what does the dealer pay off msrp , how does the salesperson get paid?

Question

if the msrp is 30,000.00 , dealers cost is ? , where is the commission for the salesperson

Answer 1

MSRP is the manufacturer's suggested retail price. Dealers' costs are invoice prices or below invoices (if volume is sufficient enough). You can go to www.edmunds.com to find out a specific car's invoice cost. In addition, there're also manufacture to dealer incentives which will keep dealers initial costs even lower after the car's sold. Holdbacks is one of them. Holdbacks is a small percentage (2-3%) incentive the manufacturer pays the dealer after the car is sold.



Each dealer has different sales commission plans for their salespeople. In most cases, it's a percentage of a profit on the car after the deducting all the dealer costs.

Answer 2

MSRP is basically whatever the manufacturer wants it to be. It isn't all the same payout in marginal dollars and it depends on how the manufacturer wants the market to react to it. If it is in high demand, they might make it higher, if it's in low demand, they might make the MSRP lower. And not all salespersons get commission. Maybe the sales reps for the manufacturer/distributer... but I don't know about those jobs.

Answer 3

Don't listen to people who can't spell. Dealer cost is different on every car. Take a little off MSRP and you should be fine. Sales people get paid off of commision and most of the time it isn't much. Thay have families to support, too, so be nice to them.

Answer 4

bill is what the broking initially pays for the motor vehicle. even however, is it deceptive. The broking additionally gets different monies that added decrease fee the automobile together with: a million-2% holdback (given to the broking that sells the motor vehicle), oftentimes an advert allowance of a few million% (relies upon on the producer), customer rebates if accessible, interior of reach broking rebate if accessible and nationwide broking rebate if accessible. additionally, they might get a lump sum fee for advertising a pre-desperate volume. Seldom are each and all the reductions accessible at as quickly as. subsequently, you incredibly do no longer understand what the broking pays. you may constantly ask what rebates are accessible and then subtract this from bill for an preliminary determine to pass after. stable success!!!

Answer 5

thats not dealer cost thats what they recomend the dealers to sell it at, also they tack on delivery tax tags and they some times adda cupple points to the apr ont he loan my brother was a car sales man they also work off comiion

Answer 6

websites like nada.com and kbb.com will tell you dealers cost compared to MSRP. They will also explain dealer buyback, and how much that is.