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Market Adjustment Fees

21K views 68 replies 33 participants last post by  tonester 
#1 ·
I am in three EV clubs in my sate an promote all EVs and think it is terrible many dealerships are adding these Marketing Adjustment fees on our EV!
I am trying to find the right place to post that complaint with KIA
I surely can voice my experinces at EV meetings so others know
KYDOS and Volume sales to those that don’t!
I avoid “ those dealerships” in AZ and found a few that state they don’t . I placed my order for one that does not and will just wait
 
#3 ·
I suppose if you order a car or buy one off the lot, you would negotiate the sale price of the car with the salesperson (to avoid the ADM, then deal with the extended warranty and other BS with the finance guy in the back office). If you factory order a car through a dealer, it should be the best thing for a dealer. There's no marketing cost involved for them, no need to update their online inventory, etc.

If the salesperson is 'unable' to get rid of the ADM, I would say "I will go file paperwork with the AG's office that your dealership is taking advantage of customers with non-sensical markups." Add on to that if they are charging an outrageous 'Doc Fee' or any other BS 'Government Fee'. Note that Doc Fees are not mandated, but it allows the dealer to rip every customer off by charging more than $100 to spend 5 minutes and file paperwork electronically with the state.

Don't even try to trade in your car. If you do and they want to hit you with the ADM, say "If it will make you feel better, you can add $X to my trade-in so make up for this ADM you want to charge me." It's basically the same thing you would do if they say 'we have to charge you this Doc Fee'.
 
#4 · (Edited)
The Huffines Kia Dealerships do not add the market adjustments. I know Kia of Corinth and McKInney in DFW are two of their Kia dealerships.

I think it is disgraceful at a time where Kia is trying to move more upscale that so many dealerships are employing tactics that give car sales their reputation. Shop, service and buy your accessories at a dealership that does not try to rip you off. At least with Tesla you need don't deal with that. Although they have raised prices.
 
#5 ·
The Huffines Kia Dealerships do not add the market adjustments. I know Kia of Corinth and McKInney in DFW are two of their Kia dealerships.

I think it is disgraceful at a time where Kia is trying to move more upscale that so many dealerships are employing tactics that give car sales their reputation. Shop, service and buy your accessories at a dealership that does not try to rip you off.
Are the dealers adding the markups on the window stickers or some other way? I know I've seen the dealer markups on the actual window stickers from a few of the Rav4 Primes I've seen on the market. A dealer near me has 3 EV6 in stock and none of the window stickers have the markup shown and online they say "call for price" with the MSRP price crossed out.
 
#7 ·
I have complained numerous times fro their website to Kia Corporate. Same canned reply from them. Seems these dealers in Florida are the worst offenders, Kia of Port Charlotte $5825, Kia of Cape Coral $15000, Airport Kia of Naples $10000 and when you get there the one advertised is not there but they try to sell you a demo the manager drives daily from work to home. These dealers are first line to deal with customers when will Kia corporate wake up and realize they are digging a hole for Kia products.
 
#8 ·
Kia of Turnersville is also guilty. A car with an advertised MSRP of 40k costs 50k to get off the lot. It's simply false advertising. And don't believe that times are hard for dealers because of so few cars. If times were that hard, there wouldn't be a showroom full of salesmen.

This is really just greed. I am all for a free market economy, but the brand (or dealer) that starts being less greedy will pull in more customers and make more money. Kia dealerships are simply hastening the end of the dealership business model. If demand is high, and the brand does all the advertising, then why do we need to pay the middleman? The dealer is just a parasite in the process - they add zero value to the customer OR the brand.
 
#12 ·
Kia of Turnersville is also guilty. A car with an advertised MSRP of 40k costs 50k to get off the lot. It's simply false advertising. And don't believe that times are hard for dealers because of so few cars. If times were that hard, there wouldn't be a showroom full of salesmen.

This is really just greed. I am all for a free market economy, but the brand (or dealer) that starts being less greedy will pull in more customers and make more money. Kia dealerships are simply hastening the end of the dealership business model. If demand is high, and the brand does all the advertising, then why do we need to pay the middleman? The dealer is just a parasite in the process - they add zero value to the customer OR the brand.
I went to NJ to buy a Subaru a few years back and I can say that Subaru of Turnersville was not the best option. They wouldn't move off of MSRP even after I told them a dealer 20min south was offering me a less than MSRP price. Needless to say they did not get my business and I factory ordered the car I wanted for the price I wanted.
 
