How to Save Money by Doing Euro Delivery

[Nat Brown]

I'm going to make a web page on this topic and we can point to it. So if you disagree, want to clarify, add info, etc., let me know and I'll consider changing it.

HOW YOU SAVE MONEY ON EUROPEAN DELIVERY

There are two ways to save money by buying a BMW through the European Delivery program: 1) the price is lower, and 2) you have better leverage to negotiate the price.

1 THE PRICE IS LOWER

BMW has a lower invoice base price for European Delivery cars. You can usually find the invoice pricing on eurobuyers.com, among other places. The invoice price is the price a dealer claims is the base price of the car before they take a profit. With other manufacturers, you can compute a wholesale cost, which is invoice cost, minus holdbacks, dealer rebates, etc., but BMW doesn't do this. Usually you have to subscribe to a service, like Consumer Reports to discover the wholesale cost, but because of BMW's sales policy, the invoice cost is all you need.

Another price saver is that a Euro Delivery BMW does not incur the MACO advertising fee, or any other fee other than delivery, taxes and licenses.

At the time of this writing, the difference between invoice cost on a Euro Delivery and "regular" BMW 330i is $2325 on the base price. Some will look at this number, compute the cost of a trip to Europe and time off from work, and decide that a Euro Delivery BMW is not worth the money. However, we're just getting started. With a Euro Delivery BMW, you have more room to negotiate.

2. YOU HAVE BETTER LEVERAGE TO NEGOTIATE THE PRICE

Here's how BMW sales works. Each year, the dealer is given an allotment of cars. This means, a dealer may be able to order 500 cars from BMW. The dealer will order some of these cars for their lot and special order others. Some dealers claim that almost all their cars are special ordered from the customer. When the car is sitting on the lot, supply and demand is at work.

If BMW's are hot selling cars, which they always are, someone is likely to come in fairly soon and make an offer on that car. As it goes, there are not enough of these cars to go around, and with the allotment process, supply is limited. So salespeople don't negotiate on BMW's like you would, say a Ford. This is also true on special order BMW's, because although the car isn't sitting on the lot for someone to buy, that allotment space is sitting out there in virtual space with an expected level of profit.

So with the normal allotment process, if you won't buy the car at sticker, above sticker, or whatever the dealer can get for the car according to market conditions, in a reasonable amount of time, someone else soon will. This is also how dealers can get "regional markups" of tens of thousands of dollars on performance BMW's, like the M3, M5 and Z8. Supply and demand. Someone will pay the markup in a reasonable amount of time. European Delivery cars bypass this economic process.

European Delivery cars do not come out of the dealer allottment. Instead BMW ED cars come directly from the factory. The dealer has no expectation of profit from a European Delivery car, since they have no way of knowing how many they'll be getting over the year. Dealers can be peculiar because of this.

Some dealers aggressively try to sell ED cars because it's pure profit. It doesn't come out of their allotment, so it's icing on their cake. Other dealers don't understand the ED process or don't want to be bothered with their already lucrative profit from allotted cars, since they will likely make less money on a European Delivery car. A third group of dealers try to bypass the economic system described previously by simply not negotiating at all on European Delivery cars, possibly feeling that if enough people hear about this, they won't pay their inflated prices for standard allotment cars.

In any case, there are BIG savings beyond the invoice reduction on a European Delivery car when you find a dealer willing to negotiate. The savings are large enough that it wouldn't be unreasonable to purchase a ED BMW from another state, if necessary.

What kind of savings are we talking about? If you add up your costs for the car: base invoice cost, invoice cost of options, and delivery, you can often negotiate with the dealer for as little as $1000-1500 over invoice in profit. Let's look at a full fledged example to see the price savings.

EXAMPLE PRICING OF A EUROPEAN DELIVERY CAR vs. REGULAR CAR

Let's look at a regular BMW 330i with a sport and premium package. You're paying:

REGULAR ALLOTMENT BMW:
$38,735 ((including destination & Handling)
-------
BASE: $34,635
SP: $1200
PP: $2900

EUROPEAN DELIVERY BASE PRICE (not negotiating): ($2325 discount)
$36,410 (including destination & Handling)

EUROPEAN DELIVERY NEGOTIATED PRICE ($1500 over invoice)
(including destination & Handling)
$34,640 (savings of $1770 over ED base and $4095 off allotment car)
BASE: $29,410 (including destination & Handling)
SP: $1090
PP: $2640
Dealer Profit: $1500

So if you understand the allotment process and can negotiate on the already lowered European Delivery invoice costs, you can save over $4000 on your new car!

SO WHAT ABOUT GOING TO EUROPE?

You, personally, must show up to take delivery of the car in Munich with your passport. You can always show up, drive the car across town to the dropoff location and fly out the same day. You can even pay a small fee (about $50) and have them do this for you. A round trip ticket to Munich is currently about $550 and can go up depending on the season. Munich is a large town, so there's a range of accomodations from about $60-150.

A Euro Delivery car is probably best savored on the Autobahn during an amazing vacation, but hey, some people don't like to travel for whatever reason.

BUT I CAN'T NEGOTIATE! I DON'T KNOW HOW! IT SCARES ME!

Use the Rizzo Method. Create a fax with your invoice, pricing in a spreadsheet and offer for your ED car. Fax it around to dealers in your area, telling them to fax back their acceptance. If your local dealers won't negotiate, broaden your circle. With over $4000 on the line in the example above, and plans to fly to Europe, are you really THAT reluctant to travel a bit in your own country?

