Negotiations

[1EVLC7]

Here is a review for a local Dealership ( I took out the dealers name.) I see the Dealer was bashed because because they were not budging on the price of a new car.

xxxxxxxxxxxxxxxxxxxxxxxxxx is very rigid, inflexible, and generally does not care about selling new vehicles. We were there a total of 3 minutes before the salesman (not sure of his name, but honestly did not care to remember much about this smarmy individual) declared that he was "not budging" on any prices. STAY AWAY FROM THEM! HORRIBLE SERVICE & HORRIBLE ATTITUDE!

I know I will get beat up some here on this discussion but I can take it. This is meant for discussion not a pissing match.

First of all, selling a "New car"... the majority of dealers break even on the deal or even lose $ on the deal. They will try to make it up on the sale of your trade or extended warrantys, tint, nitro, mop and glow etc. There is really no room to negotiate #'s on a new car. If you are looking to pay less for the vehicle, look at one that does not have DVD entertainment system, alloys instead of chromes, skip the moon roof, 20's instead of 22's etc. The purchase of a used car is a total different story.

When you take your wife out to dinner do you tell them you want the 16oz filet but you will give them $14.50 for it, not the $18.95 that the menu states?

Do you negotiate prices on your grocery items at the register?

Do you negotiate the price of your childs tuition?

Have you had any luck with negotiating the price of a new home sale vs. a older home sale?

Thoughts/Comments?

[Eddie44]

I think it's an incorrect perception that the public thinks theres thousands of dollars profit to the dealer. I've heard others in the business say they sell most cars at a loss in hopes of making it up in the service dept. My complaint is when you take your car into a dealer they think they're doing you a favor (not Coulter btw). The whole perception is probably perpetuated by the dealers as much or more than the customers. Remember when you had dealers advertising "no haggle prices or the price on the windshield is it". I haven't heard either for a long time.

[old yeller]

Sooooooo, I take it Eddie didn't buy the Buick.

[Azmotorhead]

I think it's one of those "given" circumstances. I think it goes all the way back to the days of trading horses.

Seems like the thought process has always been the price of personal transportation is negotiable.

I feel that (like buying a house) you should be able to choose what you want and dont want on a new vehicle.I think that contrubutes to the negotiation thinking

I hate what they have done in packaging options or groups for cars and trucks Thanks Saturn & Oldsmobile for that

Economically for the Mfg it made sense not so much for the consumer.

Even the Mfg & dealers promote a negotiation mentality by offering "up to 0% financing"

You're basically telling me that I can work out a price

[Eddie44]

Sooooooo, I take it Eddie didn't buy the Buick.

Nope, I stuck with the "cyber gay" Vette.

[Azmotorhead]

And can anyone honestly tell me that If I go in to a dealer and pay exactly what is on the sticker. No add on s from the dealer and no market adjustments. What the dealer receives from the MFG for selling their vehicle?? There's a whole article out there about Dealer holdback and Mfg kickbacks

[1EVLC7]

And can anyone honestly tell me that If I go in to a dealer and pay exactly what is on the sticker. No add on s from the dealer and no market adjustments.

What the dealer receives from the MFG for selling their vehicle?? There's a whole article out there about Dealer holdback and Mfg kickbacks

"Holdback" is what the dealer uses to pay commissions/salaries/utilities etc.

[Two Fangs]

I think that the haggling comes into play because the dollar figure is a suggested retail price. If restaurants, colleges, and grocery stores also listed suggested retail prices, there would probably be much more haggling involved. I get your point, but it seems like with cars, houses, and a few other instances, there is always a bit of haggling that takes place. It appears to be part of our culture in that regard.

[Guest Sidewinder]

Dealers only have themselves to blame for their reputations. Wait, you guys sell nitromethane A few years ago we were looking at a performance car in the showroom. It was the first year for that body style and one of the first ones in the showroom. They had a $3500 "area markup" on the window sticker. What kinda crap is that? I get it, first one gotta pay blah blah. BS!

[1EVLC7]

It appears to be part of our culture

That's the bottom line!

[1EVLC7]

Dealers only have themselves to blame for their reputations.

The subject was negotiations not reputations.

[Guest Sidewinder]

Dealers only have themselves to blame for their reputations.

The subject was negotiations not reputations.

Dealers only have themselves to blame for their negotiations.

[1EVLC7]

Dealers only have themselves to blame for their reputations.

The subject was negotiations not reputations.

Dealers only have themselves to blame for their negotiations.

Correct! Just as any company.

[1EVLC7]

A few years ago we were looking at a performance car in the showroom. It was the first year for that body style and one of the first ones in the showroom. They had a $3500 "area markup" on the window sticker. What kinda crap is that? I get it, first one gotta pay blah blah. BS!

They were getting 3K over for PT Cruisers when they 1st came out!

Remember when "Car Phones" first came out in the 80's whith a mile long of wiring to go along with it? I had to have one to be "The Sh%t" paid $500.00 think that was marked up a bit?

Anyone get an Ipad when they 1st came out? What did ya pay?

[Guest Sidewinder]

I hear ya Ed.

