Questions about buying cars at dealerships

[bubbatime]

Originally Posted By: 7055
When you ask them if they're firm on the price and the salesman tells you that he has to go talk to his manager


Never ask them if they are firm on the price. You ALWAYS offer lower. If the car is listed at $10,000, and you are only willing to spend $9000, then you dont offer $9000. They will negotiate up from $9000. So you offer $7500 or $8000 and let them negotiate up to the $9000 that you are willing to spend.

Also, do your home work on TruCar.com, Edmunds.com, and KBB.com so that you have a general idea what the car is worth.

Buy on the last day of the month. If the sales manager is short a car or two for his monthly sales goal, he is much more likely to sell the car to you at his cost or even at a slight loss. I've gotten AMAZING deals on the last day of the month.

 

[Tdbo]

I have bought enough new cars to know that it pretty much is all drama.
The goal is to get you in the door, wear you down and make you succumb.
I do my homework and come in prepared.
My skill set in negotiation usually wears out the salespeople, and as a result management is brought in.
There are many strategies to counter this model, including buying via e-mail or phone, which I use on new cars.
I have purchased our last several new cars this way, and have merely shown up to sign paperwork and pick up the vehicle.
When I used to enjoy "Dealing in person" I found that one salesperson was freaked when I sat crunching numbers on my TI Business Analyst calculator. Demeanor is everything.
The last time that I walked in and bought a car face to face was December 26, 2001.
The salesperson started such a tap dance, and I provided him with my bottom line OTD figure on a used 1994 Chrysler convertible. I informed him that they had 5 minutes to agree to this figure, or my offer would be reduced by $10. for every 10 minutes I waited. I showed him the Casio chronograph that I purposely wore that day and set the stopwatch function and started it. The meeting with his manager was brief, as he was sitting at his desk working the numbers backwards at the four minute point.
The owner also came over, introduced himself, said that in all his years he had never seen that strategy and offered me a job at the dealership, which I declined.
Even though I understand that car buying is largely emotionally driven by many people, it stuns me in a way that what is the second largest financial transaction in many peoples life is allowed by many to function this way.

 

[demarpaint]

Originally Posted By: 7055
When you ask them if they're firm on the price and the salesman tells you that he has to go talk to his manager to see if he can budge on price any, is there any degree of truth to this at all? Do car salesmen really have no authority of their own to actually negotiate and sell a vehicle and can only go through the mysterious manager whom apparently sits at his desk all day negotiating the price of cars without ever even talking to the person they're selling it to?

I'm just wondering if there's any degree of honesty behind the fact that they always have to go "ask their manager" about budging on the price or if is 100% a game with the intent of creating the illusion that there's no room to budge on the price of the vehicle and wearing the customer down to agreeing on whatever price they have set.


Some salesmen can negotiate their own deals 100%, others are allowed a little wiggle room, and then have to bring in a manager, and others are robots and have to bring in a manager for any negotiations. It depends. Customers feel better when a manager gets involved because they feel they got the best possible price when "the manager" is involved.

 

[Linctex]

Pretty much all car dealerships (stealerships?) operate on the principles you see in the movie
"Suckers"

https://www.youtube.com/watch?v=AnjIVq0saIU

 

[TomYoung]

If a salesperson has to consult the manager, it is okay. My approach is to tell the salesman that he has four minutes to return, then you are leaving, At that point you can set a 4 minute timer on your smartphone and when the alarm sounds, you leave that dealership.

The bottom line is that you should be shopping online long before going anywhere near the dealership and you should have a number pretty close to the purchase price already. If anyone tries to get you to sit and wait in a dealership for any length of time, it is ripping into your personal time and is also taking time away from shopping productively elsewhere.

On the other hand, if you are ready to buy, you should say so and clearly articulate what is required of the dealership to complete the sale,

The quality level of car sales people varies greatly. While you might think you could get a good deal from a newbie, you generally do better dealing with a person with years under their belt.

 

[raytseng]

well flip the script and bring a book or a putter and pradtice your golf shortgame or something and make it seem like your personal time is free and copious and you have all the time in the world.
but require them to be working on your deal.
remember they are the ones working and in the clock so the more time they waste on you is time they aren't making money from additional customers.
it's a negotiation trick also to just say nothing rather than seem like you are in a hurry. when they see you are in a hurry thst means you will spend more money in exchange for time and get the deal done like the fargo clip.

