Dealer and the MSRP conversation

[fitfan]

So i talked to my dealer tonight about the new MSRP, and here is the story....

I called them in the afternoon, and was put into voice mail very p.o.'d i went and test drove a boxster and a z4 (i liked the latter a lot more than i though i would)

Well, i got a message on the cell phone from my salesman that went something like "I'm guessing you called about the price increase..." here is the deal. Before you read the rest, please note that i have many reasons to believe that i have allways considerd my dealer to be one of the most honest around.

My salesamn said that they were pro-active to detrmine which customer cars are affected, and this is what they learned in reference to my car.

It is scheduled to be built in Jan. for a late feb/march delivery, and as such, my build is "price protected" and I will not be charged to 2k price increase, my car will be sold to me for the "old" MSRP.

I told him that was good news, and if the answer had been different i would have had to give them some bad news... The only bad news now is that Lotus has left a very bitter taste in my mouth, and i guess you could say "the reality" of lotus new car ownership is sinking in through my thick skull.. and its not a very plesant experiance. if it were not for my dealer, i would have bought the certified pre-owned Z4 tonight, Its a fantastic value, package, and BMW is soooo good to you.

At this point, the only thing saving Lotus is the quality of the profesionals selling the cars.

[tidalwdave]

Originally posted by fitfan
So i talked to my dealer tonight about the new MSRP, and here is the story....

I called them in the afternoon, and was put into voice mail very p.o.'d i went and test drove a boxster and a z4 (i liked the latter a lot more than i though i would)

Well, i got a message on the cell phone from my salesman that went something like "I'm guessing you called about the price increase..." here is the deal. Before you read the rest, please note that i have many reasons to believe that i have allways considerd my dealer to be one of the most honest around.

My salesamn said that they were pro-active to detrmine which customer cars are affected, and this is what they learned in reference to my car.

It is scheduled to be built in Jan. for a late feb/march delivery, and as such, my build is "price protected" and I will not be charged to 2k price increase, my car will be sold to me for the "old" MSRP.

I told him that was good news, and if the answer had been different i would have had to give them some bad news... The only bad news now is that Lotus has left a very bitter taste in my mouth, and i guess you could say "the reality" of lotus new car ownership is sinking in through my thick skull.. and its not a very plesant experiance. if it were not for my dealer, i would have bought the certified pre-owned Z4 tonight, Its a fantastic value, package, and BMW is soooo good to you.

At this point, the only thing saving Lotus is the quality of the profesionals selling the cars.

I agree, my dealer was the best part of my experience, Lotus was the downfall....

[grudkin]

Congratulations

I hope your dealer is right, but if your car is in fact built in Jan., the higher price applies (unless it was a 'December build' that was postponed).

Good luck...

[fitfan]

Originally posted by grudkin
Congratulations

I hope your dealer is right, but if your car is in fact built in Jan., the higher price applies (unless it was a 'December build' that was postponed).

Good luck...

Actually my was more like Aug. build delayed untill now... (joking) ((well, not really))

Apparently this is the case, that although it is being built in jan. its one of the cars that got delayed (due to the holidays?).

I would advise anyone with a car close to coming in that you call your dealer and find out about the price increase and your cars position.

[Alan Smithee]

I'd get that in writing if I were you.

[grudkin]

Yup. The calls are in, and I'm a waitin'

Although my deposit went in in June 03, and my spec went in in Oct/Early Nov 04, I don't think I'm in prior to the increase, based on the limited info I've received

We'll see. Flip flopping on what to do. Probably will pull my order if the 2K applies, but I guess I'll know when the info arrives.

[fitfan]

Originally posted by grudkin
Yup. The calls are in, and I'm a waitin'

Although my deposit went in in June 03, and my spec went in in Oct/Early Nov 04, I don't think I'm in prior to the increase, based on the limited info I've received

We'll see. Flip flopping on what to do. Probably will pull my order if the 2K applies, but I guess I'll know when the info arrives.

My order went in late sept. '03...for what thats worth.

I am very upset with lotus taking so many orders and rasing the price - so upset in fact, although my car will be the old price, i haven't decided for sure if i want to get into it deeper with lotus... i dunno, worse case i will pass my car onto someone like mavrick, we ordered the same car, my color was his second choice, I am going to think about it for a few days... The hardest part for me to get over is the 2-3 year depreciation, and the lack of service from lotus.

[shay2nak]

Great news, man!

Maybe I should call my dealer, but my car is up for March build (i think).

[LotusLust]

so, fit, all that fvck lotus stuff is out the window if your car is at old msrp? get the z4, man!!















just kidding

[fitfan]

Originally posted by LotusLust
so, fit, all that fvck lotus stuff is out the window if your car is at old msrp? get the z4, man!!
just kidding

haha - no its not out the window at all, I am not a Z4 kinda person, but i do have to admit that its a very nice car, despit the over boosted stering and its fat ass, it handles very well and is fun to drive.

In fact i would have NEVER even considered it, had lotus not p!ssed me of so bad, that now i don't even know if i want to buy the Elise new.

Usually people are motivated to buy new because of all the benifit you get with a new car - i don't see Lotus giving any benifit, in fact i see them TAKING more than giving. so why not just bop around in a nice used Z4 while Elise prices drop and then get the car i really want (the Elise) for a lot less, and release myself from this less than pleasant experiance over the past 15 months?

