What exactly is invoice?

Lots of factors there....dealer incentives, discounts based on sales, actual prices based on territory, discounts based on clearing inventory....hundreds different prices based on timing and sales initiatives. Toyota would want to clear stock based on output and profit. They are going to offer incentives/prices based on sales and profit dependant on their situation to maximize return to investors at any given moment.

 

Invoice price does include TDA (sometime shown on invoices as TMF -Toyota Marketing Fee). This is the fee the dealership is charged by Toyota to run those TV commercials, radio ads, advertisements, ect. in your region. The TDA is a percentage of the base invoice price of the Tacoma you want to purchase. It varies between 1-2% depending on which region you purchase your Taco from.

You can ask your dealership to print out the invoice and it will show TDA or TMF on it. If you have time, look at old posts and you can see some members posting these invoices when they purchased their Tacomas.

Most dealership will not removed TDA from their invoice price when selling you a Taco, but it is negotiable. I was able to get this fee removed a few times, but not all the time.

 

after the sale comes the hard push for the extended warranty...

 

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When I bought my truck out of the area my buddy at my local dealer said I gave about $500 less than their cost on the truck.

But I'm sure the dealer I did buy from did not lose money!

 

Thanks for all the replies. I think it's a good deal.I was just wondering how he came up with $500 under invoice. I'm going to ask about it when I go to the dealer. I just wanted to do my homework first.

 

As Macknepa stated in post #15, the invoice price includes the $477 TDA and $9 gas. Add this to the invoice price you have for the truck, then subtract $500 will be the invoice price the dealership offer you. Which is still pretty good.

Tell the dealership you'll take the truck only if they remove the TDA. Either they will remove it (if they really want to make a sell), counter-offer you (may take half off TDA) or make you pay for it. You have nothing to lose if you do this and may come out with a lower offer.

 

Technically if they are going 500 under then they are removing the TDA and the gas.

I usually shoot for an amount under invoice that covers TDA, and the dumb gas and accessory charges.
$60 for D rings, and $90 for a chrome exhaust tip? No, take them off or move the discount enough to cover them.

It all usually comes out 750 or so under give or take.
They still get hold back and reserves and we are both happy.
You also want to find out what the DOC fee is and get that padded into the discount they give you.
That's a big one for me. I refuse to pay you to process my paperwork, it's the cost of doing business.

Based on incentives, sometimes they can easily do this or even better than this.
If they are cool they will show you their binder with incentives, Costco pricing and all that good stuff.
Tacomas, 4runners and Highlander's are usually excluded from incentives, and tend to be a little more challenging to get deep discounts on, but they will whore out camrys, corollas and hybrids well over 1k under invoice all day long.

 

It's a great deal on a great truck. You can listen to all of these posts about asking for more, but they let you leave the dealership at that price. That is most likely all the dealership is going to do. From the dealer standpoint your are getting a good chunk of the holdback and they still have to pay the sales rep and the sales manager commission, the detail dept and the service department for prepping the truck.