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re: The new/used car sales business model is broken and defies logic

Posted on 11/7/17 at 9:09 am to
Posted by OysterPoBoy
City of St. George
Member since Jul 2013
45565 posts
Posted on 11/7/17 at 9:09 am to
These dealers put a lot of time and effort into coming up with a sticker price that they feel is fair for both sides and you just shite all over it. Would you tell the grocery store that $2.49 is too much to pay for oatmeal?
Posted by stelly1025
Lafayette
Member since May 2012
10387 posts
Posted on 11/7/17 at 9:10 am to
quote:

There's got to be a better way.



Go online...
Posted by PearlJam
NotBeardEaves
Member since Aug 2014
13908 posts
Posted on 11/7/17 at 9:11 am to
quote:

The car prices on the window stickers at CarMax are for the most part set at blue book value.
Carmax sells there cars at high retail value with zero negotiations. You pay a premium there. There isn't a car sold at Carmax that you couldn't find a better deal on with 20 minutes or less of searching.
This post was edited on 11/7/17 at 9:13 am
Posted by LNCHBOX
70448
Member since Jun 2009
89400 posts
Posted on 11/7/17 at 9:12 am to
quote:

The car prices on the window stickers at CarMax are for the most part set at blue book value.


The price CarMax advertises is high compared to what you'd pay anywhere else. People pay it for the no haggle aspect. That doesn't make it a good price.
Posted by TigerRob82
Baton Rouge
Member since Nov 2014
407 posts
Posted on 11/7/17 at 9:13 am to
You have people in here suggesting Carvana and CarMax, which is exactly my point. They are suggesting you go into a place of business with a product for sale that is clearly labeled with a price like any retail establishment, select the one that fits your needs and budget and purchase it.

Why bitch about how difficult a dealership is when the ones complicating it are the ones bitching. a salesman cant be sleezy if he is just explaining the product to you and you buy it.
Posted by RedPop4
Santiago de Compostela
Member since Jan 2005
15342 posts
Posted on 11/7/17 at 9:13 am to
Capital One has a car-buying component to their website. That's what we did, went to their site, searched the cars we wanted by all the various criteria: price, make, model, year, and mileage. Chose the cars on the site, got pre-approved and went with that in-hand to the dealer.
Posted by LNCHBOX
70448
Member since Jun 2009
89400 posts
Posted on 11/7/17 at 9:14 am to
quote:

You have people in here suggesting Carvana and CarMax, which is exactly my point. They are suggesting you go into a place of business with a product for sale that is clearly labeled with a price like any retail establishment, select the one that fits your needs and budget and purchase it.


And people like me say those are equally bullshite with higher than should be paid prices.

quote:

Why bitch about how difficult a dealership is when the ones complicating it are the ones bitching. a salesman cant be sleezy if he is just explaining the product to you and you buy it.



Yall are all fricking sleazy. Your industry demands it.
Posted by PearlJam
NotBeardEaves
Member since Aug 2014
13908 posts
Posted on 11/7/17 at 9:14 am to
How much do you average commission on new car sales?

Used?
This post was edited on 11/7/17 at 9:15 am
Posted by pjab
Member since Mar 2016
5775 posts
Posted on 11/7/17 at 9:15 am to
Money Board>Will Cover method
Posted by Janky
Team Primo
Member since Jun 2011
35957 posts
Posted on 11/7/17 at 9:16 am to
Thread hijack:

I am considering trading in my wife's 4runner. She has quite a few dings with scuffs on the dings and one big dent. Is it worth it for me to try and get the dent removed and the dings buffed? Also, the back bumper needs to be replaced. Should I do that before trying to trade it in? Will the money spent be recouped i trade in value? Thanks.
Posted by SlapahoeTribe
Tiger Nation
Member since Jul 2012
12722 posts
Posted on 11/7/17 at 9:16 am to
The main problem is that these dealerships have lobbied the legislature to pass laws that prevent competition.

Ever wonder why a dealership is the only “Ford” dealership in the area? Or why you can’t go to a Walmart like place and see multiple different models? That’s because of the law.
Posted by ItNeverRains
Offugeaux
Member since Oct 2007
28166 posts
Posted on 11/7/17 at 9:18 am to
Went through Costco. It was extremely painless and all the negotiating is done through their fleet invoicing.

If trading in, you can also go to carmax prior and get 2 appraisals, then take trade to dealer. If trade is more you can take it, if not take carmax offer or use it to negotiate trade.

Did this as well and got $1000 under clean retail for wife’s Honda
Posted by PearlJam
NotBeardEaves
Member since Aug 2014
13908 posts
Posted on 11/7/17 at 9:19 am to
You would get much greater value selling it yourself. If you get a good deal on the repair work, you will get your money back in the sale. Used 4 runners hold their value.

If you are trading it, you will almost certainly not get your money back, but you are also going to get shite for trade value.
This post was edited on 11/7/17 at 9:29 am
Posted by TigerRob82
Baton Rouge
Member since Nov 2014
407 posts
Posted on 11/7/17 at 9:20 am to
Highly doubt the value will increase $ for $ on the repair. You can ask how much the are deducting for the dent and see if its worth it.
Posted by PearlJam
NotBeardEaves
Member since Aug 2014
13908 posts
Posted on 11/7/17 at 9:21 am to
quote:

Ever wonder why a dealership is the only “Ford” dealership in the area?
Probably based on manufacturer and dealer agreements.
Posted by Will Cover
Davidson, NC
Member since Mar 2007
40387 posts
Posted on 11/7/17 at 9:21 am to
quote:


There's got to be a better way.


There is. But you'll end up paying more than if you are "armed" and prepare yourself for "battle."

I actually enjoy the process. I don't do it often, so I am sure that helps. But I'm confident in my negotiating skills and know how to handle the sales person, their manager and the F&I guy.

Posted by SlapahoeTribe
Tiger Nation
Member since Jul 2012
12722 posts
Posted on 11/7/17 at 9:23 am to
Posted by Tiguar
Montana
Member since Mar 2012
33131 posts
Posted on 11/7/17 at 9:26 am to
A car is worth what someone is willing to pay for it.

I go to a dealership and tell them what I'd pay for a car I want.

If they are unwilling or unable to meet it, I thank them for their time and go to another dealership.

As far as car salesmen not being sleazy, I've looked online at prices but not said a word to the salesman that I've been browsing online. Asked how much he thinks he can get me out the door on a vehicle (that had end of the year closeout pricing) and he said it would end up sticker price once you factor taxes and fees- almost 7k more than advertised online price.

I didn't say a word, I just thanked him and left. Crooks.
Posted by TH03
Mogadishu
Member since Dec 2008
172004 posts
Posted on 11/7/17 at 9:26 am to
Yeah I did all mine online or over the phone. Came in and it took an hour. Got it under invoice.
Posted by TurkeysAndBees
Member since Jan 2017
651 posts
Posted on 11/7/17 at 9:26 am to
Pretty accurate account for local used car dealers. I've not experienced this for my last 4-5 cars because I used the internet... more specifically Ebay Motors. Find the car I want, which I will usually find in Dallas... make offer, sometimes a slight email/text dance about price or maybe a day or two wait until they do whatever they do to "find a way", but they usually beat anything local by a long shot. The catches are: I buy cash, the fight to Dallas, then 6-7 hour drive home......

It's still pretty much a choose your poison situation any way you go. I just find I get infinitely more choices, usually find EXACTLY what I want, not just what is available locally, and much better prices,... online... there's still substantial time involved as well....same but different...
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