Pontiac Solstice Forum banner

1 - 7 of 7 Posts

·
Registered
Joined
·
4 Posts
Discussion Starter #1
I never had to deal with this much as I worked at a used car dealership for my tenure in the automotive industry, but you would know.

When it comes to a REAL GM employee discount, does it get backed out of the profit, or the invoice. That is to say, does the dealer eat the savings, or does GM?

Thanks
 

·
Mod Emeritus
Joined
·
7,468 Posts
hypergolic said:
I never had to deal with this much as I worked at a used car dealership for my tenure in the automotive industry, but you would know.

When it comes to a REAL GM employee discount, does it get backed out of the profit, or the invoice. That is to say, does the dealer eat the savings, or does GM?

Thanks
My understanding of employee pricing (not this incentive, but normal employee pricing as I saw explained just the other day in a media article) is that the dealer sells the car at invoice, so their only profit is the dealer holdback. I am sure one of the dealers can clarify or elaborate (or correct me) if I am off on this.
 

·
Registered
Joined
·
456 Posts
the car is sold at actual dealer cost and GM gives the dealer 5% of the list price for handling the sale
 

·
Registered
Joined
·
120 Posts
gms pricing

my experience is that the GMS price is below posted dealer invoice. GM then pays the dealer a percentage of the retail price. Most dealers are very happy to sell at GMS, no haggling and a sure profit. I also got a fair price on my trade. I tried this using Ford "A" plan. the dealer looked up the trade vehicle sale then tried to low ball me on my trade (which was an "A" plan buy also). GM dealers appear to be more fair.
 

·
Registered
Joined
·
1,312 Posts
From what I am gathering from GM's TV ads, the GM employees discount is on top of your deal and any other incentives.
 

·
Senior Member
Joined
·
5,641 Posts
PAS22 said:
From what I am gathering from GM's TV ads, the GM employees discount is on top of your deal and any other incentives.
In the current GMS for Everyone Program, the employee "discount" is the deal. Then any available incentives lower the price.
 

·
Senior Member
Joined
·
5,641 Posts
hypergolic said:
When it comes to a REAL GM employee discount, does it get backed out of the profit, or the invoice. That is to say, does the dealer eat the savings, or does GM?
GM pays a handling allowance to the dealer, the dealer can't charge more then $75 for Doc Fees, and the dealer may be selling the car for less then they may have been able to sell the car for at retail. So both are kicking in to the savings for the GMS eligible buyer.
 
1 - 7 of 7 Posts
Top