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Deduction for 1400 'demo' miles

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Old 06-26-2011, 08:31 AM
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Deduction for 1400 'demo' miles

An 11 3500 Crewcab I otherwise like is setting at the dealer with 1400 'demo' miles. Never been registered and doesn't have an in-service date yet. I'm having trouble figuring out what kind of deduction this should be worth in the price. Any thoughts?

Normally I would prefer to do the break-in miles myself, but I don't think that is a factor anymore, but correct me if I'm wrong.

-Vic
Old 06-26-2011, 10:18 AM
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Don't forget THOSE 1400 DEMO miles,weren't easy miles.I worked at a dealer for 15yrs trust me when I tell You that.You make the decision.See if they will knock 2500 off or free oil changes for life or something.
Old 06-26-2011, 11:16 AM
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if the truck is the 800 torque truck, they won't deduct much since the demand.
Old 06-26-2011, 02:18 PM
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can't be that much demand
Old 06-26-2011, 03:35 PM
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Originally Posted by Rob's Red Ram
can't be that much demand
a dealer does not see it that way. its a new "model" just released and it will be hard to get them to budge UNLESS their sales for the month just flat out suck and that is when flooring costs come into play. A rig sitting on the grounds for more than 30 days starts costing them a lot of money. They have to pay the bank (or Chrysler, depending on who is flooring their inventory as the % of dealers that actually own their inventory is VERY small) the interest on the note. Once that happens and the flooring costs start getting into their bottom line, then they start dealing to get rid of the truck/vehicle.
Old 06-27-2011, 02:44 AM
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The dealer gets an allowance back from Chrysler for actual "dealer demo" units. These units are generally driven by dealer execs or senior sales staff.

In New Jersey here there is a dealer that will order any truck and sell it at the invoice price, so you know there is dealer money "hidden" in the invoice price.

I would expect at least $1.50 off per mile the vehicle has been driven, so a vehicle with 1400 demo miles I would expect a discount of $2100.00

All that having been said, the best time to buy a new vehicle from a dealer is early in the morning on the last day of the month. There are performance rewards provided by the manufactures to the dealers, based upon the total number of vehicles sold in any given month. For example, Chrysler picks a number, say 30, and tells its dealers that if they sell more than 30 vehicles in the month that Chrysler will give the dealership a performance bonus of $500 per car, back to and including all of the cars sold for the month. That's a $15,000.00 performance bonus for the dealer. So going into the last day of the month, the dealer has sold 27 or 28 vehicles so far, they are very willing to make a fantastic deal on the last day of the month to get to the target to receive the performance bonus. Once the target number has been reached on that last day, the fantastic deals disappear. The dealer, not necessarily the salesman, but the dealer is happy to let the sales relax for the rest of the day and start over the next day with a new month working towards a new performance bonus criteria.

When I first retired from the govt in 2006 I sold cars n trucks for a GM dealer. There were a few times when we would sell a car or truck in the morning on the last day, people got a great deal, they came back with a friend later in the day, the friend looking for a similar great deal, they couldn't get it because the dealer had reached the sales number to trigger the performance bonus.
Old 06-27-2011, 12:36 PM
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Maybe this logic is flawed, but I'll toss it out anyway. Why not blue book it as a used 2011 with 1400 miles?
Old 06-27-2011, 12:40 PM
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Originally Posted by ssandlin
Maybe this logic is flawed, but I'll toss it out anyway. Why not blue book it as a used 2011 with 1400 miles?
never been registered. still considered new.
Old 06-27-2011, 03:07 PM
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Originally Posted by ssandlin
Maybe this logic is flawed, but I'll toss it out anyway. Why not blue book it as a used 2011 with 1400 miles?

I'm with you, go buy one and trade it in with 1400 miles and see what they give you, granted it hasn't been titled but it's used and should be priced as such.
Old 06-27-2011, 06:35 PM
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There is no way 1400 miles can hurt this truck if its normal street driving. (Within Reason.) But, if the dealer was pulling multiple vehicle carrier's with that thing I would be concerned. Mine had 800 miles on it when I bought it without concern. Trust me brother, you are safe. With that said, it should be worth at least the gas money it takes to make it 1400 miles in a stock truck (500bucks).

Just my 2 cents.
Old 07-07-2011, 06:54 PM
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I would ask them to take 5.000.00 off the top. If he says no go jest walk away and let him thank about it . There is a large mark up on the trucks.I have got up to 10.000.00 off after they have the next years on the lot. == good luck ==
Old 07-09-2011, 08:53 PM
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Find out what your best deal can be on a 0 mile 2011 (should be $10k off sticker or so using Dodge rebate instead of financing offer). The 1400 mile new demo should be $2 per mile or more off that best 0 mile price. Anything less, turn around and walk away. A dealer factory demo allowance is going to be around $4k or so, depending on options. If it was an unofficial demo (dealer used it to transport a dealer trade 700 mi each way), the discount won't be there. Also, consider that they truck could have been bought by a customer then returned because financing fell thru or something. I once bought a GMC new with 500 "demo" miles on it. When I got it home, I found an insurance card over the right visor. I tracked the guy down and found out he bought it but had to return it when the financing didn't fund. Because title work wasn't completed, the dealer took it back and resold it as new. I was ******.
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