Dealerships charging +30% “market adjustment” fees should be illegal. It happens to ICEs, too, but I’ve never seen stealerships price gouge anything like they do with shitty mid-trim EVs.
Car dealers say they can’t sell EVs, tell Biden to slow their rollout
Submitted 1 year ago by DannyMac@lemmy.world to technology@lemmy.world
Comments
PP_BOY_@lemmy.world 1 year ago
Poayjay@lemmy.world 1 year ago
Every dealership in my area has their markup at least the amount of the tax credit. More than a few have exactly the tax credit. Tax credits are supposed to help steer the market, they’re not a handout to pointless middleman.
remotelove@lemmy.ca 1 year ago
Markups are super annoying, but identify them quickly and call out the dealer ASAP when looking at new cars. Literally call them out, to their face, and say “No”. Don’t let them use pointless markups in price negotiations! What I do is find the average price of the car across multiple dealers, subtract all stupid markups, delete the cost of dealer added “upgrades” subtract a few thousand and work from there. There is not much wiggle room for brand new cars, so don’t expect to get a deal of the century. Used cars are a totally different beast, but you can basically ignore markups as well.)
Provided that your local dealers aren’t affiliated in some way, play the long game and play them against each other in a mini-price war. Stupid markups will generally evaporate naturally in that case.
(LPT: Do not sign anything but the actual loan paperwork or contract to buy the car. This will piss off a sales person to no end, but they will get over it. I can go into details why, but I am already outside the scope of this thread.)
mierdabird@lemmy.dbzer0.com 1 year ago
These stories piss me off, because I tried from January to May to buy a Chevy Bolt from a dozen plus dealers and all I found was markups, falsely advertising customer pre-ordered vehicles as available for sale, and even 3 year old models with 5000 miles being advertised as “new.”
I finally gave up and bought a used car from an independent honest dealer. All this talk of EV’s not being able to sell is just the dealer tactics coming back to haunt them and I say fuck them
starbreaker@kbin.social 1 year ago
They can't sell EVs because they cost too fucking much. Everything's gone up but our wages, but we're supposed to just keep buying shit anyway? Fuck this economy.
Sanctus@lemmy.world 1 year ago
For real, I just had a transmission eat all my money. A transmission! Thats what we’re dealing with and they’re wondering why we aren’t scrambling to pay tens of thousands. We simply do not have it. Also my landlord increased my rent at the same time. This place works for no one but the already rich.
1984@lemmy.today 1 year ago
You will own nothing and be happy. Google that and you understand.
ripcord@kbin.social 1 year ago
It doesn't sound like you were going to buy a new car of any kind.
Their argument supposedly isn't that people aren't buying new cars, but that they're buying EVs at a slower rate.
Hypx@kbin.social 1 year ago
BEVs are fundamentally more expensive than conventional cars. That is the real problem here. Blaming the dealers won't change that.
JohnDClay@sh.itjust.works 1 year ago
But not if you take into account the leveled cost of ownership. But it’s an up front cost rather than spread out, so it’s more difficult.
starbreaker@kbin.social 1 year ago
I own my 2008 Sentra outright. Why should I take on a car payment just to "go electric" when the car I have still runs well?
zerbey@lemmy.world 1 year ago
Start selling cheaper ones. The day a sub $20,000 EV comes along that can do more than 150 miles on a charge you will all shut up and take my money. The Leaf and Bolt are close, can we get something a little cheaper, pretty please?
Frozengyro@lemmy.world 1 year ago
Not many quality ICE vehicles come at that price point these days.
Patches@sh.itjust.works 1 year ago
Can’t even get many used for that cheap these days.
Soggytoast@lemm.ee 1 year ago
Buy used? I don’t understand the argument that they need to be cheaper as new, when you wouldn’t have bought new before but now you will for electric? I’ve had my bolt since COVID started and it’s been great. Don’t buy leaf tho
Can buy used for 13-17k depending, ~200mi interstate range
JohnDClay@sh.itjust.works 1 year ago
I needed to drive 5 hours to get one at a good price. And they were moving tones of that model though. The other places I went to also mentioned their EVs were moving very quickly, one I was looking at was bought within 2 days of listing. So this doesn’t at all match with my experience. Maybe they’re referring to the super expensive luxury EVs rather than lower price ones?