In November I got the car listed in the example above from a local dealer for $1000 over invoice. I would have been happy to fly several states over for such a deal, but I got lucky.


--gary ray
:thumb:

[bmw325]

this will be a good post to refer to when people ask questions about ED. Whenever I try to explain it to people, they keep looking for the "catch". Thanks.

[in_d_haus]

Caveat...no discount for M car with Euro. or X and Z3's (they are made in Spartanburg USA)

[DaveN323i]

Originally posted by in_d_haus
Caveat...no discount for X and Z3's (they are made in Spartanburg USA)

Can someone from Europe get a discount for American delivery?:)

[Nat Brown]

I'm going to keep the article entirely about the money. A FAQ would be another good idea. Maybe someone would like to compile it?

--gary

[uter]

Another plus is the the 2002 BMWCCA members' rebate applies to European Delivery for 3, 5 and 7 series! ($500-1500)

http://www.bmwcca.org/PDFs/Form-MembershipReward.pdf

[Nat Brown]

Check is in the mail for me....

[chalkem77]

Nat, thanks for the writeup! I am going to do ED for my next BMW and this cleared up a few of the money questions I had. :thumb:

I'm in the Bay Area, which makes ED an especially appealing option for me because of the supply/demand issues here. It's hard to get anything close to the ED price here. I will probably go through Cutters, but just out of curiousity, has anyone here done ED with a Bay Area dealer? if so, which dealer, did you get a good price, and how was the overall experience? Thanks.

[Nat Brown]

I got my $1k over invoice from a SF Bay Area dealer. $1500 is no problem. Give it a shot.

--gary

[ayn]

Awesome writeup, I want to do ED some time, seems fun.

--Andrew

[Nat Brown]

http://www.bariaur.com/e39/EDsavings.html

:thumb:

--gary

[hts]

but can you pls clarify the part about the 'small fee' ($50) to have them 'do this for you'? What are you referring to? I assume having BMW deliver the car from the pick-up center to the drop-off point (Munich EH Harms?), but one might infer that you're suggesting that for a small fee, you don't even have to pick up the car yourself, which might be a little misleading.

Thx,

hts

[Nat Brown]

"You, personally, must show up to take delivery of the car in Munich with your passport -- no exceptions. You can always show up, drive the car across town to the drop-off location and fly out the same day. You can even pay a small fee (about $50) and have them do this for you. "

[hts]

guess that's what i get for skimming.

:rolleyes:

[Nat Brown]

I revised it further to clarify -- most people skim....

"You, personally, must show up to take delivery of the car in Munich with your passport -- no exceptions. You can always show up, drive the car across town to the drop-off location and fly out the same day. You can even pay a small fee (about $50) and have them do this cross-town drop-off for you, but you absolutely MUST go to Munich to at least fill out the paperwork. "

[hts]

Now it's crystal clear to even a dummy like me who skims...

[jtklein]

Has anyone been succesful negotiating ED prices in Houston recently? I have had two dealers tell me that they won't come down off of the ED list price for a 330i.:cry:

If you have been successful, which dealership?

Thanks.

[Nat Brown]

Sounds like you need to shop outside Houston. I suggest widening your search in concentric circles, sending out faxes "Rizzo" style.

--gary

[Phantom]

European Delivery for a 911 is totally different. Use to be $10,000 bond before leaving that would be returned to you. Better check.

[ZBB 325Ci]

Um... Porsche is a different company and probably has different ED Rules.

I did ED last year for my 325Ci and it worked just like mentioned above...

Originally posted by Phantom
European Delivery for a 911 is totally different. Use to be $10,000 bond before leaving that would be returned to you. Better check.

[Cruzer]

Originally posted by jtklein
Has anyone been succesful negotiating ED prices in Houston recently? I have had two dealers tell me that they won't come down off of the ED list price for a 330i.:cry:

If you have been successful, which dealership?

Thanks.


Don't bother trying Momentum or Advantage, they suck bigtime. I recommend Garlyn Shelton in Temple. They will be very competitive with the other ED prices you have seen on this board. I faxed my offer, and they accepted it off the top (no sense trying to draw blood when they are nice and reasonable). I am very happy with their service to date. When the day comes, I am scheduling a business trip to Austin and will have a co-worker drive me up to Temple. The drive back will be very fun, as I will take the long way back and take all my favorite hilly/curvy cutbacks. Good luck.

BTW, is it me, or are there a ton of very stupid buyers in Houston. I'm all for paying a "fair" price, but I've had many friends tell me that they just paid 500 under MSRP because that's all they could get. Screw it. I walked. Loaner car? They can kiss my ass. The extra $1500-2000 of savings would pay for 2-3 months of rental cars. Plus, I can just catch a shuttle to work instead of taking a loaner. These guys are more stupid than we are. Don't buy from them.

[myqhenry]

couple of things,

i tried negotiating a bit, didnt git to far...im paying $34,960 for a ED 330ci manual with Metalic paint, SP, Xenons and destination. Is this a decent price? With alarm, lojack and tints it came to $35,065.

and has anyone's dealer supplied them with a loaner after they got back to the states til' the time the car was in their hands?

[Nat Brown]

Originally posted by myqhenry
couple of things,

i tried negotiating a bit, didnt git to far...im paying $34,960 for a ED 330ci manual with Metalic paint, SP, Xenons and destination. Is this a decent price? With alarm, lojack and tints it came to $35,065.

and has anyone's dealer supplied them with a loaner after they got back to the states til' the time the car was in their hands?

