moto guzzi factory MSRP VS reality dealer price.

[arveno]

I was just browsing around and noticed that the stornello ( for example ) "moto guzzi full price " is 11,190.00 usd

http://www.motoguzzi.com/us_EN/moto/standard/V7-II/V7-Stornello/


but some dealer is selling it for  6,999.00 usd

https://www.ebay.com/itm/2016-Moto-Guzzi-V7-II-Stornello-NO-FEES-WE-DELIVER-NATIONWIDE/322857216324?hash=item4b2bca2944:g:y3gAAOSwA3dYdnll&vxp=mtr



I was wondering how can a dealer makes money selling moto guzzi ?

Hoping to sell a bike and then get some money during the maintenance schedule ?

[blu guzz]

factory incentives.  desire to turn the bike.  year old models are not uncommon with Guzzi.  If you look at the dealer's web site, MG is only a small part of their retail business, so, economy of scale also plays into it.

[ITSec]

This stuff happens all the time, and not just with Moto Guzzi. Left-over models often get a combination of factory incentives (cost buy-downs to the dealer) and internal pressure (the dealer is no longer able to floor-finance the bike and has in effect bought it from the factory). Since the bike is costing him/her money every month, there is good reason to make it go away. Take a look at the photos - there's snow on the ground. That bike has been off Piaggio's books for a while (though the warranty doesn't start till the dealer actually sells the bike).

I've seen similar things on less popular models of Honda, Yamaha, Kawasaki, Suzuki, and even (gasp!) HD.

[kingoffleece]

Interesting topic.  Like some others here, I've had the chance to be involved with dealer financials.
I'm glad I don't have to make a living selling motorcycles (new).

[bigbikerrick]

thats one heck of a deal on a brand new Stornello!  I really like that bike!
Rick.

[Kev m]

That's where Bill Hagon bought his Stornello, isn't it?

To answer the OP,  something is seriously weird about that. I mean that's so far under invoice no I don't know how a dealer sells that and stays in business.

Rebates+incentives+voodoo and still I don't know.

But that's probably also part of the equation why there are so few dealers. Like when MI would regularly advertise bikes cheaper than dealers could get them from Piaggio.

[helipic]

I got my Stornello for $6495 brand new. they marked up paperwork and dealer setup fees. So out the door was almost   $8000.

[John Ulrich]

If a dealer called Guzzi today and offered to buy a dozen bikes but needed an incentive...... I bet they would make them one hell of a deal.

[jlburgess]

I got my Stornello for $6495 brand new. they marked up paperwork and dealer setup fees. So out the door was almost   $8000.

I've been watching the Stornello on Ebay for about two weeks.  Amazingly it didn't sell the first time around but there was another V7 (Sport) I think for $500 less that disappeared.  The dealer has to pay Ebay fees too so something is going on.  Usually I only find that kind of price when a dealer goes out of business and another buys their inventory.

 If Guzzi would price the bikes like that from the get go they wouldn't be able to make them fast enough.  My '09 Griso was $14,295 if I remember right but I had to get the first one!  😉

[Triple Jim]

I lived in MD most of my life, and didn't know there was an "Accident".

[Jim C]

Eurocycles, Sonoma, CA and Reno, NV, I think. Not only is he undercutting the dealer's
MSRP,  he's also undercutting the used market as well, and is, in my opinion,
devaluing the entire brand. I almost had a buyer for my bike, but he's offering
brand-new 2017 V7 IIIs for $5995. Good Grief!! You can find all his bikes in
CycleTrader, if you're curious.

[Perazzimx14]

Eurocycles, Sonoma, CA and Reno, NV, I think. Not only is he undercutting the dealer's
MSRP,  he's also undercutting the used market as well, and is, in my opinion,
devaluing the entire brand. I almost had a buyer for my bike, but he's offering
brand-new 2017 V7 IIIs for $5995. Good Grief!! You can find all his bikes in
CycleTrader, if you're curious.

Wonder what the dealer setup and paperwork fee's are. Me thinks not what one would normally suspect.

