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Any Questions for a Car Dealer?

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Comments

  • eaton53eaton53 Member Posts: 356
    I've often heard that car dealers don't like to trade down... that if you have a trade, they always want you to buy something that's more expensive than what you're trading.

    For example, I have low mileage '98 Ford Contour SVT, which I've considered trading in. The vehicle I'm considering is an early '90's Mazda Miata. The asking price for some of the Miatas I've looked at is less than the likely trade in value of he Contour SVT.

    What I'm wondering is... if it's a wholesale for retail deal, why should a car dealer care if my car is worth more than his? He's still getting his money when he sells his car and will get it it again when he sells mine.

    Or maybe he doesn't care.... ???????
  • isellhondasisellhondas Member Posts: 20,342
    If your trade is worth more than what you are buying the dealer will simply write you a check for the difference.
  • eaton53eaton53 Member Posts: 356
    On vehicles I've traded before, only the difference between what I bought and what was traded was taxed.

    I assume that the sales tax on such a transaction would be zero?
  • isellhondasisellhondas Member Posts: 20,342
    Some states charge tax on the difference. some charge on the full price of the car.
  • mackabeemackabee Member Posts: 4,709
    is when customer's think their trades are worth more than what they actually are. I've had this happen in the past when a customer wanted to do an "even trade" on a 4runner. She was trading an 5spd 2wd Nissan Pathfinder. After reality hit, she decided to keep the Nissan.
                            : )
                            Mackabee
  • isellhondasisellhondas Member Posts: 20,342
    That 2WD 5 speed Pathfinder would be a DOG to sell!
  • eaton53eaton53 Member Posts: 356
    In Illinois, the difference is taxed, so it appears there won't be any tax.

    As for whether my Contour SVT is actually worth more than a Miata.... I guess that depends on what you tell me in the trade in values board. :-)
  • sonjaabsonjaab Member Posts: 1,057
    I knew the GUILTY party would throw his 2 cents in
    to throw the bloodhounds off the trail !

    RIVER: I like that post ! My 97 trade went to "recon".......The wash rack, front line, and down the road ! Dealer made 3 grand in a couple of hours..........LOL
  • afk_xafk_x Member Posts: 393
    I'm not surprised to hear you say...

    "They are, not, however a Honda."

    LOL you must repeat this so often that it has become a mantra...I think you need to get out there and talk to your mechanics a little more...not to mention this is the year 2003, not 1986. But I disgress...

    I think a Honda Civic makes a great new car purchase, but a bad used car choice if you're simply in the market for good inexpensive transportation. A Prizm or Saturn SL2 will not cost a small amount less but 3-4 thousand less than a comparably equiped in the 99 model year civic. This is a very large and signifigant difference. I have personally driven these cars back to back with Civics just to see if I could detect a large difference in ride, handling, or refinement. I could not.

    As for the THOUSANDS of posts discussing problems with Hondas here on Edmunds please feel free to search by keyword - type in "Honda problem" and you will see that yes indeed there are THOUSANDS.

    I won't even go into the fact that this particular poster admits to knowing nothing about the mechanical operations of a vehicle. This is yet another reason to purchase a Saturn because you can take it to the dealer and get the straight scoop. (Dealer network rated #1 for service out of all manufactures by J.D. Powers)
  • exb0exb0 Member Posts: 539
    Here is an “objective” opinion of a consumer. I have bought new: a Camry, Accord, 626, Grand Prix, Ford Windstar and the Explorer. Camry and the Accord never gave me any trouble what so ever. 626 needed a new transmission before the manufacture’s warranty had expired, and that was the ’89 made in Japan version. Grand Prix had all kinds of electrical problems from day one, and don’t even let me get started on Fords. Hondas and Toyotas are simply better value when you buy them NEW, and that is not even mentioning the resale value.

    Having said that, if I had to buy USED, I would more than likely never buy a Honda or a Toyota, they are simply overpriced. Prism is a no brainner, you get Toyota quality at Chevy’s price. Saturn is probably not as reliable as a Civic, but at $3-4K discount even in the unlikely event that you have to replace an engine or a transmission, you will still break even. Some of GM full size cars and trucks are as reliable as Toyotas at the fraction of the price. Compare J.D. Powers rating for Buick LeSabre and the Avalon. The LeSabre is just as reliable, but its resale value is half of the Avalon.