It's all about how much you paid over invoice, rather than how much you got off from the sticker. As for loaners for ED, that doesn't happen.

--gary

[Cruzer]

Nat, great work. Thank you very much.

Do you have any info on ordering non-standard colors or upholstery materials. I have ordered a 530i, and was going to try to push for Imola Red (non-standard) and Anthracite/Leather combo seats (non-standard). Both of these are available in Germany. Any ideas?

[Nat Brown]

Originally posted by Cruzer
Nat, great work. Thank you very much.

I think the advice that Robert A gave you on the bimmer.org board is right on. No custom options, but possibly some non-standard combinations if it doesn't change the price.

I was also denied a custom item (a rear sunshade), but I could have gotten it via a normal purchase.

Robert's Response (http://bimmer.roadfly.org/bmw/forums/e39/forum.php?postid=549209&page=1)

Good luck!

--gary

[Cruzer]

Thanks again, Nat. Sorry to sound repetitive, thought you may have some different ideas. I will have the dealer call BMWNA tomorrow and try to push the options through. With any luck...

[myqhenry]

the ED invoice, i believe, is 29,610 without the options

options:
SP: 600
BI-Xenons-700
Metalic Paint-475

[radarcontact]

...was wondering, when a new model year BMW comes out, such as the 2006 330i scheduled for this spring/summer, how soon can you do a euro order? as soon as the car comes on the US market? i wonder if dealers are less willing to negotiate on a euro car right after its introduction (although i don't see how this would affect their bottom line....it's not coming out of their inventory profit).....

[Pinecone]

BTW you don't have to buy your ED car from your local dealer. You can buy it from ANY dealer and have a coutesy delivery done at your local dealer. :) The selling dealer pays a fee to the dealer delivering, but since they don't have to do it, it is a deal for them.

Only downside to ED is you can't do the Performance Center which is also a good deal.

[Mfizzle]

Did someone say that there is no benefit to doing an ED for the m series. I am trying to figure out the best way to order the M5 and i am willing to go to europe. any suggestions?

[TGray5]

Did someone say that there is no benefit to doing an ED for the m series. I am trying to figure out the best way to order the M5 and i am willing to go to europe. any suggestions?

You can still do it, but there is no euro delivery pricing and the car will come out of the dealer's allocation. by the way, I don't think you will find many deals on the M5....you'll be lucky if you can find one for only a few k over sticker
:bawling:

[Spectre]

Did someone say that there is no benefit to doing an ED for the m series. I am trying to figure out the best way to order the M5 and i am willing to go to europe. any suggestions?The only benefit is getting to drive a new M in Europe. Pricing and availability will be no better than ordering the car for US delivery. So you'll definitely spend more (European vacation) then if you get US delivery. Did you really want to drive the car in Europe? If so, than that's your sole benefit.

[BMW29]

Nat, thanks for the great post, very informative.

What happens after you drop the car off while in Germany? Are there any charges for shipping it to America?

If you could provide a little detail into what happens from dropping it off in Munich to picking it up at your local dealer, I would appreciate it.

Mike

I'm going to make a web page on this topic and we can point to it. So if you disagree, want to clarify, add info, etc., let me know and I'll consider changing it.

HOW YOU SAVE MONEY ON EUROPEAN DELIVERY

There are two ways to save money by buying a BMW through the European Delivery program: 1) the price is lower, and 2) you have better leverage to negotiate the price.

--gary ray
:thumb:

[RichReg]

Nat, thanks for the great post, very informative.

What happens after you drop the car off while in Germany? Are there any charges for shipping it to America?

If you could provide a little detail into what happens from dropping it off in Munich to picking it up at your local dealer, I would appreciate it.

Mike

You pay the same destination charge that you would pay if you bought the car here. After all, they still have to ship it here, right? There are no extra charges outside of this for shipping.

After that, it comes to the local shipping port where your dealer receives his shipments of BMWs. They clean it up, take care of any & all possible damages, & then send it right back to your dealer, where you appropriately go to pick it up. This process takes about 3-4 weeks.

[mjreddy]

You pay the same destination charge that you would pay if you bought the car here. After all, they still have to ship it here, right? There are no extra charges outside of this for shipping.

After that, it comes to the local shipping port where your dealer receives his shipments of BMWs. They clean it up, take care of any & all possible damages, & then send it right back to your dealer, where you appropriately go to pick it up. This process takes about 3-4 weeks.
It only takes 3-4 weeks from the time you drop it off in Europe to the time you take delivery at your local dealer? i've heard upwards of two months.... So, really my question is what's the over all time delay... how many months in advance of picking it up in germany do you have to order it.. and then how much longer til you can actually drive home with it? Thanks... also, is the delay in dropping it off in europe and getting it in america affected at all by the port you drop it off at?

[arnolds]

It only takes 3-4 weeks from the time you drop it off in Europe to the time you take delivery at your local dealer? i've heard upwards of two months.... So, really my question is what's the over all time delay... how many months in advance of picking it up in germany do you have to order it.. and then how much longer til you can actually drive home with it? Thanks... also, is the delay in dropping it off in europe and getting it in america affected at all by the port you drop it off at?

If you're in the east coast, 3-4 weeks. If you are in the West Coast 6-8weeks. And yes, it could be longer.

Here's the time line.

3 mos before scheduled pickup, order car
3mos to dDay, read board and keep asking questions
14 days prior to pick up, pay for car
0 pick up car in Munich
1-14 days Driver car in Europe
1-14 days drop car in Europe
4-10 weeks...go crazy waiting for car to arrive at dealership.

