Do you mean on top of that other ---- your place puts those ugly stickers on people's new cars? And your customers allow it???
Lexus ES350 Price Negotiation Help
- Thread starter The Critic
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Do you mean on top of that other ---- your place puts those ugly stickers on people's new cars? And your customers allow it???
What GM considers a "visiting owner", is someone who lived and purchased a vehicle out of our sales area and either relocated here, or travelling through. We get them in and out as soon as possible.
Some of you guys pay 7 bucks a quart for oil, yet you're gonna drive out of your way to save $300 bucks on a thirty thousand dollar car? Am I the only one who finds something a little wrong here?
I don't know of a dealership of any make in Louisiana that doesn't put a small sticker on the trunk of a car or the tailgate of a truck with the dealer's name on it.
Some of you guys pay 7 bucks a quart for oil, yet you're gonna drive out of your way to save $300 bucks on a thirty thousand dollar car? Am I the only one who finds something a little wrong here?
I don't know of a dealership of any make in Louisiana that doesn't put a small sticker on the trunk of a car or the tailgate of a truck with the dealer's name on it.
g20ooh: car choice has been decided, and the person is a loyal Toyota fan. I'm just helping him price shop.
It'd be great if we could get back on topic regarding prices.
Dealer A rejected my offer of 33,000. He replied saying that he paid 33,700 for the 2008 car and needs to make a little profit. I replied back and said that's understandable, and offered him 33,800. I figured that that'd be reasonable for a 08.
Dealer B wants me to call. Doesn't want to drop the price anymore without talking to me. Maybe I'll call...we shall see.
It'd be great if we could get back on topic regarding prices.
Dealer A rejected my offer of 33,000. He replied saying that he paid 33,700 for the 2008 car and needs to make a little profit. I replied back and said that's understandable, and offered him 33,800. I figured that that'd be reasonable for a 08.
Dealer B wants me to call. Doesn't want to drop the price anymore without talking to me. Maybe I'll call...we shall see.
I have paid 69 cents for a quart of oil, although I typically pay 99 cents.
Your dealership sounds awful, MrCritical.
I've been to two other dealers besides the dealer that sold me the car, and so far the other two have been more helpful than the one that sold me the car. They were more than pleased to help me with my car despite the fact I was from far out of state. In fact, at the dealership I visited in New York, the owner of the dealership happened to be walking through and saw me sitting there waiting for a tech to bring my car around. He asked me if I had been helped and I told him I had. He actually made some small talk with me and I told him about how I bought the car out of state and the dealer I purchased the car from was not helpful or courteous. He sympathized and even turned to the guy at the service desk and said, "Hey, take care of this guy; this is the kind of customer who might come back and buy a car someday...all I ever do is sell Buicks to people who won't live long enough to buy another one, this guy might actually come back for another car!".
The service staff, techs, and owner were all happy to help me and work on my car despite the fact my license plate had Oklahoma written on it.
That is the type of service I expect and have always received from GM dealerships, heck, it's half the reason I've always enjoyed shopping and buying GM cars, because the people are usually very friendly and helpful. You know what else, the guy is right, if I lived there, I absolutely would buy a car from him after receiving that type of service. You can sure as heck believe that I wouldn't buy a car from your dealership if I came in with a problem and got treated the way you seem to indicate you treat customers who didn't buy a car there. I think that is absolutely awful.
I've been to two other dealers besides the dealer that sold me the car, and so far the other two have been more helpful than the one that sold me the car. They were more than pleased to help me with my car despite the fact I was from far out of state. In fact, at the dealership I visited in New York, the owner of the dealership happened to be walking through and saw me sitting there waiting for a tech to bring my car around. He asked me if I had been helped and I told him I had. He actually made some small talk with me and I told him about how I bought the car out of state and the dealer I purchased the car from was not helpful or courteous. He sympathized and even turned to the guy at the service desk and said, "Hey, take care of this guy; this is the kind of customer who might come back and buy a car someday...all I ever do is sell Buicks to people who won't live long enough to buy another one, this guy might actually come back for another car!".
The service staff, techs, and owner were all happy to help me and work on my car despite the fact my license plate had Oklahoma written on it.
That is the type of service I expect and have always received from GM dealerships, heck, it's half the reason I've always enjoyed shopping and buying GM cars, because the people are usually very friendly and helpful. You know what else, the guy is right, if I lived there, I absolutely would buy a car from him after receiving that type of service. You can sure as heck believe that I wouldn't buy a car from your dealership if I came in with a problem and got treated the way you seem to indicate you treat customers who didn't buy a car there. I think that is absolutely awful.
Actually, I like that MrCritical is being honest with us. You don't get dealership insiders volunteering to give us the inside scoop everyday on the internet. Plus, I don't see what MrCritical's dealership is doing wrong. He said they have no excess capacity to serve everyone that comes to them so they prioritize by who bought the car from them. I don't see what is wrong with that. He didn't say he would turn away customers if he had excess capacity.
