Questions about requesting bids from dealers

We ordered and asked 4 dealers or so for quotes. We were up-front about getting prices from multiple dealers and that I don't haggle- give me your best out the door price and that's that. You get one chance.

I had a price in mind for what I was trying to hit after hitting up the internet "wholesalers" (ok, not real wholesale- "internet volume dealers w/ no after sale service").

Here's my write up about it:
How I Negotiated For My RV

I have to add, we did have some "custom" requests so had to order, but this would work with only factory options.

If we are talking MH, then I think this system works better. Most MH makers don't mass produce. I think Tiffin requires any dealer to order XX number of units per year. When shopping, I didn't see a whole lot of inventory out there to choose from.

You would not be doing something terribly unheard of to order just what you want. We specified color, interior, options and all the way to having some decorative studs deleted from the upholstery, a kitchen faucet from the diesel line and a solid surface counter in place of a laminate in the bathroom. Tiffin gave me the price direct for these customizations. I passed these prices on to the dealers in my quote request. That way, they were all pricing the same exact unit.

When we bought our Newmar we knew what model we wanted. Many custom changes could be done with Newmar units - at that time anyway, but don't know if they still will do so many changes. That was 10 years ago. We went to the factory and the sales rep wrote up our specs including the many changes and additions we made.

We then emailed 22 dealers across the country and we bought from the one who gave us the best price on exactly the same unit. That's when we made the deposit and they began building it. As full-timers, we didn't care where we bought it as we'd probably never return unless we happened to be the area again.

It worked out great and was such an easy way to purchase. We've done that for our other vehicles, also. We feel that if they realize that they're not the only guy in town, they'll be more realistic in pricing. We had a $20,000 difference between low and high.

Newmar doesn't mass produce like some other manufacturers so I don't if this method would work with all.

I first did my research, deciding on the make and model I wanted. I then decided on the options. I knew the invoice and the MSRP. Then I contacted 2 high volume wholesale dealerships - neither of whom was close to me. I chose these two based on very favorable reviews posted by past customers on rv.net.

I emailed both of them separately with the make, model, and options I wanted and asked for FIRM quotes. I did not tell them they were in competition with each other. I chose the low bidder but they were both close - I just had a better feeling about one of them. The salesman ordered my rig after I provided a down payment. He called when it arrived and I drove up and picked it up.

I also am of the opinion you can get a better deal by ordering a custom unit rather then buying off the lot because the dealer has no money invested in it, as cjoseph also states. Also, I wanted a rig with all the options I had decided on, not most or some of them. And I didn't want to pay for options I didn't want.

I was about to start full timing so I had no 'local' dealer. Ohio, Florida, Nevada - it's all 'local'.

As you might guess, I have never bought a car or truck off a lot. Have always ordered them.

Tim

If you really want to get the best price, I don't like to show my "Cards" to everyone in the game. I would rather not disclose any information to the dealers who you might be talking with.

The other dealerships might feel that one dealer is not playing fair, and complain to the manufacture, and get that dealership in some sort of trouble.

When I worked for a City, they would purchase several pickup trucks a year, along with about 4 large 10 yard garbage trucks. (their fleet was large enough that replacing 4 trash trucks a year, and all of them would not be replaced in 10 years).

Sometimes they would advertize in the newspaper for requests to bid on something, and have a date to pick up the vehicle specs, and that package would give details on the vehicles to bid on. It might include something like 4 police cars, 5 pickups, and other cars that can be purchased from a local car dealer. They would have to specify when they expected delivery, and how the winning dealer would get paid for any vehicles they bid on and where the lower bidder.

We would not give a deposit, but the dealership was signing a purchase order, and knew we where not going to back out of the contract once it was signed. If they where the low bidder on say 4 police cars, but not on the pickup trucks, we could accept the cars from them, and pickups from another dealer. Then the City would issue a $80,000 check when the cars arrived and where the correct color, and had the required options.

Other times they could accept a "Fax Bid" where the City contacted several dealerships. THey might specify a pickup less than 1 year old and less than 15,000 miles. Any dealership could place a bid, and when opened, they can accept any or all of the bids, depending on the City's needs. It was much quicker, and usually was started when a local dealership called to say "We have this very nice year old pickup with 9,000 miles, turned in on a lease return" or something. We would need to act quickly, and sometimes could purchase a vehicle at a $10,000 savings off the brand new price.

So you can ask dealerships to place a fax bid, or mail in bid, with all bids to be opened at a certain time. We HAD to have a open bid process, and open the bids in a conference room that anyone could attend, sometimes the local dealers would show up to see what the lowest bids are, and see how low they must go to gain our business.