 

[SevenBizzos]

It's always happened. The last time I switched gears and when the price was returned I said I will only be dealing with the manager. No offense intended. It just eliminates one middle man, and yes I did end up with what I wanted.
I'll agree with the previous respondents as to why.

It's a lot easier these days because all of the "invoice" prices are out there. Find someone that will sell you the car for the price you're looking for. Don't be a jerk and ask 5k below what everyone else has paid for that car elsewhere. The back and forth pricing shouldn't take more than 15 minutes any more.

 

[69GTX]

The last time the "I have to see the sales manager on your offer scam" was worked on me, they had me stew for around 15 minutes. This was after already being there over an hour. It was an overpriced $2,200 used econo-box Dodge that I offered $1,400 or so on. And this was at a large new car Dodge Dealership.

The sale manager comes out of his office with a big smile and has his arm extended to shake hands. He says, "Mr XXX, congratulations, you drive a hard bargain....you just bought yourself a great car, congratulations." I felt great. Finally beat a dealer down to my price. 5 seconds of silence elapses. Then he says:

"But....you know, we can't sell it to you for that low a price. We still need to get $2200."

I was outta there in 2 minutes...never to return.

 

[Yah-Tah-Hey]

You always have the option to head for the door.

 

[iahawk]

At the dealership I worked at the sales managers controlled the selling price 100% of the time. We were paid a flat fee per car sold so we wanted the best price for our customer, margin be [censored].

We spent as much time and energy negotiating with our managers for a better price as we did negotiating with the customers.

 

[aquariuscsm]

I always go car shopping when I "want" a car and not when I "need" a car. When I find one I want,I do all my research,decide what I'm willing too pay,low ball them,and negotiate up to the price that I'm willing to pay.

 

[7055]

Originally Posted By: iahawk
At the dealership I worked at the sales managers controlled the selling price 100% of the time. We were paid a flat fee per car sold so we wanted the best price for our customer, margin be [censored].

We spent as much time and energy negotiating with our managers for a better price as we did negotiating with the customers.


Really? I find that kind of hard to believe

 

[The_German]

Originally Posted By: Tdbo
I have bought enough new cars to know that it pretty much is all drama.
The goal is to get you in the door, wear you down and make you succumb.
I do my homework and come in prepared.
My skill set in negotiation usually wears out the salespeople, and as a result management is brought in.
There are many strategies to counter this model, including buying via e-mail or phone, which I use on new cars.
I have purchased our last several new cars this way, and have merely shown up to sign paperwork and pick up the vehicle.
When I used to enjoy "Dealing in person" I found that one salesperson was freaked when I sat crunching numbers on my TI Business Analyst calculator. Demeanor is everything.
The last time that I walked in and bought a car face to face was December 26, 2001.
The salesperson started such a tap dance, and I provided him with my bottom line OTD figure on a used 1994 Chrysler convertible. I informed him that they had 5 minutes to agree to this figure, or my offer would be reduced by $10. for every 10 minutes I waited. I showed him the Casio chronograph that I purposely wore that day and set the stopwatch function and started it. The meeting with his manager was brief, as he was sitting at his desk working the numbers backwards at the four minute point.
The owner also came over, introduced himself, said that in all his years he had never seen that strategy and offered me a job at the dealership, which I declined.
Even though I understand that car buying is largely emotionally driven by many people, it stuns me in a way that what is the second largest financial transaction in many peoples life is allowed by many to function this way.


^This, 100% if you can pull it off.

If this makes the sales people run away they aren't cut out for sales.

If they eat out of your hand you are dealing with real sales people, they live for this. Sales is a drug. Right below that is Negotiation.

Bravo I loved this story!

 

[MONKEYMAN]

I just purchased an Elantra and had to deal with manager back and forth thing. My salesperson was nice, but did not seem very powerful. He was able to get me the car I wanted for the price I could pay. I had a set amount to spend. The only reason I went to that dealership was they could sell the car I wanted for the amount I had. Two other dealerships were off by about $1,500. Getting prices was all done initially by email.

The first time I saw the manager was after the price was set and I was signing forms. There was about 4 back and forth between salesman/manager where the salesman needed approval from the manager.

