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Fleet bonus

tgon
tgon Posts: 710 Forumite
Part of the Furniture 500 Posts Combo Breaker Mortgage-free Glee!
How much does a car dealer get in fleet bonus sales compared to private sales? Is there a big gap?

Comments

  • Babbawah
    Babbawah Posts: 685 Forumite
    I was once told by a respected source that the average dealer margin is 12% on a new car sale.

    Dealers make money on finance, extended warranties, out of warranty servicing / repairs, and occasionally by fleecing private buyers !

    BIG fleets usually go direct to the manufacturer but the dealer may be involved as part of the supply chain, what they earn for this who knows?

    If the 12% figure is still current then I reckon very little could be shaved off to keep a small, regular fleet buyer happy. I reckon the dealer will look at, and price the whole package accordingly.

    What do they make off Mr. Joe Public? Depends on how good a buyer Joe is, the clueless and witless are manna to car sales monkeys.
  • tgon
    tgon Posts: 710 Forumite
    Part of the Furniture 500 Posts Combo Breaker Mortgage-free Glee!
    Thanks. I was looking at http://www.drivethedeal.com and wondered if car brokers were a good idea for Mr. Joe Public. Then it occured to me that certain car makes and models were more fleet orientated and might get better deals (and services).
  • bigjl
    bigjl Posts: 6,457 Forumite
    All DrivetheDeal does is get you fleet discounts.

    Though BMW dealers have apparently been trying to get out of offering discounts.

    Anything new to market gets little discount the C4 Cactus being an example of that.

    And yes i said it i have looked seriously at the Cactus as a replacement for the wifes Clio.
  • 12% no where near that high, more like 3 -6%, back end bonus from manufaturer is where they make there money.
  • Babbawah
    Babbawah Posts: 685 Forumite
    12% no where near that high, more like 3 -6%, back end bonus from manufaturer is where they make there money.

    My source is much respected but it was a few years ago. A franchised main dealer is aiming for a 12% margin.

    He also told me what margin the manufacturer is aiming for, do you know what that figure is? Please bear in mind that the manu's margin has to cover those bonus's.
  • Babbawah
    Babbawah Posts: 685 Forumite
    tgon wrote: »
    Thanks. I was looking at http://www.drivethedeal.com and wondered if car brokers were a good idea for Mr. Joe Public. Then it occured to me that certain car makes and models were more fleet orientated and might get better deals (and services).

    I know this to be true.

    Ford manufactured tens of thousands of Mondeo's for the fleet market with a thinner body panel thickness than the ones manufactured & intended for private sales through the dealer network.

    Even when you 'think' you're comparing like for like, you're not actually comparing like for like !

    There are clued up folk out there who know what I mean.
  • colino
    colino Posts: 5,059 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Babbawah, your beliefs, connections and knowledge are as phoney as your Mondeo-lite story.
  • Quentin
    Quentin Posts: 40,405 Forumite
    Babbawah wrote: »
    I know this to be true.

    Ford manufactured tens of thousands of Mondeo's for the fleet market with a thinner body panel thickness than the ones manufactured & intended for private sales through the dealer network.
    .....................


    Don't you mean you know it to be tosh?

    Did they make up the thickness by using extra coats of paint?


    Come off it!!
  • bigjl
    bigjl Posts: 6,457 Forumite
    Babbawah wrote: »
    I know this to be true.

    Ford manufactured tens of thousands of Mondeo's for the fleet market with a thinner body panel thickness than the ones manufactured & intended for private sales through the dealer network.

    Even when you 'think' you're comparing like for like, you're not actually comparing like for like !

    There are clued up folk out there who know what I mean.

    Do you have any idea how much that would cost?

    Obviously not if you believed the lark who wound you up with the porky.
  • tgon
    tgon Posts: 710 Forumite
    Part of the Furniture 500 Posts Combo Breaker Mortgage-free Glee!
    Wouldn't this make them Fraud Mondeo's :rotfl:
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