what you are going to have to pay for a new bike. especially if it is a new model early in that model year. you may get a deal on a bike that they have had for months and it hasn't moved. they are looking to cut their losses on it. But the ones that really get me is the ones that mark them above msrp. I was at the Hot Springs Rally this weekend and Lander's HD had some bikes there. They had one of the new 2015 CVO StreetGlides. It was marked $39,6??. The HD website shows the msrp at $36,???.
 
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