New Car Price Addendum

New Car Price Addendum Label: An Examination of Dealer Add-Ons

When buying a new car, it’s essential to be aware of potential pitfalls, one of which is the dealer’s new car price addendum label. While these added extras may sound appealing, they often inflate the car’s cost significantly. Furthermore, these add-ons, while offered as conveniences, may be purchased at a lower price elsewhere, post-sale. Let’s dive into some commonly added dealer extras.

Pinstriping: Dealers may offer custom pinstriping, a decorative feature that adds personality to your car. However, the cost at the dealership is typically high compared to independent detailers or DIY kits.

Chrome or Alloy Wheels: These upgrades can enhance your car’s aesthetics, but they’re often significantly cheaper from a tire and wheel specialist than from a dealership.

Tires: Some dealers will offer to upgrade the factory tires to premium or performance models. Independent tire retailers usually offer a wider selection at better prices.

Lift Kits: For truck and SUV buyers, a dealer-installed lift kit may seem convenient. But off-road shops or vehicle customization centers often provide more options and competitive pricing.

Spoiler: Adding a spoiler at the dealership can be costly compared to buying one from an aftermarket supplier and having it installed by a professional or doing it yourself.

Paint and Fabric Protection: Dealers may claim their special coatings protect your car’s paint and interior fabric, but these services are often marked up significantly. Professional detailers or quality DIY kits offer similar protection at a fraction of the price.

Undercoating: Some dealers might offer an undercoating service, claiming it protects against rust. However, these services are often overpriced compared to independent providers or DIY solutions.

Nitrogen Tire Inflation: While nitrogen in tires can maintain pressure longer than regular air, it’s often an unnecessary cost given that regular air is mostly nitrogen and available for free at many service stations.

Market Adjustments: This add-on refers to an increase in price based on demand, often seen with high-demand or limited-edition vehicles. It’s purely a dealership surcharge with no aftermarket equivalent.

Alarm System: Dealership prices for alarm systems can be inflated. Security systems are usually more cost-effective when purchased from a specialist security provider.

Music Systems: Upgrading your car’s audio system at the dealership often comes with a high price tag. Aftermarket audio specialists provide more options and better prices.

Wrapping It Up

Below is a comparison table showing the average cost of these add-ons at the dealership versus the average cost of aftermarket equivalents:

Dealer Add-OnAverage Dealer CostAverage Aftermarket Cost
Pinstriping$250$100
Chrome or Alloy Wheels$2,000$1,200
Tires$800$600
Lift Kits$2,500$1,500
Spoiler$600$300
Paint and Fabric Protection$500$150
Undercoating$300$150
Nitrogen Tire Inflation$70$30
Alarm System$600$300
Music Systems$1,000$500
Costs based on 2021 data.

While dealer add-ons may offer convenience, they often come with inflated costs. As a savvy car buyer, consider investing time to shop around and explore aftermarket alternatives. Not only can you potentially save money, but you can also personalize your new vehicle to suit your tastes and needs better.

As you navigate the process of buying a new car, it’s important to be aware that the add-ons discussed in this post are typically added by the dealer before the car is listed for sale. They’re listed on the addendum sticker that accompanies the vehicle’s window sticker, which outlines the car’s standard and optional features, as determined by the manufacturer. However, your purchasing journey doesn’t end there. 

Once you’re in the dealership’s Finance and Insurance (F&I) office, you’ll likely be presented with additional add-on products and services. These may include things like extended service contracts, gap insurance, and tire protection plans. While we won’t delve into the specifics of these post-sale add-ons in this article, it’s crucial for buyers to be aware that they exist, and they represent additional costs. 

For more detailed information about these post-sale add-ons, please refer to our dedicated article on the topic Add-On Items Sold by the Dealership. Remember, knowledge is power – the more informed you are about the potential costs associated with purchasing a vehicle, the better positioned you’ll be to negotiate a deal that fits your budget and meets your needs.

AutoByPayment.com offers accurate estimates of new and used car loan payments based on self-selected credit score, current rebates, down payment, and trade equity or negative equity, without customers having to provide their personal identifying information such as email and phone.

Leave a Reply

Your email address will not be published. Required fields are marked *