    When you buy used, you can’t afford to worry about style you have to be practical.
  • isellhondasisellhondas Member Posts: 20,342
    I've never known you to be combative in the past and I'm surprised at your comments now.

    Once again, I have NO PROBLEM with Saturns. We take a fair number of these in trade...for Hondas.

    If I get a used car shopper whose budget eliminates late model Civics a used Saturn can be a good choice.

    The main reason is the fact they depreciate a lot lot more than a Honda does. That is WHY they can be bought for thousands of dollars less.

    O.K. ?
  • jeffmust2jeffmust2 Member Posts: 811
    when The Boys start to in-fight.

    Lot more impressive knocking buyers for lousy attitudes.
  • viper0074viper0074 Member Posts: 56
    Hi guys,

    Quick money factor question for the Honda guys:

    I looked at an 2003 Accord EX V6 on Saturday. The guy is willing to sell it for invoice. When ask I him about a money factor for 36mo lease, he said it was 0.0022. I get his card and leave.

    I then go over the Acura dealer and look at a TL. The money factor on a TL lease is 0.00092 as per Car_man in the leasing forum. Even though the Acura costs about 4,000 more than the Accord, the monthly lease payment is only a little more because of the big money factor difference.

    I call the Honda dealer this morning and my sales guy is not around but I talk to his manager. I asked if the money factor was at all negeotiable and he said that American Honda Finance sets it and they cannot change it.

    Is this is correct?

    Thanks,

    Peter
  • rerenov8rrerenov8r Member Posts: 380
    "all new for 2003" but the TL will be "redone in 2004" -- Acura is shoving the TL out of the way for new model.

    If you are set on a lease and the difference is very small it would make sense to just get the Acura...

    I doubt that the lease rate leave much remove for negeotiation, of course the PRICE is still worth haggling over.
  • viper0074viper0074 Member Posts: 56
    Yeah, I hear ya.

    I do like the new Accord's interior better than the TL's and the Accord has side-curtain airbags that the TL does not.

    Of course, the TL as bigger wheels, a little more power, HID lights, and stability control.

    I figure the equipment differences are a wash.

    I have about $5000 in negative equity I'm trying to finance (you can see my post in Terry's world), so money factor pays more of a role.

    I kind of figured that the dealer wouldn't be able to adjust the money factor, but I figured that it wouldn't hurt to ask them.

    Understandably, American Honda needs to move the remaining 2003 TLs before the redesigned 04s start rolling in.

    Thanks,

    Peter
  • isellhondasisellhondas Member Posts: 20,342
    Are set by Honda. From what I hear the TL's aren't selling that quickly so they may be taking drastic measures.

    Or you can get a new Accord with all of the new changes and just finance it for 2.9% up to 60 months.

    If you do this, you'll own it in the end.
  • viper0074viper0074 Member Posts: 56
    Thanks.

    Yeah, when the sales guy told me about the 2.9, I was leaning towards that, but the boss wants to lease.

    Wife happy, life happy.

    Later,

    Peter
  • gtahobegtahobe Member Posts: 42
    Back in the spring when I was shopping for a new sedan, I ended up with the Camry because it had side curtain airbags and the Accord did not. At the time, the Accord did have side airbags that were mounted in the two front seats to help protect the front occupants' torso in the event of a side impact. The side curtain airbags in the Camry deploy from above and basically cover the side windows for both the front and rear occupant to protect the heads.

    So please double check your information about the Accord. Perhaps Honda has changed something in the past few months or perhaps it's difficult to distinguish between side airbags and side curtain airbags. I just don't want this to be the deciding factor between your final choices without all the information.

    Cheers.
  • afk_xafk_x Member Posts: 393
    My point is exactly what you just said. Saturns do depecriate much faster than Hondas, and since they are very reliable make a good used car purchase IMO.

    By the way we take a fair number of Hondas on trade for new Saturns as well. Weird eh?

