emesap43

Hello everyone - I would like to hear from other Canadians about their experience with negotiating price on their vehicle.

I have obtained the invoice price report from both CarCost Canada (paid service) and carsaver.ca (free) and they match. The report from CarCost Canada is more comprehensive and contains the incentives currently available.

I have two questions. The first, what is your experience around where I should expect to find myself between sticker and invoice price? The second, how do incentives come into play when the vehicle will need to be ordered as the current offer will expire well before delivery? Both previous vehicles I obtained from my dealership were from the lot so it was much more straightforward. Same goes for residual and rates on lease. What do you recommend to acheive a reasonable offer that factors in these unknows?

Thanks for your advice.

emesap43

YYZ-E55

If you're talking about an ML, the order bank is full until spring (early summer delivery) hence your opportunity for a discount is somewhat hampered. Good luck - especially since there aren't many dealers in your area!

As for national incentives, your best opportunity will be the autoshow deal which is generally three waived payments. Residual values will drop over the next few months until the MY13 hits, but you can expect rates to drop as well in order to maintain the current advertised payment. I wouldn't expect to see any hot deals on the ML this year given its sales pace.

jweezy

Go at the end of the month, at 8pm. You will walk out with a good deal.

emesap43

Thanks - my current lease end is at the end of June - my sales person warned me of the time it would take. So this would work out well if I can negotiate something in the next few weeks.

emesap43

Does the end of month technique work for a vehicle that needs to be ordered?

Habsone

My MB dealer and I have understanding on $500 over invoice no matter when I purchase/Lease, and I keep all the Incentives that are available at the time of delivery. Plus he furnishes all weather mats, License plate frame etc. for free. In your case you have leased the ML. You should have the upper hand in negotiating a great deal for your self. If they play hard just tell them you're about to test drive X5 and Cayenne. Tell them in no uncertain terms that you're willing to go else where and will try something new if you did not get a fair deal and start walking.That will get him nervous. Very few deals gets done on First day of negotiations unless if it's in dealer's favor. I understand you're in Canada but it should not matter. I am driving 2011 X5d currently. MSRP was $63475 negotiated price $52000 (with incentives) it took 10 days of negotiations First day at dealer ship and rest over the phone.My initial offer was $51000 they were stuck on $543** on final day of negotiation they called again and I went up to $52000 and said that was it. Few min. later he called back and we had the deal. To be honest I was shooting for somewhere around $52500 to $53000 but to get to that price I had to start from $51000. Forgot to mention dealership was 3.5 hours from where I live but was worth it. I wanted to go with 2011 ML bluetac but my Dealer did not have the one i wanted and did not want 2012 ML. Hope my experience will help you and others in negotiating a good deal. Good Luck to all.
Regards,

YYZ-E55

Canadians do not get anywhere near the discounts that Americans do. US dealers make big money through dealer award programs (volume incentives) - with Canada being 1/10th the market, the incentives just aren't as robust.

Habsone

What I'm trying to get at is you try to get as much as discount you possibly can get. Also go to the dealer with the realistic numbers with which he and you can play. Before you go to dealer ship do your home work. Find out which incentives are on offer.Build your car at a website that offers invoice price.It will cost around $50 in Canada. Start with just below invoice or at invoice depending what time of the year you are negotiating. If you go to dealer ship around Oct. and ask a dealer to sale you new year model at below invoice or at invoice it will not happen. If purchased/Leased from the dealer's lot chances are you will get better deal then dealer having to go find you a vehicle from other dealers.
Regards,

emesap43

Thanks

GregW / Oregon

Just go look at the prices on the German website and you will gladly pay list!

lboudreau

+1!

I was in Germany last year and I couldn't believe how much they charge for what is essentially a domestic car. Although most of the reason for the high price is tax

GregW / Oregon

Well, the ML is an import there! I think VAT is like 17%, is that right?

emesap43

In the case of the ML, the car of US origin and would be considered as a NAFTA import. That would mean that the Canadian import tax is not there like German origin cars.

jean7of9

And we are lucky when we get a B200 for courtesy car otherwise it is a Smart, despite the $660 cost for service A or B. Not even a C-Class.

