GM Has No Plans to Address Dealer Markups on C8 Corvette

Tired of seeing dealer markups on the new Corvette? You have two choices, either pay it or don’t, but GM will not be helping. 

We all understand the law of supply and demand. When demand outstrips supply then prices increase. That is a universal truth no matter what the product. Be it lumber, ammo, Corvettes, they all play by the same rule. There is no denying that demand for the new C8 Corvette has been strong, and lead to higher prices. Heck even used Corvettes seem to increase in price every day. That said, seeing markups of thousands of dollars on a new Corvette is tough to swallow. And some dealers play some pretty shady games when it comes to the price. We all hate the practice of dealer markups and would love to see the manufacturer step in and help out the consumer. Sadly, it looks like GM is not interested in helping.

According to a recent report by GM Authority the dealers are free to markup the Corvette as high as they care to. Chevrolet’s Director of Car and Crossover Marketing, Tony Johnson, recently spoke to GM Authority and his statement was bleak if you were hoping for some relief from markups. “Dealers are the interface with the customers, so customers make the deal with the dealer, so we leave that side of the business to our great dealer partners, who I think do a fantastic job, honestly, meeting customer needs and helping them through the journey.” Johnson said. When asked specifically if GM would do anything to encourage dealers to not tack on thousands of dollars on top of MSRP Johnson responded by saying: “Well, it’s supply and demand. We supply them, the dealers meet the demand.”

OK Corvette shoppers, it looks like we are in this alone. The “S” in MSRP of course stands for suggested. There is no law stating that the car must be offered at that price. Unfortunately, many dealers seem to think the “M” in MSRP stands for markup. So, it is up to us as consumers to seek out dealers that will sell a car to us at sticker price. The only surefire way to get dealers to stop charging thousands over sticker is for consumers to stop paying it. Sadly, that is proving difficult. Many buyers are so anxious to get their hands on the new Corvette, that they are willing to pay ridiculous premiums. And as long as folks out there continue to pay, then dealers are going to continue to charge and laugh all the way to the bank.

The C8 Corvette is a phenomenal sports car. An argument could be made to even call it a super car. The performance that the car offers is truly astounding. However, one of the most appealing aspects of the car is its relatively affordable price. For $75,000 you can spec out a really nice Corvette. But if the dealer charges you $100,000 for that same car it makes the deal a little less appealing. And as hot as the market is right now, things will cool eventually. Two or three years from now the C8, like most cars will depreciate. Supply will catch up, but you will never get the $25,000 markup money back. Is it worth it? That is a call that you need to make as an individual. But on a mass-produced car like the Corvette paying above sticker will get you a car but the money is lost.

At this point, the best we can hope for is for supply to catch up with demand and pricing to normalize. But that will be a while, so for now expect to see markups continue. However, there are dealers out there that will sell you a car at MSRP, and we suggest you seek those dealers out.

Images: GM.com

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