Mercedes CLA Forum banner

1 - 20 of 28 Posts

·
Registered
Joined
·
381 Posts
Discussion Starter #1
I'm not talking about at the time of the CLA's introduction. I'm talking about all current Mercedes models in general.

For example, is it true buyers are getting the C-class at "under invoice"? According to Edmunds they're saying the true market value (TMV) of some c-class models is $1300 under invoice. I don't know if that's really true but that seems a little surprising. Is that typical for Mercedes?

The reason I ask is because I'm trying get an idea how much the CLA will get discounted after all the initial hoopla has died down and dealers are willing to negotiate. I know that getting about $800-$1000 over invoice is considered a good deal (and not impossible) when buying a Audi or BMW. I'm not a Mercedes guy so what's considered a good deal when buying a Mercedes?
 

·
Registered
Joined
·
4,098 Posts
Joey, I believe Mercedes includes a 1% holdback on the MSRP of their cars. That means that a Mercedes dealer will pocket 1% of the MSRP of every car they sell. So, if they buy at invoice and sell at invoice they still arguably make 1% of the car's MSRP. Of course, if that car has been sitting on their lot for a while they've incurred other operational/financial impacts to their bottom line. Some manufacturers will also throw additional cash incentives "in the trunks" of certain models as parts of "sales events" or promotions. So, that will add to a car's potential profit margin on top of holdback and whatever a buyer pays over their invoice (less, of course, the dealer's overhead and other costs).

Whether you will be able to find a dealer willing to sell a CLA for $800-$1K over invoice will depend on their appetite for your business and the competitveness of the market where you're buying. Your "Location" is listed as Northeast and we tend to have a lot of MB dealers here but you may be based in a location where there are fewer dealerships really competing with one another. I've never purchased a Mercedes before so I don't have experience working with any dealers either, however, my experience is much like yours and I can't imagine any Mercedes dealers happy putting less than $1K in coiffers. Porsche dealers are even tighter on their numbers. I think whether a Mercedes dealer will accept a price under invoice or $800 over is going to depend on when you buy -- if they're running incentive programs (and, of course, the number of dealers you have in your general neighborhood). My expectation is that MB dealers will be similar to BMW and Audi dealers.

I know my comments aren't based on direct experience dealing with Mercedes dealers but I hope they help.

-Eric

P.S. As an aside, if you tell a dealer that you know they've got holdback on their cars they'll tend to get pissed...almost like you have no right to know about it and shouldn't factor it into their profits or your deal. It shouldn't shock them anymore (especially with so much information on the 'net...but it still seems to). They've got to pay their bills, make money and put food on the table, too, but even at invoice on a $60,000 car holdback is only $600. My guess is that C-Class cars going for $1,3K under invoice have extra cash in the trunk and/or you live in a competive market within the Northeast.
 

·
Registered
Joined
·
288 Posts
I'm not talking about at the time of the CLA's introduction. I'm talking about all current Mercedes models in general.

For example, is it true buyers are getting the C-class at "under invoice"? According to Edmunds they're saying the true market value (TMV) of some c-class models is $1300 under invoice. I don't know if that's really true but that seems a little surprising. Is that typical for Mercedes?

The reason I ask is because I'm trying get an idea how much the CLA will get discounted after all the initial hoopla has died down and dealers are willing to negotiate. I know that getting about $800-$1000 over invoice is considered a good deal (and not impossible) when buying a Audi or BMW. I'm not a Mercedes guy so what's considered a good deal when buying a Mercedes?
Yes, as ive told this story before; i got my Dad's C class at about a 6k discount off of MSRP, which worked out to about $2500 under invoice i believe. We got the car right at Edmund's TMV, which is 40k and some change. This was back in March. Its summer time now, the 2014 C classes are about to hit, so i know they will really want to get the 2013s out quick. I think, by December time...better deals will be able to be had. I dont think i would get the same type of deal on a CLA, but mind you a fully loaded CLA is about 41-42k or so.
 

·
Registered
Joined
·
381 Posts
Discussion Starter #4
Thanks folks. I've purchased enough cars to realize that MSRP and Invoice are not to be taken seriously, and only to be used as a point of reference. I gotta admit, those heavy discounts on the C-Class make it look pretty attractive.

Anyone else with Mercedes buying experience?
 

·
Registered
Joined
·
317 Posts
Ordered my CLA 13% under MSRP.

2 side notes:
- Retail prices in Europe <> US might differ.
- Discount mainly based on conventions between my company and Mercedes as we lease a certain number of cars.
 

·
Registered
Joined
·
288 Posts
Thanks folks. I've purchased enough cars to realize that MSRP and Invoice are not to be taken seriously, and only to be used as a point of reference. I gotta admit, those heavy discounts on the C-Class make it look pretty attractive.

Anyone else with Mercedes buying experience?
only thing i can say is ask from quotes from as many dealers as you can. When i was buying. i pretty much tried to get quotes from every dealer in the Los Angeles area; luckily for me, one dealer offered a excellent price without me even have to negotiate...all the other dealerships were like you should take that deal and run. Funny thing is that everyone was fighting over the only 2 cars available in the state (my father specifically wanted the Driver Assistance Package).
 