If you drop the car off in Italy, it is physically driven back to Munich. The port of loading is Bremerhaven, in northern Germany. Dropoff to ship can take up to two weeks depending on schedule.

[mjreddy]

If you're in the east coast, 3-4 weeks. If you are in the West Coast 6-8weeks. And yes, it could be longer.

Here's the time line.

3 mos before scheduled pickup, order car
3mos to dDay, read board and keep asking questions
14 days prior to pick up, pay for car
0 pick up car in Munich
1-14 days Driver car in Europe
1-14 days drop car in Europe
4-10 weeks...go crazy waiting for car to arrive at dealership.

If you drop the car off in Italy, it is physically driven back to Munich. The port of loading is Bremerhaven, in northern Germany. Dropoff to ship can take up to two weeks depending on schedule.
what happens if you change your mind... or want a difff car and don't pay @ t-14? do they black list you or jsut take you to court?

[arnolds]

what happens if you change your mind... or want a difff car and don't pay @ t-14? do they black list you or jsut take you to court?

Well, your dealer will be pissed but I think BMW AG will survive the setback. :rofl:

[Lorch92]

What is a good source for current ED invoice pricing? I tried the one on Nat's very informative post (www.eurobuyers.com), but it's not currently operative. Thanks!

[arnolds]

What is a good source for current ED invoice pricing? I tried the one on Nat's very informative post (www.eurobuyers.com), but it's not currently operative. Thanks!

See the stickies here.

http://www.bimmerfest.com/forums/forumdisplay.php?f=20

[Lorch92]

I had previously downloaded the E60 numbers from one of those stickies, but missed the ED wholesale line. Those prices are fantastic! Plus, a 2-for-1 trip to Germany on my favorite airline! I will definitely be going ED! :)

[okiemark]

My dealer told me that the base price ED invoice was 7% discounted from the MSRP, but the options were standard MSRP. He said that ED prices were not negotiated. I tried to point out that I had read differently here (that there was ED discount for the entire price off the regular invoice equipped car). He said that was just not right.

So, my wife and I are reconsidering doing ED on her bimmer next year, when we were going to the Turin Olympics. It may be more practical to just shop around for the best deal in the states. :dunno:

[arnolds]

My dealer told me that the base price ED invoice was 7% discounted from the MSRP, but the options were standard MSRP. He said that ED prices were not negotiated. I tried to point out that I had read differently here (that there was ED discount for the entire price off the regular invoice equipped car). He said that was just not right.

So, my wife and I are reconsidering doing ED on her bimmer next year, when we were going to the Turin Olympics. It may be more practical to just shop around for the best deal in the states. :dunno:

Your dealer is wrong. :tsk:

[PittBMW]

My dealer told me that the base price ED invoice was 7% discounted from the MSRP, but the options were standard MSRP. He said that ED prices were not negotiated. I tried to point out that I had read differently here (that there was ED discount for the entire price off the regular invoice equipped car). He said that was just not right.

So, my wife and I are reconsidering doing ED on her bimmer next year, when we were going to the Turin Olympics. It may be more practical to just shop around for the best deal in the states. :dunno:

This dealer is ED illiterate. I had a dealer here gave me the same answer. Guess what I did......walked away. Went to another and negotiated a grand deal.

[Ågent99]

My dealer told me that the base price ED invoice was 7% discounted from the MSRP, but the options were standard MSRP. He said that ED prices were not negotiated. I tried to point out that I had read differently here (that there was ED discount for the entire price off the regular invoice equipped car). He said that was just not right.

So, my wife and I are reconsidering doing ED on her bimmer next year, when we were going to the Turin Olympics. It may be more practical to just shop around for the best deal in the states. :dunno:
You might give the dealer one more shot to learn about ED if he is the closest one to you but don't even hesitate for a moment to go elsewhere to find a dealer who does know something about ED. The experience and money you save is worth a longer distance trip to a dealer knowledgable in ED lore.

Put it this way...my ED dealer is in another state! :)

[RichReg]

Your dealer is wrong. :tsk:

He's not necessarily wrong.....just greedy.

[euro-d]

You might give the dealer one more shot to learn about ED if he is the closest one to you but don't even hesitate for a moment to go elsewhere to find a dealer who does know something about ED. The experience and money you save is worth a longer distance trip to a dealer knowledgable in ED lore.

Put it this way...my ED dealer is in another state! :)

The dealer doesn't need to "learn about" ED.
They just want more money, but you can simply go to a different dealer that will discount.

I think my local BMW dealer is one of the ones that aren't interested in selling below ED MSRP. When I'm ready to buy, I'll go to them to test drive the car and see colors in person. Then I will give them a chance to sell the car if I still want it, but if they don't have a deal that is competetive with the best deal available in the state of California, I will go elsewhere to make the transaction.

[Ågent99]

The dealer doesn't need to "learn about" ED.
They just want more money, but you can simply go to a different dealer that will discount.Well, perhaps he is being greedy but maybe he isn't?? :dunno: For me, if the closest dealer is like 10 miles and the next closest dealer is like 50 miles, I might give the close dealer with the "incorrect" ED info another shot just to see if he is really ED educated or not....

Let's face, there are plenty of dealers who know zero about ED....

[Tor330]

undefinedundefinedMy dealer told me that the base price ED invoice was 7% discounted from the MSRP, but the options were standard MSRP. He said that ED prices were not negotiated. I tried to point out that I had read differently here (that there was ED discount for the entire price off the regular invoice equipped car). He said that was just not right.

