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Old 05-09-2000, 07:59 PM   #1
SpeedRacer
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Member#: 781
Join Date: Jan 2000
Location: Bloomfield,MI,USA
Question Advertising Fee?

I know the topic of new car pricing has been talked about many times before, but I just wanted to clear a few questions up before I order my new car.

The dealer gave me a price of 18,880 for a 2000 rs with no options. This included the invoice + destination = 18,181. A $150 advertising fee, and a %3 markup of $549.

What I want to know is if anyone thinks I could get this price down anymore. Is the advertising fee negotionable? Is there a chance that the salesman would take less than a %3 markup? Thanx for your help.
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Old 05-09-2000, 08:01 PM   #2
wolve80
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Join Date: Apr 2000
Location: St. Louis, MO, USA
Post

that sounds good to me. Check www.kellybluebook.com for the invoice of the car.
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Old 05-10-2000, 04:35 AM   #3
Lovejoy
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Member#: 613
Join Date: Dec 1999
Location: Washington, DC
Vehicle:
'95 Nissan Maxima S

Angry

Advertising fee my arse!!! It is just like dealer rustproofing/undercoating/scotchguard. It's BS, tell him to drop it or you will go elsewhere. It's just another pure profit scheme. Why should they charge you to help THEM advertise!!!

Lovejoy
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Old 05-10-2000, 06:28 AM   #4
Kalins1
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Member#: 484
Join Date: Nov 1999
Chapter/Region: MWSOC
Location: Ohio, USA
Vehicle:
2003 Baja
Custom Silver and Red

Cool

SpeedRacer,
I am in marketing/advertising and I can tell you that an advertising fee passed to the consumer would not only be unethical but in some states could be illegal.

If the dealer insists on not removing the fee, tell him you will take it to the attorney general. Or you could say you want to charge him $30 per month to have his logo and name on the back of your car. That little emblem they put on the back of your car (or the liscense plate frames) are pure advertising. If they were to put a billboard up they would have to pay for it. Why shouldn't they pay for it on your car. People have taken this to court on many occasions and won. Sure it is easy to remove those emblems but the cases where the people won were cases where everytime they returned to the dealer, the dealer would put the emblem back on.
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Old 05-10-2000, 07:28 AM   #5
KC
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Member#: 442
Join Date: Oct 1999
Chapter/Region: NESIC
Location: SE Mass/RI
Vehicle:
2013 Crosstrek XV
00 Honda S2000

Post

Here's the law as cut and paste for the state of Massachusetts about those tags on the back of the car...

GENERAL LAWS OF MASSACHUSETTS

Chapter 90: Section 7R. Dealers insignias, logos or plates; placement on motor vehicles; consent.

Section 7R. No seller, or an agent or employee of a seller, of motor vehicles shall place on a motor vehicle an insignia, logo or other plate that advertises the name of the seller without first having obtained
the written consent of the buyer of such motor vehicle. Such seller must provide a buyer with a written consent form at the time of the purchase of the motor vehicle. The original of such written consent form
shall be retained by the seller and a copy retained by the buyer. Any such seller's failure to obtain written consent from the buyer shall enable the buyer to request that the seller remove any insignia, logo or
plate and make all repairs necessary to restore the motor vehicle to its original condition. Each seller shall post in a conspicuous place, a notice explaining the buyer's rights under this section.

Any violation of this section shall be punishable by a fine of not less than two hundred dollars.

The key words here are "Any such seller's failure to obtain written consent from the buyer shall enable the buyer to request that the seller remove any insignia, logo or
plate and make all repairs necessary to restore the motor vehicle to its original condition."

Which means if you ask them to take the insgnia off, they have to do it, and any damage from doing so, must be repaired.