·
Registered
Joined
·
2,921 Posts
Got a 2012 C250 coupe with premium 1 and metallic paint with $6000 off MSRP of around $41500.
The car was leased - no cap reduction with lease initiation fees rolled into payment.
15000 miles per year ( I drive a lot.)
Monthly payment is $415 + sales tax = $450
Total drive off $450 ( first month) + license = $850
Gorgeous Lunar Blue.
Northern California - east bay.
 

·
Registered
Joined
·
29 Posts
Lots of misconceptions above that I see on pricing and mark up. I am a dealer and will gladly help with any questions you may have.

Edmunds is pretty much always dead on with their MSRP, invoice and TMV. MB's have a 7% mark up from MSRP before the 905.00 destination and delivery charge. There is also a regional "ad fee" and for my area that is 700.00 but does vary by region.

You will not realistically buy a car below invoice. But But But But. :) how is TMV below invoice on many models? How did my dad/uncle/cousin get 5k off a C class?

There are several different ways to "lower" the invoice. The best and only consistent way of doing this is with a fleet incentive program the MB has set up and expanded with the premier access program. Are you a member of USAA? The American bar association (ABA)? American medical association (AMA)? Many, many people qualify for USAA membership, were you ever in the military? How about parents or grand parents? If so you should be able to qualify under the USAA program. Obviously the AMA, BAR and ADA (dentist) are a bit more specific on membership.
 

·
Registered
Joined
·
495 Posts
Lots of misconceptions above that I see on pricing and mark up. I am a dealer and will gladly help with any questions you may have.

Edmunds is pretty much always dead on with their MSRP, invoice and TMV. MB's have a 7% mark up from MSRP before the 905.00 destination and delivery charge. There is also a regional "ad fee" and for my area that is 700.00 but does vary by region.

You will not realistically buy a car below invoice. But But But But. :) how is TMV below invoice on many models? How did my dad/uncle/cousin get 5k off a C class?

There are several different ways to "lower" the invoice. The best and only consistent way of doing this is with a fleet incentive program the MB has set up and expanded with the premier access program. Are you a member of USAA? The American bar association (ABA)? American medical association (AMA)? Many, many people qualify for USAA membership, were you ever in the military? How about parents or grand parents? If so you should be able to qualify under the USAA program. Obviously the AMA, BAR and ADA (dentist) are a bit more specific on membership.
Any speculation on how much of an incentive will be given on the CLA for USAA members? Reason; I am a USAA member (Soldier).
 

·
Registered
Joined
·
29 Posts
Currently the "fleet" program incentive on a c250 sedan is 2,500

Example
37,810 MSRP

35,926 invoice
- 2,500 fleet/USAA
33,426 net invoice
+ 250 profit
33,676 sales price

A discount of 4,134
 

·
Registered
Joined
·
495 Posts
I don't know yet. The 14 C is surprisingly set at the same 2500.

If I had to guess 1,200 to 1,500
Thanks for the info.

My other question is regarding the automatic selection of the premium package if you select the multimedia package within building a CLA on the MB website. Are you able to place a pre-order based on whatever packages you select despite that automatic package selection?
 

·
Registered
Joined
·
29 Posts
Unfortunately the multi media requires the premium.

I personally am considering going non premium, no multi and doing the drive kit plus and then looking to boot the audio (only thing I think I would miss is the Harmon Kardon)
 

·
Registered
Joined
·
495 Posts
Unfortunately the multi media requires the premium.

I personally am considering going non premium, no multi and doing the drive kit plus and then looking to boot the audio (only thing I think I would miss is the Harmon Kardon)
Any reason as to why the multimedia package requires the premium package? I don't really see any features that are linked that compel the need for the requirement of the premium package if the multimedia package is selected. Additionally, I do not believe that the premium package is worth the listed price based on the features embedded within the package.
 

·
Registered
Joined
·
29 Posts
Any reason as to why the multimedia package requires the premium package? I don't really see any features that are linked that compel the need for the requirement of the premium package if the multimedia package is selected. Additionally, I do not believe that the premium package is worth the listed price based on the features embedded within the package.
It is a MBUSA thing. It is not currently possible to get the multi with out the P1 through MBUSA
 

·
Registered
Joined
·
29 Posts
Well, I currently have a pre-order with a purchase order number, with production beginning within the first week of August, so we'll see if that's true. Thanks for the assistance though.
Yep I tried to build one today in Netstar and it was not possible. Think I am going to change all the ones we have with P1 that do t have nav to non P1 cars. Put more desirable options on them that will still keep a low MSRP.

You will enjoy the car.
 

·
Registered
Joined
·
2,921 Posts
My guess is nothing on high demand cars. I am a member of one of the above and the deals are all for the cars MB wants to clear inventory - like the soon to be replaced C-class,
newly face-lifted E-class, GLK and lately, just replaced S-class. It's not like you get across the board percentage discount on all models.
 
1 - 20 of 28 Posts
Top