My opinion of lotus has not changed even though my car will be "cheaper" - my opinion on my delaer has been reinforced, they are awesome, and IF i do get the car new, it will only be because of the dealers ability to have integrity and professionalism in spite of lotus.

[Genjuro]

I'll say this if it helps at all. I recently had a warranty issue and my dealer wasn't very helpful. I picked up the phone, called LCU, and was taken care of without any hesitation. LCU will be handling your issues from now on, and I have had two GREAT experiences with LCU thus far.

I'm glad you got your car at the old MSRP. I on the other hand didn't, and I took my car just weeks after the MSRP increase hit.

See, my car was on a boat when the price went up. Tell me that doesn't suck!

Enjoy it fit!

[shay2nak]

Anyone talk to Desert Euro about the increase?

[Sownman]

Originally posted by fitfan
My order went in late sept. '03...for what thats worth.

Nobody's order went in 2003. The very first orders were Jan 2004.
You're getting deposits and orders mixed up.


Steve

[fitfan]

Originally posted by Sownman
Nobody's order went in 2003. The very first orders were Jan 2004.
You're getting deposits and orders mixed up.


Steve

your right, mixed up with the numbers.. i keep forgeting its '05!

My ORDER went in Sept, of 2004, not '03

[Allan Gibbs]

Two things:

1. I guess I appreciate Lotus not charging every car delivered after 1/1/05 (which they could have done). It's slightly less of an unexpected change.

2. If Lotus has issued an official press release last week, people won't need to speculate if when the increase would take effect.

[jac]

Yeah you have to say instead of the last increase this at least is giving produced cars a pass instead of a dockside markup.

[TimMullen]

Originally posted by fitfan
My ORDER went in Sept, of 2004, not '03

Just to be technically correct (which seems to be something everyone has overlooked), your order went into your Dealer, not Lotus. The Dealer than placed an order with Lotus for the Dealer's stock, of which he is going to sell you one. Nobody has any orders with Lotus (except the Dealers).

Again, this is the way the system works, by law. And it works this way for all cars sold in the US. The fact that you can go to a dealer and special order a car is a "nicety". You are really ordering it from the dealer and that dealer "special orders" all the cars for the dealership.

Lotus is not doing anything illegal or really that bad of a business practice. Other manufacturers raise prices periodically also - it's just that if you go to a Ford Dealer and "special order" a car today, it will be manufactured and arrive in just a couple of weeks and chances are it will be at the price the dealer quoted. Especially since the MSRP includes a large markeup for the dealer, and if things change, the dealer can absorb the price increase in lower profits from that one car.

Not so with Lotus. Lotus has bet it all on selling the Elise in the US. They tried very hard to hit their price mark, and cut their margins slim to do so. The fact that the dollar fell in value cuts into their slim margin. Raising the MSRP is about the only thing they can do. The fact that it takes months to order, manufacture, and deliver the cars means that more people are going to be caught in the interval. Unfortunate, but Lotus cannot lose money on selling the cars - remember the margin was very slim to begin with - as they would soon be out of business.

As for contracts, when I placed my actual order for my car - with the dealer - there was a nice asterisk next to the MSRP that indicated the MSRP was subject to change and the price quoted was the MSRP at the time of delivery.

[mact3333]

spoke with my dealer today and he confirmed what I feared...I get the 2K price hike...evidently, my car is being built right now so its Jan allocation and not Dec allocation being built in January!......I looked at 02-03' C4S's on ebay but 10K out of price range......was going to buy MGW's ardent elise today but he talked me out of it...getting slightly annoyed now.

[ChrisB]

Originally posted by TimMullen
Just to be technically correct (which seems to be something everyone has overlooked), your order went into your Dealer, not Lotus. The Dealer than placed an order with Lotus for the Dealer's stock, of which he is going to sell you one. Nobody has any orders with Lotus (except the Dealers).

Again, this is the way the system works, by law. And it works this way for all cars sold in the US. The fact that you can go to a dealer and special order a car is a "nicety". You are really ordering it from the dealer and that dealer "special orders" all the cars for the dealership.

Tim, I don't think that is the case with Lotus. A friend at Hethel looked up my order there and found it by my name and gave me my build date. I didn't ask him to do it, so all he had to go on was my name. From that he found the exact order.

[fitfan]

Originally posted by ChrisB
Tim, I don't think that is the case with Lotus. A friend at Hethel looked up my order there and found it by my name and gave me my build date. I didn't ask him to do it, so all he had to go on was my name. From that he found the exact order.

When ever i talk to LCU, i just give them my name, and they look up my order - as if the dealer was transparrent. Which is probably more of an appearance than a reality. I think all of what Tim said is true, its just that there is alot more interaction with Lotus (probably based on their small size), so you come away with a different feeling - if its good, then you get a really good feeling because its more personal. but on the flip side if its bad, it feels like your friend just stuck ya with a knife.

I did talk to LCU today, and i have to say, they were great over the phone, very helpfull. But i still think Lotus really buggered up the WAY they did the increase. no argument from me if they needed to do it, i would assume they only did it if they needed to and that just they way they positioned themselves with business decisions. just the way they did it really hits many patient enthusiast the wrong way.