    :)
  • isellhondasisellhondas Member Posts: 20,342
    Is a good example of how a sale can be lost because of an option that isn't important to most buyers.
  • rivertownrivertown Member Posts: 928
    You've read Car_Man's leasing thread, so you know the dealer sometimes bumps the money factor to add profit to the deal. So, it's good to check. Once you hit the bank's rate, however, you've gotten as good as you can get.
  • zueslewiszueslewis Member Posts: 2,353
    (subsidized by the manufacturer) lease programs, the dealership isn't allowed to touch the money factor, since it's part of a national or regional advertising campaign.

    Thank goodness Isuzu didn't do that in '98-99. We were doing Trooper leases with an incredible money factor. The consumer gets a $1K down, 389 a month lease on a $40K truck, and we make $3,500 a pop in finance reserve. Everyone wins.
  • m5powerm5power Member Posts: 19
    To the dealers:

    What type of attitude do you tell your sales staff to have when dealing with customers? Friendly, personable, and informative vs. confrontational, condescending, and standoffish?

    I ask because my wife and I went to Bill Jacobs BMW (Naperville, IL) this weekend to look at the Z4. We walked around the showroom for 15 minutes and no one offered to help. There were 2 or 3 sales staff that were unoccupied, but they just sat there talking to each other, or were reading stuff. We went outside and walked around the lot before returning to the show floor- again, no one asked if we needed assistance. We then asked the receptionist for help, and an older guy (who was sitting around) came up and asked us what we wanted. Didn't offer to shake hands, didn't ask for our names. He looked very skeptical, and was very condescending. We went for a brief test drive, and returned the keys. He pretty much just walked away. Didn't give us his card, or ask if we were interested. It was the "buy it already or don't waste my time" schtick. My wife was shocked. I don't know if he profiled us (young looking, dressed in tshirt/shorts) or what. But it was bad enough that I am faxing a letter to the GM to tell them about our experience. And the funny thing is that A) we drove our M5 to the dealership, and B) I'm an MD and my wife's a JD. Plus, we've only been to the dealership 2 years ago when looking for a M5, and last year when looking at a used 740; we're not the weekend tirekickers- no time for that. SAME EXACT ATTITUDES.

    When my friend and I went to another BMW dealership in Westmont, IL, 1 year ago, I remember walking around the dealership for 15 minutes, and there were two salespeople who were playing solitaire and tetris on their computers at their desks and never asked if we needed help.

    This has never happened at our local Lexus dealerships, where the salespeople are friendly, pleasant, and informative.

    I will be faxing that letter in the morning to the dealership to see what kind of response I get. Interestingly, I talked to several other physicians today at the hospital who all had similar experiences at Bill Jacobs. I'll be damned if they get my business just because they have the local monopoly, and I'll tell anyone who asks, hell, anyone within earshop, to avoid that dealership like the plague-

    But to get back to my question- are salespeople on their own in terms of their attitude or do the GM's tell their salespeople how to act?
  • isellhondasisellhondas Member Posts: 20,342
    They shouldn't have to "tell" a salesperson how to act.

    I do think the management sets the tone..." the speed of the leader determines the speed of the pack".

    No excuse for this.

    Personally, I'll never pounce on a customer. I'll give them a lot of room. I'll greet them and ask how I can help them. If they only want to look...great! I'll hand them my card and I'll tell them to come find me if they have any questions.

    In other words, I treat them the way I would like to be treated.

    On the other hand, some dealers are the opposite of that BMW store. They will literally open your car door for you. they won't let you breathe. they will "turn" you from sales person to sales person.

    Personally, I think that is worse.
  • m5powerm5power Member Posts: 19
    I agree with you that the stifling, badgering salesperson is bad, or worse, perhaps. But I think some of these "luxury" car dealerships think that the cars sell themselves. But I'll let you know what the GM says tomorrow-
  • zueslewiszueslewis Member Posts: 2,353
    As a former car biz manager, I applaud your contact of the GM - he/she is probably unaware of the blatant level of unwillingness to do business.

    My first sales manager had a great saying - "Your raise is effective when you are".

    Nothing is more true with commissioned sales. I talked to EVERYONE when I was in sales, regardless of how casual or thrifty they looked. I learned who to avoid after being led on a few wild goose chases, but for the most part, I grabbed everyone I could get.