You might be able to get a better price if you acted like a corporation! You can incorporate in most states for only a few dollars. Then it looks like 'RKW Leasing" and then you might get more bidders. When they call, act like you have no concern who will actually own the vehicle, just it will be sold to another client. Just that you have a client who wants a certain RV with certain options. Always act like you need to contact the client. So if they say "We have everything on the option list plus built in dishwasher, yet instead of the brown, it is black and white painted exterior". You must act distant, and not scream "It will work out great!". But say something like "I will ask the clients and see what they have to say about that".

When I was in air conditioning school, in Phoenix AZ in 1983, I wanted to join Price club. But you had to have a business license back then, so I rode my bicycle down to City Hall, opened a business, and got the tax license, and was able to advertize for clients, tell them I worked at "Golden Aire". It only cost about $25 back then, and I was only 18 years old. I got my Price Club Card too!

Hopefully you can get the dealerships to work with you. I think it will all work out in the end. My sister used to purchase cars for a real leasing company (well 3 of them). She would buy 10 - 25 cars a week. She got real good at dealing with the fleet sellers, who knew that she was going yo buy more often than not buy.

Back in 1985, Toyota's where consistently selling at MSRP or higher costs, while she was able to buy Toyota's at MSRP or $500 to $1,000 less than MSRP. The company could sell the cars with 50 - 250 miles on them in Sacramento area at $2,000 - $2,500 more than MSRP! This would cover the costs to truck the cars from LA to Sacramento.

Fred.

That's exactly how I bought my MH. I used Tiffin's price sheet and chose the options I wanted. I then e-mailed that to six dealers.

It took some back and forth, because they played some games. I told the lowest bidder to e-mail on order form and I would sign it and make a deposit. That's when the salesman added some bogus charges and put the brakes on that potential sale.

I then went back to the drawing board and told them all to give me a price with everything but tax and title charges.

Ultimately we went with a dealer that was closer to home and paid more than the lowest priced dealer.

BIG MISTAKE. We thought there might be some service after the sale.

Contrary to popular belief, you can get a slightly better price by ordering a unit to be built. The dealer does't floor plan it and knows it is sold as soon as it comes in.

I'm guessing you won't find many dealers who will take you up on this idea.
What's to stop you from taking the lowest offer then using that to get a slightly better deal from another dealer. Playing one against another. Ever try to get a car dealer to put their very best offer in writing signed by the boss? Not going to happen.
You might say "well I just wouldn't do that. It's not fair". How would a dealer know that?

Not going to happen.

I guess calling for bids with tight specs is ok but be prepared for lots of reading. You also might loose the best deal because you of your bid specs. Check out the inventory on their websites then ask for their best prices on what they have that you could live with. A little more work on your end but maybe the best way to buy. Sometimes buying close to home is worth a bit more money too.

tatest wrote:
You can request whatever you wish, the dealer can respond however he wishes. You make clear whatever terms you need to make clear, the dealer may or may not honor your terms. I think most dealers would prefer to sell existing stock closest to your requirements, to get stock off their floor plan loans.

If you accept a bid, and the dealer must order from the factory, you will usually need to make a deposit.

If you have exacting requirements, you need to make that clear. Otherwise, the dealer may not be able to meet your requirements. The factory might not even be willing to build to your requirements; this depends very much on the company and brand, some manufacturers do custom builds, others do not.

You might try whatever mind games you choose for this venture, including competitor names in your solicitation if you choose, but email is not really a good way to do business for a purchase like this. Many dealers, even manufacturers, do not treat email as serious business, as there is so much fraud and spam coming in. If you are making a serious request for quotes, spell it out in a formal proposal, send it as registered mail.

Thanks.

Would you consider an RV that was ordered with only the options specified as available by the manufacture to be custom?

You can request whatever you wish, the dealer can respond however he wishes. You make clear whatever terms you need to make clear, the dealer may or may not honor your terms. I think most dealers would prefer to sell existing stock closest to your requirements, to get stock off their floor plan loans.

If you accept a bid, and the dealer must order from the factory, you will usually need to make a deposit.

If you have exacting requirements, you need to make that clear. Otherwise, the dealer may not be able to meet your requirements. The factory might not even be willing to build to your requirements; this depends very much on the company and brand, some manufacturers do custom builds, others do not.

You might try whatever mind games you choose for this venture, including competitor names in your solicitation if you choose, but email is not really a good way to do business for a purchase like this. Many dealers, even manufacturers, do not treat email as serious business, as there is so much fraud and spam coming in. If you are making a serious request for quotes, spell it out in a formal proposal, send it as registered mail.