So, my wife and I are reconsidering doing ED on her bimmer next year, when we were going to the Turin Olympics. It may be more practical to just shop around for the best deal in the states. :dunno:


I just recently placed my order for ED to pick up on 23 May. The ED rep negotiated a price much lower than the posted ED pricing info found on the BMWUSA website and lower than the ED pricing found on the 06 price sheet. 2006 330i Sedan MSRP $36,300 ED $33,760 Savings $2,540 - you can negotiate a bigger savings than the 2540. If he won't do it - find another ED sales rep. There are some guys that specialize in ED - and can work with you - the guy I am working with is great and comes highly recommended. I can't wait to do the pick-up in May

[cpat]

My local dealer could not understand why any dealer would go under ED MSRP. He kept saying but you are already saving 7%. When presented with pricing sheets(txs to bimmerfest) showing $3000 markup he looked at me and said "thats what we need to make to sell a car." He had only done one ED in last three years and really did not look at it as a bonus sale. He did not get my sale. I drove 180 miles to chicago, worked with a great salesman and saved a bundle. Actually all paperwork was done through mail only made trip to pick up car on redelivery.

Work with someone who understands ED!!! Both savings and knowledge helpful.

[Ågent99]

My local dealer could not understand why any dealer would go under ED MSRP. He kept saying but you are already saving 7%. When presented with pricing sheets(txs to bimmerfest) showing $3000 markup he looked at me and said "thats what we need to make to sell a car." He had only done one ED in last three years and really did not look at it as a bonus sale. He did not get my sale. I drove 180 miles to chicago, worked with a great salesman and saved a bundle. Actually all paperwork was done through mail only made trip to pick up car on redelivery.

Work with someone who understands ED!!! Both savings and knowledge helpful.
Tell him he can make 1000-1500 or zero and it won't even cost him an allocated car! No woner he had only done 1 ED in 3 years...hello, McFly!!! :tsk:

[euro-d]

Tell him he can make 1000-1500 or zero and it won't even cost him an allocated car! No woner he had only done 1 ED in 3 years...hello, McFly!!! :tsk:

I think some dealers don't want to hear it and would rather have $0 than discount anything. Just move on to the next dealer.

[okiemark]

Thanks to all for the encouragement. I may have to start emailing dealers around the state for our next BMW :thumbup:

[Speedbird]

would you believe when I walked in to a Montreal (Canada) dealership looking for a new 330, after a short chat with the salesperson she asked me if I was from europe (prob due to my accent) and if I visited the old continent, I answered yes and she immediatly told me that I could have my BMW delivered to Europe and save close to 5grand$ while having a free car there for my trip, that was the first time I heard of ED, so too bad US dealerships are such money greedy pricks and ignore this great program

[okiemark]

The salesman owned up to the actual invoice pricing on ED, and agreed to arm twist the manager into a good deal ($500 over invoice) to make up for the bad deal he gave me on my 545i ED (which is a go, and which is a better deal than my friends got for their non-ED 545). No word yet in answer. Now my wife is unimpressed with our local dealer and doubts the service there would be good. It's getting serious...she's looking at Toyotas! Can you imagine? :tsk:

[okiemark]

While the wife is in Vegas, I went to my dealer for a down-to-earth talk...cards on the table. Guess what? He started shooting straight with me. Brought home an X5 :rofl: at $1400 over invoice plus his cost on maintenance and extended warranty and entertainment system (he will install the monitors for kids on the back of front seats...and they can play video games on them....against each other?...this could be bad :tsk: ). I will have to post the pics on the X5 forum, and the pics from our June ED in the 545 here. When I think about it, I'm getting a trip to Bavaria, get to see my grandfather's birthplace and 2 bimmers at good prices compared with MSRP off the lot... all because of the ED program. And all you guys! :thumbup:

[e36M3r]

Sweet... count your blessing man!

[iceox]

EXAMPLE PRICING OF A EUROPEAN DELIVERY CAR vs. REGULAR CAR

Let's look at a regular BMW 330i with a sport and premium package. You're paying:

REGULAR ALLOTMENT BMW:
$38,735 ((including destination & Handling)
-------
BASE: $34,635
SP: $1200
PP: $2900

EUROPEAN DELIVERY BASE PRICE (not negotiating): ($2325 discount)
$36,410 (including destination & Handling)

EUROPEAN DELIVERY NEGOTIATED PRICE ($1500 over invoice)
(including destination & Handling)
$34,640 (savings of $1770 over ED base and $4095 off allotment car)
BASE: $29,410 (including destination & Handling)
SP: $1090
PP: $2640
Dealer Profit: $1500

So if you understand the allotment process and can negotiate on the already lowered European Delivery invoice costs, you can save over $4000 on your new car!


Sorry to dig up this old post, it is really a educational post, and i have a question about it, and hopeful some nice people can help me out, thanks.
My question is about the price of ED and non-ED car option packages. i have seen on those invoice PDFs, it does not give 2 different prices for a ED or a non-ED option packages, but the sample that Nat Brown gives, have 2 different prices, like $2900 vs. $2640. Can someone clear this part for me? Thx

[E90 Enthusiast]

The only variance between domestic and ED pricing is on the base price of the car. For each model, there will be a domestic MSRP and a domestic invoice price, as well as an ED MSRP and an ED invoice price.

The options/packages, in contrast, only have a suggested retail price and an invoice price (same regardless of domestic or ED).