Burn_The_Right@lemmy.world 1 year ago
Or, hear me out, they are lying. The dealerships are just lying liars and are lying.
cm0002@lemmy.world 1 year ago
There was just an article (or a couple) the other week about how dealerships are intentionally pushing people to ICE vehicles and lying about EVs anyway they can. I think in one example a sales person told a customer looking at EVs that they can only go 25 MPH or something lmao
ApeNo1@lemm.ee 1 year ago
It is not in a dealers best interest to sell vehicles that require less costly services for the life of the car which is a big ongoing revenue for many dealerships.
III@lemmy.world 1 year ago
This is the exact reason everyone across the globe exclusively use horses for transportation. Replacing them with these horseless carriages would destroy the shoeing business, where would we put all of the feed?.. What is Biden thinking?!
z00s@lemmy.world 1 year ago
Exactly, I don’t want a car, I just want a faster horse!
AA5B@lemmy.world 1 year ago
Sales people do not have that long a perspective. The article does talk about 100-200% turnover every year, which is again horrible practices coming back to bite them, but the sales person is only interested in immediate commission and bonus
Tosti@feddit.nl 1 year ago
[deleted]ApeNo1@lemm.ee 1 year ago
In Australia, Deloitte’s shared this breakdown.
“On average, barely 5 per cent of a dealer’s profit comes from new car sales. The majority (about 50 per cent) comes from parts and service, while the remainder comes from finance and insurance (30 per cent) and the balance is from used cars (15 per cent).”
In the US it appears to be very similar.
“So where does the majority of a dealership’s profit come from? It’s not from car sales, at least not directly. It’s from the service and parts department, which accounts for the other 49.6% of the dealership’s gross profits, according to NADA.”
https://www.edmunds.com/car-buying/where-does-the-car-dealer-make-money.html
themurphy@lemmy.world 1 year ago
How about you and the manufacturers sell them cheaper, and now here me out. Maybe then, and I know this is a crazy idea. But could we make it so that the already rich multi million dollar owners earned less?
Nah, wouldn’t want that. I’m sure VW and the gang need the money.
Sanctus@lemmy.world 1 year ago
We have no money and everything is more expensive.
sudoku@programming.dev 1 year ago
if only EVs remain, there won’t be any problem selling.
Semi-Hemi-Demigod@kbin.social 1 year ago
Unless those EVs start at $50,000. Then they're gonna be hard to move no matter what.
InternetCitizen2@lemmy.world 1 year ago
I hope these prices can’t help move to public transit. I hate vehicle maintenance and insurance.
autotldr@lemmings.world [bot] 1 year ago
This is the best summary I could come up with:
After making record profits in the wake of the pandemic and the collapse of just-in-time inventory chains, they’re now complaining that selling electric vehicles is too hard.
Almost 4,000 dealers from around the United States have sent an open letter to President Joe Biden calling for the government to slow down its plan to increase EV adoption between now and 2032.
More and more car buyers are opting to go fully electric each year, although even a record 2023 will fail to see EV uptake reach double-digit percentages.
Mindful of the fact that transportation accounts for the largest segment of US carbon emissions and that our car-centric society encourages driving, the US Department of Energy published a proposed rule in April that would alter the way the government calculates each automaker’s corporate average fuel efficiency.
Over the summer, industry analysts at Cox Auto made plenty of headlines with data showing that new EV inventory was growing.
Helpfully, the dealers published a complete list of the 3,882 signatories, making it very easy for people to see which businesses are opposing action on climate change.
The original article contains 586 words, the summary contains 183 words. Saved 69%. I’m a bot and I’m open source!
Youusedtobebetter@lemm.ee 1 year ago
Nice
TomMasz@lemmy.world 1 year ago
Biden: Sounds like a you problem.
guyrocket@kbin.social 1 year ago
Huge discounts on EVs? I really need to get out and see this!
