Ok let's take a look at the dealer invoice for the Honda CBR1000RR:


Dealer Invoice Report

2006 CBR 1000RR

List Price: $11299

Dealer Invoice: $9754
Dealer invoice price includes $150 per crate freight charge for shipping from the manufacturer to the dealership.

Assembly Cost: $32 per Honda dealer pricesheet. Each dealership has its own method of figuring cost of assembly and preparation for sale. There is no reimbursement by the factory for this cost to the dealer.

Ready to sell cost: $9786 -5% dealer holdback of $564.95 = $9221.05

This model Honda_motorcycle has 5% (of List Price) dealer holdback. This holdback money is paid to dealers in April or October for units that are sold to U.S. residents within the previous 6 months. Dealers must pay Honda the full "Dealer Invoice" price and wait 1 to 6 months after selling the machine to receive their dealer holdback.

Wholesale Incentives: none for this model.
Retail Incentives: none for this model.

The "Ready to sell cost" is the cost of the machine sitting on the showroom floor with NO PROFIT to a dealer. Dealers do not stay in business very long by selling machines for no profit. Many dealers charge additional fees for "Freight and Setup" over and above the selling price of the machine. Add the "Selling Price" to the "Freight and Setup" charges and subtract the "Ready to sell cost" to determine the PROFIT a dealer is asking to make.


________________________________________


So let's take a look at the numbers and see how the dealer incurs "cost" to make money...


Ready to sell cost: $9786
-5% dealer holdback of $564.95 = $9221.05 (THIS IS THEIR TRUE COST)

Give them 10% profit on the bike (dealers try to make at least 10% on purchases)
$10143.16 +$564.95 dealer holdback (***this is what they should be making***)



Invoice Freight: Included in Dealer Invoice price
Invoice Assembly: $32
Invoice Dealer handling: NONE
__________________TOTAL: $32


DEALER Freight: $350
DEALER Assembly: $249
DEALER Handling: $129
Battery Acid: $3.50
__________________TOTAL: $731.50



This is what they are trying to make:
"selling price" + "freight and setup" - "ready to sell cost"
$11299 +$731.50 -$9786 = $2244.00

That is a percentage over their true COST of a whopping 23%!
Including the 5% of list dealer hold-back, it's 30%!



You do the math for what you want to pay. Here's my new price based upon my research:
$9221.05 (true cost) + 5% = $9682.1024

Kinda matches up with the best price we've seen on this forum, doesn't it? If you're going to be giving all of your service and equipment business to the dealership, there is no way in heck you should be paying much more.

 

look on ebay, some place in ky says they have 2006's for $9955 out the door, thats pretty good, anybody want to buy a repsol

 

I just bought my brand spanking new 2006 CBR 1000rr from Chicago Cycle for $9654 OTD .... Im talking tax title license everything it was only $9009 for the bike if I didnt want to pay tax but I decided to have them throw it in there so I didnt have to pay when I got back to Michigan. I know of another dealer in Michigan that says he can beat that price including tax by a hundred bucks or so. PM me if anyone is interested.


Madison

 

^ you're also buying it at the end of the year.

 

I paid $8583 for mine at Southern Honda in Chattanooga - I also got a 5 year warranty for $579.

 

Bimrpwr... Boosted521.....ga_cbr_rider,

Look at the date on the original post it's dated back to Jan. 2006. You guys are answering a post dated 10 months ago. Hopefully he bought the bike already.

 

haha..delayed fuse i guess!

Neway..the bikes on sale here in the states is much cheaper than it cost in Singapore!!

Mine cost S$21500 OTR(on the road) [different slang]..bought nearly 2 yrs ago. Dats an equivalent to US$13437..excluding hire purchase interest of 4% per year.

Total price after the loan period of 5 yrs, comes to about S$25800 = US$16125!!

Now hw I wish the bikes here in Singapore is as cheap as those in the states instead of cheaper tires!! LOL...

 

I know Southern Motorsports in TN has them for $8,5 something plus tax. Worth the drive if you ask me. Google them.

 

bikes cost more there because they are more in demand - it's not like singapore is hopping all over hummers and esclades =).. anyways be lucky, you got Mugen's there - i'm so jealous

 

I think u're rite..the dealers here in S'pore suck the blood out of us in broad day lite!! Mugen?? dats for cars rite?? u'll be surprised at hw much cars in S'pore cost!! It'll buy you a home in the states..a nice decent ones too! LOL..