When trying to negotiate a fair price for your ED, start at ED invoice, then add destination, and invoice price of all options you're wanting. Then add what you feel is an appropriate dealer markup to get your target price. $1000 dealer markup/profit seems to be a very good deal if you can get that from an ED 'friendly' dealer.
:thumbup:

[iceox]

The only variance between domestic and ED pricing is on the base price of the car. For each model, there will be a domestic MSRP and a domestic invoice price, as well as an ED MSRP and an ED invoice price.

The options/packages, in contrast, only have a suggested retail price and an invoice price (same regardless of domestic or ED).

When trying to negotiate a fair price for your ED, start at ED invoice, then add destination, and invoice price of all options you're wanting. Then add what you feel is an appropriate dealer markup to get your target price. $1000 dealer markup/profit seems to be a very good deal if you can get that from an ED 'friendly' dealer.
:thumbup:


Thanks so much!

[JSpira]

No custom options, but possibly some non-standard combinations if it doesn't change the price.

I was also denied a custom item (a rear sunshade), but I could have gotten it via a normal purchase.

--gary

What is ,,custom`` about a sunshade (Jalousie). That is just an option, not something custom. My car came with electric rear Jalousie and manual side ones.

[Batmobile]

MANY thanks for your good work. Any help from anyone on seeking invoice numbers and a listing of "local" BMW dealers?

[Me530]

MANY thanks for your good work. Any help from anyone on seeking invoice numbers and a listing of "local" BMW dealers?

Invoice numbers are posted in the respective vehicle forums.

[hawk123]

I think the Rizzo method is good the first time around. But once you develop a rapport with the dealer, it is better to stick with them since it does have it's advantages. You can avoid the pain by directly dealing with forum sponsorer's.

[FrankD]

You mentioned that it is possible to have a car delivered from the BMW Customer Center to the Harms drop-off center in Garching for $50 (after showing up in person). Must this be arranged for in advance ? I was going to drive it there, but this might be safer. Thanks.

[Ågent99]

Yes, this is possible. Try searching on this for details as I don't recall who you need to call to arrange this.

[knmol]

A lot of helpful info - thanks! (Definitely worth bumping!)

[knmol]

Here is a spreadsheet that we found helpful in figuring out what we were paying to lease a BMW through ED. (You'll have to save it, then change the file from .pdf to .xls before opening it.) We sat in the dealer's office with our laptop and ran numbers as we negotiated.

[Shawn_speed]

UTER in my neck of the woods posted this link close to the top of this thread: http://www.bmwcca.org/PDFs/Form-MembershipReward.pdf
It is supposed to be for a $500.00 rebate for the BMW car club of America.

The post doesn't work. Does anybody have any additional information on the rebate, correct way to access the link or if it is going to be offered for the 2007 e90 335i?

[Shawn_speed]

Never mind. You can't click on the link. You can however access it from the CCA site under "membership rewards".

Shawn

[Shawn_speed]

The pdf file for CCA reward program states: "A membership of one year or more immediately preceding the purchase date of the vehicle is required to take advantage of this program".

So the rebate is out for an 07 since I am not a member now and can't wait a year for a 335i.

[fluid]

Here is a spreadsheet that we found helpful in figuring out what we were paying to lease a BMW through ED. (You'll have to save it, then change the file from .pdf to .xls before opening it.) We sat in the dealer's office with our laptop and ran numbers as we negotiated.

knmol - thanks, that's a great spreadsheet!

[cruelshoes]

My Audi A4 lease is up in early Jan '07 and I am interested in leasing an '07 328xi with automatic, premium package & metallic paint. This would be my first BMW. As to the ED cars, do dealers already have them in stock or do they need to be ordered from the factory? If they are already on the dealers' lots then obviously you cannot select your options, but I believe the car I am looking for has options that are common. Has anyone purchased a ED 3 series from a BMW dealer in the NY metro area recently?

[JSpira]

My Audi A4 lease is up in early Jan '07 and I am interested in leasing an '07 328xi with automatic, premium package & metallic paint. This would be my first BMW. As to the ED cars, do dealers already have them in stock or do they need to be ordered from the factory? If they are already on the dealers' lots then obviously you cannot select your options, but I believe the car I am looking for has options that are common. Has anyone purchased a ED 3 series from a BMW dealer in the NY metro area recently?Dear Cruel

I am not sure I understand your question. How could a European Delivery car possibly be in stock at a dealer or "on the dealers' lots"?:dunno:

[Tanning machine]

Dear Cruel

I am not sure I understand your question. How could a European Delivery car possibly be in stock at a dealer or "on the dealers' lots"?:dunno:

Fundamental misunderstanding of the program?

For that poster: It's not atype of car, but rather a discount provided on the same car if you are willing to take delivery in Europe, and have it shipped (at BMW's expense) to the US.

[JSpira]

Fundamental misunderstanding of the program?


Possibly, and I recognize that many, MANY people don't really know what European Delivery is. But I don't think I've seen anyone come to the European Delivery forum here and not know that this means you are picking up the car at the factory.

[blueguydotcom]

I think the Rizzo method is good the first time around. But once you develop a rapport with the dealer, it is better to stick with them since it does have it's advantages. You can avoid the pain by directly dealing with forum sponsorer's.

Unless you felt your last ED was a slight screwing. :dunno:

[cruelshoes]

In the first post of this thread, Nat Brown explains how it is possible to search dealers within the US that are allotted ED cars. Please refer to that post and let me know if I still have misunderstood ED.