[Extender32]

I only buy from dealers that will accept the USAA pricing on a car. I realize there maybe a slight difference in what USAA says and what the dealer actually has in stock and I'm willing to accept that. Where I have the problem is when it comes to trading. I know what I want and if the dealer can't get close then I'm outta there.

[Big Tom]

How do you explain this ?? http://forums.corvetteforum.com/c6-corvettes-for-sale/2998076-2012-coupe-rock-bottom-price-no-negotiation-sale-at-boardwalk-chevrolet.html

[Buccaneer]

I would think that if you were really going to purchase a "new" vehicle, that ordering it is your best bet. I just can't see a dealer losing money on vehicles or they won't be in business long. Large dealerships don't become large dealerships by losing money on sales...do they? They can't possibly hope to stay in business on service and a few add-ons alone. Jus wondering.

[ChadC]

there is a varabile here the most people dont understand about a care delearship. CHAD CARPENTER SUPER car delearship opens its doors to sell new cars!! where do get new cars? From GM Do I have the $500 MILLION in cash laying around? nope So to get inventory, I get a loan from GM to buy its cars. So if there is a car MSRP of $10,000. I bought 100 for $7,000 each. EVERY DAY that passes the interest Im paying to the GM loan is going up. so after a month each car may actually cost me $7,350. now you add in GM rebates ( they had an run on Red cars so they are selling them to me for $6,750 and per my Loan agreement I HAVE to BUY 4 of them), and other discounts. A a car dealership is a complex money input/output machine but there is a secret to all dealerships. ..they are all crooks You get a dealership to open their books to a IRS audit or Police investigation, and you will see them sweat.

[Guest Sidewinder]

How do you explain this ??

http://forums.corvetteforum.com/c6-corvettes-for-sale/2998076-2012-coupe-rock-bottom-price-no-negotiation-sale-at-boardwalk-chevrolet.html

WOW

[1EVLC7]

Fine example of what I stated, Dealers make little or no profit on the sale of a New vehicle. Dealer Invoice $46,111 No Negotiation Price $44,185

[HOXXOH]

Fine example of what I stated, Dealers make little or no profit on the sale of a New vehicle.

Dealer Invoice $46,111

No Negotiation Price $44,185

So why would an out-of-state dealer sell a new car at rock-bottom prices(ordered to the buyer's specs) on the internet while knowing full well they'd never service the car?

Conversely, why would a local dealer demand several thousand above the internet dealer while knowing full well that the internet dealer can have the car courtesy shipped to him for new car prep at no additional cost to the customer?

As a customer looking to save a buck, ordering out-of-state and getting the high priced local dealer to receive and prep it, would make me think twice about getting it serviced at the same higher priced local dealer. I'd always have the thought that the local receiving dealer would want to make up for any lost profit on the initial sale.

Another strange thing happened when I needed a part that is common to Chevrolet and Cadillac. The Chevy dealer only had 1 in stock (I needed 2), so I went to a Caddy dealer (Lund) for the other. The sales slip showed the identical PN, but the Caddy dealer had a list price 93% (not a mis-print) higher and a net price 6% higher.

BTW. I've regularly negotiated prices for appliances, furniture, jewelry, and most labor services.

The three basic tenets of business are price, quality, and delivery. The buyer gets to pick two.

IMHO From your position, this thread is the last thing I'd be initiating on a car forum. However it ends, it won't be pretty.

[1EVLC7]

this thread is the last thing I'd be initiating on a car forum. However it ends, it won't be pretty.

I stated in the first post. "I know I will get beat up some here on this discussion but I can take it. This is meant for discussion not a pissing match."

and I am good with that. Just looking for feedback and I see opinions going multiple directions which I expected.

[Big Poppa]

Best way I can put it is... I KNOW the dealership doesn't have a problem taking more of my money than they need to. It's called profit. I therefore don't have a problem keeping as much of my money as I can. It's called savings. Being on opposite ends of a sales transaction is about as close as you can come to being enemies while still pretending to like each other. As a customer I'm looking for a certain product at a certain price. I don't care where it comes from if it's the same product. If a dealer down the street will cut their own throat and lose money, and you won't, then I'll go down the street. I'm buying something, not building a lasting relationship. If I HAVE to buy a part from a GM dealer, it will always be from Coulter, but that's because I consider Ed a friend. He also offers us awesome deals. They fire Ed, I go back to whomever gives me the best deal.

[P51tj]

Best way I can put it is...

I KNOW the dealership doesn't have a problem taking more of my money than they need to. It's called profit.

I therefore don't have a problem keeping as much of my money as I can. It's called savings.

Being on opposite ends of a sales transaction is about as close as you can come to being enemies while still pretending to like each other. As a customer I'm looking for a certain product at a certain price. I don't care where it comes from if it's the same product. If a dealer down the street will cut their own throat and lose money, and you won't, then I'll go down the street. I'm buying something, not building a lasting relationship.

If I HAVE to buy a part from a GM dealer, it will always be from Coulter, but that's because I consider Ed a friend. He also offers us awesome deals. They fire Ed, I go back to whomever gives me the best deal.

Damn nice BP...well and nuff said!