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Old 06-05-2003, 05:53 PM   #1
icedm3
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Question Natick Subaru in MA gouging on Sti

Spoke with them recently, been on a list there for some time and they are testing the water with a $2500-$3000 markup on the Sti. I don't know if anyones biting....
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Old 06-05-2003, 06:38 PM   #2
Red Rocket
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I bought my WRX at Natick Subaru, back in August of '01. Their internet sales guy at the time gave me nice no BS deal of $22,900. Their service department was okay, but they were very mod unfriendly initally, and it took alot of teeth pulling to have my decel rattle addressed.

I hadn't been in for a long while, so I stoped in while I was in the area. I talked to the sales manager, seems like a fairly decent guy for a car dealer. He could care less if there are people on the internet complaining about a markup on the first few cars - if that's what people are offering to be the first, he's happy to take their money. He said that he could get me an sti at MSRP by late August..... Overall though, a decent guy to talk to. He craped his pants when I told him that the sti was already availble in much of the country though.

Kevin
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Old 06-05-2003, 06:41 PM   #3
V6TurboTA
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So is Mitsubishi with the EVO's. Once you laugh at the guy and say good luck selling it there will pretty much forget about the extra $$ if you want to buy.

At least Mitsu will I know. Took about about 6 words to get them to drop to MSRP.

Him "Well were starting at $2995 over msrp"

Me "Well, Thank you for your time"

Him "Hold on let me talk to my manager"



~v6
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Old 06-05-2003, 07:33 PM   #4
kevinsUBARU
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Thanks for the heads up...Ill stop by next week and have a looksie
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Old 06-05-2003, 07:33 PM   #5
redobs
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Evo's are already being sold for under MSRP. It's only been what ...2-3 months since the car's been out. And we all saw how much gouging there was with the Evo. The STi will be the exact same.
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Old 06-05-2003, 07:35 PM   #6
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I'm #3 on their list. They would not write in MSRP on my deposit so I have been very skeptical since January. Who have you been working with? I've been working with Mark Holunquist. I will call him tomorrow and press him to see what he says. When I pressed him one time before he said something to the effect that he "would not f**k the deal up". At the time I had also pulled my brother in too but he has since backed out. If they are charging over MSRP I will pull my deposit immediately. I don't need the car that bad, another one will turn up or I'll just the used S4 that I have also been contemplating.

- Bill
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Old 06-05-2003, 07:43 PM   #7
LinuxGuy
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This doesnt surprise me
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Old 06-05-2003, 08:10 PM   #8
Red Rocket
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Quote:
Originally posted by CyberDog
I'm #3 on their list. They would not write in MSRP on my deposit so I have been very skeptical since January. Who have you been working with? I've been working with Mark Holunquist. I will call him tomorrow and press him to see what he says. When I pressed him one time before he said something to the effect that he "would not f**k the deal up". At the time I had also pulled my brother in too but he has since backed out. If they are charging over MSRP I will pull my deposit immediately. I don't need the car that bad, another one will turn up or I'll just the used S4 that I have also been contemplating.

- Bill
That's funny, the sales manager gave me some story about the top guys on the list trying to out bid each other to get the first car.... I guess the demand isn't that deep if ther third guy isn't willing to pay over MSRP.

Kevin
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Old 06-05-2003, 08:16 PM   #9
CyberDog
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I saw someone post that they were #2 at Natick I hope they see this thread and can say what they have heard. If the top three refuse to pay over MSRP what are they going to do then, move onto numbers 4, 5 and 6 who will probably do the same?

This does just piss me off though, why does everyone have to be so greedy, isn't getting MSRP plus the entire hold back enough?

- Bill
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Old 06-05-2003, 08:29 PM   #10
LinuxGuy
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Quote:
Originally posted by CyberDog
I saw someone post that they were #2 at Natick I hope they see this thread and can say what they have heard. If the top three refuse to pay over MSRP what are they going to do then, move onto numbers 4, 5 and 6 who will probably do the same?

This does just piss me off though, why does everyone have to be so greedy, isn't getting MSRP plus the entire hold back enough?

- Bill
It pisses me off too, sad thing is, its a free market society (of course if I were the government I would controll things like this)
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Old 06-05-2003, 08:37 PM   #11
CyberDog
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True, true but on the other hand being a free market and especially up here in NE there are a lot of Subaru dealers around that will get my business instead. If Natick does insist on over MSRP then I'll be calling all dealers within 200 miles and stating that if they have a silver/silver on hand with no buyer that I'll be right there with cash in hand.

- Bill
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Old 06-05-2003, 08:41 PM   #12
V6TurboTA
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I recently saw someone looking to get rid of a Silver/Silver allocation on here somewhere in the last days or so. I believe it was at msrp also.

or was that you?

