Is $1,200 off MSRP the best we can get for a 2016 Tacoma in the Maritimes?

I'm having trouble finding a dealer who is willing to give a better deal than $1,000-$1,200 off the MSRP.

Has anyone had any luck with getting a better deal in the maritimes?

 

Did you try Amherst Toyota?

 

You've done pretty well to get anything off a new Tacoma.

Usually when a new model debuts, especially one as long awaited as the 2016 . we don't discount them at all for the 1st 6 months or so.

You know, that whole supply vs demand thing.

 

I live a few hours away from Amherst. I've sent them an email, I haven't heard back yet.

 

Ya...but I feel like I can do better lol I may just start looking at getting a 2015 or waiting a few months to try again on a 2016...

 

Just out of curiosity, how much profit do you think a dealership makes on a Tacoma sold at MSRP?

 

What are we talking though, gross profit or net profit. If a dealer makes 5% net profit after everything is said and done they will do very very well.

 

You're not far off.

Assuming a Tacoma is sold at MSRP, Gross profit is about 7%. Right off the top, they take $500 off for what they call "Pack" which goes directly to operating expenses. Minus any discounts or accessories "thrown in" and 25% of what is left goes to the sales person.

So, lets say a Tacoma DoubleCab TRD Sport is $41,000 before tax. (to keep it a round number)

From memory, this is how my commission chit (pay stub) looked like on a Taco I sold at full MSRP a couple weeks ago :

Sales Price $41,000
7% Gross = 2870
Pack -500
My Commission -592

Net Proft = $1778


This leaves the dealer with a net profit of about 4% on a brand new model that is in demand. It only goes down from there. Give it a year or so when there is good availability and need to discount trucks to move iron and that figure drops. Not to mention, our volume cars - Corollas and Rav4's, have quite a bit less profit in them - I think a Yaris is $500 or $600 bucks.

I'm not making the case that a dealer does not make money - it does, it is a business after all. I'm just trying to illustrate that there simply isn't thousands and thousands of margin available for us to give away and to get $1000 off on a brand new 2016 Tacoma is a pretty good considering the truck has been out for 4 weeks!