Dealer Lists 2023 Cadillac Escalade V Employee Price at $254,405
The “GM Employee Price” is a huge markup of $100,000 over sticker.
One Michigan dealership has listed a 2023 Cadillac Escalade for $100,000 over MSRP, in what is perhaps the worst "employee discount" we've ever seen.
The car in question is a 2023 Cadillac Escalade V-Series in Crystal White, fitted with the 6.2L supercharged V8 engine and four-wheel-drive. On sale at Crestview Cadillac in Michigan, the dealer website lists the car at an MSRP of $154,405, or a GM Employee Price of $254,405. Far from a discount, it's a markup of $100,000 over the recommended price.
Employee pricing is a sales strategy first launched in 2005 by GM, before being picked up by other automakers. The intention is to offer customers the opportunity to purchase a vehicle at the same discounted rate the company offers to its own employees. Fundamentally, it's a basic discount that's intended to make up for slimmer margins with a higher volume of sales.
However, in this case, it's clear something has gone drastically wrong. The employee pricing should be lower than the manufacturer suggested retail price, not higher. Even if it was a simple markup, a 64% price hike over sticker is really quite something.
The Drive's own Jerry Perez contacted the dealership to get the low-down on the surprisingly-pricy Escalade. The first point of contact was Emily, who suggested calling the sales department upon learning we would not be visiting the dealership to buy the car. That led to a chat with Tanya, who advised that the dealership's systems were down, and that further information on pricing would only be available in person.
Trying to get dealerships to give a price on the phone is like trying to get blood from a stone. It's not surprising that Emily and Tanya were reticent to talk numbers, but the oddball price on this Escalade is an extreme case that deserves an answer.
It's most likely a simple data entry error, but it's a compelling story nonetheless. Just be careful—if you're heading out to buy an Escalade this weekend, the employee price might not be the deal you think it is.
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