The ad fee is what they try and get from eveyone. Tell them to get it from someone else. If they hem and haw about just walk away and find someone else.
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Old 05-10-2000, 07:28 AM   #6
wolve80
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Join Date: Apr 2000
Location: St. Louis, MO, USA
Post

wait a sec, so I can charge the dealer for them having their company name on the back of my car?!?!? Also, I assume they can't give me $#!% about taking it off.
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Old 05-10-2000, 09:11 AM   #7
Kalins1
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2003 Baja
Custom Silver and Red

Post

That is exactly right, Wolve80. As you see in KC's post, they have to have YOUR consent to put the things on your car. Most people don't give consent unless the dealer puts it in an inconspicous place on the paperwork at the time of purchase.

People can and have charged dealerships for advertising space on their cars. All you have to (if you haven't given consent) is draw up an invoice and send it to the dealership for advertising space. The court will stand behind you.

If you want to take off the insignia, the dealership CAN'T do anything about it. Try using a hairdryer. The stupid things will usually fall right off when heated.
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Old 05-10-2000, 10:49 AM   #8
EJ
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Member#: 379
Join Date: Oct 1999
Location: U go fast I'll go anywhere...
Thumbs down

I learned from my dad when I was a kid when I went with him to pick his new car. We had to wait for an extra hour because he told the dealer to take off the their sticker they put on the back of the car. He asked them if they were going to give him a break on the price for the free advertising he would be doing for them. They looked at him funny and said "NO". So he told them to take it off. I had the same problem when I got my RS. Only they had the little frames that go on the plates. The salesman looked like I had just kicked his dog when I told him not to even put those on my car. Oh well, I didnt lose any sleep that night.
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Old 05-10-2000, 10:59 AM   #9
Paisan
Tri-State Track Instructor
Moderator
 
Member#: 197
Join Date: Aug 1999
Chapter/Region: Tri-State
Location: Edgewater, NJ & Caroga Lk, NY
Vehicle:
'14 Touareg TDI '12
Jag XJ http://48hrs.info

Post

My dealer does the liscense plate thing, and they ask you before putting it on. I like my dealer so I leave it on, but I hate the ones with stickers.... ugh.

-mike
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Old 05-10-2000, 11:13 AM   #10
jhuang76
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Member#: 1284
Join Date: Apr 2000
Vehicle:
2005 Legacy GT
Royal Blue Pearl

Post

The advertising fee that SpeedRacer is taking about has NOTHING to do with the stickers/logos/licence plate ad that the dealership puts on! The advertising fee is, like any other fees, a way for the dealership to increase their revenue. Certain large dealerships (ones that own franchise rights for may different manufactures) will have contracts prewritten w/ some fees typed in! Thoses fees cannot be removed by the salesperson (or even the manager) BUT they can lower the "markup."

So, in short, don't really concern yourself with details! Ask for out the door (OTD) prices and shop around based on that. If a place is giving the LOWEST overall price in the area, then who cares is they decide to "itemize" their expenses.
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Old 05-10-2000, 11:14 AM   #11
Strepto
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Member#: 252
Join Date: Sep 1999
Location: San Antonio, TX
Vehicle:
2001 Arctic White
Camaro SS #1800

Angry

How about this one. A dealer in Denver rivets their name into the trunk lid! I didn't get my RS from them, but have friends that did. I wonder what CO law says about that.
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Old 05-10-2000, 05:35 PM   #12
deadbolt
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Member#: 990
Join Date: Feb 2000
Location: Byoootiful WNC
Vehicle:
96 Brighton and...
many

Post

Actually depending on where the dealership is located, SOA does charge advertising on many of their cars (luckily my district doesn't do it) I know that however when I have done dealer trades with dealers in other districts, that I have had to pay their advertising charge, as they are invoiced on this charge as well as the destination charge for the car on the FACTORY INVOICE. It is BS if you asked me but it is SOA's BS on that one not the dealership's choice. Sounds like you are getting a pretty fair deal. You could possibly save the ad fee by getting a car from another district, but it sounds like they are treating you right on the price.

[This message has been edited by deadbolt (edited May 10, 2000).]
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