[Derek]

I saw this on the official forum:

Hi to all you guys patiently waiting for your Lotus order form to arrive. I just received mine from Newport European Motors and the news is bad. They have added a $2,500. delivery fee (pure profit) to the Elise base price. I have put a call into Mark O'Shanessey at Lotus Cars. Not sure if he can do anything but I'm assuming the worst. Now I need to decide whether to bail out on the whole deal. This stinks!

 

[zvezdah1]

Man, some of these dealers are real shysters. I guess they wouldn't have had the guts to call you and tell you that little detail.
Chris

 

[JK68LC]

dealer fees

Our dealer has mentioned something they call a setup fee.
Makes me wonder how big that can be? Anybody heard of this type of fee?

 

[Derek]

Re: dealer fees

Our dealer has mentioned something they call a setup fee.
Makes me wonder how big that can be? Anybody heard of this type of fee?

Sounds like a setup

 

[MattG]

I believe a dealer prep fee would be reasonable and expected, though should be easily justified by multiplying the number of hours required to prep the car times their standard labor rate...

 

[Hans Stuck]

That is absurd. This potential to get screwed has been in the forefront of my mind for a while. I need to sell a very nice car before I have the money for an Elise. I am not going to sell it unless I get absolute top dollar because there is always the chance that I will sell and ultimately not be able to buy an Elise because of dealer B.S. I can live with that outcome if I get what I think is a great price on the car I'm selling, but I'll be damned if I'm going to do a quick sale on something I like with the potential looming to get bent over into an ankle grabbing position.

I'm sort of glad my # is in the 80s. I'll have time to see how badly the dealer is treating people. I could never enjoy the car is I knew I got royally screwed on the transaction. The dealer can find another sucker.

In the end, you have to hold Lotus accountable. They should step in and forbid their dealers from doing this stuff. After all, the point of the Elise in the U.S. is to reestablish Lotus and create a new customer base. The point is not to piss people off and alienate true sports car buyers.

Maybe I'll have to add $2500 in prep fees if & when I sell my E30 M3! "Hey, I washed it for you and maintained it for years. That's worth an extra $2500, right?"

 

[jml1952]

I believe a dealer prep fee would be reasonable and expected, though should be easily justified by multiplying the number of hours required to prep the car times their standard labor rate...

Dealers already get paid by the manufacturer to prep a car. There never should be a charge for dealer prep. It's just another way to make a little extra profit.

 

[babak]

"Reasonable" pre fees I'll tolerate, crap like this and I'm outta there to go find a 944/968 cab or a 993 targa.

 

[GabbaGabbaHey]

I love the euphemism "dealer prep" aka market adjustment aka extra profit. The only way I would pay a cent over list is if these girls come over once a week in bikinis and give my elise a car wash for as long as own the car ....

http://www.puresportscar.com/gallery/showphoto.php?photo=353&size=big&password=&sort=1&cat=515

 

[Lumn8r]

Try buying a car in someplace like Alaska or Hawaii. The dealers here and in HI add on several thousand to all cars and have the attitude of "where else are you going to go" and if you do go out of town or out of state then you go to the bottom of the waiting list for warranty service.

 

[smoseley]

I strongly suggest that anyone who gets the same treatment that I got drop off their list and take delivery of their Elise later.

This is the moment that will shape the future of Lotus sales in America. If you guys bend over now, you'll create a precedent for the dealerships to keep bending over their customers.

I for one won't take it.

 

[shinoo]

Transio,

So what's up? Are you saying you're out?

Are you getting stiffed by your stealer?

 

[Randy Chase]

Transio dropped off his early list for a later list.

Read here-
http://www.elisetalk.com/forums/showthread.php?s=&threadid=1532

Follow up here-
http://www.elisetalk.com/forums/showthread.php?s=&threadid=1770

 

[Hans Stuck]

I wouldn't put up with it either. And I'm not getting back on another list if it happens. I give one chance. Buying a car at MSRP and having a deposit down for 9 months shouldn't be a complicated ordeal. When the car comes in, you should get it at MSRP -- no funny business. If it's meant to be that I get a Lotus Elise, then it'll work out.

I have someone seriously looking at my M3 for $25k! I'm not budging on price. If it's meant to be, it'll happen. Time is on my side. If and when that sells, I'll turn my attention to the Elise.

If the dealer then sells me an Elise at MSRP without ridiculous add-on costs, I'll buy one. If not, I'll run down to the Honda dealer and get myself a new S2000 with hardtop for $34,080 (tax & tags & hardtop included). If I end up with the S2000, I'll make it my only car and sell the S4 too. I'll then turn my attention to spending the money I saved on a new home (with more garage space) before kids enter the picture.

I've basically worked out contingency plans and I am letting others dictate what I will ultimately do. I think this is the best way to operate. Others either meet my terms or I just won't do business with them. No car is worth letting someone else take advantage of you.

I'm not a complete fatalist, but I do think that some things happen for a reason. Besides, in the BIG PICTURE this car is unimportant. I'd rather do without it than think about how the dealer screwed me every time I look at it.

 

[smoseley]

Transio dropped off his early list for a later list.

And the good part about that is that now I can get whatever toy I want when my S2000 lease expires in June... I figure I'll play with a slightly used Viper GTS for about 8 months and then be ready for the Elise when it comes in... or who knows? Maybe I'll be able to pick up a used Elise after that time for even less... this way I can wait and see. Everything happens for a reason!

 

[Patricko]

in the BIG PICTURE this car is unimportant...think about how the dealer screwed me every time I look at it

This car is VERY important and the Elise is a VERY nice sc**w

Patrick
2005 Elise, hoping to be sc**wed soon...

 

[fitfan]

I will never, ever pay over MSRP... I may be dumb, but i ain't stupid!

nothing wrong with the car i am driving now, i can wait a few months for the fever to wane. I could never live with myself knowing i am paying a couple hundered extra just for the convinance of the first few months...

 

[cerven]

I hope everybody drops out then I'll get mine that much sooner

 

[zvezdah1]

fitfan,
would I pay a couple hundred extra to get the elise sooner, absof***inlutely in a heart beat. Since I'm #2 prob won't happen tho.

Chris

 

[Lumn8r]

fitfan,
would I pay a couple hundred extra to get the elise sooner, absof***inlutely in a heart beat. Since I'm #2 prob won't happen tho.

Chris

From a capitalistic perspective, an object is worth what the buyer is willing to pay. Since there are so many people here who are quite happy to admit what a bargain the Elise is at $45K, it should not be too surprising that for some people, the Elise is worth more than that.

MSRP has very little to do with what the car is worth (especially when the demand greatly outweighs the supply), it is simply what the manufacturer suggests that the car be sold for.

That being said, I do agree that it is unethical for a dealer to say that they will be selling the car at MSRP and then renege when they decide that there are people who will be willing to pay more than MSRP to get the car.

The dealer who is up front with the customer and says that he is charging $XXXX over MSRP, because that is what the market will bear, is much more ethical than the one who promises MSRP and then adds all kinds of dealer options and prep fees. The buyer can go to which ever dealer he wants, although it might mean a longer waiting list at the dealer who is selling the car for MSRP. Again, we are back to the basic tenet that an object is worth what the buyer is willing to pay. The dealer adding a "market adjustment" might find that he overestimated the demand and will then start reducing his "adjustment" until he finds what the market will truely bear, but as long as there are people with a lot of money who must have this car then the dealers will be able to ask more for it.