#14 ·
I must be lucky, got my EV6 at MSRP in Michigan, two dealerships were selling at MSRP and another one was charging $1500 over. The one that had my car and no markups or other charges got my business.

Now if I can find a Ford dealer that sells at MSRP so my wife can order her F-150 Lightning in July when they start taking orders
 
#16 ·
Actually, yes. We visited several dealers in Phoenix, and their market adjustments ranged from $10k to $20k. We ended up buying a Wind AWD with the tech package from the Prescott Valley Kia dealer. The color wasn't what my wife wanted, and I wanted a GT-Line, and we told them that. It was still there a week after our test drive when we went in to place an order, and they lowered the market adjustment to $3k and threw in some accessories and a L2 charger, so we went for it. This was early April. Feel free to PM me if you want more details.
 
#17 ·
I just paid $10K over sticker at Rodeo Kia in Avondale, AZ. I went to nine different dealerships across the valley and told the sales person that I found one for only $5k over sticker at another dealership. They all told me "you should go buy it" and let me walk. Every dealership had a $10K Market Adjustment. Most of them had another ~$10k or more in non-negotiable dealer added options. Only one dealership even called me after walking out.
 
#21 ·
I'm still looking everyday for an MSRP deal. Don't believe there are any to be had in Florida. The only units on dealer lots are RWD but they aren't even sling them at MSRP let alone AWD Winds or GT lines.

If the dealer sticks to the buyers order I signed when I ordered the car it might end up being the best deal to be had in Florida at $2200 over. We'll see. I have a feeling they will try to hit us w add ons when the car actually arrives.
 
#23 ·
We looked at ordering outta state and shipping but just not worth the hassle. Hate buying a car aight unseen. I'd still love to buy at MSRP but will suck it up and pay the $2200 over as long as they honor our order and price.

It's not worth taking 2-3 days off work to drive and pick one up. Shipping costs almost as much as the mark up I'm paying.
 
#33 ·
I told my Kia salesman that there is a good chance that I may sell back my EV6 to them before it turns a year up, if I receive it within a few months. His eyes lit up as I can imagine that the profit margin on a "used" EV6 with less than 5000 miles sounds like an early Christmas. About the only way that might not happen is if I find that the EV6 is better than the i4 I have ordered.
 
#39 ·
Almost every Kia and Hyundai dealer is charging over MSRP in IL, WI, and IN that I called and all stated due to limited inventory, the only way for dealers to make their numbers on less volume is to charge over MSRP. Many of the salespeople I spoke to would rather have inventory and sell everything at MSRP but like everything else, it's all about supply and demand. The only dealer I found willing to sell at MSRP in the midwest still hasn't called about the reservation that I made very early this year. I called every dealer in NY, NJ, and CT for a Genesis GV60 hoping to find one at MSRP since it would be a similar price. 99% of Kia, Hyundai, and Genesis dealers wanted $5k-$20k over MSRP with most wanting an average of 15% over MSRP. I spoke to Genesis concierge who stated they should be charging MSRP but said they don't have any control over final pricing. I did find one Genesis dealer that would sell at MSRP but as you can imagine they had a waitlist that extended until next year at the current rate of fulfillment. In the end, I was just happy to find my wife an EV6 in the color combo that she liked for a reasonable markup.
 
#40 ·
I always found it funny when people were outraged at these dealership mark-ups. If they can find a sucker to pay crazy prices, more power to them. Some people are impatient and that's fine, let them pay their "impatient" fee.

When I bought my Camaro in February, other dealerships were going $5000+ over MSRP. I actually got my dealership to charge me employee pricing, which knocked the price down by about $4000 off of MSRP. The reason for it, my trade in was a low mile SS sedan in near perfect condition. The dealership raked me over the coals with my trade-in, giving me about $2000 LESS than the next best offer. Retail price, the car could've sold for $8000+ more easily. I figured $9000 less than the price others were paying, even though I was a little low-balled on my trade, I didn't make out too bad. Similarly optioned versions of my Camaro are selling used right now for about $10k to $20k more than what I paid.

If you want to try and get a great deal, make sure you have something to bargain with. My trade in for my ordered EV6 is a 2022 Nissan Leaf. I'm sure the dealership would love to have a current model vehicle that they can mark up and insist that the shortages are still in effect. I would imagine they can convince a consumer that paying MSRP prices for a slightly used EV is great economical sense.
 