[JSpira]

In the first post of this thread, Nat Brown explains how it is possible to search dealers within the US that are allotted ED cars. Please refer to that post and let me know if I still have misunderstood ED.
Please start with a tabula rasa and read my article on the March issue of the Roundel (it is a sticky in this forum also). Then you will understand the process bette.

[X3 Skier]

In the first post of this thread, Nat Brown explains how it is possible to search dealers within the US that are allotted ED cars. Please refer to that post and let me know if I still have misunderstood ED.


I read the first part of it and it clearly states the fact that there is NO allotment of ED cars.

Not sure what your question is but if you are wanting a list of ED dealers, its the same as the list of BMW dealers. Just some are really tuned in like the Board Sponsors and others don't understand the process (or don't want to understand the process).

Cheers

[volant99]

hi all,
newbie to forum. just wanted to clarify nats abbreviations. what does sp and pp stand for? thanks

[brianlbailey]

sp = Sport Package
pp = Premium Package

[1994_RX-7_Tour]

Everyone,

I've gained a lot of knowledge on the ED negotiations - and just today faxed a bunch of sheets to various BMW dealers I travel close to or have already talked to. Got my first reply less than 1 hr after I faxed them. (2K over invoice, not good enough for me).

My only thought regarding "Rizzo's Method" is this - consider NOT putting your target price to pay on the fax - just put in the total dealer ED invoice & let them make you an offer - you might be surprised to find a good dealer who will offer less than you thought! Just something to consider.... I'll share more info on my experience when I select the final offer. (08 550i for ED in SEP 2008).

For some reason this forum won't let me upload the EXCEL spreadsheet - otherwise I'd have it here for download. If you want me to send it to you - just send me a personal note & I'll be glad to do so.

[HWF]

IMHO, I disagree with you. If you leave it up to the dealer to fill in their profit number, it'll be larger than if you told them up front, that you're willing to pay $1,000 for their profit. Also, once you show them that you know what the going rate is, say $1,000 or 1,200 it makes the negotiations smoother. This, after all, is the Rizzo method, and it works.

[Aristanet]

For some reason this forum won't let me upload the EXCEL spreadsheet - otherwise I'd have it here for download. If you want me to send it to you - just send me a personal note & I'll be glad to do so.

change the extension on the your spreadsheet to .pdf - it will let you upload it. make sure people know to save the file and change the name to .xls after to open it.

[ComSense]

I was thinking of opening my negotations at 700-800 above invoice. I realize this more than likely won't be accepted, but I figure "start with something a LITTLE bit outrageous, but not enough to COMPLETELY insult them, and they'll volley a ball back, and that's how you start."

Or am I a complete idiot?

[rmorin49]

I was thinking of opening my negotations at 700-800 above invoice. I realize this more than likely won't be accepted, but I figure "start with something a LITTLE bit outrageous, but not enough to COMPLETELY insult them, and they'll volley a ball back, and that's how you start."

Or am I a complete idiot?

Good luck in the Balt-DC area. Double your offer and it will be accepted. Another option, go to Adrian in Atlanta. No negotiation needed. Tell him I sent you.

[1994_RX-7_Tour]

You may very well be right - my "education on ED" is mostly from BMW forums... and starting from about zero - will post again once I have better info on how this goes for me. Thanks

[palmster]

WHAT IS NOT SAID ABOUT ED! UNLESS YOU ARE A CASH BUYER YOU ARE SCREWED!

I negotiated $2,000 under ED invoice on ED 08 535xi, and glad I did because I am being absolutely Raped by BMWFS on the lease! There are no other leasing companies that will do European delivery, so BMWFS can jam you with money factors that are reserved for the least credit worthy people on earth. Essentially my lease payment (unless I put multiple deposits down) will be on par with an 07 750. Something wrong with this picture!

If you are leasing you are better off paying the higher US price, so your residual is higher with a better money factor. !!

[TurbozFL]

Just ordered a 335i Coupe ED delivery. The dealership said they had to add basis points to the lease. Which I expected due making one less payment.

BMWUSA web site said the current lease special is 4.8***37;. After adding .72% ED delivery the rate should be 5.52%. Which is ok.

But, the effective interest rate is working out to be 7.53%. Which seems really high.
My credit is A++.

Has anyone else had this problem? The dealer said its BMW not them. True?

MSRP 50,270
ED Delivery Cost 47,415
Payment 770.20
Residual 35,150
no cap reduction

South Florida Dealership

[BMWE9006]

WHAT IS NOT SAID ABOUT ED! UNLESS YOU ARE A CASH BUYER YOU ARE SCREWED!

I negotiated $2,000 under ED invoice on ED 08 535xi, and glad I did because I am being absolutely Raped by BMWFS on the lease! There are no other leasing companies that will do European delivery, so BMWFS can jam you with money factors that are reserved for the least credit worthy people on earth. Essentially my lease payment (unless I put multiple deposits down) will be on par with an 07 750. Something wrong with this picture!

If you are leasing you are better off paying the higher US price, so your residual is higher with a better money factor. !!


What the heck are you talkign about? US cars and ED cars are the same. In leases the RV is calculated based on US MSRP. So in essence if you're paying less for the car, you're paying less in lease payments.

When you do ED there is an additional .0003 points added to the MF to make up for the 2nd payment that they're waiving for you. Another thing is that dealers are allowed to mark up MFs by .0004.

What you can do is finance with BMW FS for a while until your car comes in. Then you can lease through other institutions.

