Is what my dealer says actually true?

[Juan]

I just checked the suzuki web site to check on incentives for new 2012 kizashi - in addition to 0% for 72 months they also offer $1,500 cash back on new 2012, If you already own a suzuki you can get get up to $1,000 more, another $500 for military servicemen and $500 for recent graduates. Assuming you qualify for all the rebates that adds up to $3,500 total. That's about $1,600 dollars short of the advertise rebates. It looks like they are discounting the car somehow even deeper... Good Deal!

[Ronzuki]

That's about $1,600 dollars short of the advertise rebates. It looks like they are discounting the car somehow even deeper... Good Deal!

They must want the OP's trade, they're planning on making up the difference, and then some, there.

[Ehibb034]

The trade is a nissan juke

[KuroNekko]

The Juke is a car that dealers can hardly keep on the lot. I read an article about it some time ago. It must have a high resale value, unlike the Kizashi.
The Kizashi is a great car with low resale value. It's a good car to own and to keep as the quality is high while costing less than its competition, especially used.
The Kizashi is really a victim of Suzuki's tarnished reputation from the Korean-made junk that was the Forenza, Verona, and Reno. Most people probably think the Kizashi is a new one of these and avoid it. Pitiful shame, really.

[Moto]

I also run a site for the juke... I haven't really been impressed with it. I don't even check the site every day.

[SuzukiMarkus]

The confusing part to most new car advertising is that most dealers include every incentive available, whether you qualify for it or not, into their pricing. In order to conform to the manufacturers advertising, advertised price doesn't include the factory freight or destination fee. Suzuki freight is $795 for the 2012 Kizashi. Most dealers will disclaim their advertised price like this…(which is cut and paste from Suzuki of Cherry Hills website)

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'Buy it Today' pricing is valid BY APPOINTMENT ONLY through our Internet Department and cannot be combined with any other offers.
Price includes all costs to be paid by consumer except for sales tax, registration, title, and dealer fees. 'Buy it Today' price includes all available offers, incentives, and factory rebates; must qualify for all rebates to receive Buy it Today pricing. Prior sales are excluded. Call (866) 677-4444 for details.
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Most of what Juan as already posted is accurate....$3500 of their discount is available in incentives. My guess is that $795 of the remaining discount is factory freight. If you don't qualify for Owner Loyalty, Military, or Recent College Graduate, then you will pay a higher than advertised price. Most people unfortunately don't know that until they are finalizing their loan in the finance office.

We take a more transparent approach to our pricing. Our advertised price is the price all customers will qualify for. This pricing philosophy is part of the reason we are the Highest Volume Suzuki Dealer in North America.

If you meet the guidelines for owner loyalty, military, and college graduate, you get a better opportunity. Here is my pricing for a 2012 Suzuki Kizashi AWD without Navi.

MSRP plus freight.....$28,454
Invoice plus freight.....$27,316.24
Factory Freight.....$795

Suzuki of Wichita Pricing....$24,988 ($1966 below MSRP/$828.24 below Invoice)
Plus Freight.....$795
Plus Dealer Admin Fee.....$299
Total.....$26,082 plus local sales tax

Or...If a person qualified for Every Incentive Suzuki offers...

Suzuki of Wichita Pricing....$24,988 ($1966 below MSRP/$828.24 below Invoice)
Less Owner Loyalty.....$1000
Less Active Military.....$500
Less College Grad.....$500
Plus Freight.....$795
Plus Dealer Admin Fee.....$299
Total....$24,082 plus local sales tax

Since every manufacturer places a restriction on Owner Loyalty, Active Military, and College Grad, we elect to price our cars clearly. We price our cars with the incentives every buyer qualifies for. I will also offer up to $500 for shipping every new Suzuki we sell outside of Kansas.

There is also a 0% financing promotion in lieu of the Customer Cash Rebate, which the manufacturer stipulates.

Suzuki suspends their Promotional Lease program in the 4th quarter. There is a lease available on the 2013's that is not very competitive rate wise. The incentivized lease rates will be out soon. The suspension of the Promotional Lease is due to the model year change over. It happens every year since leasing programs have come back.

My suggestion would be to get a written offer with the actual numbers on a Buyers Order or Sales Agreement. What I see happen most times is you won't get that written offer unless you visit the dealership, commit to purchasing their car with a deposit, or give them your credit information.

There are 3 areas where a dealership can profit on a car transaction. The sales of the car, the trade, and the financing.

Many dealers will under value your trade-in on paper and show you less than it is actually worth to increase their profit.

Financing is the area most difficult for most customers to navigate. Most dealerships will mark-up the rate they get from the bank to get a fee from the lender. The amount of mark-up varies by lender and terms, but is typically 2-2.5%. Extended Service Plans and GAP are typically the most customer friendly, but they also generate a profit. Programs like VIN Etching, Anti-Theft, Road Side Assistance, Paint/Interior Protection and mostly profit and offer little protection for the customer.

Your leasing information is partially accurate. Suzuki has suspended the Promotional Lease package for the 2012 model year. They end the incentivised lease in the 4th quarter every year. Since leasing returned to the market, Suzuki has suspended the Promotional Lease during the model year change over. You should see the Incentivised rates return on the 2013's. There is a lease available currently, but it is not a very good lease rate. The rate is the challenge, not the residual.

[Ronzuki]

Well dang...this is a first! A simple, to the point, apparently honest pricing explanation. While I am aware of most of whatyou state, I applaud you for putting it out here in writing for those that don't. What a novel idea, Thank you. Where's the "Buy It Now" button?

While I'm not in the market at the moment, sure wish I lived closer to Witchita. (I know you'll ship to me and put $500 towards it). Who knows maybe if/when the Jimny ever gets here, I may be in the market again.

[Juan]

WOW, great an honest explanation on how things work at the dealer. I did a lot of reserch and found out what you stated is correct. When I went to the dealer I told them up front that I was buying a car, there was no trade in and that I will pay cash for it. Also I told them that I did a ton of reserch and was aware of all the rebates and pricing. I also told the dealer that I did not want to waste their time or my time going back and forth which I did not like. According to Edmunds.com the kizashi sls no nav. had an average selling price of $25,500 in my state so that was my number, I was able to negotiate $25,083 plus tax, reg & dealer fee which I was more that happy to close the deal - so far so good! If I lived closer to Kansas I will stop by and give you a hug for honesty.... thanks.

[~tc~]

You kinda lose me on how you make money selling under invoice. Are the Suzuki holdbacks that much?

[Ronzuki]

Suzuki's hold-back is your typical 3% I believe. There are other mfg. to dealer incentives and programs we the people never hear about despite the interweb. Volume speaks volumes... $$$.