2011 and 2012 X5 - No Discount?

Hi everyone. Long time lurker, first time poster.

I just test drove a 2011 X5 at a local dealer. The vehicle I like has an msrp of about $61,000 (don't remember exact numbers). Sales associate says no discounts on X5s. Should I look elsewhere, or are dealers not discounting x5 at this time?

I know this is the first dealer and plan to visit others. Just want to get a sense of what to expect.

Any feedback and advice would be great.

Thanks.

I think the general consensus is somewhere between $1,000 and $1,500 over invoice. Inventory is tight and you might have to search nationally in order to do better.

Look elsewhere - what do you have to lose?

Originally Posted by Arkady

I think the general consensus is somewhere between $1,000 and $1,500 over invoice. Inventory is tight and you might have to search nationally in order to do better.

General consensus? No, more like general hope and wish nowadays. Who even has one to offer a discount on? Seriously? And if they're trickling in onesies and twosies, why give it away at that? I'm serious. If they were stacked up like cord wood, I'm sure things would be different, but it's really difficult to justify much of a discount. Heck, look at Acura, for example- they're not gonna have cars for a while because of what happened in Japan, so anything in stock is basically sticker.

Originally Posted by adrian's bmw

General consensus? No, more like general hope and wish nowadays. Who even has one to offer a discount on? Seriously? And if they're trickling in onesies and twosies, why give it away at that? I'm serious. If they were stacked up like cord wood, I'm sure things would be different, but it's really difficult to justify much of a discount. Heck, look at Acura, for example- they're not gonna have cars for a while because of what happened in Japan, so anything in stock is basically sticker.

Ha! You said cord wood! :-) Being from Oklahoma that phrase always strikes a chord w/me! ;-)

I love how dealers always paint the worst case scenario, no cars, have to raise prices etc... i have yet to see a dealership run out of cars or tell a customer no! But the more i talk to dealers the less I trust them... Hell they can't even do simple math or call you back.... But looks like the crisis is just another reason to mark up. Just ranting.

Yup. I agree. Local dealer readily went to $1500 over invoice on a special order X3 and they had no allocation and only one in stock at the time. I passed because I got an even better deal someplace else.

If the supply is tight, and I cannot find a car that I like, I may choose to order. By ordering, would I get more of a discount since I'm not taking a car out of inventory?

Originally Posted by rusty knees

Hi everyone. Long time lurker, first time poster.

I just test drove a 2011 X5 at a local dealer. The vehicle I like has an msrp of about $61,000 (don't remember exact numbers). Sales associate says no discounts on X5s. Should I look elsewhere, or are dealers not discounting x5 at this time?

I know this is the first dealer and plan to visit others. Just want to get a sense of what to expect.

Any feedback and advice would be great.

Thanks.

Originally Posted by adrian's bmw

General consensus? No, more like general hope and wish nowadays. Who even has one to offer a discount on? Seriously? And if they're trickling in onesies and twosies, why give it away at that? I'm serious. If they were stacked up like cord wood, I'm sure things would be different, but it's really difficult to justify much of a discount. Heck, look at Acura, for example- they're not gonna have cars for a while because of what happened in Japan, so anything in stock is basically sticker.

Oh please....

Originally Posted by rusty knees

If the supply is tight, and I cannot find a car that I like, I may choose to order. By ordering, would I get more of a discount since I'm not taking a car out of inventory?

Have you done much car buying and NEGOTIATING? You don't ask about 'discounts' rather you negotiate a price...

There are THOUSANDS of posts on 'how do I negotiate a new car' or 'is this a good price', etc,etc.

You need to do your research... yes, dealers will demand higher prices for cars on the lot simply because people that cannot wait are forced to pay more. If you order you have more choices... and if you do a factory pick up you can close the deal with ANY dealer in the usa. But also keep in mind that all dealers have limited 'orders' they can place...otherwise one dealer could place thousands of orders for 50 over invoice! Cars- either delivered to their lot or ordered for specific customers- are allocated by month to each dealership.

Check out xoutpost.com as well.

Oh, "no discount" from you CA? How can you tell a CA is lying? His lips move.

Originally Posted by donkeyjote

Yup. I agree. Local dealer readily went to $1500 over invoice on a special order X3 and they had no allocation and only one in stock at the time. I passed because I got an even better deal someplace else.

OP wants an X5, not an X3. Totally different availability issue.

OP can shop around. Nothing wrong with that at all. But X5's are bringing the money, that's for sure. Just wish we had one to sell.

