This may not be the best group to ask this question but it's the best
I've been able to find thus far.
GM employees can get a 18% discount off of existing vehicles at the
dealership. Who eats this 18% ? The dealership, or GM ?
The reason I ask is to determine if a dealership has a good reason
for not dealing down a price for someone who also uses their employee
Gm eats it there is not negotiation on the price its under the price we bye
the car for even with the holdback. If you want I can send you a sheet on a
gm vehicle so you can see the employee discount. At best we get gross $200
on a unit that's why most never want to sale then to an employee.
The $3000 is only a 11% savings.
A 5% card (limit of $500/year) would only
require $8600 in purchases a year to acquire
the same $3000
A 1% GM card at the same $8600/year would only
earn $600 after seven years.
My thought is in order to break even with the older
5% card I would only have to deal the dealership
down $600 off the msrp.
I believe in most cases I can do this, therefore it would
be beneficial to keep the older 5% card.
As far as the cards go the new one will be capped. so you will only get most
of the time like an extra $1000 off the car. If you use the Gms price and
get the rebate you would be talking way under what you could talk him down
to and get with the rebate. What do you have earned on your card if its
allot over $1000 you might want to try it but I still think the Gms price is
better than trying to haggle.
Go ahead and buy before July 31, and you can use both gms pricing and your
gm card earnings. That is the cutoff date. You can get gms pricing, gm card
earnings, and all current rebates.
By the way, the discount is not necesarily 18% on all vehicles. It is based
on the base costs and the costs of the options. It is listed on the invoice
of the particular vehicle that you are interested in, and the dealer is
required to show it to you if you qualify. The dealership receives a
percentage of the msrp to handle the deal, but doesn't receive any holdback
on that vehicle.
Jerry H -- retired GMC sales manager
On Sun, 27 Jul 2003 22:06:56 -0400, email@example.com wrote:
Read the first sentance. It's under his cost. Now how exactly are you
going to talk them into losing money?
If you can do that, you missed your calling in life and should be a
salesman selling ice to eskimos.
The GM discount is in the union agreement as a benefit, I'm sure.
Motorsforum.com is a website by car enthusiasts for car enthusiasts. It is not affiliated with any of the car or spare part manufacturers or car dealers discussed here.
All logos and trade names are the property of their respective owners.