[bettythebear]

Honestly, they were only about $400 more than what I would have paid locally for my new Norge. I still completely underpaid for the bike.

Wonder what the dealer setup and paperwork fee's are. Me thinks not what one would normally suspect.

[twowheeladdict]

I was just browsing around and noticed that the stornello ( for example ) "moto guzzi full price " is 11,190.00 usd

http://www.motoguzzi.com/us_EN/moto/standard/V7-II/V7-Stornello/


but some dealer is selling it for  6,999.00 usd

https://www.ebay.com/itm/2016-Moto-Guzzi-V7-II-Stornello-NO-FEES-WE-DELIVER-NATIONWIDE/322857216324?hash=item4b2bca2944:g:y3gAAOSwA3dYdnll&vxp=mtr



I was wondering how can a dealer makes money selling moto guzzi ?

Hoping to sell a bike and then get some money during the maintenance schedule ?

I googled the shop and it is a small place in rural MD.  If I had the cash I would buy it and road trip up there in my truck to get it.  My closest dealer that had one wants $1500 more plus fees.

[LBC Tenni]

Eurocycles has a location in Vegas as well. Out of curiosity I called to inquire about those $5995 V7s. $1500 in destination, document and setup fees. May still be cheaper than a dealer who wants to add fees to MSRP, but it stinks of false advertising.

[TimmyTheHog]

A dealer in Langley BC, International Motorsports, was getting rid of its new 2016 V7II Racer for $6,000 CDN + Paperwork fee and Tax...not sure if it is an ABS model or not.

https://www.facebook.com/internationalmotorsports/photos/gm.123647664993450/1688761091187719/?type=3&theater

A brand new of that from MG Canada is listed at $11,790 (Assuming CDN)...

http://www.motoguzzi-canada.ca/motorcycles/v7-ii-racer-abs.html

Even if there is no paperwork fee from MG and no tax, the dealer is still giving it away...

[bettythebear]

That's where I got the Norge. My fees came to about the same amount, but NV has a pretty high document fee from the research I did beforehand (about $360 compared to $150 here in TX), and that price for me also included having it shipped to my house. I compared to the price at msrp plus fees at a local dealer, and I would've spent a full $6k more locally.

Eurocycles has a location in Vegas as well. Out of curiosity I called to inquire about those $5995 V7s. $1500 in destination, document and setup fees. May still be cheaper than a dealer who wants to add fees to MSRP, but it stinks of false advertising.

[Gliderjohn]

When I bought my Norge new in 2011 I was able to get it for $800 under list and all additional costs came to a grand total of $24. No, I didn't drop a 0. At the time I thought it quite reasonable.
GliderJohn

[John Ulrich]

NV has a pretty high document fee from the research I did beforehand (about $360 compared to $150 here in TX)

Of course you mean what that dealer is charging vs another dealer.  The state has no say on what a dealer wants to charge for a "document fee".  When I sold cars, one dealership I worked at charged $750 (back in 1981).  If I was successful in adding it on the sale, I earned $250 of that.  Another dealer I worked at charged $75.00.

[calfruit]

I purchased my 2012 Norge from Thousand Oaks Guzzi in Nov of 2013 for $11,999 plus ad ons.

Last year my buddy purchased a 2015 from Moto International for $9,999.  Go figure!

[bettythebear]

Yes, that's true. However, there are a few states that put a cap on what dealers can charge for that fee. I ended up callign other motorcycle dealers in NV and asking them what they charge for the doc fees. Here in the Austin. TX area charging $150 is pretty much the normal amount. The great state of NY, where I'm originally from, caps that fee at $75. All together I paid $12k including all fees for my Norge. I found only one for sale in the state of TX at the time, in El Paso, and after a few phone calls, he let me know that he just couldn't afford to let it go for less than $13.5k out the door.

Of course you mean what that dealer is charging vs another dealer.  The state has no say on what a dealer wants to charge for a "document fee".  When I sold cars, one dealership I worked at charged $750 (back in 1981).  If I was successful in adding it on the sale, I earned $250 of that.  Another dealer I worked at charged $75.00.