If you’ve ever purchased an in-demand or limited edition new car, you’re familiar with dealer markups. The extra costs are added onto the MSRP and disguised as a “market adjustment,” “convenience fee,” or any other creative wording the dealer chooses.
Markups above and beyond MSRP are pure profit for a dealer and, for the right car, customers will begrudgingly pay it.
This recently happened with the Dodge Hellcats, which saw dealer markups of up to $25,000 beyond MSRP. Markups are legal and, some say, just a reflection of a vehicle’s true value based on demand. After all, a car is worth whatever someone is willing to pay for it.
The new Dodge Challenger Demon is set to hit dealer floors this summer, and FCA has a fancy way of discouraging dealers from gouging Demon customers. Continue reading >>>