How to Get the Best Price on Your New Ram

[ALT_F13]

Yeah but we’re negotiating for more than 15% off sticker price.

I was doing the same on all my FCA vehicles before pandemic. Maybe now the situation is better then it was in 2020. I couldn't get better then 9% discount anywhere in the state (using the logic described in this thread), but discounts for Rebels are usually not as deep as for Big Horns.

 

[Silent Bob]

Didn't read the whole thread, but I hope you guys know how to get FCA Affiliate pricing (aka PP price, -1% below factory invoice) and skip all the pain of negotiating with a dealer? You just need to find your employer here and then register with the company code here. All FCA dealers in US are obligated to give you PP price (7-10% lower then sticker price, and all rebates still apply), while they are not obligated to sell you the vehicle (e.g. don't expect to use this offer on in-stock TRX).

UPD: Yes, I see it was already discussed here. My reality is that local FCA dealers due to high demand and low stock don't give any discounts outside standard rebates, to FCA Affiliate pricing is the best option.

You should be able to get a dealer discount of at least 4.5% below invoice. Many of us are getting 6 or 7%. This is before rebates/incentives. This is well below the 1% Affiliate pricing. If you just hate negotiating and refuse to do it Affiliate is the way to go, otherwise you can do much better.

 

[Silent Bob]

Wow, so should I notify my dealer that I will also have another $1000 off certificate AFTER we negotiate a deal that way it can be applied once it gets here.

My local dealer stated I can use the rebates that are active now or when the truck arrives. Whichever ones are better.

I would get it in writing that the only incentives/rebates the dealer is using for your discount are the ones discussed with you and locked in. That way anything you have when the truck arrives can be applied.

 

[PhillyPhan]

I would get it in writing that the only incentives/rebates the dealer is using for your discount are the ones discussed with you and locked in. That way anything you have when the truck arrives can be applied.

Sounds good, thanks again. I'll tell you what if I could just get that $1500 pop up I could order now lol. I'm almost right where I want to be and with this PenFed cert you just told me about you just saved me another $1000. Much appreciated.

 

[PhillyPhan]

Percentage off MSRP

In my opinion you should be getting at least 16% off the MSRP. The total number you should be using to determine your percentage off should include the total (with rebates and incentives) before trade in, taxes, and any required government fees. Your number should include dealer add-ons you did not request and any dealer fees not listed on the factory invoice, document fees, prep fees, etc. You can use one of these two links to find the factory MSRP and invoice price of the truck and all options. LINK LINK
Good Discount 16% to 19%
Great Discount 20% to 24%
Amazing Discount 25% or more

You have to add the doc fee because it is not a required government fee or tax. It is just dealer profit.
$53,313.00
+$219.00
=$53,532
6.23% under invoice
12.04% under MSRP
Add in $2000 in rebates 15.32% under MSRP
That dealer discount is pretty good but see if they can find you some more rebates or "bonus bucks". Did you join PenFed for the $1000 discount? If not do a truck search at the Allstate link provided below and you should receive a code for $500 in 5-14 days. You do need need to have Allstate or make a purchase through Trucar.

Allstate Car Buying Service

allstateagent.truecar.com

So I'm locked in at $53,313. Doesn't look like they can take anymore off at this time. This is a factory build. Just joined PenFed, so I'm asking Aaron if I'd be able to use that on a build to make sure. That's puts me right at 17% below MSRP. I was really holding out hope for 18%, but might have to swallow my price on this one. If the pop up comes up that would seal the deal as long as it's stackable with the PenFed discount.

 

[ALT_F13]

You should be able to get a dealer discount of at least 4.5% below invoice. Many of us are getting 6 or 7%. This is before rebates/incentives. This is well below the 1% Affiliate pricing. If you just hate negotiating and refuse to do it Affiliate is the way to go, otherwise you can do much better.

What I'm trying to understand is how FCA dealers make money on these sales when they sell the truck 4.5% below invoice? ~$1500 holdback doesn't offset that. No trade, pay cash, no dealer extras, $150 documentary fee (allowed in State of Washington by law) is the only fee in the contract. Where is the money for them?

