Quote:
Originally Posted by 21450
"Originally Posted by nachob
This has been covered in other forums, the dealers DON'T lose the money. Their ED Invoice cost is lower by the same amount as US Invoice. They make the same money on ED Invoice VS. US Invoice. "
I understand that.
Correct me if I'm wrong, but dealers receive an additional equivalent of ~7% of MSRP from BMW based on CSI on US delivered 1Ms and not on ED cars which is why they are potentially losing money on 1M ED cars. This is based on cars from their allocation. Applicable to 1M only, as normal ED(other BMW models) are not taken from dealer allocation and don't qualify for the additional CSI money.  |
That is the case with all previous ED cars BUT the 1M is different and does come out of their allocation. When my dealer balked at ED, he told me he was going to double-check on the CSI money because he acknowledged that it is a different situation. The two days later I got a call telling me to sign the papers. I didn't ask questions just signed, but I assumed the answer came that since IT DOES come from their allocation, it counts toward the CSI.
If it doesn't and someone paid US MSRP for an ED car, then again the dealer would make the same money even if the CSI wasn't included. I can try to confirm the CSI, but that was the issue they had with ED, then they called me after checking and gave me ED. There is a lot of confusion on the 1M and some dealers don't know for sure, they are assuming it is the same as past ED process. If anyone here works for a dealer and can double-check that would be great but the danger is that many are not checking, they are only getting two 1M and assuming it is the same as previous ED process.