2014 Silverado/Sierras

If they would make it public then people would just buy gmc's instead of Chevys.

As far as the cost markup, yea that's part of it. But once you go to SLT and Denali the materials used are just superior to Chevy's. So that is why a Denali can run you 62k depending on options and a high country will run you about 58ish


I love the kid part though. :cheeky: makes me feel so special. Don't believe me? Oh well. Ik what I was told from a credible Gm rep and that's that. I can say anything on here and select few will call bullshit and drag on an argument just bc they think they know everything. You're probly the same person that walks in a dealership and says "I know how Yall do things. I want this (unrealistic) price for my truck and I want Yall to discount yalls 10k more" when you have no clue what so ever how any thing goes. The gmc's are made to be more premium than the Chevy's. My high country isn't as nice as a Denali but it's the top of the line Chevy. Gm has Buick and Cadillac. Cadillac has more expensive materials than Buick let alone most vehicles in its class. People have to have a reason to pay more.


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I was gonna stay out of this, but I can't anymore.

I agree with part of your argument, but not all of it. I agree that the GMC are more of a "premium" version of the Chevy, but not so far that they would have structural differences. Take it from someone in the manufacturing industry. The cost offset to make a "10% stronger" frame wouldnt make sense for GM. There is tooling, work holding, fixtures, etc. that would have to be changed to conform to the new frame. Even a heavier gauge steel would require changes. Those costs would outweigh any profit they would have.

They would however benefit from material changes to the interior since it already differs between the two. That is where the extra cost is.
 
BRB, trading in silverado to buy Sierra that can haul 42 more lbs in the bed . #10%ftw
 
What's the markup/margin on a duramax jimbo, and don't bs me with that, there's no money in new cars bullshit. I got almost 12k off sticker on my cummins and I know they still made money or they wouldn't have sold it
 
j.mo said:
What's the markup/margin on a duramax jimbo, and don't bs me with that, there's no money in new cars bullshit. I got almost 12k off sticker on my cummins and I know they still made money or they wouldn't have sold it
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Better off actually asking a sales manager j.bro.
 
DeanH1290 said:
I was gonna stay out of this, but I can't anymore.

I agree with part of your argument, but not all of it. I agree that the GMC are more of a "premium" version of the Chevy, but not so far that they would have structural differences. Take it from someone in the manufacturing industry. The cost offset to make a "10% stronger" frame wouldnt make sense for GM. There is tooling, work holding, fixtures, etc. that would have to be changed to conform to the new frame. Even a heavier gauge steel would require changes. Those costs would outweigh any profit they would have.

They would however benefit from material changes to the interior since it already differs between the two. That is where the extra cost is.
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Unless the rep didnt know his head from his ass, Thats what he told me. Does it make sense to me? Honestly not at all. Especially when you put it like that. However, the inside materials, the fact that the gmc has more insulation than the chevy and what not i can see being the main differences.

j.mo said:
What's the markup/margin on a duramax jimbo, and don't bs me with that, there's no money in new cars bullshit. I got almost 12k off sticker on my cummins and I know they still made money or they wouldn't have sold it
Click to expand...

There really isnt much in new vehicles. Its all about rebates. I dont know much about about the actual cost part (technically we are just the middle man between the sales manager and the finance manager) but i do know that we do loose on the front end of the deal any time we have 12k off our trucks like right now. Where we try to make it up is in the trade and the financing. If we loose 2k on the front end, but hold 2k on the trade and make 3k on the back end with warrantys then we made 3k so far on that deal. Then if we retail the trade we'll probly put it for 5kish more (depending on the hold back and what we have in it) than what we have in it after we run it through service and what ever we sell it for totals what we make on the entire deal.

Will! said:
Better off actually asking a sales manager j.bro.
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They know alot more than actual sales people do bc we arent lisenced or qualified to talk about that technically.
 
GreyGhostz71 said:
Unless the rep didnt know his head from his ass, Thats what he told me. Does it make sense to me? Honestly not at all. Especially when you put it like that. However, the inside materials, the fact that the gmc has more insulation than the chevy and what not i can see being the main differences.
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The rep is a salesman too. "Sell the salesman, and he sells for you" applies here. He knows the truth and stretches it so you have points to hit when discussing the brand, OR he was told the same junk and passed it on. I highly doubt there are any differences besides a higher trim base model and a few extra whing-dang-doodles. Ive been in thousands of these trucks, and taken apart my share of interiors - I have never noticed a difference between a silverado and sierra. The 'extra insulation' and 'higher quality material' gimmick is a talking point because it cannot be easily proven or disproved. Its like the difference in high-end TVs; there are no big, real differences between similar models of an LG vs Samsung - its up to your past experiences, brand loyalty, look/feel, marketing, salesman, and reputation to make up your perceived value and choose between two very similar products.
 
