Wanna buy » Do Dealers Get Incentives?

[IMADUCK]

Does anybody know if Ducati throws extra money at their dealers to help them move their '07 and '08 demo bikes, and how much the amount is? Is their any website that John Q. Public can go to to get what the dealer cost on a Ducati is?
Thanks,
Mike

[jim shea 2007 1100 (Red)]

I know that here in the UK Ducati have given a dealer some free panniers as an incentive... apart from that they have to take a hit if they discount them... my friend at the Ducati dealer tells me there is not a lot of profit on a new bike; but he would say that...

[tenracing]

very seldom to dealers of any brand get 'help' from the factory to move exsisting product, occasionally if there is a price change, like Buell lowered retail on some models, and the dealers got about the same back if the last years model bikes were sold by a certain time frame...

some times factories will give extra 'time' to pay for them, like free floor plan (loan) for 90 or 180 days, as a way of helping dealers keep demos around...

[tenracing]

Does anybody know if Ducati throws extra money at their dealers to help them move their '07 and '08 demo bikes, and how much the amount is? Is their any website that John Q. Public can go to to get what the dealer cost on a Ducati is?
Thanks,
Mike

and thank god there is NOT a place for John Q Public to go look and see what dealer cost is!!!!!!!!!

profit is NOT a dirty word, and it is hard enough to remail profitable in the powersports industry without everyone knowing what our cost is on the bikes.

Trust me we do NOT want the motorcycle business to end up like the car business, (here in the USA anyway)

[eviltwin 2007 1100S]

When I heard what dealers make on most new bikes (even excluding floor plans, etc.) I was very surprised. Thought it would be more. Much more to be made from used bikes, accessories, service, etc. On the contrary to the OP, sometimes factories require dealers to take in (and pay for) inventory they don't want in order to receive what they do want. All part of the relationship.

[bgk 2006 620 Dark (Flat black)]

IMADUCK,

Based on info from a friend of mine who owns a Yamaha dealership, it is my understanding that there is about 12% to 14% "mark-up" between dealer cost and MSRP. However, dealers have to pay for the dealership premises, labor, tools, utilities, etc., so there really isn't much profit, if any on new bikes. Most car and motorcycle dealers essentially make thier profits on accesories, service, and used cars/bikes (trade-ins), not new cars/bikes.

I bought a leftover brand-new (not demo) 2006 MTS 620, in Novemeber of 2007. I paid $2500 under MSRP, which I was told by the sales manger was below dealer cost (and which I believe to be true).

The sales manager informed me a few weeks later (when I brought the bike to the dealership for the 500 mile service) that he had sold me the bike for less than dealer cost, but that Ducati had reimbursed the dealership for the difference between the sale price and dealer cost.

The sales manager told me that this particular reimbursement was unusual and was because this dealership had bought out another dealership that had been "underperforming" according to Ducati North America. The dealership that I bought from had essentailly inherited whatever Ducati product was in the the inventory from the previous dealer. The 620's had not sold well in the US, and the dealer I bought from had to carry a "floor plan' financing package on that bike for a year and a half. They inherited a bike that they had no choice in carrying on the floor.

The point of this ramble is that reimbursements do occur, but it is not standard practice.