Dealer Practices ?

[CBRian]

A local motorcycle shop is brand new to selling Ducatis.  The owner tells me that Ducati does not want him to discount their bikes. He also implies that Ducati is following the Harley model in that I am supposed to buy only from the closest franchise within my area. Is this true, is he misinformed or is this a lot of BS.

[ducpainter]

He's a salesman.

Buy where you want...

for the best 'value'...not necessarily price...you can.

DNA doesn't care what he sells bike for.

[Punkass2112]

He's a salesman.

Buy where you want...

for the best 'value'...not necessarily price...you can.

DNA doesn't care what he sells bike for.

DNA quite prefers that their bike are sold at retail. Keeps the value up and the brand exclusivity. They just know they can't stop people from discounting their bikes....

[Dirteagle]

  I`d go talk with him again and where hip-waders. Maybe he`ll take the hint and stop trying to gouge people. The real money is in the accessories. Give them a deal on the bike and they will come back for service and mods . [moto]

[ducpainter]

DNA quite prefers that their bike are sold at retail. Keeps the value up and the brand exclusivity. They just know they can't stop people from discounting their bikes....

I believe DNA cares more about how many...

not how much.

[scduc]

+1   I agree. Unless it is a Ducati owned dealership ( which I am not sure there are any). The dealership orders the bikes that they think they will sell and it is up to them to make a profit. Now depending on how many the dealer agrees to buy, will determine how much they pay and who much of deal they can pass on to the customer. If they really need to sell, then you may get a deal. Or them may give you a good deal on parts and service. These are the area's wherea dealer can "deal". Most dealers make a killing on parts and service. We all know the huge price we pay at the 600mile sevice or now the 7000. The dealer will do what ever they can to make money.

[Statler]

Keep in mind too the bigger markup on 'stuff.'

If you are buying things there anyway to go with your bike, you can bargain a bigger discount on aftermarket goodies and on gear as a package with the bike.    Your bottom line is lower and the dealer's bottom line is bigger...it doesn't matter where he places the discount for the end number to you.

look for 15% off and free install on aftermarket goodies.   and more off gear.  

[mxwinky]

Wow, with that attitude that dealer isn't likely to be in the Ducati business long.  I'd buy the bike from another dealer and then ride it over to this guy and show it to him and tell hm you bought it elsewhere because he told you to.  I'll bet that'll change his mind on telling people that line of crapola about having to buy from their nearest dealer.  That is definitely not a Ducati policy, nor is enforcement of selling at MSRP.  Of course any dealer would love to get full pop on every bike, but that's just not happening.  In fact as Harley continues to lose market share we're seeing Harley dealers no longer marking up the bikes above MSRP and getting competitive in their pricing.  Funny how competition works in the marketplace.

[ducatania]

A local motorcycle shop is brand new to selling Ducatis.  The owner tells me that Ducati does not want him to discount their bikes. He also implies that Ducati is following the Harley model in that I am supposed to buy only from the closest franchise within my area. Is this true, is he misinformed or is this a lot of BS.

I'm sure in a perfect world, DNA would prefer you pay MSRP to your local dealer.  At least that's what they tell them. 

[Travman]

In fact as Harley continues to lose market share we're seeing Harley dealers no longer marking up the bikes above MSRP and getting competitive in their pricing. 

Harley sales are down, as are sales for almost every motorcycle maker (Ducati is one of the few exceptions).  Some of their models including the Fatboys and several of the Dynas have lower MSRPs for 2009.  However, their market share is not down.  The big four's cruisers are down even more. 

[DesmoDiva]

B and I have never paid MSRP for any of our ducs that we bought at our dealer.  He has flat out told us, he doesn't make $$ selling bikes, but makes $$ in aftermarket stuff and service work. 

[Jarvicious]

....he doesn't make $$ selling bikes, but makes $$ in aftermarket stuff and service work. 

I wish I could convince my dealer of that.  They run their shop on bike sales and service (we all know what kind of racket the service industry is) but has shit for accessories on hand.  I worked retail for years and know that you make all your scratch from the stuff with a 50% markup, not the (for instance) $2k laptop that you make a hundred fifty on. 

[herm]

B and I have never paid MSRP for any of our ducs that we bought at our dealer.  He has flat out told us, he doesn't make $$ selling bikes, but makes $$ in aftermarket stuff and service work. 

true statement.
most dealers actually have very little wiggle room on the bikes (under MSRP.) they just cost too much in floor charge, insurance (feel free to add to the list), etc...
but they do have room to make you feel like you are getting a deal. especially if you finance the bike with them, or sign up for extended warranty or service contracts.

[Statler]

keep in mind we do a fair bit of armchair quarterbacking here (as every internet forum does).   If it were actually easy to make so much money on such big markups on what dealers do there would likely be more of them around.