    My philosophy is just like when I go to buy something. If I'm buying a shirt that I saw two days ago, I already know what I want, pick up the shirt, and pay for it. I don't care if someone approaches me.

    When I need product info, though, I want someone to talk to.

    Perfect example. I just bought a new computer. My best bud has a Dell 4600 and I liked it, but I thought I'd look around.

    I looked at HPs at Costco. There, there isn't anyone to give you product info - you either buy it or you don't. I'm not an IT guy, so I had questions - it didn't work for me.

    I went to Best Buy. I stood in the computer area for over 30 minutes (10 is usually my max) without anyone even noticing. I'm a very noticeable guy (look like a short version of Goldberg). I got PO'd, got my son from the video game area, and we were off to CompUSA.

    At CompUSA, I got the stereotypical used car salesman version of a computer salesman. I told the guy what I did for a living and what type of machine I needed - he bashed every other product in the market, then tried to slam dunk me on a computer that was $1,000 higher that what I told him I was spending. I repeated what I had looked at on the Dell site and how much it was - he didn't want to hear it and started rambling aggressively about sounds systems and graphics/gaming programs - none of which I care about - I already told him that. I left.

    I went to the mall, talked with "Lauren" at the Dell kiosk, asked a bunch of questions, got them all answered, ordered my computer and went home. The whole thing (at the mall) took 15 minutes, including paying for it and printing invoices.

    I love it. I does everything I need and then some. I contacted the managers at Best Buy and CompUSA, but neither seemed to care since they'd already missed the sale.

    From one sales manager to another, I told them they needed to mind their flock!
  • jlawrence01jlawrence01 Member Posts: 1,757
    I don't know where you are at in the Chicago area. However, I had a great experience when I picked up a Saab 9-3 at MotorWerks in Barrington,IL. I took my VP Sales down there and they spent 90 minutes showing him the features of the vehicle as well as getting him hooked up with OnStar. As this was a corporate lease deal, it was probebly not a great money maker for the individual who helped us.

    While they were doing that, I walked the lot. Only the best used cars made it.
  • bolivarbolivar Member Posts: 2,316
    You didn't go wrong buying the Dell.

    Dang, now how can I work 'Questions For a Car Dealer' into this post?
  • stebustebu Member Posts: 204
    Yup, Dell is a good choice for the more casual user. Good packaging, decent quality components, reasonable price. And especially quick and easy.

    But for the PC savy power user, it's hard to beat the price/performance ratio of a custom configured job. Either do-it-yourself, or through an online configurator.

    Too bad they don't have the same situation with cars. The auto industry does offer up pretty much something for everybody as it is. But, for a real gear head... yeah, I'll take that M5 engine, and could you stuff it in that Cooper S, and don't forget the Connelly leather from the Rolls and the Q45 Birdseye maple...
  • zueslewiszueslewis Member Posts: 2,353
    as for your car dealer question, many sales tactics in retail (no matter what the product) have been taken from the car business.

    I just bought a new bed. One of the places I went was Raymour & Flanigan, a large furniture chain up here. I was BLOWN AWAY at the similarity to the car business.

    There was a young woman who greeted me and pointed me in a direction (dealership greeter).

    A young man with very little knowledge began qualifying me and getting initial info (green pea).

    When he couldn't close me on an impulse purchase, he motioned to an older guy - obviously experienced (closer/sales manager).

    I also noted there was a sales TOWER (GSM). There was also a finance person to handle the closing paperwork and furniture protectant services (F&I guy selling mop and glo).

    I caught a tear in my eye because of how much I miss the car business...

    And, no, I didn't buy anything there!
  • user777user777 Member Posts: 3,341
    the other side of the coin (don't take this the wrong way) but:

    is it verboten or compromising to proactively introduce yourself and ask for assistance?

    is it "the first person that speaks looses"?

    just my take: i don't think i would have walked around in the showroom that long without speaking with someone representing the dealership...

    seriously, is there that much to see and do on your own?

    if i hadn't initiated dialog with someone, i don't think i would i have bothered going back into the showroom after walking the lot, nor would i have approached the receptionist...

    i'm not siding with poor dealership / salesmanship, but there are ways to communicate intent/interest...

    we as customers are partially responsible for the experience too aren't we?
  • mirthmirth Member Posts: 1,212
    Yeah, but they did go to the receptionist to ask for some help. At that point, the salespeople should have known they were serious and acted accordingly.
  • user777user777 Member Posts: 3,341
    maybe, maybe not. maybe speaking with the receptionist was a signal to them that the customer and his wife were not serious.

    it's weird, but that's pretty indirect (unless of course, there's no one in the showroom except the receptionist - then it's as direct as possible isn't it?)

    just another viewpoint.
  • jeffmust2jeffmust2 Member Posts: 811
    ...try wearing one of those orange vests that deer hunters wear so other deer hunters don't shoot them.

