PDI Charge on a New RV Question

[DebbieA]

I'm in the process of researching and buying a new Mercedes Sprinter Chassis RV and have moved from online research to hitting the dealers. (this will be my second RV, I previously had a small travel trailer, but was not really involved in the purchase process) One dealer I went to mentioned PDI, I wasn't sure what it was so looked it up online when I got home. Well you can imagine my shock when I discovered what it was he wanted to charge me an additional $3,995 for! I consider myself a savvy buyer, I know what the range of the markup on a new RV usually is, and have my bottom line out the door figure already calculated. So I'm not necessarily concerned about what ever they "call PDI", but has anyone actually had a dealer try to add PDI for that much??? In my opinion it should be part of the dealership's overhead etc and I'm sure I'll pay something for it in the final figure I pay, but I've never heard of someone trying to charge that much. I can't imagine what they would actually do for $3995.

[map40]

Get the OTD price you you want and when you do the walk through and find issues they missed ask them for a refund of the PDI and make money that way!!!!

[PSW]

Here is one technique if you are not using dealer financing (paying cash or have already made arrangements at your bank, credit union, Uncle Willy, etc.). Make the deal, write out a check in front of the sales guy/sales manager, whoever. Hold the check in your hand and simply say that is the total to the penny you are going to pay them, period. If they balk, tear up the check and head for the door.

Always have "extree" checks! Most of the time, they will come a runnin'!!

Isn't it a shame that we are reduced to these tactics when dealing with so many of these folks? Buying an everyday vehicle or an RV should be an exciting purchase and time, not reduced to a an experience of grief, anger and frustration.

Our last RV purchase was from an individual and boy was it a pleasant, coffee drinking, story telling experience. Why don't dealers learn? Why don't sales people educate themselves? The individual seller and I came to an agreement in fifteen minutes and we went to the bank and completed the transaction. That was after I inspected his almost new unit with a fine tooth comb.

Paul

[ron_dittmer]

x96mnn wrote:
What people really need to be not "caught up into" and the OP mentioned it, anything other then the final price out the door. I don't care if the charge 5k for the unit and 55k for the PDI on paper if 60k is a great price I am buying.

Given identical OTD cost to the buyer, I believe it is to the buyer's benefit to be charged more PDI and less purchase price. This because sales tax will be only on the purchase price. So charge me $55,000 in PDI and $5,000 for the motor home. Then I will pay sales tax on a $5,000 purchase. 🙂

[mgirardo]

We didn't pay a fee for PDI on our first two RVs as far as I can remember. We offered the dealer a price and they accepted it. If they charged a PDI, it didn't effect the bottom line.

On our current motorhome, they did charge us a fee of $1,500. However, that was included in the bottom line price. We asked them what was a realistic price of the motorhome. They told us, the last one they sold went for this much and that is what they'd like to get for the one they wanted to sell us. We were happy with their offer. They added PDI afterwards, but lowered the price of the MH so the bottom line would not be affected. The only thing we paid extra for was sales tax, licensing and documentation fees.

-Michael

[DebbieA]

coolmom42 wrote:

JAXFL wrote:

haddy1 wrote:
Your bottom line is yours.

How they get there is their problem.

Every time that I shop for a vehicle, I only accept their out the door cost for comparison.

X2

X3

I totally agree, and that's what I'm sticking too, I was just flabbergasted with the $ amount he was quoting me for that "service" By the end of the conversation he finally "got" that I wasn't budging from my bottom line, stopped discussing PDI and agreed to my bottom line IF I financed with them (even though I told him more than once I already had my own financing already approved and ready to go). All that being said I wouldn't buy from this dealership just because of this guy AND their horrible reviews for service, sales tactics. Not to mention the fact he insulted my intelligence more than once. :B

[coolmom42]

JAXFL wrote:

haddy1 wrote:
Your bottom line is yours.

How they get there is their problem.

Every time that I shop for a vehicle, I only accept their out the door cost for comparison.

X2

X3

[JAXFL]

haddy1 wrote:
Your bottom line is yours.

How they get there is their problem.

Every time that I shop for a vehicle, I only accept their out the door cost for comparison.

X2

[gbopp]

I think the question is, why do you pay for a PDI on a new vehicle that 'should' be in perfect working condition?

You're just paying for the poor workmanship and quality control from the factory.

[haddy1]

Your bottom line is yours.

How they get there is their problem.

Every time that I shop for a vehicle, I only accept their out the door cost for comparison.

[Old-Biscuit]

Contact the MFG and ask why dealer is charging you $4K for the PDI....see what kind of response you get.

[wolfe10]

Hemi RT wrote:

wolfe10 wrote:
STRONG SUGGESTION: Make sure you use an independent inspector. It is not reasonable to use the dealer's personnel who is selling the unit to do an indepth inspection.

How long do you think a tech would last at the selling dealership if he blew a deal because he found major issues or even identified a couple of hundred dollars of needed work on each coach he inspected???

actually he wouldn't last long if he over looked things he found wrong. On a PDI most defects found are charged to warranty, on used units defects are charged to the unit. A dealer selling defect units won't last long in business if he didn't repair defects found. In most cases the dealer has already allocated a certain amount against the trade in value to do most of the repairs and the inspection itself. At most dealers the unit won't hit the lot until the inspection and repairs are done; if it is too costly to repair properly then the dealer will wholesale the unit to a second hand lot and let them deal with it, the second hand lot may fix it or sell it as is with a smaller mark up to at least make some profit.

I apologize. I failed to trigger on this being a NEW coach. You are absolutely correct. Too familiar with working with used coaches and that is what I responded to.

[Hemi_RT]

Not all but most RV manufacturers actually pay the dealer to do the PDI, Keystone pays the dealer through a warranty claim 2 hours to do the PDI and if I remember correctly most of the other manufacturers do the same. To the manufacturer it is the final step in their quality control as long as the dealer does the PDI properly. Just like the dealer has to eat repairs done in the first 90 days as the manufacturer thinks that it should have been caught during the PDI. Most adjustments are also covered during this 90 day period and not covered after this period. Most dealers will find a way to cover these for the customer for up to a year

[NoVa_RT]

PDI is just part of the dealer's overhead. They may have accounting reasons to make it a separately listed item, or it may be a way of adding additional dealer profit. Probably both. Research what is a fair price and make your offer the full price, plus tax & title, nothing else.

Car dealers used to try to shift some of their overhead to buyers, adding an "advertising charge" to the invoice, or on really popular models even adding "additional dealer profit". No need for buyers to make that part of their offer. As always, if a dealer can sell a unit for more, he/she will do so, but buyers can set their own limits, too.

[Hemi_RT]

wolfe10 wrote:
STRONG SUGGESTION: Make sure you use an independent inspector. It is not reasonable to use the dealer's personnel who is selling the unit to do an indepth inspection.

How long do you think a tech would last at the selling dealership if he blew a deal because he found major issues or even identified a couple of hundred dollars of needed work on each coach he inspected???

actually he wouldn't last long if he over looked things he found wrong. On a PDI most defects found are charged to warranty, on used units defects are charged to the unit. A dealer selling defect units won't last long in business if he didn't repair defects found. In most cases the dealer has already allocated a certain amount against the trade in value to do most of the repairs and the inspection itself. At most dealers the unit won't hit the lot until the inspection and repairs are done; if it is too costly to repair properly then the dealer will wholesale the unit to a second hand lot and let them deal with it, the second hand lot may fix it or sell it as is with a smaller mark up to at least make some profit.