#41 ·
The wait is frustrating - but that's life in these weird times. Free market economy means buyers and sellers make the best decisions for themselves. I'm not happy about the markup prices but I understand them. It's all a matter of how much it's worth it to you and how much you value (not) waiting. I'm almost 3 months into my wait for MSRP order of a GTline AWD - and that's fine with me.

The funny part is if you were on the other side of the equation - selling a car on say facebook/ebay/whatever and you know for a fact it's worth $20k -- but you have an endless stream of lowballers, scammers, tire kickers offering you $10k. Would you take it? or wait an extra few weeks for a buyer who knows the market and the product? It's only worth what people are willing to pay is a two way street.

I wanted a Model Y for years - and while I think their tech is cool, it's the same game just a different logo. Price goes up regularly on all Teslas lately, there's no negotiation, take it or leave it. And unless you are spending 6 figures -- you get to wait 6 months or even a year for your car to get produced.
 
#42 ·
The wait is frustrating - but that's life in these weird times. Free market economy means buyers and sellers make the best decisions for themselves. I'm not happy about the markup prices but I understand them. It's all a matter of how much it's worth it to you and how much you value (not) waiting. I'm almost 3 months into my wait for MSRP order of a GTline AWD - and that's fine with me.

The funny part is if you were on the other side of the equation - selling a car on say facebook/ebay/whatever and you know for a fact it's worth $20k -- but you have an endless stream of lowballers, scammers, tire kickers offering you $10k. Would you take it? or wait an extra few weeks for a buyer who knows the market and the product? It's only worth what people are willing to pay is a two way street.

I wanted a Model Y for years - and while I think their tech is cool, it's the same game just a different logo. Price goes up regularly on all Teslas lately, there's no negotiation, take it or leave it. And unless you are spending 6 figures -- you get to wait 6 months or even a year for your car to get produced.
I'm about 3 months in waiting for it, that 5-10K is worth it for me to wait as I don't need this vehicle as I have a perfectly working Telluride right now to hold me over.
 
#46 ·
🎉 We were able to secure a Wind+AWD+Tech Package. With trade-in and everything it'll end up being about $1K over MSRP. The advantage is we'll have it on the 20th of August.

Now my wife and I get to wait until it comes in.

I talked the price of the vehicle down and our trade-in up -- so it nets out to being a pretty decent deal. And they are throwing in the at home level 2 charger as part of the deal -- this will be our first EV so it's nice to have that when we leave the dealership for the 5 hour drive home.
 
#52 ·
Bought my EV6 Wind AWD w/tech package from Kia of Columbia (Missouri). No MA per se' -- There was a $400 dealer pack that included fitted Kia EV6 all weather floor mats front, back, and cargo tray, and some tire package the details of which escape me at the moment. So at least I got something useful for that $400. The mats are pretty nice.

No funny business on my trade either. Very happy with my experience.
 
#53 ·
This dealership wants $74,999 for a USED EV6... While I hate that they're trying to sell it for such a markup, I actually hope someone buys it. That means that if I get my EV6 at MSRP (what the dealership has promised me), then it'll appreciate value as I drive it off the lot.

 
#54 ·
This dealership wants $74,999 for a USED EV6... While I hate that they're trying to sell it for such a markup, I actually hope someone buys it. That means that if I get my EV6 at MSRP (what the dealership has promised me), then it'll appreciate value as I drive it off the lot.

LOL I live in the metro area where that dealership is located; they wouldn't sell me a Telluride at MSRP when I was in the market for one last year, yet they keep spamming my inbox with "deals".
 
#63 ·
In the short term I doubt they drop prices. Kia could currently sell every EV6 they can build in other markets at full MSRP. They may just limp along in the US until they can assemble in NA. To max the credit they are going to have to get busy in sourcing US battery components.

The margin on the EV6 was pretty thin already. Even Kia is willing to eat $3-5k per car I don't think they can get price competetive with the vehicles GM is going to roll out with access to the incentive.

Maybe they'll get creative but this is definitely a major kick in the teeth for H/K EV sales. I love the car, but killing the credit effectively raises the price on an EV6 by 12-18%. (Assuming you qualified for the full credit)

That price change would push out my break even point by almost four additional years based on today's fuel prices. With those kind of numbers I would never have considered, test driven or pursued the EV6.
 
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