    I guess my old idea that the Best Auto Sales People work at the stores that feature the most expensive automobiles wasn't very accurate.

    I do have to say that in visiting a half-dozen Lexus dealerships in the last ten years, I've never been treated less than excellent.
  • zueslewiszueslewis Member Posts: 2,353
    maybe if the guys would have looked up from their poker or soltaire game, they would have noticed there were customers, who drove in in a BMW M5 ($70K car), walking around their showroom looking at the cars the poker players were there to sell.

    What don't people get about doing their jobs?

    They aren't there to play cards, they are there to sell vehicles and follow up with buyers. If I was the sales manager, and a couple as described had walked in and weren't greeted, I would have cleaned the floor. Period.

    Every desk with a soltaire game up would have been empty. The only excuse is that a salesperson was on the phone with a customer, but still there have been many times when I've been on the phone, and have gotten the attention of another salesperson to point out a customer on the lot.
  • mirthmirth Member Posts: 1,212
    It's all about attitude. Maybe those beemers are really selling themselves at a record pace. But eventually that's going to bite 'em in the butt because luxury buyers expect to be treated very well. (And the new beemers are looking weirder and weirder, but that's another story...)
  • m5powerm5power Member Posts: 19
    1) How is asking the receptionist indirect and indicating to the salesperson that we are NOT serious???

    2) You are wrong, period, about who should initiate the conversation in this type of situation. Remember, I can buy the car at any number of dealerships in the chicago area. But the salesperson/dealer is the one who wants my business, and benefits from our purchase. Consequently, it is incumbent on the salesperson to be proactive, professional, and helpful. Of course, the customer needs to be friendly and polite as well (there are plenty of moronic customers out there). But it's not the customers responsibility to do the bulk of the work here.

    Same as in many other situations- other sales fields, oil change places, salons, and even medicine. As a physician, I should be proactive when meeting a new patient, to introduce myself, be cordial, friendly, and professional, because, in a crude sense, I want their business. They can go see another specialist if they don't like me, so it's up to me to do a good job. Same with the car salesperson / dealership. So in a sense, the customer/provider relationship is not a completely egalitarian one, as you suggest-

    ... so when we walk in to a dealership where the salespeople are playing solitaire and don't ask us for help, it's up to me to say, "hey, that's ok, i'm still going to spend $40-50K here, and expect good pre and post-sale customer service"-

    I completely disagree with you-
  • jratcliffejratcliffe Member Posts: 233
    M5power, I think your post (and your handle) answers a part of your question. The four Bimmer dealerships you've visited haven't been up to snuff service-wise, but you got that M5 somewhere. :) Seems that, in this case, the car did sell itself. Now, to be sure, the M5 is a bit of a special case (must...restrain...envy!) - the 3-series, for example, is less of an "Oh my God, there's nothing like this in the whole world, I gotta have it!"
  • afk_xafk_x Member Posts: 393
    Saturn not Lexus is usually ranked #1 for satisfaction with the sales process.

    Saturn currently is ranked #1 for service satisfaction.

    Other than that I agree with you 100% with everything you said
  • stebustebu Member Posts: 204
    I'm sure you're right about the ranking, but I think what m5power said was that Lexus has the "reputation" for being #1. I took that to mean the perception which, as we all know, does not necessarily reflect reality. And I think that is a fair assessment. When I hear Saturn I think fixed pricing first. When I hear Lexus or Infiniti, I think customer service first. Just as when I hear BMW, I think performance first.
  • damish003damish003 Member Posts: 303
    You must have been in Erie, my neck of the woods. You're quite right, just about every domestic dealer has that kind of ad. Cavaliers for $7999, Grand Am's for $8300. It used to be done by the more, shall we say, nefarious dealers around here. For probably the past 6-12 months, it seems as though every domestic does it. Actually, I've seen similar with a Toyota dealership, but THAT place makes you want to go home and have a shower when you're done with them. I just got a new Subaru a month ago, and the lack of stupid advertising from them at least got me in the door, if you follow me. Is anyone else seeing this kind of advertisements on a regular basis, or is it just us?

