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Save Money When You Buy Your Next Car: Part Two

As a follow up to Part One, I want to make it clear how knowing what you want saves you money when purchasing your next car.

There are basically three reasons why people go to an automobile showroom.  One, they are there solely to look at different models on display.  Two, they are there to gather information, i.e., fact finding, and, three, they have already finished steps one and two and are ready to buy the car, either today or soon.  The trained sales person qualifies potential customers to find out why they are in the showroom, and, since it is this third group of people who are the ones most likely to buy a car, the sales person’s focus is directed exclusively to them.  Customers who are “just looking around” or strictly there to gather information are least likely to get a competitive price from the salesperson because they are not willing, at this time, to commit themselves to purchasing a car today.  The customer who is “looking around”, getting information and asking for prices and not committed to buy, will not get a competitive price: the sales person will quote (and I know this from personal experience as a retired car salesman) an approximate price.  For example, the 2018 Toyota Camry LE is “around” $25,000 plus taxes and fees.  If a customer was not ready to purchase the car that day, some sales people are instructed, by their managers, to not quote prices at all unless the customer disclosed they were ready to buy the car today.  This was the conclusion of Part One:  No customer commitment to purchase equals no competitive price.

Commitment means that the customer tells the salesperson, up front, that they are interested in purchasing a car today; or, that they have already received quotes from other dealers and are ready to buy, now, if your price is competitive.  Note: it is the salesperson’s job to find out what the customer’s time frame is for buying a car, if the customer has not disclosed this.

This brings us to another way in which the customer can save money: get at least three quotes, in writing, from the salesperson at three different dealerships, make sure that each quote has the make, model, trim level desired equipment and/or packages and MSRP of the exact car you are interested in.  By doing this, you are guaranteeing that you get each dealer’s best price on the car that you want.

I also purchased many cars before I became an auto salesperson and for years I didn’t know that this was the best course of action in securing a “good” price, and, as a result, I paid too much for the car.  Being in the car business for many years, I learned that the best way to get the best price from each dealer was to get at least three quotes on the exact car you are interested in.  Many customers purchase from a dealer with the lowest price.  But others, like myself, will compare quotes and purchase the car at the dealer whose price is competitive and whose salesperson I preferred because the salesperson treated me with respect.

In conclusion, saving money when purchasing a car is: (1) a commitment by the customer to purchase the car (2) getting three quotes from three dealers and (3) then deciding which dealership and salesperson you feel the most comfortable with.  If you follow these simple guidelines, you will definitely save money and you will have peace of mind when purchasing your next car.

Remember for your auto parts, please shop online from Amazon.com, Tirerack.com and Vividracing.com.

Thank you.

Kreativecars.com

Save Money When You Buy Your Next Car: Part One

As a former car salesman for over 17 years, I have had a lot of experience with buying and selling cars.  There are many factors involved in determining the actual car you buy, where you buy it, when you purchase it, and at what price you pay for it.

There are two basic vehicle purchase scenarios.  One, is the traditional route of going to an automobile dealership and dealing directly with the salesperson and, two, is the more and more popular method of buying “online” and basically, by-passing the sales person until it is deemed absolutely necessary to visit the showroom.

Let’s follow the traditional route for this article.  Many prospective buyers of this scenario come into the showroom to “look around” , ask a lot of questions, and ask for exact pricing.  At this point in the buying process, this consumer seems to have no idea what they are looking for, whether their selection will be a Toyota, Honda, Chevy, or Ford; whether it might be a used or new car, whether to choose a sedan or SUV, whether they have considered financing type, and when they want to buy the car.

I am mentioning all of this because all salespeople are paid almost entirely by commission, and since they are paid on commission, their income is based primarily, on how many units they sell each month.  Sales managers set monthly quotas for each salesperson.  Therefore, a salesperson is entirely focused on the buyers who have a good idea which car they are interested in and who tell you that they are looking to buy a car fairly soon.

A salesperson’s job is to demonstrate one or two vehicles, and they guide the customer into selecting the “right” car for them, based on their needs and budget.  But, the customer should come into the dealership with a fairly good idea as to which vehicle they would like.  The salesperson encourages the customer to take the car for a test drive and points out the features and benefits of the particular model.  Upon return, it is customary to “negotiate” a “fair price” for both the customer and the dealership.

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