what does ADM on a auto sales sticker mean?

Question

it was printed on a separate sticker on the car window and followed by $1500.00.

Answer 1

Additional
Dealer
Markup

Typically, it's been used for hard to get or very high demand cars. But lately (past several years) it has become attached to everything on the lot, and it's used as a negotiating tactic to show more money for trade-ins.

Here's how it works. Trade in has an ACV (actual cash value) of 2000. Retail piece is 20,000 w/o ADM and 21,500 w/ADM. If you are at a car lot w/ADM's they may show you 3500 for your car, but sell their 20k for 21.5k.

If you went to the cross town rivals that don't have ADMs, and looked at the exact same model of car, with the exact same options, and it cost 20k, they'd show you 2k for yours, and 20k for theirs.

Now, let's do the math, in the first case, trade is 3500, and car is 21.5. Since you are given that money for your trade, it's like real money, so you pay 21.5 - 3500, or 18k difference.

In the second case, you pay 20k - 2k, or 18k difference.

Get it now? In one, you are more likely to do business, because they are giving you almost twice the amount for your car, but you PAY the same 18k.

In general, it's just best to not deal with ADM dealers. But if you have to, remember, only the difference means dam thing.

Answer 2

Adm Cars

Answer 3

This Site Might Help You.

RE:
what does ADM on a auto sales sticker mean?
it was printed on a separate sticker on the car window and followed by $1500.00.

Answer 4

Additional Dealer Markup. At least they're being relatively honest that they're trying to gouge you. If it's a high demand vehicle like a Toyota Prius, you may not have an option.

Answer 5

Could you provide a link to a picture?