Magister@lemmy.world 1 year ago
While in Canada there is 12-24 months wait time for an EV…
KrummsHairyBalls@lemmy.ca 1 year ago
Is that because they just aren’t making them because no one can afford them?
I just paid $18,000 for an 8 year old base model Jeep Patriot with 210K.
Car market is fucked.
Magister@lemmy.world 1 year ago
The wait time is because there is too much demand and not enough supply. Some people are selling their “waiting list place” for like $2000…
And yes car market is fucked, new or used. I have a 10yo car and couldn’t afford a new one in case of total or something :-/
1984@lemmy.today 1 year ago
We don’t even know if the batteries on those things will worsen with time, like all other batteries do.
You cant replace the battery on a EW, it’s cheaper to buy a new car.
zerbey@lemmy.world 1 year ago
BEV/Hybrids have been around a while, there’s places you can buy individual cells when they die and it’s pretty easy to replace them. As time goes by, it should become no harder than going to the auto parts store like we do with regular ICEs. Unless they do shady stuff like making the batteries OEM only, like how Apple do with their batteries.
Steve@communick.news 1 year ago
We don’t even know if the batteries on those things will worsen with time, like all other batteries do.
We absolutely do. Of course they degrade over time. But they last much monger than expected. Today they all come with 100,000mile 8-10year warranties.
You cant replace the battery on a EW, it’s cheaper to buy a new car.
Of course you can! They’re designed to be replaced. Most of them can be swapped out in about an hour at an equipped shop. And the cost (outside of warrantee) is typically about 20-30% the cost of the car. So it’s absolutely cheaper to replace the battery than by new.
1984@lemmy.today 1 year ago
Thank you, I didn’t know this. But paying 30% of the new car price after they expire sounds awful… But at least it’s possible.
TheTetrapod@lemmy.world 1 year ago
You definitely can. It’s been a thing with hybrids for 20+ years.
RanchOnPancakes@lemmy.world 1 year ago
Also dealerships: $10k mark up on this bad boy!
Why do we even have dealerships?
anarchrist@lemmy.dbzer0.com 1 year ago
It’s a delicate ecosystem: the car salesmen need their cut to spend on drinking and gambling or else the bars and dog tracks will shut down causing more unemployment.
dan1101@lemm.ee 1 year ago
All part of a petroleum-based economy.
LifeOfChance@lemmy.world 1 year ago
Not to mention coke isn’t exactly cheap when it’s not served in a bottle or a glass.
MisterD@lemmy.ca 1 year ago
10k markup? amateur!
Try 30K…70K…100K!
duckduckgo.com/?q=ford+f150+lightning+dealer+mark…
jballs@sh.itjust.works 1 year ago
I know Lemmy hates Tesla, but not having to deal with a dealership was one of the primary decision points for me.
BraveSirZaphod@kbin.social 1 year ago
Because dealers have lobbied to have the law mandate them.
I know "deregulation" is a bit of a dirty word, but some regulations are genuinely bad. In this case, it's literal textbook rent seeking, in the economics sense.
dan1101@lemm.ee 1 year ago
I’d like to be able to order a vehicle off Amazon and have it delivered. That really isn’t so crazy.
anlumo@lemmy.world 1 year ago
Yes, especially since they don’t have to be fitted like clothes or shoes. It’s off-the-shelf anyways.
That’s the one thing where I agree with Musk, they’re not necessary.
AtmaJnana@lemmy.world 1 year ago
I don’t want amazon involved in anything, but I’ve bought a car off the internet before and had it delivered. I only had to to go anywhere to so the wore transfer at my bank.
ripcord@kbin.social 1 year ago
Carvana actually works pretty well this way.
Bebo@literature.cafe 1 year ago
I remember coming across an article on amazon planning to start selling Hyundai cars online. This is the one www.aboutamazon.com/…/amazon-hyundai-partnership
Magister@lemmy.world 1 year ago
Cannot you buy Hyundai through Amazon?