Originally Posted by ard

How can you tell a CA is lying? His lips move.

Congratulations; you've made my ignore list. I hope all the other CA's trying to make a living follow my lead...

Originally Posted by Ty Vil

Congratulations; you've made my ignore list. I hope all the other CA's trying to make a living follow my lead...

He's already on mine....

I surely do not post my comment for CAs to read.

And furthermore, it is unfortunate that the bulk of CAs to which I address many of my comments are NOT the ones that post here. Sadly, the ones that have the guts to interact here are not the ones that cause the bad reputations....

What is driving the lack of supply? I can't believe the demand has increased that much on an older model such as the X5.

Why don't you believe demand is up? Look at Asia and South America, countries with a lot of resources - their economies are booming. The majority of X5 production is exported I believe (I think 2/3).

Originally Posted by chrischeung

Why don't you believe demand is up? Look at Asia and South America, countries with a lot of resources - their economies are booming. The majority of X5 production is exported I believe (I think 2/3).

You hit it on the nail.

In my experience the X5's are one of the harder models to get a good deal on, but I think you can do better than MSRP. My father just bought one for $1800 over invoice. You'll probably have to pay a bit more than that in Socal.

Originally Posted by rusty knees

Hi everyone. Long time lurker, first time poster.

I just test drove a 2011 X5 at a local dealer. The vehicle I like has an msrp of about $61,000 (don't remember exact numbers). Sales associate says no discounts on X5s. Should I look elsewhere, or are dealers not discounting x5 at this time?

I know this is the first dealer and plan to visit others. Just want to get a sense of what to expect.

Any feedback and advice would be great.

Thanks.

I have a few X5's in stock - and I can save you some money.

Give me a call or email me...

Will

Why does Adrian always make it sound like the sky is falling and Will tries to help?

I'm going to add my .2 cents of feedback.. There was a shortage on 2011 X5's as the factory tooled up for the 2012 model. Supply became small and demand stayed high. At our center the X5 3.5 is one of our hot items.... If you can get around $1,00-$1,500 over invoice that is fair. Also remember that if the dealer "throws in" floor mats that comes out of their groff profit. so a $1,000 over deal minus $136= well yiou get it :-)


FYI..it's true that Acura, Honda, Toyota are not as agressive on their pricing as they were pre e/quake/tsunami.


And for what my opiion is worth... I see Adrian is just trying to point out the realities from our side of the business that consumers don't care about... but hey this is a forum and used for debate etc.

Originally Posted by tcfila

Why does Adrian always make it sound like the sky is falling and Will tries to help?

What Adrian says makes sense...there are no X5's and finding a car to buy is a good deal in itself right now.

There literally are no cars.

Any discount at all is a good deal on an X5 - and I'd like to offer something to the OP if possible...

Originally Posted by tcfila

Why does Adrian always make it sound like the sky is falling and Will tries to help?

I wish the sky was falling with X5 allocations, but it's not. I only have two X5 V8's in stock. No 35's or diesels, so if Will has a six cyclinders in stock, I think it's awesome that he's hustlin to sell them. I would, too, if I had two.

As Greg says, if a center is, gulp, willing to part with an 6 cyl for $1k -$1,500 over invoice, it's a ridiculous deal considering availability. I don't think he's implying that he'll do that on one. I just can't see any justification to doing it though. I mean, if you really only get a couple per month and anyone you sell is close to MSRP, why give one away? Sure, there's pricing flexibility, but you have to be smart about it, too.

Originally Posted by adrian's bmw

I wish the sky was falling with X5 allocations, but it's not. I only have two X5 V8's in stock. No 35's or diesels, so if Will has a six cyclinders in stock, I think it's awesome that he's hustlin to sell them. I would, too, if I had two.

As Greg says, if a center is, gulp, willing to part with an 6 cyl for $1k -$1,500 over invoice, it's a ridiculous deal considering availability. I don't think he's implying that he'll do that on one. I just can't see any justification to doing it though. I mean, if you really only get a couple per month and anyone you sell is close to MSRP, why give one away? Sure, there's pricing flexibility, but you have to be smart about it, too.

I'm higher than that

Originally Posted by Greg@Pacific BMW

There was a shortage on 2011 X5's as the factory tooled up for the 2012 model.

When I was on the X5 tour in March 2011, they told me that in the past, switching between model years was only a 1-2 hour gap in production. All they needed to do was update the computer software, basically, and then production continues. Rather than stop the line, there was a 1-2 hour "gap" between the cars coming down the line. This may not have been for the 2011-12 change over, but for a prior year.