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How Manufacturers Raised Prices or the Introduction of Shipping and Surcharge Fees

cabanza

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Most manufacturers have added a shipping fee and a shipping surcharge. While the shipping and surcharge fees made sense at the peak of the pandemic, shipping prices have since come down. The shipping and surcharge fees are still there though.

I'll take the Honda GROM as an example because I've owned 4 of them.

A 2013 GROM was $2,999 retail, a 2017 GROM was $3,299, a 2022 GROM was $3,399 (I bought an ABS model so it was $3,600), and now my 2023 GROM ABS is $3,800. In 2022, freight was added at $200 but Honda quickly changed that freight and added a surcharge of $100. The same freight and surcharge was applied to the 2023 model. Initially, if you just factor in the freight, the 2022 GROM was $3,600 and then $3,700 because of the surcharge. The 2023 is now $3,800 with freight and surcharge. That's for the non ABS model. My 2023 GROM ABS was $300 more than my 2022 once fees were factored in ($200 more retail and $100 surcharge I didn't pay on the 2022 because I bought mine in August, 2021). That's steep. But I'm not saying I'm paying too much for a GROM. Honda (and other manufacturers) are trying to make us believe they are keeping prices down when they're not.

So why the gimmick?
 
I bet some groms sold for 5k plus otd. Another issue is less dealers. My closest dealer that sells motorcycles is 70 miles. So dealer support starts to become irrelevant if the dealer is not local.
 
Was interested in a couple of bikes but I will not pay $1000+ "added dealer markup" on top of all the other charges.
Looked at a 390 adventure with a list of $5800, and was quoted $8800 OTD!
 
I bought a bike at the height of the pandemic so I knew I'd be paying MSRP plus high shipping but one dealer was also trying to tack on a $500 "Kawasaki Fee". I'll never darken that dealer's door again just like the nearby gas station that price gouged on 9/11.
 
Ye olde 'murican scamming at it "best". :bluduh
Same with UPS,Fedex and USPS. Prices are now down a bit from a year ago but those fuel surcharges are not going away...
As long as the public is dumb enough to pay those fees, the overcharging will continue. Just leave the products on the shelves and the prices will drop... :deal YMMV
 
I bet some groms sold for 5k plus otd. Another issue is less dealers. My closest dealer that sells motorcycles is 70 miles. So dealer support starts to become irrelevant if the dealer is not local.
Looking for an XR50 for the kiddo, new ones were ~$3500 after charges. :lol2
 
Ye olde 'murican scamming at it "best". :bluduh
Same with UPS,Fedex and USPS. Prices are now down a bit from a year ago but those fuel surcharges are not going away...
Yep. Just have to wait however many years for wages to go up to chase it down.
 
Looking for an XR50 for the kiddo, new ones were ~$3500 after charges. :lol2
That is my thought. A ycf110 is half that price with all the upgrades. Or the zr90 from piranha for the classic z50 style. I wouldn't want a quote on a honda crf110!
 
I think the damage has already happened. The dealers are now expecting to pull an extra $1500-$3000 from every deal. This is the reason ebikes, minibikes, pitbikes and clones sell so well.

Anyone can go purchase a coleman BT200 from a tractor supply and be slinging mud 30 mins later. Our ct200ex is over 2 years old with zero parts replacement. Has gone places that maybe only a tw might make. All for the on sale price of $500. TSC doesnt have any mark ups.
20230113_183434.jpg
 
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These things are replacing the Honda Ruckus here. I don't know if they're legitimately street legal, but I see them on sidewalks and on the streets (with lights) and they don't seem to be drawing LEO attention. Out of curiosity, I've paced a couple of them at slightly above 50 mph.
 
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