Author Topic: Canada - PDI and Shipping  (Read 286 times)

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YellowDuck

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on: April 06, 2021, 03:29:04 pm
Hi all.  Quick question for fellow Canucks....  I am in Ontario, looking to purchase an Interceptor 650.  Local dealer wants full MSRP (I don't blame them for that - the bike is a hot item currently), but on top of that there is over $850 in fees - shipping, PDI, tire tax etc.  It seems like a lot.  It has been 15 years since I have bought a bike new, but I certainly don't remember paying 10%+ of the asking price in extra fees.  Is this normal?  I like the bike, but I hate feeling like I am getting screwed....


6504me

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Reply #1 on: April 06, 2021, 05:19:19 pm
Seems quite a few dealers in the US are holding to suggested retail on 650 twins. Supply is tight and they are selling as fast as they arrive.

Freight is what it is. Someone is going to pay to transport the crate from point of entry to the dealer and that someone is us. We pay freight on new cars usually called destination fee.

PDI is a usual charge and I don't mind IF the dealer is really doing a Pre Delivery Inspection and not just bolting on the bars, mirrors, and front wheel.

Tire tax is a new one on me... maybe it's a Canadian thing?


YellowDuck

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Reply #2 on: April 06, 2021, 05:40:55 pm
Seems quite a few dealers in the US are holding to suggested retail on 650 twins. Supply is tight and they are selling as fast as they arrive.

Freight is what it is. Someone is going to pay to transport the crate from point of entry to the dealer and that someone is us. We pay freight on new cars usually called destination fee.

PDI is a usual charge and I don't mind IF the dealer is really doing a Pre Delivery Inspection and not just bolting on the bars, mirrors, and front wheel.

Tire tax is a new one on me... maybe it's a Canadian thing?

Thanks.  Yes tire tax is an environmental thing paid up front for eventual disposal.  It is a nominal amount though, about $5 per tire. 

I agree that freight and PDI are reasonable charges to pay in general, I just wasn't expecting nearly $900 in such fees on an $8000 bike.  Add taxes and they want 10,300 Canuckistan dollars out the door.   MSRP here is already inflated relative to US prices considering current exchange rates, probably because all of our RE bikes come through the US distribution (or so I've been told). 

Anyway, I will probably just pay it because I really like the bike - I just wanted to be sure I wasn't being brutally overcharged.  Even if I found a better deal, by the time I drove hundreds of km to pick the bike up I wouldn't be much ahead.


6504me

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Reply #3 on: April 06, 2021, 06:09:55 pm
Freight is a function of weight and distance nor suggested retail price.

In the US we pay for tire disposal at time of replacement.

If the freight charge to Canada is through the US POE then the bike is going from Houston, TX to Canada... quite a trip.

What I can tell you is ... pay it you'll like it.


SandSquid

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Reply #4 on: April 06, 2021, 06:27:58 pm
Here is Seattle, I paid nearly $2000 on top of full MSRP: Tax, licensing, dock fees, buy-my-momma-new-socks fees, I'm sure there was a sugar tax and high-fuel-mileage penalty in there somewhere also.
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Semanticks

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Reply #5 on: April 06, 2021, 07:07:23 pm
Glad to see more RE riders in the great white north...

In BC I paid the same fees. Mine was a demo and all in cost was $8200 ish.

In other words, dealer waived fees and taxes and I got a bike with a questionable history... Still worth it though  :)

Maybe ask the dealer what they can do to make the deal, or ask them for some credit on accessories. You could also ask if they're planning on delivering the welcome package, and if not maybe they can cut you a bit of a deal.

Canadian consumers always pay more, then take the hit on the exchange, but it shouldn't be more than roughly $9000.
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Karl Fenn

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Reply #6 on: April 06, 2021, 07:37:26 pm
Well in uk now you have to pay an extra fee if you pay cash because of covid, they don't want cash anymore.


diogo_sergio

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Reply #7 on: April 06, 2021, 07:50:44 pm
Fees over there seem quite high. You pay about 350 euros in fees on top of the 6450 msrp of the bike here in Portugal. But here the msrp already includes dealer profit, don't know if that is the case over there...


6504me

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Reply #8 on: April 06, 2021, 08:31:46 pm
Fees over there seem quite high. You pay about 350 euros in fees on top of the 6450 msrp of the bike here in Portugal. But here the msrp already includes dealer profit, don't know if that is the case over there...

The suggested retail price everywhere includes the dealer markup and many think that freight, setup, and PDI should be included in that price as cost of goods.

The fact is that there is far less markup (profit) in a new motorcycle than people know or consider.

In order for dealer to realize a reasonable (to them) profit they started passing along freight, setup, and PDI costs along to the customer because car dealers had been doing it for ages and getting away with it.

The reason we can negotiate deals on new cars is that manufacturers have kickbacks on the back end that customers never see. Not so in the motorcycle industry.

If motorcycle dealers didn't charge the buyer for freight, setup, and PDI they'd be selling bikes at cost and trying to make it up in volume... and that don't work.

As far as prices in Portugal... you're quite a bit closer to India than the US or Canada so shipping costs are less.


RalphG

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Reply #9 on: April 06, 2021, 11:48:02 pm
In December last, I paid $2820 USD for my new black '21 Interceptor at TJ's Cycles, Austin, Texas.  Freight and setup were included, plus sales tax and document fees, inspection (required by Texas) and a few small charges on top of the $6199 MSRP.  I had looked around on Cycle Trader and felt I got as good a deal as I would get anywhere. 