In Quebec, our Federal and Provincial Taxes amount to 14.5% of the bottom line.

jean7of9

YYZ-E55: Do you know when MB Canada will list the ML-550 on its website.

YYZ-E55

Sorry, I'm not sure exactly when it will appear. I would expect soon as production has started.

Wholesale release is planned for February 8th.

DAM

MB Canada has overpriced their vehicles in comparison to MB USA. I drove to the US looked at a couple of MLs and now driving one. Saved me over 10k, besides the customer service is way better.
With our dollar at par is worth the drive.... US dealers are very happy to deal with Canadian customers.

jean7of9

1) Are you driving with a USA license plate in Canada? This option can be tempting for someone living close to USA borders. My W164 required 14 repair visits to dealer in the the first year. That means 18 border crossings.

2) Is your warranty honored in Canada. Years ago there was an exodus of Canadian Buyers looking for favorable USA prices of all brands. This trend stopped when Canadian Dealers decided not/not to honor the warranty on USA originated cars, except for USA residents. MB readjusted its Canadian prices to reflect our present boom. They do that every few years. So far buyers are not shied away with the price difference nor with new higher taxes in Quebec.

3) My Dealer provides an excellent technical service second to none. But he does not pumper us with ML or E-Class courtesy cars like some USA Dealers.

4) It is very difficult to have excellent deals in Quebec at this time because the lots are sold out. Here is an example: The Porsche dealer in my District sold out all his quota of 2012 Cayenne by September 2011. He is about to be sold out for the 2013 model. Very few cars on the lot.

DAM

I had my car shipped via TFX transport from the dealer to my driveway. I paid them to do do the brokerage at the border. It means no headaches for me. If you are bringing a vehicle made in USA, or Mexico it falls under the NAFTA agreement and you will be exempted from paying 6.1% import taxes.
I contacted MB Canada in regards to my outstanding warranty. They told me that I would have to give them my car for 30-45 days so they would be able to do the modifications.

According to MB Canada, the cluster and temp controls had to be changed in order for Canadian warranty to be valid. I think this is a huge theft and means to deter any one from purchasing a MB in the US.
However, the US dealers WILL honour the remaining of the warranty. Now, if you do not want to drive to the US foe what ever reason, you can take your vehicle to a Canadian dealership and send your receipts to the MB USA. They will send you a cheque 4-6 weeks later.

I have been now a couple of times to the Buffalo dealer and their service is outstanding. They have a large number of Canadian customers, and because of their economy being somewhat unsteady, they welcome us with open arms. Our dollar has been very strong which has again caused a trend of Canadians buying luxury cars in the US.

The whole procedure is very easy and painless. I saved 10k at the end of the day and ended up with an awesome vehicle.

Canadian dealers have NOT adjusted their pricing in comparison to our neighbors to the south. How is it that a FORD built (assembled) in Oakville, Ontario will cost less in Texas?

YYZ-E55

I imported an E46 M3 from the US. Saved about $10k versus buying in Canada. When I sold it (in Canada) two years later, it was worth $10k less than a comparable Canadian car. And since it was a US car, no local dealer was willing to take it in on trade. I had to go through the hassle (and tax disadvantage) of private sale.

The lesson for me was that unless you plan to drive your US import vehicle for 5+ years, you're fooling yourself with respect to the "true" savings.

jean7of9

DAM: Congratulations for your new W166. I would not want to diminish your joy for the new ride. You did what you thought was the right decision for you. All cars are much cheaper in USA and all manufacturers are willing to do what it takes to protect their Canadians dealers and prevent them from closing. I will order my 2013 ML-550 in June after all prices, colors and options become available, and all gremlins controlled. Otherwise I will wait. My dealer is 15 minutes away.