why is Freight on new cars ridiculously priced?

SunnY S

SunnY S

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I guess this is the latest way to scam new car buyers?

an eye popping $1800+ for "freight and PDI". for a car shipped from a US factory. The same car in the US only has $790 freight charge.

Back in 2012, when I bought a canadian made vehicle, the freight charge was $1200 to bring the car from the factory in Alliston, to the Toronto dealership I bought from. I offered the dealer for me to go the factory to pick it up myself, and drive it to the dealer and save the retarded costs (there is no way it costs $1200 to ship a car within the province), but they wouldn't have none of it.

Like good canadians, we just shut up and pay. Never question. Shame.
 
What car are you buying? Lol
 
They expect you to low ball them and drive the price down from the list price. When you are happy and satisfied with the price they ding you with the freight and PDI. They won't move on it because that's where they make a lot of money.

Try to negotiate and say during the price settlement "I don't want to see freight and PDI... if it's going to be on there at the end I'm going to walk now... this will just waste your time and mine"

SunnY S said:
I guess this is the latest way to scam new car buyers?

an eye popping $1800+ for "freight and PDI". for a car shipped from a US factory. The same car in the US only has $790 freight charge.

Back in 2012, when I bought a canadian made vehicle, the freight charge was $1200 to bring the car from the factory in Alliston, to the Toronto dealership I bought from. I offered the dealer for me to go the factory to pick it up myself, and drive it to the dealer and save the retarded costs (there is no way it costs $1200 to ship a car within the province), but they wouldn't have none of it.

Like good canadians, we just shut up and pay. Never question. Shame.
Click to expand...
 
LiNK666 said:
They expect you to low ball them and drive the price down from the list price. When you are happy and satisfied with the price they ding you with the freight and PDI. They won't move on it because that's where they make a lot of money.

"
Click to expand...

This is my theory exactly.

Lots of dealers and with all these car price websites now showing "what the dealer pays", dealers are proud to pat you on the back when you think you only paid "$300 over invoice" .

But then they try to stick you with a $400 dealer admin charge, which I made my guy delete upon the spot.

And then they throw the insane freight and PDI charge at you and claim that these are fixed factory prices and cannot be negotiated.

A safety cost me $65. There is no way a PDI should cost any more than this. So why the ridiculous "freight" charges? Can only be built in padded dealer profit.

I'm ok with ppl making money, but don't do it sneakily.




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Its so they can advertise lower prices.

Its just like renting a car. "Rent a shitbox, 29.99 a day" when you go to turn it in, there's a gas fee, a tire fee, a renewable energy management fee, a dildo in your *** fee....after all is said and done its 100 bucks.

Thats why i always say "i couldnt give a rats *** if you give a breakdown of every nut and bolt cost, all i care is how much $$$ is leaving my bank account, how you break it down doesnt interest me...."
 
Freight is a flat rate charge by the manufacturer. It's not a dealer charge.


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dealer admin fees you can usually drop.

When it comes to freight, it is an average of an entire line up.

For example

freight on a Toyota camry is the same as a toyota yaris

Camry is built in the USA, and the yaris is built in Japan. $15000 for a yaris plus $4000 shipped to southern ontario would not sell.


Why is it cheaper freight in the states than Canada?

USA buys a lot more cars. Shipping in bulk is always cheaper :)
 
Why is something built in Ontario and shipped to a dealership in Ontario the same as to ship as bringing it from Overseas?

Nick_f said:
dealer admin fees you can usually drop.

When it comes to freight, it is an average of an entire line up.

For example

freight on a Toyota camry is the same as a toyota yaris

Camry is built in the USA, and the yaris is built in Japan. $15000 for a yaris plus $4000 shipped to southern ontario would not sell.


Why is it cheaper freight in the states than Canada?

USA buys a lot more cars. Shipping in bulk is always cheaper :)
Click to expand...
 
SunnY S said:
I guess this is the latest way to scam new car buyers?

an eye popping $1800+ for "freight and PDI". for a car shipped from a US factory. The same car in the US only has $790 freight charge.

Back in 2012, when I bought a canadian made vehicle, the freight charge was $1200 to bring the car from the factory in Alliston, to the Toronto dealership I bought from. I offered the dealer for me to go the factory to pick it up myself, and drive it to the dealer and save the retarded costs (there is no way it costs $1200 to ship a car within the province), but they wouldn't have none of it.

Like good canadians, we just shut up and pay. Never question. Shame.
Click to expand...

Alliston to Toronto = $1200 freight.
Alliston to Vancouver = $1200 freight.

that's why.
 
Nick_f said:
dealer admin fees you can usually drop.

When it comes to freight, it is an average of an entire line up.

For example

freight on a Toyota camry is the same as a toyota yaris

Camry is built in the USA, and the yaris is built in Japan. $15000 for a yaris plus $4000 shipped to southern ontario would not sell.


Why is it cheaper freight in the states than Canada?

USA buys a lot more cars. Shipping in bulk is always cheaper :)
Click to expand...
Why should consumers care about their costs? If it costs them a billion dollars for a new assembly plant, they spread that amount through their product line and we don't see it as a separate line item on every Corolla "capital expense fee"?

It's BS and should be illegal. When I buy fries I'm not forced to pay separately for the carton they come in.
 
the admin people need paid, the car wont get itself from the factory to the dealer, and it wont pull off its own peelcoat and put the mats in so who really cares?
The only number that matters is what you pay driving off the lot, the breakdown is irrelevant. You can pretend I made them pull the fees for XXX, but it is still reflected in your final price. Nice things cost money. Negotiate the final price, its the only one that matters.
 
from fords assembly plant in oakville...
cost to ship to east oakville
+ cost to ship to toronto
+ cost to ship to windsor
+ cost to ship to thunder bay
+ cost to ship to vancouver
etc
------------------------
answer divided by number of cars to be made = freight


PDI is final assembly at the dealership.
some cars just get floormats
some cars have trim, radio antennas, sometimes even mirrors
PDI should be a car specific price

us have cheaper freight because usa is a smaller size country. There's a ford dealerships in whitehorse.

oakville -> whitehorse is more expensive than oakville to burlington.

If freight prices were based of km instead of average km, nobody would buy a ford outside of ontario, and people from sudbury and kenora, would drive to oakville to save a few thousand dollars.
dealerships wouldn't sell anything if they were located far from oakville
 
crankcall said:
the admin people need paid, the car wont get itself from the factory to the dealer, and it wont pull off its own peelcoat and put the mats in so who really cares?
The only number that matters is what you pay driving off the lot, the breakdown is irrelevant. You can pretend I made them pull the fees for XXX, but it is still reflected in your final price. Nice things cost money. Negotiate the final price, its the only one that matters.
Click to expand...

Because the cost is prescribed by the manufacturer and it is mandatory. So there's no rationale for making it a separate line item other than to mislead people and to weaken our bargaining position.
 
If car dealerships are paying 1800 a car to deliver it to the dealerships then im picking up a car hauler tomorrow.

Reality is they're barely paying 800-900 per car, coast to coast.
 
I noticed a while after buying my WRX that there was a $200 charge for a tank of gas.

Of course that was the least on what they screwed me on. Apparently I am very terrible at reviewing paperwork before I sign it.
 
haha, they have freight and PDI on cars made in local areas too like buying a Toyota in Ingersoll when the Cami plant is just 5 minutes outside the city.
 
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