Well, it's good that he's being honest, but that doesn't change the fact that his dealership management obviously has no idea how to build new customer relationships.
For many people, if they owned a GM car and needed service, and went to a dealer and were told that we can't work on your car because you bought it somewhere else, do you think they would buy a car from that dealership? Heck, do you think they would even buy another GM car? His dealership is undermining themselves and all of GM with that type of customer service.
Fact is, when I am treated well, I am more likely to go back for paid service or to purchase another vehicle. If I'm treated like ----, which seems to be the case if you buy from his dealership, I'll be sure to avoid going there for anything, and furthermore tell my friends to avoid it as well.
It's not like they are not getting paid to work on the cars.
For many people, if they owned a GM car and needed service, and went to a dealer and were told that we can't work on your car because you bought it somewhere else, do you think they would buy a car from that dealership? Heck, do you think they would even buy another GM car? His dealership is undermining themselves and all of GM with that type of customer service.
Fact is, when I am treated well, I am more likely to go back for paid service or to purchase another vehicle. If I'm treated like ----, which seems to be the case if you buy from his dealership, I'll be sure to avoid going there for anything, and furthermore tell my friends to avoid it as well.
It's not like they are not getting paid to work on the cars.
I guess I don't interpret his post the same way as you do. My interpretation is this: MrCritical's dealership can work on x number of cars a day. But sometimes y>x customers want his services. Therefore he *HAS* to turn somebody down since he does not have the service bays/techs to serve everyone. When he has to turn someone down, those that he turns down will not be customers that bought from him. He also made it clear that he would not turn people down if y<x.
Only customers who live in my sales area and drove 20 miles out of their way to buy a car are referred back to their selling dealer. Forgive me if I wasn't clear on this. If customers who live in the other dealers area of responsibility break down in our town, they get in asap.
My point is that this is a free country. If you can save a few bucks by driving a 40 mile trip to buy a car, ---- bless you. I'll wave at you as I pass you on the road. But you need to factor in the cost of trips back to your selling dealer (your time and fuel) and see if it's such a good deal.
From the other dealer's point, they actually appreciate this. The profit margin on most new domestic vehicles is very small. The selling dealer needs the dollars your warranty repair brings to stay in business.
Did I forget to mention our CSI is tops in our area?
My point is that this is a free country. If you can save a few bucks by driving a 40 mile trip to buy a car, ---- bless you. I'll wave at you as I pass you on the road. But you need to factor in the cost of trips back to your selling dealer (your time and fuel) and see if it's such a good deal.
From the other dealer's point, they actually appreciate this. The profit margin on most new domestic vehicles is very small. The selling dealer needs the dollars your warranty repair brings to stay in business.
Did I forget to mention our CSI is tops in our area?
Ah-ha. I suppose that is much more understandable, albeit still slightly unusual. I know my mom bought her Pontiac at one dealer in NY and often brings it to another dealer for service, and they don't give her any trouble. I can understand turning people away though if it is truly like you say, where the big city folks drive out to the country to save some money, and then a disproportionate number of them come to your dealership expecting service.
I'm assuming that invoice is 33,700 on the 08 since the 07 had an invoice of 33,400 (the difference in MSRP is around $400). So by saying he "paid" 33,700, he is implicitly telling you the invoice. I highly doubt he paid invoice for the car so that is a crock. He would still make some money off of dealer hold-back. Anyways, all that might be moot, because what really matters is what is the market value for this car and no data is out yet. Still, I'd say if he accepts 33,800 which is only $100 above invoice for a 2008, you've made out pretty well. I'm sure some people will get better deals later on as we get closer to the 2009 model year, but $100 above invoice for a popular luxury car is certainly not a bad deal.
"...his dealership management obviously has no idea how to build new customer relationships".
Quite the contrary. We build new customer relationships by word of mouth about our honest sales practices, excellent service, and low employee turnover.
We're interested in keeping a customer for life, which was GM's original plan in the first place. Not including a customer who purchases a vehicle we don't sell (no problem)
we really don't cater to the guy who goes with the lowest bidder everytime. GM's own research shows this is your least profitable customer, and most expensive one to attract.
Quite the contrary. We build new customer relationships by word of mouth about our honest sales practices, excellent service, and low employee turnover.
We're interested in keeping a customer for life, which was GM's original plan in the first place. Not including a customer who purchases a vehicle we don't sell (no problem)
we really don't cater to the guy who goes with the lowest bidder everytime. GM's own research shows this is your least profitable customer, and most expensive one to attract.
Agree. If he will take $100.00 over invoice for an '08 take it. Just realize that sometimes terms change once you are there in person. I have personally been witness to this. That is in part why they so desperately want you to come in. They know it is no deal until you sign and drive. How much time and effort do they want to give, knowing that you could take that price to any dealer and get them to match it. I have always enjoyed negotiating, but I try to make it easy. I show up with who I am helping knowing exactly what we will pay and offer it. The only thing that ever drove me crazy is when someone would make an offer and then try to lower it or get add-ons after it is accepted.
