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This is my first time looking to buy a brand new car from a dealership. I would appreciate insight as to what is a reasonable price for a dealership to offer, and what is a reasonable price for me to negotiate down to (specific to my case - a Toyota RAV4).
Looking at various online advice about 'avoiding common dealer tactics' and 'rip-offs as told by ex-car salesperson', I know about the various costs that go into the cost of selling a new car. I know that, often, car prices can change based on demand and supply in the market. I also know that generally, all items will be marked up by insane margins (i.e. unnecessarily high dealer delivery charges etc.), and can be reasonably bought down, by exercising my rights as a consumer trying to find a reasonable deal. I know that even in doing so, the dealer will never lose profit, or not make profit in the end. I see examples of people claiming to have saved in the ballpark of $4,000~even $10,000 through negotiating through a broker (John Cadogan AutoExpert.co.au).

So, on to the specifics.
On the Toyota website, a 2017 FWD 2.0L Petrol Toyota RAV4 GX (lowest trim) is advertised as starting from $32,990 + ORC ( https://www.toyota.co.nz/our-range/rav4/ ).
As I was not wanting any additional accessories or options, my expectation was that I would be going into the dealership, to diplomatically negotiate a price below 32,990, and meet somewhere in the middle but still end up below 32,990.
However, after calling up my nearest Toyota dealership, I was quoted a price of 39,000 for this model. Is it common that haggling/negotiating/'beating the dealer' happens at this much ABOVE the advertised cost? Even without any additional options or accessories? Wouldn't this mean that I am dealing with $7,000 of On Road Costs, which sounds ridiculous for Rego fees, WOF, full tank of gas, mechanic prepping car by taking of protective plastic and checking car from factory, screwing number plates onto car? At this point, even if I DO negotiate $7,000 down from their offer, I would still end up with the price advertised on their website. Is this common?

We would always encourage consumers to try and get the price of vehicles, however margins are sometime small, so sometimes there is not much a dealer can do particularly if the vehicle is on special.

Price...

Your local dealer may be confused about which model you want? Do they perhaps think you are referring to the GXl model?.

I called up a Toyota agent in Auckland and he said the most basic two wheel drive GX Rav 4 model would be $34,085 Drive away and that the on road costs that are included in this figure are around 1100 dollars.