When signing paperwork the Manager put an extended warranty in front of me. Started at over $2k, then had 3 other less costly choices. I reminded him I only had a certain amount to spend. He drew a line, wrote declined, and had me sign. That part was psychologically tricky since they gave you 4 choices, implying you needed to pick one.

Otherwise, it went smoothly.

I was concerned I would get a bad deal. I did purchase the last day of the month. This dealership had extra cash that would be expire that came from Hyundai. The other dealerships did not have that available.

People at dealerships like everyone else are trying to make a living. My salesman came out of retirement to make extra money to put his daughter through college. The manager had some energy drinks at his desk the day I picked up the car. He said he had a colicky baby keep him up the night before. The saleperson seemed more interested in his review I posted on DealerRater and the survey I did for Hyundai. He said he got paid based on the survey from Hyundai.

 

[linkbelt]

The last new car I bought was completed as follows:

1. I Determined exactly the car, options, etc that I wanted.
2. Did my "homework" using TruCar, Edmunds, etc. to determine my approx. buying price.
3. Test drove my "target car" at a Dealer, just "shopping around".
4. Contacted the "internet manager" at another dealer that had the car that I wanted, (I had seen their cars on their website)
5. I advised the internet manager of the car that I wanted to buy.
I stated the cash OTD price that I was willing to pay, after a test drive. (I had no trade in).
6. Manager promptly came back with a counter offer that required me to buy before the end of month, which was 2 days away. I accepted his terms and price.
7. I advised the manager that I would put down a $100 deposit, (credit card), come out the next day, test drive and If I liked his car, would pay cash. However, he must assure me that this quoted price was in fact the OTD price and that I would not be approached by any salesperson for any reason other that to complete the paperwork. Manager agreed.
8. The next day when I came to do my test drive, the car was out front with a big sign on it saying sold and had my name on it. A salesman came out, handed me the keys and said "I will be here when you get back". Drove car, came back, sat down at the guys desk, he promptly completed the paperwork, I gave him my out of town personal check for full amount, less $100. He walked me out the car and went over some items on car, said bye. Deal done!

If I ever buy another car, I will contact this dealer.

 

[oilpsi2high]

Dealerships have no clue how to communicate electronically. I've emailed several asking them how much a model on their lot will be, out the door, with all taxes and fees. Out of the probably 10 I contacted, only one could give me a straight answer, and that was over the phone and they wouldn't come down from their asking price. About five didn't even respond, and the others either replied with some [censored] computerized response from "internet sales," or they want you to come into the dealer to talk numbers.

In the end I said to [censored] with it and ended up not buying anything at all. I work 12 hours a day during tax season and don't have time to waste visiting dealerships in person and going back and forth to get a realistic number just so that I can write a check. This is 2017, those tactics may work for people desperate to get into a new car but I'll gladly drive what I have now until I find something worth buying, and from a dealer I want to give my money to.

 

[AdRock]

My buddys dad does his research and goes in with a price. Basically finds the vehicle he wants on the lot then says I'm willing to pay X amount out the door, YES or NO?" If they say no, he walks.

I recently bought my 14 F150 used at a dealer. I did my research online and got a general idea of what they were going for at or around the mileage I was willing to go up to. The first time I went in I knew how much the truck was and I gave him and out the door price that I didn't want to go over. He went to the sales manager a few times and I finally walked out to the desk myself and said "Now we're all here, this can move along". They moved some on the price but no far enough. They said that that was the best they would do so I walked. After a few more days of research and looking at a several more trucks I came to the conclusion that their offer was pretty fair so I called the salesman and took the deal.

Bottom line is that if you go into a dealership and don't have the balls to get up and walk at any point then you're not ready to deal with a dealership purchase.

 

[wtd]

Every new and used car that I have bought at a dealership involved a sales manager as well as the salesman.

 

[aquariuscsm]

When I bought my current Nissan,I was there till midnight negotiating my deal. It was a Chevy dealership. I arrived,presented my deal,stuck to my guns,and hours later,got my deal. The salesman hadn't made any sales,and needed a sale. He already had a buyer for my 3000GT. My deal was a straight trade,car for car. My 3000GT for their 300ZX. I didn't need a car,I simply wanted it. I grabbed my keys and headed for the door. The dealership owner ran to the door to not allow me to leave and said,"We'll take your deal". I drove across the street to a 24 hour Whataburger,ate dinner,and drove home in my new car.