Where do customer incentives come from?

NinjaBum

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Do they come from the dealer taking a hit or is that incentive cash directly from Ford to oil the gears to help move cars?
 

manolith

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Dealers won't loose money. They might not make much or anything with some cars but they don't have to pay to sell them.
 

NinjaBum

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So them acting like they are losing cash for going 3k under invoice after 4500 incetive cash and 500 trade value is BS?
 

manolith

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So them acting like they are losing cash for going 3k under invoice after 4500 incetive cash and 500 trade value is BS?

No is not really bs. They are taking a loss if they sell it to you for 4500 under sticker because they could sell it to someone else for sticker or over sticker. But they are not taking money out of their pockets to put it on your car so if that's what they are trying to tell you then yes its bs.
 

wikdlx

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wrong, dealers do lose money on cars, not many, but it happens. It all depends on the car and how long its been on the lot. Trust me, we get some odd builds in (color, combination etc) that just arent big sellers.
Crazy enough, specialty vehicles can hurt you
 

2001GTTT

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wrong, dealers do lose money on cars, not many, but it happens. It all depends on the car and how long its been on the lot. Trust me, we get some odd builds in (color, combination etc) that just arent big sellers.
Crazy enough, specialty vehicles can hurt you

exactly. And incentives can come from either the manufacturer or the dealer. Things like rebates, thats all manufacturer, and most of the time the special APR is from them as well. Every once in awhile we will "buy down" the rate as a dealer to make it more appealing to a customer.
 

NinjaBum

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My thing is this.
Their USAA pricing dealer certificate on a $35, 795.00 Premium 2014 GT including 2500 incentive and no trade says $31293.00 (4102.00 off including 2500 incentives)

They won't go lower than 30, 000 this 2013 premium that stickers for 35,500, which because it's a 2013 it gets $4500 incentives. 200 less msrp and 2000 EXTRA Ford incentives, shouldn't it be around 29, 000?

That's before even factoring in the trade value as well.
They are trying to convince me 30k plus TTL including 4500 incentives and at least 500 in trade is a good deal.
I know this car has been sitting there for a year too.
 

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