    -Dan-
  • yamanyaman Member Posts: 113
    I am in Bucks County,Pa (25 miles north of philly).I saw an Ad for a $7,999 Caviliar last weekend as well.Fine Print on this one however was that there were all sorts of rebates for recent college grad,returning serviceman,etc that nobody could ever qualify for all of them.My recollection though is that even backing out all those rebates the car was selling for about 9,999-which still struck me as a real good deal.
  • 18fan18fan Member Posts: 129
    Those type of ads appear weekly in the paper here in the pits of Pittsburgh..... most often by the "screamer" dealers. You know, the ones where you have to take a shower after returning home from one of them. They usually advertise a price in big numbers... $XXXX... then in the small print, a list of discounts & rebates (no one alive could qualify for all of them simultaneously!), then "plus cash or trade equity of $xxxx". Mostly limited to large, domestic dealers.
  • jasmith52jasmith52 Member Posts: 462
    Last year I had intended to buy a BMW 7 series for my wife. Well one Saturday we were running errands so I was just wearing a T-shirt and blue jeans and the wife was also dressed very casual.

    So we walk into the BMW lot to look around at several of the cars. Nobody came up to greet us. So we wander inside, again nobody greeted us. So we looked at a few cars on the showroom floor. We wanted some help so we walk up to a salesman behind his desk and asked him for help. He was very annoyed with us for "bothering him". I guess we didn't look like the typical BMW customer.

    He finally said something like - "Are you worthy of a BMW". My wife and I looked at each other and I said - "What". He repeated - "Are you worthy".
    I was pretty irritated with this clown but said - yes we are worthy. He then said that he didn't think so, and would therefore not help us. We figured that this guy was an idiot and went over to another desk across the showroom floor and began talking to a different salesman. Well after about 30 seconds the phone rings on his desk. We believe it was the first salesman calling the second salesman. After the phone call he was also very condescending towards us. He actually told us to go look at Toyotas. We said - No we are here to look at a 7-series BMW. He then said that's a good one - now run along and don't bother us.

    We couldn't believe the treatment that we were getting. So we moved away from this jerk and were looking at one of the cars in the showroom. I opened up the car and invited my wife to sit in the car. After I opened up the door to the car the first salesman came running over and said - "Hey don't touch the cars - you'll mess it up". He then said - "It's time for you two to leave - you're bothering the real customers". We couldn't believe what we were hearing. He then said it again- "Just leave". And so we began to leave.

    As we were walking off the lot the two salesmen and some other guys came quickly walking towards us each holding something. Then they started to throw eggs at us. The missed with most of the eggs but one hit my wife right in the side of the head causing a great big glob. Another egg hit my Buick. They then yelled at us - "Don't come back here - You are not Worthy"

    It was obvious that they didn't want our business so we left - in disgust. We talked about it after that and decided that we didn't really want a BMW after all.
  • himilerhimiler Member Posts: 1,209
    At least the eggs weren't hard-boiled!
  • yamanyaman Member Posts: 113
    Seems to me you weren't really trying hard enough to buy the BMW.Few eggs and insults never hurt anybody.In the future be more determined about what you want.
  • dtwleungnycdtwleungnyc Member Posts: 188
    You didn't call the police or talk to the GM at the dealership? I would consider that as an assualt if someone throws eggs at me. Plus, I would raise a big stink with the manager.
  • kyfdxkyfdx Moderator Posts: 265,718
    Really....you should write for Jackass.. hilarious...

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  • himilerhimiler Member Posts: 1,209
    Apparently, it's important to wear stain-resistant clothing when shopping for a BMW, or at least a motorcycle helmet.
  • manamalmanamal Member Posts: 426
    You know it is bad when that happens at a Kia dealer!
This discussion has been closed.