Also- you negotiated $2000 under ED INVOICE??? That's probably why they marked up the MF so high. It's so that they can make up for the $2k under invoice.

[Mac Daddy]

WHAT IS NOT SAID ABOUT ED! UNLESS YOU ARE A CASH BUYER YOU ARE SCREWED!

I negotiated $2,000 under ED invoice on ED 08 535xi, and glad I did because I am being absolutely Raped by BMWFS on the lease! There are no other leasing companies that will do European delivery, so BMWFS can jam you with money factors that are reserved for the least credit worthy people on earth. Essentially my lease payment (unless I put multiple deposits down) will be on par with an 07 750. Something wrong with this picture!

If you are leasing you are better off paying the higher US price, so your residual is higher with a better money factor. !!

palmster --

What are you smokin' bud? Quite the contrary, leasing with ED is an exceptionally GOOD deal, as BMWE9006 spells out. To reiterate, the residual value is the same ED vs. stateside delivery -- based on US MSRP. Run the numbers! Same payment as a 750! :rofl:

And $2000 under invoice? Did you give the weed to your CA too?

[bimmer_fam]

+1
I got the same monthly payment as was advertized at the time as a "special deal" for a better equipped car with considerably less drive-off money...
The difference will be /has been spent on air tickets, hotels, attactions, presents, beer, etc. :bigpimp:
Hey if you got $2k under ED invoice, take the deal any way you can and run! :yikes:

[clarkcc1]

palmster --

What are you smokin' bud? Quite the contrary, leasing with ED is an exceptionally GOOD deal, as BMWE9006 spells out. To reiterate, the residual value is the same ED vs. stateside delivery -- based on US MSRP. Run the numbers! Same payment as a 750! :rofl:

And $2000 under invoice? Did you give the weed to your CA too?

+1

Palmster, you're apparently very misinformed I hate to tell you. Everything Mac Daddy said is accurate. BMWFS is only raping people on high demand/new models. For example, I've calculated that I'm paying almost $140 a month more that I would be if I had the current Money Factor being offered on the 335i coupe instead of the convertible. But the savings afforded by ED is MASSIVE on a new model. We all know 335 convertibles are selling at sticker, maybe more by aggressive dealers. My sales price was, well can't disclose that, but many many many thousands of dollars off the sticker price. Huge savings. Do us all a favor and thoroughly research how ED works and find a knowledgeable dealer :thumbup:

[Carl Monterey]

Hello, I live in Monterey CA. and am interested in ED for a 2007 BMW 328 convertible. Is there a good dealer in the greater bay area that gives discounts. Where can I now find invoice price, eurobuyers.com is no longer in business. Thanks again, great article, I only hope someone response. LOL. Carl

[horatiub]

the invoice prices can be found on this forum at the top of your page. Look at the ED Confidential Prices, that's what you need

[Fredric]

Don't quite understand why it is that here, in the land of capitalism, we complain about BMWFS "raping" people who want to buy cars that are in short supply. Are so few of us in the business world, where supply and demand operate? Never hear any complaints about the relatively low MF's & higher discounts on slower-moving cars.

[Nartman]

I'm new here to the forums and have read all the posts in this thread. I need some clarification if anyone is willing to help it would be much appreciated.

I understand about the Suggested Retail ED pricing. How do I know how much to go above this? Some people were saying add the destination and then add $1000-1500. Others were saying that they got an even better deal than this.

Is there a base price besides the Suggested Retail ED Price? I'm in the process of buying a 535xi and need some help with the math on this car so I can start faxing around to dealerships.

Thanks in advance for any help.

[pharding]

This should answer your questions.

http://www.bimmerfest.com/wiki/index.php?title=BMW_European_Delivery

[mdsbuc]

I'm new here to the forums and have read all the posts in this thread. I need some clarification if anyone is willing to help it would be much appreciated.

I understand about the Suggested Retail ED pricing. How do I know how much to go above this? Some people were saying add the destination and then add $1000-1500. Others were saying that they got an even better deal than this.

Is there a base price besides the Suggested Retail ED Price? I'm in the process of buying a 535xi and need some help with the math on this car so I can start faxing around to dealerships.


Thanks in advance for any help.

People are negotiating prices above ED Wholesale prices, not suggested Retail prices. Look in bimmerfest for ED Wholesale pricing.

[Kel]

Palmster: did you mean the stated price on ED, or dealer invoice? Can you post specific price?

WHAT IS NOT SAID ABOUT ED! UNLESS YOU ARE A CASH BUYER YOU ARE SCREWED!

I negotiated $2,000 under ED invoice on ED 08 535xi, and glad I did because I am being absolutely Raped by BMWFS on the lease! There are no other leasing companies that will do European delivery, so BMWFS can jam you with money factors that are reserved for the least credit worthy people on earth. Essentially my lease payment (unless I put multiple deposits down) will be on par with an 07 750. Something wrong with this picture!

If you are leasing you are better off paying the higher US price, so your residual is higher with a better money factor. !!

[JSpira]

I am not going to search thru 100 threads to find out why palmster said what he said, but what he said was rubbish as the residual on a European Delivery lease is based on the US MSRP. This makes the lease deal far more favorable than would otherwise be the case.

[pharding]

I am not going to search thru 100 threads to find out why palmster said what he said, but what he said was rubbish as the residual on a European Delivery lease is based on the US MSRP. This makes the lease deal far more favorable than would otherwise be the case.
Euro Delivery + Leasing + BMW CCA Refund Check = Low Monthly Payments It is a great deal!