 

[Silent Bob]

What I'm trying to understand is how FCA dealers make money on these sales when they sell the truck 4.5% below invoice? ~$1500 holdback doesn't offset that. No trade, pay cash, no dealer extras, $150 documentary fee (allowed in State of Washington by law) is the only fee in the contract. Where is the money for them?

After the internet became a reality too many people could find the invoice price so they changed the system.
Invoice is the New MSRP
Paying invoice is now paying full price.

Invoice is the New MSRP

Invoice is the New MSRP Paying invoice is now paying full price. I sent this simple email to over twenty dealerships. "I am looking to order a 2021 Ram 1500 Limited. I am sending this to multiple dealers and will go with the lowest price below invoice not including rebates or incentives...

5thgenrams.com

The "Doc Fee" not a required government tax or fee, even though it is often lumped in with Tax, Title, and Licensing. It is pure profit for the dealer. Check out this post LINK

 

[DivingOtter]

You can often get a rebate ($1500 as of this writing) by going to ramtrucks.com and giving them your email. It is a popup so turn off you ad/popup blocker. If you don't get it try a different device or browser.

Ok, I must just be extra dense today... Where do you sign up on ramtrucks.com... been there ALOT and never seen a place to sign up....

 

[Silent Bob]

So I'm locked in at $53,313. Doesn't look like they can take anymore off at this time. This is a factory build. Just joined PenFed, so I'm asking Aaron if I'd be able to use that on a build to make sure. That's puts me right at 17% below MSRP. I was really holding out hope for 18%, but might have to swallow my price on this one. If the pop up comes up that would seal the deal as long as it's stackable with the PenFed discount.

Sounds like you a getting a good deal for a Rebel with the current incentives available. When your truck is 3 or 4 weeks out sign up at the ram website and you might get a rebate certificate. You can also call the 800 number on the first page of this post and they can tell you what discounts you can combine. The dealers sometimes make mistakes.

 

[Silent Bob]

Ok, I must just be extra dense today... Where do you sign up on ramtrucks.com... been there ALOT and never seen a place to sign up....

Here are three spots I signed up on. Don't give out a phone number unless required. Then give out a fake one if you don't want calls.

Sign up for Updates on Ram Trucks

Sign up for updates and stay in the know with Ram Trucks brand news updates, exclusive events and more.

www.ramtrucks.com

Search New Ram Ram 1500 dt Inventory | Ram

The Mechanics of Emotions. Alfa Romeo vehicles are crafted for performance. Explore Alfa Romeo sports cars & SUVs, current offers, dealerships and more.

e-shop.ram.com

Click "Mail Me a Brochure" https://www.ramtrucks.com/gab.html

 

[Silent Bob]

I received this email discount from the Ram site just a few days ago.

$1000 Bonus Cash Presidents' Day Emails Being Sent

If you get one the code should be good at any dealership. Works with most other incentives. Expires 3/1. Search your email for fcacommunication.com

5thgenrams.com

 

[PhillyPhan]

Well order has been placed. I was able to add the Blind Spot option. I know there was a question about that in another thread.

 

[arod412]

Well order has been placed. I was able to add the Blind Spot option. I know there was a question about that in another thread.

Awesome congrats. Nothing feels better then getting your custom ordered truck...now the 2 month+ wait...where your trying to get the status up your truck every day...lol.

On a side note, when I bought my truck in October,I wanted to order what I wanted because what they had on the lot was too expensive for me.

After some negotiations on what they had on the lot, I decided to placed an order with my down payment that night. Next day they called me to say that they REALLLY wanted to sell the truck on the lot, so they came down even more on the price, and I bought it...lol

Owner of a 2020 Ram Laramie (leveled with 2" rc struts and 1" rear spacer on 33.5" toyo open country) , 16 Dodge Charger scat pack and my wife 21 Jeep Wrangler Unlimited Sahara (2.5" rc lift with 35" duratracs)

 

[ALT_F13]

After the internet became a reality too many people could find the invoice price so they changed the system.
Invoice is the New MSRP
Paying invoice is now paying full price.

