Well, there's not really a X Plan pricing problem. The thing is, as soon as I say 'X Plan', the dealers automatically take that as a "Ok, we're done negotiating...Let's sign the papers" statement! Granted, the X Plan price is much better than MSRP and is actually very close to the 'invoice' price you see when you research a vehicle on forddirect.com They sort of act offended and like I'm crazy since I would dare suggest that they can give me a better deal than the X Plan pricing. Well, we'll see about that Fortunately, one of the dealers already 'let the cat out of the bag', so to speak. One of them instantly offered me $500 below the X Plan price without even negotiating further. (This is for an '04 F-150 Lariat by the way). SO that tells me they have to be making money somewhere, otherwise they wouldn't offer that deal. They surely won't offer to lose money without me even asking. Either way, I'm very close to where I wanted to be on the price...so it's progress, but the dealers reaction to the suggestion of a lower price than the X Plan aggrevates me. I guess that's their "I gotta make as much as I can" instinct kicking in, which is fine. I want the dealer to make a profit, but I just don't wanna get taken to the cleaners if I don't have to

 

Yes, the dealers do receive a small commission from Ford for handling X-Plan sales, which is why some rebates (like AQHA) are not compatible with X-Plan. Whether or not they want to give up some of that commission to earn your business is entirely up to the individual dealer. You know, if I keep revealing this type of info, I'm gonna need to look into getting one of those Kevlar vests!

 

What's AQHA?

 

One more question. carbuyingtips.com goes into details about how much dealers actually pay for cars. For example, they say the 'invoice' price isn't what the dealer really pays for a car...so that's why you can many times get them to sell at invoice cost with not much of a fuss. Supposedly, this is where the 'factory holdback' of 3% of the original MSRP comes into play and the dealer still makes money that way. I'm trying to figure out what the truth is so I don't go in and sound unreasonable in my negotiating for a new truck. I want to save money, but I want the dealer to make money too...but not a ton of money My X Plan price is very close to the invoice price. So what's the deal?...is going below invocie on a popular vehicle going to fly with the sales manager at some of these dealers? Or should I be content with something near invoice or X plan? One dealer already offered $500 below X Plan before I even asked.

 

1) AQHA = American Quarter Horse Association. you can get a $500 rebate on most Ford trucks if you've been a member of AQHA for 30 days or more.

2) Someone hasn't read my "Thing You Should Know" post at the top of the threads in this forum! That should answer your questions about invoice.

 

Lariat, dude
hey man, I've responded to your other post, but will do so here as well in case you miss it.
Here's the deal. Most dealers that I'VE encountered (again, I said most, not all ) are moving to sell a truck to anyone with a "reasonable" offer.
Your sole question is "what the heck is reasonable?!"
Problem is........you're running the risk making connections with these dealers before knowing what you're facing. Which is okay. SOOOOO many do it that way. It'll be hard to get them move to an area that would lessen a profit they have already assumed as potential with their previous dealings with you. Make sense?
What is it they say about first-impressions? (see, that's the key.....how you approach them in initial contact.)

What do you want to pay?
Offer it, up front.
If they can't do it.......walk. They'll call you back, trust me.
Besides, you're not placing your order for another couple of months anyway, right?
Do the negotiating at the END of the month for the best leverage. (of course there's a bit of a difference, I think, on an ordered-truck, as opposed to one they have on the lot~ but more room to flex on an ordered vehicle since they tie no money into it in flooring fees, insurance, etc.)
They want their numbers, allotments, and pride....so use it to your advantage by learning more of how it all works.
Did you know that your ONE truck purchase may be THE one that makes a salesperson an extra "spiff" on ALL the cars they sold for that month, or even that particular day or week? OR that it gives the dealer "allotment gains" with Ford themselves by moving a certian level of vehicles out to the public?
Aha *lightbulb*
Trust me man, the picture is larger than you yet see.
Would $600 below invoice (yes, before rebates!) on a deal make you as hard as the new F150 frame? (maybe I should say instead: "as happy as when you own your truck?!" ~hope that didn't offend anyone!) Well that is the deal I'm getting on a truck almost identical to what you're going to have built (Black on black Lariat 4x4, 6.5Styleside, supercab w/ front bench seat, with a couple of added options).
I'm nothing special.....just an aware buyer.

By the way........ 1956MarkII???

YOU ROCK!! your advice in this forum is HUGE and invaluable to prospective buyers. Thanx for sharing your time. I'm new here, but have noticed your honesty and info is 'right-there'.....and as a dealer yourself, I must tip my hat to you. (yet of course smile that you don't give "too much" info. Yeah, ya know what I mean. hehehe)
Are you sure kevlar would be enough? :P *winx*

Keepin' It Real,
~jc

 

all buyers should understand that "X" price just establishes the maximum they should pay. Always go hell for leather and get the lowest price you can. Then say--Well , hey, how does my negotiated price compare with X plan. Except for a very few hot selling products, you can normally beat X plan pricing and especially for a loaded vehicle like a f150 lariat (with all available factory rebates deducted from the negotiated price i.e. rebates all come straight to the buyer -- X plan less rebates is the maximum you should pay).

 

that's a great way to look at it, '03!