Also, I too appreciate Mr. Critical's honesty. My dealership definitely bends over backwards for people who have purchased their car there. Sure, they will take care of anyone, but they will go above and beyond for people who have purchased their car there- such as giving loaners, making sure their car is done first, etc. I think this is actually very common. People may not like it, but I suppose it makes business sense. We had a lot of repeat customers.
ref
Also, I too appreciate Mr. Critical's honesty. My dealership definitely bends over backwards for people who have purchased their car there. Sure, they will take care of anyone, but they will go above and beyond for people who have purchased their car there- such as giving loaners, making sure their car is done first, etc. I think this is actually very common. People may not like it, but I suppose it makes business sense. We had a lot of repeat customers.
ref
Agreed. I didn't think he paid 33,700 for the car anyway, as there's still the 2% holdback. But as you mentioned, what really matter is the market value.
I guess I'm a lucky guy today. He accepted 33,800 for the 2008. Now I just need to get a price from him on a 2007 to compare.
Had to pass up the offer on the ES350, as he had to have knee surgery. Now that he's fixed, we're shopping again.
This time, we're after a 2007 GS350 w/Navi. MSRP is 49k, they tend to be selling for 41-43k in Southern California, though invoice is 43k.
Local dealer offered me 46k. What should I offer him?
This time, we're after a 2007 GS350 w/Navi. MSRP is 49k, they tend to be selling for 41-43k in Southern California, though invoice is 43k.
Local dealer offered me 46k. What should I offer him?
Why are you making offers on cars that you aren't buying, and why is the dealer accepting them?
Generally, you offer. He accepts. You buy.
Generally, you offer. He accepts. You buy.
JHZR2
Staff member
knee surgery isnt the end of the world... why the 2 month hiatus?
It is kind of a ____ move to take up their time soliciting serious bids for a sale and then dropping it. Yes, they are salespeople, and yes it is their job, but if I were them and saw a second set of emails coming from the same person, I wouldnt be particularly keen on dealing...
Maybe thats why Im not in sales...
JMH
It is kind of a ____ move to take up their time soliciting serious bids for a sale and then dropping it. Yes, they are salespeople, and yes it is their job, but if I were them and saw a second set of emails coming from the same person, I wouldnt be particularly keen on dealing...
Maybe thats why Im not in sales...
JMH
The service computers cross reference the VIN with sales? Otherwise, how would you know where the car originated?
What if I just moved in from out of state? Would you turn me down for service?
If so, it sounds like cutting off your nose to spite your face. I've seen lots of dealerships that have excellent service but there sales dept sucks. I won't buy a car from them, but I will spend $100's per year with the service dept.
I have been out of loop on buying new cars for few years. But I would expect in 2007 or 2008, unless you happen to buy a true lemon, the manufacturer is not going to be spending lot of money on warranty repairs for your car.
Translation:- If a dealer is doing too many warranty repairs, the manufacture has dropped the ball on the quality. I have hard time believing that warranty repairs are paying significant amount of service revenue for dealer.
I still do not believe that there is that much difference between warranty repairs between GM or Lexus. Most new cars are these days are far more reliable to need chronic warranty repair during its first 3yr/36K. Besides, manufacturer pays lot less for a repair than the owner. Sometimes, the difference can be staggering. Every dealer that I know of prefers non-warranty work over warranty work.
They thrive on 7.5K, 15K, 22.5K etc services which are nothing but complete rip-offs in terms of "inspect this" and "inspect that".
Bottom line:- Many dealers hate doing warranty work and if the car was not purchased from them, they can use that as a reason to balk from doing the work. There are many tricks in the trade such as telling the customer that first available appointment is after 60 days or telling him that the replacement parts are on the national back-order or the mechanic is out on the disability etc.
- Vikas
Translation:- If a dealer is doing too many warranty repairs, the manufacture has dropped the ball on the quality. I have hard time believing that warranty repairs are paying significant amount of service revenue for dealer.
I still do not believe that there is that much difference between warranty repairs between GM or Lexus. Most new cars are these days are far more reliable to need chronic warranty repair during its first 3yr/36K. Besides, manufacturer pays lot less for a repair than the owner. Sometimes, the difference can be staggering. Every dealer that I know of prefers non-warranty work over warranty work.
They thrive on 7.5K, 15K, 22.5K etc services which are nothing but complete rip-offs in terms of "inspect this" and "inspect that".
Bottom line:- Many dealers hate doing warranty work and if the car was not purchased from them, they can use that as a reason to balk from doing the work. There are many tricks in the trade such as telling the customer that first available appointment is after 60 days or telling him that the replacement parts are on the national back-order or the mechanic is out on the disability etc.
- Vikas
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