What is the difference between the MSRP and the factory invoice price?

What is the difference between the MSRP and the factory invoice price?

James Bell (Publisher, Auto Reviewer) gives expert video advice on: What is the "factory invoice price" on a car?; What is the difference between the MSRP and the factory invoice price?; What does "base price" mean? and more...

Depending on the type of vehicle, whether is a luxury vehicle, a pick-up truck or an SUV, the difference between MSRP and invoice price is going to vary. Generally, as a rule of thumb, you can expect anywhere between 30-50% will be the gap between the MSRP and the invoice price.