What is the average dealer mark up?

I just talked to my local dealer a couple of days ago.  He said they are doing fine.  They are appointment only right now.  I live in a small city and there are only 2 dealers in town.  I believe that he is still paying his employees as well, at least he was when this started.

I am a bargain hunter but I also appreciate B&M and am willing to pay more(to an extent) to support them.  My dealer does things right.  He will let you take something home for a week and try it in your system or bring something in and listen side by side.  I recently bought a nice integrated and I went with his recommendation(which wasn't even on my list initially) because I got to try it out with my own equipment.  I won't buy everything there because I like a good deal too much, but I will ask his opinion and give him the opportunity to get my business first(which he appreciates.)

It all depends on the overhead of the business. If your fixed overhead is 20,000 a month less payroll, that is factored into the price of each unit sold. If that causes the price to be too high then the business will close.
This is why there are so few left. Our Audio business is in its 80th year. I hope this helps. 

Do not confuse mark up with profit!  From that mark up all overhead has to be paid BEFORE a profit can be realized.  Even if the retailer is strictly online, there are significant expenses that have to be paid first before the profit kicks in.   And once there is a profit, then taxes have to be paid on that. 

There really is not much markup for the dealer for new cars (used cars there is usually a LOT of markup).  New car dealerships make their money with add on services, financing, the trade in, mostly peripheral endeavors.  

The dealer mark up is his building lease...his family needs.... his food... his clothing... his transportation.    You know.  What you want to save your money for.