What is the average dealer mark up?


What is an "average" mark up on quality or high end audio gear? I realize that there are many manufacturers who force dealers to hold this tight and not disclose, but surely without naming specific manufacturers there are some here that do in fact know the mark up.

Let the fun begin!
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Showing 1 response by rwortman

First off, markup and discount are not the same number.  If a dealer is getting a 50% discount from the manufacturer from MSRP and prices at MSRP his markup is 100%.  Second to the poster above that said car dealer markups are similar, that is wrong.  Margins are so slim on new cars (other than luxury brands) that the major profit centers at new car dealers are the service centers and used car sales.  The trade-in/retail markup is quite a bit more than the new car markup.  Dealers are grossing 5 to 10% on new car sales these days.  That's why they have a person dedicated to trying to sell you snake oil wax jobs,  upholstery treatments, and overpriced extended warranties.