What Does MSRP Mean?

Hands Holding Car and Money


If you’re shopping for a new car, you might wonder “What does MSRP mean?” The Manufacturer Suggested Retail price is the price that the manufacturer recommends to the dealership – also known as the list price. This is based on factors like model popularity, vehicle materials, and others. But there’s far more to the MSRP than just a simple number. Find out what the MSRP means for you with Apple Tree Acura.

What is an MSRP?

The Manufacturer Suggested Retail Price – the MSRP – is the price that the manufacturer thinks is fair for dealerships around Asheville to charge. But, this is just one of many prices that you might see at the dealership. The base price, invoice price, and transaction prices are all calculated differently than the MSRP. So, what should you know about the MSRP?

  • The MSRP is standardized, so the same vehicle model will be the same across all dealerships.
  • The MSRP is the same from model to model, but not for every single vehicle in the lineup. An SUV will have a different MSRP than a sedan, for example.
  • The MSRP is publically available on the manufacturer’s website, and you should be sure to note this price when shopping for your car.

How is the MSRP Set?

The MSRP is set by comparing manufacturing costs, sales processes, market data, and average markups by Hendersonville dealerships. Here are some other considerations about the MSRP:

  • The MSRP is set at the base level trim without any additional options or accessories.
  • The MSRP is just a suggestion by the manufacturer, which gives dealerships some leeway when setting their price.
  • Dealerships may raise or lower the car’s price based on the invoice price – or the price that the dealership paid for the vehicle.
  • Popular vehicles are sold for closer to the MSRP, while less popular vehicles are often sold under the MSRP.

How Do I Get a Better Price?

Knowing the difference between the dealership price and the MSRP is the key to getting a great deal on your car. Often, the dealership will still make a profit from selling under the MSRP – which is where negotiating comes in.

  • Check out what other Johnson City have paid recently using sites like Kelley Blue Book, Edmunds, and Cars.com.
  • Start negotiating under the MSRP and move up from there, but remember that the MSRP applies to the base trim only.
  • While the dealership might not let you see the invoice, the invoice price also helps you determine how much room you have in the negotiations.
  • Don’t forget that you can still use the MSRP to your advantage if you are leasing, since you’ll negotiate with the dealership about your monthly costs.

Find Your Next Vehicle at Apple Tree Acura

If you want to get a fair price, it’s important to work with a dealership that you can trust. And at Apple Tree Acura, we pride ourselves on our customer care. Contact us for more information about the auto financing process OEM parts available, but since each one is made specifically for your bike you won’t have to worry about choosing the right one. This customized design can also lead to better performance.

  • Warranty: Your manufacturer warranty will usually be voided if aftermarket parts are used, but OEM parts will come with their own Harley-Davidson warranty and won’t invalidate your original coverage.

Visit Our Fletcher Dealership to Check Out Parts

The parts department here at Deluxe Harley-Davidson of Gillette can help you find exactly what you need and talk you through the differences between OEM and aftermarket options. For any further assistance, feel free to contact us today.

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