It is very important to look at what MSRP includes.  I've seen some quoting the Mark III at $5799, but adding freight and setup of over $600 to that for the lowest priced '21 Interceptors, and then you add sales tax. doc fees, etc.  The out the door price is the number to watch.  Where you have no further charges, taxes or fees to pay.. 

Nothing came close to my new bike in basic qualities or out the door price.  $1300 miles later, I'm still of the same mind.
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Semanticks

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Reply #10 on: April 06, 2021, 11:51:10 pm
There's an additional issue being that Toronto freight may arrive to a coastal port and be train shipped to the distributor. Canada is the second largest country in the planet, so those distances aren't tiny.

In fact, the Canadian markup is because we have great infrastructure and social programs, but our population is small and our land mass is huge. Paying fees and taxes and such is always a bit more here by reasoning that we have fewer customers in out market and the costs of delivery are greater.

I assumed you were in Toronto, but Ontario is a big place....what part of Ontario are you in? I wonder if another nearby dealer could ship it. I'm told the Winnipeg RE dealer has bullet classics in stock, so looking into freight costs to see if it's feasible to ship one to BC.... Maybe a similar deal could be had in anoother location or across provincial lines (but check for inspections as a vehicle purchased out of province may have some red tape to cut through).

Good luck and welcome to the forum!
South Okanagan BC

2019 Interceptor Ravishing Red


agagliardi

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Reply #11 on: April 07, 2021, 05:27:08 pm
The little previously ignored RE 650 a hot item? How wonderful is that! That appears to be happening worldwide, with the exception, of course, in the USA, land of the Yukon and Escalade.
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YellowDuck

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Reply #12 on: April 07, 2021, 08:44:47 pm
Thanks all for your input.  I decided to just suck it up and pay.  I am certain that I am paying full full price (probably plus a little) for the bike, but the last time I bought a new bike was 15 years ago so I imagine whatever extra I paid will again be amortized over a lot of years...

Paid a deposit today so the next Ravishing Red Interceptor to show up is mine...

Can't wait to get back on the road.  I have been a track rider only (and racer) for the last 7 years.  I really look forward to the simplicity of a basic, appropriately-powered, sweet little road bike.  My teenage daughter is going to start riding this year as well (CBR250R), so it will be a family thing.

Hugh


zimmemr

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Reply #13 on: April 07, 2021, 09:00:43 pm
Thanks all for your input.  I decided to just suck it up and pay.  I am certain that I am paying full full price (probably plus a little) for the bike, but the last time I bought a new bike was 15 years ago so I imagine whatever extra I paid will again be amortized over a lot of years...

Paid a deposit today so the next Ravishing Red Interceptor to show up is mine...

Can't wait to get back on the road.  I have been a track rider only (and racer) for the last 7 years.  I really look forward to the simplicity of a basic, appropriately-powered, sweet little road bike.  My teenage daughter is going to start riding this year as well (CBR250R), so it will be a family thing.

Hugh

Best of luck with the machine. I'm sure you'll like it.


Hog Head

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Reply #14 on: April 08, 2021, 03:16:11 am
I have imported 5 cars and bikes from the US into Canada.  All were "classics" and not subject to current safety rules, but a RE should meet Canada lighting and noise laws
Google the process, and I did it myself, using an online service in Winnipeg for the not mandatory US trade data form.

Might not be cheaper, but if you are on the border and a one is within pickup range it might be an alternative
No way to avoid HST though
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Spicyred

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Reply #15 on: April 08, 2021, 05:08:49 am

........

I really look forward to the simplicity of a basic, appropriately-powered, sweet little road bike. 
.............

Hugh

The perfect description of 650RE Twins  :D

FWIW, my local dealer has a Ravishing Red listed at A$10190 ride away.
This compares favourably with your C$ price so I don’t believe you are being gouged.


Semanticks

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Reply #16 on: April 08, 2021, 06:13:18 am
Be sure to post the ride away price in $cad. My gf is in the market...

I think you can get it out the door for around $9k new at any of the Canadian dealerships, and I wouldn't pay $10k for a '21 as most dealers should have a left over '20.... But again, Ontario is half of Canada, so demand might drive up the price.
South Okanagan BC

2019 Interceptor Ravishing Red


YellowDuck

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Reply #17 on: April 08, 2021, 03:11:23 pm
Be sure to post the ride away price in $cad. My gf is in the market...

I think you can get it out the door for around $9k new at any of the Canadian dealerships, and I wouldn't pay $10k for a '21 as most dealers should have a left over '20.... But again, Ontario is half of Canada, so demand might drive up the price.

I paid CDN$10,300 for the ravishing red, out the door except for plates.  So, a lot more than 9k.  Local dealer has no 2020s, and all 2021s on the floor are sold awaiting pickup.  He can pretty much name his price I guess.  Before 13% HST 10.3k is 9115.  Subtract MSRP of 7950 (I think) and that leaves $1165 in Freight, PDI, whatever.  It's a lot.  I probably could have saved $300  by driving a zillion miles to get one, but it wasn't worth it to me.  This dealer is a really small shop 25 min from my house, so some advantage in building a relationship with them.  The other two brands they carry are Ural and SWM.....