The dealers do very well on the sale of new and used bikes, for instance, a 2014 street glide special costs a little over 18000.00 dealer cost, the msrp is 22500.00. that is a 4500.00 profit plus any freight and prep fee is 100% dealer profit, if you buy an extended warranty it is usually a 50% markup sometimes 60%. parts and accessories have a 50-60% markup. if you buy a bike at msrp out the door then the dealer still makes a few grand...trust me the dealers are not starving and with the over production of bikes these days Harley dealers are swimming in cash......And I know this for a fact!

 

The small local dealer I bought my Dyna from in '08 used to just charge $150 for dealer prep and documentation fees.... The big, dominant dealer nearby charged $775 at the time.... Guess what? The MoCo pulled the dealer licence from the little guy and now the big dealer charges $1,000.... Things that make you go hmmmmm

 

Setup and DOC fees are pure dealer profit centers

 

Technically speaking, dealer doc fees are non-negotiable. Anyone that tells u they haven't paid it or otherwise is misinformed.

Savvy shoppers always negotiate a firm bottom line price, in effect, erasing any "fees" assessed at delivery. Let the dealer figure how to back out the numbers from each profit center to make the deal work.

Dealer prep is altogether different. Manufacturers reimburse dealers for the cost of getting new units ready for delivery (hold back). There's no reason for any prep fees to be passed along to you.

 

It used to be called "undercoating". lol

 

So true and funny!!!!

 

I took a price quote from a dealer on a Saturday for a used bike that was traded in on that same Saturday Morning. Went back on Monday to test drive the bike and close the deal if it rode well. It rode well but the price quoted on Saturday now had dealer prep added to it to the tune of $750 plus doc fee of $199. I walked out with them walking behind me telling me they charge a prep fee whether new or used. I bought mine from a used car dealer who took it on trade in from his uncle that originally bought it from the very dealer that I walked out on. The used car dealer didn't charge any prep or doc fees. Price quoted was the price I paid.

 

I looked up the paperwork from my new 1978FXS and 1980FXS. Neither showed any Doc fees or dealer setup fees. Just sale price, tax, & license.

Then as I recall, came the mid 1980's when Harleys became popular, even trendy. Everybody and their brother wanted one, and dealers couldn't keep them on the showroom floor. Demand out paced supply and the Harley premium price was born.

I looked up the paperwork on my new 1989 Heritage... sure enough, the paperwork showed sale price, tax, & license... AND... dealer setup & doc fees.

As long as Harleys sell like hotcakes, I don't see these dealer add-ons going away. If you find a dealer with a new bike they want to move, I bet you could get them to drop the setup/Doc fee in a heartbeat...

 

Where did you get the $18000 cost? Just curious as my father has decided he is buying a new SGS next weekend and I am usually his negotiator so I want some ammo when I go into the dealer to get the cost hammered out.

 

Www.seedealercost.com