Invoice is the New MSRP

Invoice is the New MSRP Paying invoice is now paying full price. I sent this simple email to over twenty dealerships. "I am looking to order a 2021 Ram 1500 Limited. I am sending this to multiple dealers and will go with the lowest price below invoice not including rebates or incentives...

5thgenrams.com

The "Doc Fee" not a required government tax or fee, even though it is often lumped in with Tax, Title, and Licensing. It is pure profit for the dealer. Check out this post LINK

I fully understand that it is not hard to find invoice price of the car these days. With FCA Affiliates, dealer is obligated to show you the invoice with invoice price clearly stated. But from the accounting perspective, invoice price is still invoice price - this is what dealer paid to get the truck on their lot. If they sell the vehicle above invoice - they have positive margin, if they sell it below - they have negative margin, and they need to offset with some other revenue stream (since they are not non-profit organizations).

I understand that dealers get other incentives from manufacturer (holdbacks, sales plan bonuses etc.). But putting rebates and fees aside, does it mean that FCA dealers make MOST of their money these days on sales plan bonuses from manufacturers?

 

[Silent Bob]

I fully understand that it is not hard to find invoice price of the car these days. With FCA Affiliates, dealer is obligated to show you the invoice with invoice price clearly stated. But from the accounting perspective, invoice price is still invoice price - this is what dealer paid to get the truck on their lot. If they sell the vehicle above invoice - they have positive margin, if they sell it below - they have negative margin, and they need to offset with some other revenue stream (since they are not non-profit organizations).

I understand that dealers get other incentives from manufacturer (holdbacks, sales plan bonuses etc.). But putting rebates and fees aside, does it mean that FCA dealers make MOST of their money these days on sales plan bonuses from manufacturers?

Invoice minus holdback is not what the dealer pays for the car anymore. Not for at least 20 years now.

Dealers do make extra money from people who don't care or don't know that invoice pricing is no longer the deal that it was. They just make less on those of us in the know.

Here is an example of the difference in price between invoice and MSRP over the years.

Dodge Charger
1993 - 12.9%
1995 - 10.1%
1998 - 8.7%
2004 - 7.5%
2007 - 6.9%
2013 - 4.5%
2018 - 3.0%

As you can see it has been continuously shrinking. The dealers are not making less. The factory has been slowly hiding the true cost to the dealer from the public. You can see more examples here. https://fightingchance.com/the-exhibit

If you want to know the whole story check out this five-part investigative series. https://clark.com/cars/eye-opening-truth-about-dealer-invoice-price/

Why Invoice is the New MSRP LINK

 

[DivingOtter]

Thank you once again to Silent Bob!

 

[Silent Bob]

But putting rebates and fees aside, does it mean that FCA dealers make MOST of their money these days on sales plan bonuses from manufacturers?

Here is an example from Truecar. Even it shows that the dealers are making money from hidden sources. The MSRP is $61,595, The Invoice is $56,446, yet we see that 24 people are paying less than $52,538 and 79 people are paying less than$54,521. This includes incentives but still.

A note about Truecar. I can't see how getting the price that most people pay is the "Great Price". That would be the "Average Price"

 

[brian42]

A note about Truecar. I can't see how getting the price that most people pay is the "Great Price". That would be the "Average Price"

I think that it calculates based on % off of (or over) MSRP and not the number of sales at certain price ranges.

 

[slatersan]

Here is an example from Truecar. Even it shows that the dealers are making money from hidden sources. The MSRP is $61,595, The Invoice is $56,446, yet we see that 24 people are paying less than $52,538 and 79 people are paying less than$54,521. This includes incentives but still.

A note about Truecar. I can't see how getting the price that most people pay is the "Great Price". That would be the "Average Price"


View attachment 82625

Similar to when the sales manager/finance guy at the dealership tells you that they lost money on the sale while smiling and handing you keys. They didnt.

 

[Silent Bob]

I think that it calculates based on % off of (or over) MSRP and not the number of sales at certain price ranges.

I am sure they do. But a great price would not be the price most people pay. That would be the normal or average price. You didn't get ripped off but you didn't get a deal either.