Average markup on used
Cruiser
Joined: Aug 2008
Posts: 146
Likes: 17
From: MI
I traded my 02 RG for a 06 SG and they gave me 10,000 for trade. they sold that bike for 13,000. Now they rebuilt the cam cavity, new tires, rotor, had to change the handle bars back from apes, and it seems there was something else. Hope this helps.
Just based on what I got in trade from my old Low Rider vs. what they put it out on the floor for I'd say mine was shooting for a $1,500 margin. They didn't need to do any routing maintenance beyond an oil change either.
Road Master
Joined: Apr 2008
Posts: 836
Likes: 4
From: NC / SC between the Mtns and the Ocean
I got beat to a bike that had an asking price of $12k, probably went for less, it was a good deal, some guy bought it, flipped it to a dealer (or the dealer was the guy who bought it, I'm still not 100% sure on that one) for an unknown amount, and he tried to sell it to me for $15,500, and is now selling it for $15,995. No value add here, no work done to it, a few days after I missed the deal, I get the call, ck the VIN, same bike I almost bought.
I'd say like w/ used cars, they sell it for what they think they can get for it. Regardless of what they paid for it. They make their money on the buy/trade. They will likely have a minimum margin, as others said, maybe it's $1k or $1500, but if they can make $4k on a bike, they will. How often can they? Maybe not very often, but if bikes are like cars, then they make more money on used than new.
.02
I'd say like w/ used cars, they sell it for what they think they can get for it. Regardless of what they paid for it. They make their money on the buy/trade. They will likely have a minimum margin, as others said, maybe it's $1k or $1500, but if they can make $4k on a bike, they will. How often can they? Maybe not very often, but if bikes are like cars, then they make more money on used than new.
.02
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