~v6
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Old 06-05-2003, 11:05 PM   #13
RSmatt
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I believe Steve Lewis Subaru in Northampton was supposed to be getting a silver/silver STI. I recall someone saying they wanted 34k. They also supposedly have no one on their waiting list.
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Old 06-06-2003, 12:35 AM   #14
Rattles
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hi guys,

i am also on the list for the STI at Natick Subaru. i talked to them and they are guaging the water with the markup but there is no reason to get this out of control. i have been a custmer of them for the past year and it was great. they are great people who have great deals on cars and they also are very friendly. the reason they are thinking about marking up the car is because they were at the florida test drive for the STI and most dealers over there said they are going to charge over MSRP. i am supposed to go over there tommorow morning and talk to the owner about it. i talked to him briefly about it and told him about nasioc and how the same thing happend with the EVO'S. he is a very nice guy and i am sure that if people talk to him in person you would think the same. i will report back tommorow and tell you what's going on.

thanks
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Old 06-06-2003, 08:17 AM   #15
Jack
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Well, the people who absolutely MUST have an STi will pay this for a month or 2. Then everyone will have them at sticker and the STi/Evo sales war begins and then we'll be talking about 500 over invoice by this time next year. The STi at "gouging" pricing makes the 03 WRX with incentives and deep discount a really great value.

jack
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Old 06-06-2003, 08:31 AM   #16
Rattles
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agreed
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Old 06-06-2003, 09:31 AM   #17
paultg
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Quote:
STi at "gouging" pricing makes the 03 WRX with incentives and deep discount a really great value.

A potential buyer for my WRX came buy to look at my car. He told me Subaru is offering 3.9% for 5 yrs now on the '04's, and I believe 0% on all '03 models. He told me he can't find any '03 Wagons though (they only had a sonic yellow one ).

Talk about a smokin deal (3.9%).

Paul G.
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Old 06-06-2003, 09:38 AM   #18
subarurabbit
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fantastic interest rate -

my credit union is 4.5% for 60 months.

AAA is 4.29% for 60.
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Old 06-06-2003, 10:30 AM   #19
icedm3
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Default Mr. Blond let us know whats up

Thanks for the info, if you have a conversation with the owner of Natick, let us know the feedback... happy with the salesperson I'm dealing with and I'd rather go through Natick, but its tough when they start playing games...

SJ
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Old 06-06-2003, 11:15 AM   #20
Aaron Singer
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Default Natick Subaru Management

My name is Aaron Singer. I am the Manager at Natick Subaru.
We currently have 12 orders for STI's (with deposits!) and several customers are willing (and really bugging us!) to pay over MSRP in order to be the first ones to get one. Honestly, most of those customers are not the types to be communicating in this type of forum, though, needless to say, some of you are.

We are very sensitive to our "image" amongst customers and other chatters, but the fact remains that this is a business in a free enterprise society, and we would be crazy to ignore the opportunity to make small profits where possible. We happen to be located (geographically) in a very high income area where people have lots of money for "toys!"

What would you do if you had a house to sell that was worth $200,000, but someone offered you $220,000? It's obvious.
Incidentally, we have not set the market for this pricing, but some of our customers (and some dealers) have done so.

I'm sure my remarks will not bode well with some of you, but I hope that several thoughtful readers will at least try to understand our viewpoint.

By the way, we at Natick Subaru do go well above the call of duty in order to provide superior service to all of our customers. We provide free loaner cars for our customers when they come in for most service and warranty issues (very few places currently do that), and we get several mechanical issues repaired or covered under warranty where other Subaru dealerships couldn't.
Many people consider auto dealers to be rich and greedy. We are not. We are a small business doing our best to make a reasonable profit in a struggling economy. STI deals will not make us rich; they will just help to keep us going and continue to allow us to go the extra mile for our customers. I always tell customers that no matter how much (or how little) you spend with us, we still treat you all like you spent a million dollars here. This I mean sincerely.

We would welcome fair business from any of you.
Conversely, if you truly don't feel you've been treated properly, then we'll be happy to refund any deposits you have with us.
I hope not, but we don't want any ill feelings.

Aaron Singer
Manager, Natick Subaru
508-651-2000
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Old 06-06-2003, 11:22 AM   #21
jaypride
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And you feel that the extra $3k you will make now (or try to make) is worth more than the repeat sales and service work you are going to lose by upsetting most of your customers? Doesn't sound like good buisness sense to me. But hey, what do I know. Oh wait, I'm the guy with the money. Hahahahhaha.
I'll not pay over MSRP, and most others here won't either. I will get this car for MSRP or better even if I have to wait, but I will not buy it from any dealer that even tries to get a markup.
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Old 06-06-2003, 11:36 AM   #22
mad-dog999
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Default Re: Natick Subaru Management

Quote:
Originally posted by Aaron Singer
What would you do if you had a house to sell that was worth $200,000, but someone offered you $220,000? It's obvious.
Incidentally, we have not set the market for this pricing, but some of our customers (and some dealers) have done so.
Interesting example, unfortunately it has nothing to do with what's going on when we speek of gouging.

