Net Landing Cost
NLCA dealer's true per-unit cost after every brand scheme, discount, and rebate is subtracted from the invoice price, and every added cost (freight, 194R TDS, non-creditable tax) is added back.
Net Landing Cost (NLC) is a dealer's true per-unit cost after every brand scheme, discount, and rebate is subtracted from the invoice price — and every added cost (freight, 194R TDS on in-kind benefits, non-creditable tax) is added back. NLC tells a dealer whether a deal is actually profitable; the invoice price does not.
Two dealers buying the same model at the same invoice price can end the quarter with completely different real margins, because backend schemes (QPS, QDS, price protection) and leakage differ. Gross margin on the invoice is a lie until scheme money is reconciled and folded into the NLC.
Only primary (sell-in) schemes reduce the NLC. Secondary (sell-out) reimbursements restore the selling side and must not be double-counted into landing cost.