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GreyGhostz71 said:
Unless the rep didnt know his head from his ass, Thats what he told me. Does it make sense to me? Honestly not at all. Especially when you put it like that. However, the inside materials, the fact that the gmc has more insulation than the chevy and what not i can see being the main differences.



There really isnt much in new vehicles. Its all about rebates. I dont know much about about the actual cost part (technically we are just the middle man between the sales manager and the finance manager) but i do know that we do loose on the front end of the deal any time we have 12k off our trucks like right now. Where we try to make it up is in the trade and the financing. If we loose 2k on the front end, but hold 2k on the trade and make 3k on the back end with warrantys then we made 3k so far on that deal. Then if we retail the trade we'll probly put it for 5kish more (depending on the hold back and what we have in it) than what we have in it after we run it through service and what ever we sell it for totals what we make on the entire deal.


They know alot more than actual sales people do bc we arent lisenced or qualified to talk about that technically.
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Wait your dad owns a dealership? That explains so much.
 
Adjusted said:
The rep is a salesman too. "Sell the salesman, and he sells for you" applies here. He knows the truth and stretches it so you have points to hit when discussing the brand, OR he was told the same junk and passed it on. I highly doubt there are any differences besides a higher trim base model and a few extra whing-dang-doodles. Ive been in thousands of these trucks, and taken apart my share of interiors - I have never noticed a difference between a silverado and sierra. The 'extra insulation' and 'higher quality material' gimmick is a talking point because it cannot be easily proven or disproved. Its like the difference in high-end TVs; there are no big, real differences between similar models of an LG vs Samsung - its up to your past experiences, brand loyalty, look/feel, marketing, salesman, and reputation to make up your perceived value and choose between two very similar products.
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Yeah, my Denali insulation is total trash. I would like to say it's worse than my NBS
 
j.mo said:
What's the markup/margin on a duramax jimbo, and don't bs me with that, there's no money in new cars bullshit. I got almost 12k off sticker on my cummins and I know they still made money or they wouldn't have sold it
Click to expand...

GreyGhostz71 said:
There really isnt much in new vehicles. Its all about rebates. I dont know much about about the actual cost part (technically we are just the middle man between the sales manager and the finance manager) but i do know that we do loose on the front end of the deal any time we have 12k off our trucks like right now. Where we try to make it up is in the trade and the financing. If we loose 2k on the front end, but hold 2k on the trade and make 3k on the back end with warrantys then we made 3k so far on that deal. Then if we retail the trade we'll probly put it for 5kish more (depending on the hold back and what we have in it) than what we have in it after we run it through service and what ever we sell it for totals what we make on the entire deal.
Click to expand...

Pretty much the same thing I have been told. There is not a whole lot of markup on new vehicles but they make money off financing, extras like under coating, and the manufacturers give them incentive pay for certain vehicles and/or the volume of a certain vehicle sold, also from getting your trade as cheaply as possible then selling for a profit, and finally when you finance in their office they get a kick back also.
Basically a GM truck may invoice for $50k, they have it marked at $52k and they end up selling it to you for $49k; they are hoping to get you to buy extras that will make up for that $1k but even if you do not then purchase any extras but finance in their office then they will make it up plus more there (lets say $2k). If GM tells them if they sell 50 units that month they get, lets say will get $3k per unit, you have now put them one more vehicle closer.

$50k is what dealer has in it.
$49k is selling price.
-$1k at this point

$2k financing kick back
-$1k from above
$1k is what the dealer is at currently for this deal

$3k manufacturer kick back due to meeting a goal for units sold that month
$1k from above
$4k is what the dealer is at currently for this deal

Add in a trade that they make money on and they had a good deal and you feel like you took the house on the truck. I didn't factor in commissions as I really have no idea who gets paid what. Basically what they make on a car depends on much more than what you see while sitting at the desk making a deal.
 
My GF briefly worked in a office at a dealership where she finalized all the deals. I argued with her on them not making money on the individual deal.

This also why a lot of dealers have went away from trying to sell cars for large profits and moved to volume sales.
 
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