In your example, someone is *offering* to pay more. When you *tell* someone they're either paying $3k over invoice or they're getting bumped down on the list, that's an entirely different story.

Also, what do you consider "small profits?" $5000+ holdback is "small?" what's a *large* profit on a car?

I understand you're in this to make money, so it's none of my concern anyway. Unfortunately, consumers are far more informed than they used to be about invoice prices and holdback percentages. Hey, if you can sell a car at over $5k in profit, all the power to ya.

Just don't be surprised when you see threads like this showing up. We're a pretty tight knit group, despite our occasional fights. We like to inform eachother and we like to warn eachother.

No need to defend yourself either. People will either pay what you ask or go to one of the many other dealerships out there and buy it elsewhere.

-John

Edit: Actually, it's closer to $7k in profit with the markup and holdback, minus comission obviously. Seriously, I'd like to know what do you consider a *large* profit. $8k?

Edit again: got my numbers crossed. $6k, give or take. He he...

Last edited by mad-dog999; 06-06-2003 at 12:46 PM.
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Old 06-06-2003, 12:44 PM   #23
LinuxGuy
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Default Re: Natick Subaru Management

Aaron,

I will be crossing off Natick Subaru off of my list of dealerships to visit when I buy my next Subaru, and I hope everyone on this thread will be educated enough to not buy there next Subaru fron you guys. Especially in this economy and with car sales down to a record low, there alot of desperate dealerships and desperate salespeople who are more than willing to take a hit on there commission just so they can sell any car on there lot and make any money at all.

If people wanted to buy a "toy" and your well off and living in the Natick/Framingham area, there probably more interested going down to the Ferrari Dealership or to the GMC dealer pick up a Hummer, a WRX STI isnt exactly a "statement vehicle".

All I gotta say is: Aaron, you just burnt the bridge for any future sales from NESIC members.

Last edited by LinuxGuy; 06-06-2003 at 12:53 PM.
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Old 06-06-2003, 01:55 PM   #24
icedm3
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Default Reply to Subaru Management

Aaron,

I represent one of those people that makes a very good living in the Boston area, and guess what, I won't pay over MSRP for a "Toy" from Subaru thus I have a PO with MSRP.

Furthermore you reveal yourself as not being touch with todays car buyer when saying.... "Honestly, most of those customers are not the types to be communicating in this type of forum"....

I gurantee most the people in this forum are better educated, have more mind share when it comes to influencing car purchases and are more inclined to buy a niche model than your average walk-in buyer who doesn't know what an internet formum is.

You also attempt to justify your markup by stating it supports loaner car programs and out of warranty work for all customers. I didn't know socialism was alive and well in the car business.

Anyone crazy enough like myself to want to spend 32k on a Subaru with a residual decline shaped like a cliff is going to spend a little bit of time online researching the car and the dealer from which they buy.

I do applaud you for stating your case publicly, if you want to make more money then sell more cars, build another dealership, build lasting relationships... introducing "ill will" into a group of influential buyers does not help Subaru's future brand extension into the $40k+ market where there is money to be made.

Assumption + Evidence = Conclusion
Your assumption in this dicussion is that forum chatter and "ill will" does not matter to the success of your dealership. Your assumption is wrong.
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Old 06-06-2003, 05:14 PM   #25
Aaron Singer
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Default Natick Subaru Backlash

Hi guys!

I'm sorry that my explanation enraged some of you. I thought it was pretty sincere and well-founded. At least we had the character to explain it publicly with our name and phone number readily available for those who disagree. The same cannot be said, unfortunately, for some of your "protected" anonymous statements.

Let me get this straight:

Some people would boycott us or "badmouth" us for selling a few cars to people who want to pay for them, but aren't in your club?

Incidentally, we are not forcing customers to pay a little over sticker; we're just giving the earlier people on our list the option of paying what the later people have offered. Maybe we would have been better off doing it unfairly instead of fairly?

Just because you don't agree with our way of doing business doesn't mean it's unfair or worthy of "slander" and boycotting.

I just hung up the phone with a dealer in Connecticut who is holding a $5000.00 deposit to sell his first STI at $5000.00 over sticker!

If you take the time to read the window sticker of any car, it says:
"Manufacturer's Suggested Retail Price!"

I've been doing this for 20 years, but I have yet to meet a customer who wanted to pay "MSRP" when we have several on our lot! In fact, from skipping around in this forum, I've noticed an awful lot of people who brag about how little they paid for their cars! If it's a game to you, then who's really making it a game?!?!?!?!?

Aaron
508-651-2000
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