[3Rivers]

A Jeep dealer in my area has two Spitfire Orange 2021 Cherokee 4x4s. One is a Latitude Lux for $33,385. The other is an Altitude for $33,060. These are the straight sticker prices. Each might be said to have certain equipment advantages:

Advantages of Latitude Lux

• 3.2L V6 instead of 2.4L 4-cylinder
• Leather seating instead of vinyl
• Power passenger seat instead of manual

Advantages (?) of Altitude

• 18-inch black wheels instead of 17-inch silver wheels
• Black-colored grille inserts and trim doodads instead of chrome-colored ones

If I told you that you could upgrade to a V6 and leather seats for only $325, would you be insane not to do it, even if it meant giving up the blacked-out look? With all due respect to those who enjoy the Altitude appearance package, at $1200 it's incredibly overpriced for what it must cost Jeep to deliver it. Black vs. chrome trim is a wash. The tires aren't any bigger (225s); they're just sized to fit 18-in. wheels. And as to the wheels, remember that it's not a question of how much a set of 18-in. black wheels costs; it's a matter of how much extra those wheels cost vs. the standard ones.

The Altitude package must have a profit margin of what -- 300%? 400%? More?

In this price range, I recommend going with the Lat Lux.

 

[sanghill]

I avoided the grief, factory order, got exactly what I wanted, didn't get the expensive stuff.
In 2013 the exact vehicle I wanted did not exist on the Planet, my dealer checked.
Got a good deal through AAA car buying and got a zero percent loan, even got free stuff through the Cherokee Effect promotion.

 

[3Rivers]

I avoided the grief, factory order, got exactly what I wanted, didn't get the expensive stuff.

Right, but whether you factory order or buy from the lot, these prices still apply. Both of the vehicles discussed in my OP are basic trim levels with no options except the color choice. The point is that the Altitude just gives you a lot less for your money.

 

[Rand]

You think that is bad? Black painted wheels vs gunmetal color was $800

OTOH Convenience package which is a ton of stuff IIRC was either $900 or $1500

Also its a terrible time to buy sticker 38.5k I paid 28.k which included adding "tow pkg"

Now they sell at msrp again like its 2013/14

How about the upgraded radio. 4k for the elite trailhawk option then $$$$+ for the upgraded radio.

They get to keep the other radio and speakers.. probably less than $200 in cost at their prices.

 

[3Rivers]

You think that is bad? Black painted wheels vs gunmetal color was $800

It's true that Jeep's worst appearance package ripoff is the wheel color option on the Trailhawk. It may actually involve a $0 cost to Jeep, since the wheels are the same except for the paint color.

Many automotive option packages are overpriced, and thus very profitable, but most of them do provide some level of extra or enhanced equipment. Appearance packages are the worst deal because they mostly just tweak the material that's already there. It's the old "dealer charges $200 for pinstripes" con, just at the national level.

I should add that exterior paint upcharges are another example of the ripoff trend. Every Cherokee color except white now costs $245 extra. What used to be regular paint is now "premium" paint, whether you like it or not. It's just a way of slyly boosting the base price of the vehicle.

 

[dgc334]

GM is much worse when it comes to wheels. Optional wheels in the same size for a Camaro or Corvette can cost $3000 to $6000 extra.

Manufacturers have bundled options since back in 80s in such a way to maximize profits. The thing Jeep does that frosts my cake is making color choice a cost option, the only color that is no cost is white, any other color is a $245 add. Other manufacturers may have one or two special colors that have an extra cost but most have no additional cost.

But sometimes there is a cost advantage to the way options are bundled. My 21 80th Anniversary Edition shows up on the Jeep site as a separate model but the window sticker lists it as a Latitude Lux with an 80th anniversary edition package. To option a Latitude Lux similarly to my 80th anniversary edition it costs just shy of $1000 more and you don't get the 19" wheels with 235/50 tires and you can't get the Alpine speaker system. Conversely you can't get the Active Drive 2 transmission and off road suspension on the 80th anniversary edition but can on Latitude Lux.

Dave

 

[Flybynightcru]

Carbon Fiber wheels on a Ferrari 488 Pista are a $100,000 option. Yes, that's $25,000 per wheel...😎

 

[dgc334]

Saw an article on the Bugatti Veyron. The tires are $20,000 each and last 45 miles at top speed.

Dave

 

[Mike B in OK]

My understanding, based on long term over decades rather than specific to Jeep’s is that virtually all the options and packages, especially those added at the dealer level are huge profit makers, and you are best off buying a stripped version. That’s one of the reasons cars without options are rare on dealer lots, and if built at all are mostly made just to sell to rental car companies. Unfortunately I typically like having the options. So I and many like me end up dancing to the automaker’s tune.

 

[16TrlHwk]

My understanding, based on long term over decades rather than specific to Jeep’s is that virtually all the options and packages, especially those added at the dealer level are huge profit makers, and you are best off buying a stripped version. That’s one of the reasons cars without options are rare on dealer lots, and if built at all are mostly made just to sell to rental car companies. Unfortunately I typically like having the options. So I and many like me end up dancing to the automaker’s tune.

Funny, my TH is barebones (no power seats, ACC, heated seats/steering wheel, sunroof, power lift gate, HIDs, upgraded sound system, etc etc)… and I’m the second owner after a rental company

 

[3Rivers]

My understanding, based on long term over decades rather than specific to Jeep’s is that virtually all the options and packages, especially those added at the dealer level are huge profit makers, and you are best off buying a stripped version.

Well, yes and no. "Big profit to the seller" doesn't necessarily mean "no value to the buyer." Some things may be overpriced in relation to the seller's cost, but are still worth getting for their utility to you. My point in this thread is that not all options, and option packages, are alike. Paying a lot more money for a V6 engine is a very different proposition than paying a lot more money so the "Jeep" badges on your hood and tailgate can be black instead of chrome.