jjbodean

no, they are not correct. actual margin is closer to 12%

exBMWowner

I show a dealer invoice on the LS460L of $61,770 and a list price of $71,000. So $61,770/$71,000 would be a 13% margin. However, the $86K car I mentioned has all of the options in it, and the option prices have a greater margin than the base price of the car, which is bumping up the overall margin closer to 15%. If there are specific numbers in Edmunds that are wrong, it would be helpful to know which ones are wrong. However, my experience in the past with Edmunds is that they are quite accurate. If they are not, I would like to see some specifics on exactly which numbers are off.

exBMWowner

I looked at the invoice numbers at kbb.com and they are exactly the same as Edmunds. The margin on the Executive seating package is 20%. On the ML audio system it is 25%. Therefore you can see how the overall margin on the car can creep up to the 18% range if you load it up with options.

Here are the numbers:

LP Executive Class Seating Package info $12,675 $10,140
TP Touring Package info $2,985 $2,388
PS Lexus Pre-Collision System & Dynamic Radar Cruise Control info $2,850 $2,280
LL Luxury Package info $2,780 $2,224
MH Mark Levinson/DVD Changer w/Hard Disk Drive Music Storage System info $2,530 $1,898
AS Air Suspension w/VGRS info $2,120 $1,696
LR Rear Seat Upgrade Package info $1,625 $1,300
MZ Lexus Link info $900 $760
PI Advanced Parking Guidance System info $700 $560
PA Intuitive Park Assist info $500 $400
-- All-Weather Floor Mats info $99 N/A
-- Trunk Mat info $89 N/A
-- Wheel Locks info $79 N/A
-- Cargo Net info $59 N/A

brt3

I used to sell BMWs; the margin on the Seven series was phenomenal at that time (early '80s). Bigger the MSRP, bigger the margin. Using our Phaeton as an example, we got $22k off of MSRP on a $72K MSRP. $11,000 in factory incentives from VW, and $11,000 from the dealer. That should tell you just about how much both the dealer and manufacturer make on a luxo-sedan...

jjbodean

msrp on an ls460 with the np, cp, mz, pa, pp, and z1 accessories is $71372, invoice is $62253 giving you a 12.78% margin

donaldm823

only MSRP sticker here in PA, but one dealer was willing to deal on the trade-in if I took the LS 460 SWB without ML audio since none of his pre-orderes matched the options on one of his first shipments.

Met my minimum requirments of Nav plus my first choice of colors-so it worked for me. I figured I got an extra $2000 on my trade (2006 GS430) above the KBB price-still less than I wanted since it was a 2006, but still happy!

rominl

iTrader: (4)

liz, you are supposed to give me hope!!!

luxury1

Yep, I remember when they were phasing out the Phaeton and had one marked for fifty something at Sams club which was almost $20,000 off of the sticker.

AsianGirl007

iTrader: (1)

Whatever gave you that idea?

haha j/k
Seriously Henry, how many cars have you bought from me over the years? I've shown you so many invoices and made sure I took care of you on pricing every time. You should have the pricing pattern down by now! lol

rominl

iTrader: (4)

sshhhh..... that's supposed to be secret!!!!

honestly, i have to say. i wsa pretty saddened that liz is not in sales anymore, it took a lot of incentive away from me on buying cars. she brought me so many great deals and awesome customer care that i'd never get elsewhere.

at least she brought on several lexus dealerships as sponsors here, otherwise, i would hate her to death

AsianGirl007

iTrader: (1)

**blushing**

Aw shucks.

massshelti

99.9% of cars don't hold their value. They're NOT investments - they're expenses. Even the vaunted Lexus marque. The only difference being is how quickly the dollar bills get shredded.

Unless you're dying for a car, I'd wait a year or even two for the new model demand to slacken. Why hand a dealer $8000 of your hard earned money just for taking an order?

jjbodean

cause we're the ones with the cars?

exBMWowner

I received a call from a dealer today indicating that he had an LS460L fully loaded that was allocated to another buyer who backed out, and he wanted to know if I wanted it. He suggested that the dealer was "motivated" to sell it and they could offer me a discount.

Unfortunately, it was not a black exterior, and I don't want to settle for any other colors, so I don't know how much he would have discounted it, but it's good to know that things are starting to return to "normal" in the Lexus marketplace. I knew things would be loosening up soon. Hopefully it will continue and some black ones will show up!

Rocman

What color Ext / Int?