Where To Purchase

[Teeitup26]

Originally Posted by TerryJames

Good day, Sue, We have sent you an e-mail with the bid request document. We also included RV Direct in our bids, we actually talked to all the bidders prior to the bid request and we researched the actual owners cost from Thor. RV direct did not come in best bid. Our decision was based on analyses of the proposals’ responses to with respect to price, location, ongoing warranty and service options and options for aftermarket equipment modifications. After the first request a couple of the bidders asked us to call back with the best price we get then they would talk! So we sent the following clarification note:

"A brief Clarification on our Request for bid to purchase Thor Motorhomes Axis / Vegas 25.2 RV

Good Evening folks, thank you for your assistance,
After receiving a couple of questions / comments it may be useful to share some information / guidance on our current RV purchase bid request. For example, last December our company was requested to bid on support to 3 projects for the NASA Cleveland Glenn Facility. Management called the team together and asked us the question, “Would we like to have a reasonable % of something” rather than have “100% of nothing if we bid too high?” The team crafted our company’s bid based on that statement knowing that we would have one chance at the opportunity to bid and we would essentially have no further conversation before the bid was awarded … other than any clarification on scope questions prior to bid submission.

This bidding approach may be unusual for some of you, who may be more familiar with conducting client purchase negotiations over time, and perhaps even potentially being subjected to “price wars” generated by your potential clients roaming between dealers pitting one against the other. This is not our intention. Our sole intention is to assume you will have provided us up front with your very best cost and response to the points in the Thor Axis / Vegas RV bid request … and all we have to do is assess the bids received and the answers received and to award the order without any further discussion. … (other than to advise the unsuccessful bidders after the order has been placed.)

Please understand, if you choose not to offer your very best bid we do not intend to initiate negotiations or in any way start playing one dealer against the other dealer(s). We are on a time clock and we will place the order on schedule.
Again thank you again so much for all your efforts to assist us in our RV purchase experience."


... Ethically when one uses this approach one has to be (1) Willing not to play one dealer off against the other after the bid is received and (2) MOST IMPORTANTLY ... be actually ready to write a check the day after the bids are received ... otherwise I do not recommend this approach.
It worked for us but may not suit other folks.
Good Luck,
James

Maybe Sue should hire you if you're available to run the game for her. LOL. just kidding i think.

[Joe-FL]

Very interesting method that TerryJames posted. When we were recently looking at a couple different makes of coaches we discovered a couple new ones already marked down almost 30%. On one of these we did some later telephone negotiations on the phone and had it down to 38% below MSRP. We didn't end up buying it because of an issue they couldn't seem to get fixed prior to delivery.


I am guessing that if a dealer has a new coach on the lot with a MSRP of $150,000, then he actually only has about $80,000 invested. Will he reduce it 30% to 40% for a sale, sure he will depending on what time of year it is, how long he has had it, and numerous other factors.


What we ended up doing was finding a 2 year old bigger unit with 3,200 miles on it. With a 5 year bumper-to-bumper full warranty included you could say it was reduced over 50% from the original MSRP.


I think the "closed bidding letter" approach could work with some dealers. I suspect some dealers would ignore it and not participate. When spending $80,000, $100,000, or even more I have to see and touch the product I am buying first.

[TerryJames]

Hi Joe, Yes all your points are very valid.
In our case we were ordering to our exact interior / exterior specifications from Thor with respect to options etc., plus we specifically wanted a 2017 on an E-450 chassis not an E-350 chassis or a 2016. And the purchase and E-450 chassis was already lined up with Thor. And we had been in and driven identical units with different interiors etc.
Given at the time of purchase our exact specs did not exist on anyone’s lot new (our feeling was if we are buying new we want our specs.) … each dealer we had talked to had a level playing field. For them it was simply filling out a direct order page to spec to Thor for a “paid-for” unit and they were looking at no inventory cost and no impact on their Thor allotment numbers. Easy profit for them.
We were not interested in finding “something close to our specs” sitting on a dealer’s lot. Soooo … the approach was a fit for us but would not have been had we been shopping around to see if we could find something we liked.
All in the attributes of value for different buyers. Doesn’t fit for lots of folks.
Best to all
James

[SuperD]

Bought my Windsport at MSHRV in Texas. Nice people, no surprises or hidden costs, better price than I could find anywhere. I had an AC problem that occurred right after delivery, they fixed it the next weekend and were very nice about it. I dealt with Total RV in Indiana once, wouldn't do it again

[Joe-FL]

James, I guess if you have to have an exact new model to your specifications then your open bid letter would be the way to go.