Options

Internet vs. Traditional Car Buying

1161719212261

Comments

  • bobstbobst Member Posts: 1,776
    If the car dealer has a car that you would like to own, then why not determine the price you are willing to pay and go to the dealer and make an offer?

    While the sales person may not give you a straight answer when you ask for the price, there is a good chance they will give you a straight Yes or No after you make a specific offer.

    Who knows, they may accept your offer and you will soon be driving home in a brand new used Daewoo, or whatever kind of car that floats your boat.
  • ncmomncmom Member Posts: 22
    I did make an offer, which he was unwilling or unable to give. He was attempting to get the price closer to what I wanted by offering a better finance rate than I had in hand. If he could have done it - it would have been fine with me. I only care about the net effect on my checkbook.

    However, his finance deal was not exactly what he was saying - and that was my point and warning to others with my post. He never made one statement with all the variables included.

    Once sentence said he could get the payment down to what it would be with my offer and my current rate. Another said he could could get me into a car with a 36 month loan. But, he never said that the loan would be for 36 months AND the same payment as what my offer combined with my current loan would be. When I asked him to verify exactly what his offer was, he listed three alternatives - all of which were at least $2,000 more over the life of the loan than I am currently willing/able to pay. That was the kicker and that's why I politely declined.
  • mikefm58mikefm58 Member Posts: 2,882
    He's playing games. Make him the best offer that works for you and include all the variables. If he accepts it, great, if not, move on.
  • bobstbobst Member Posts: 1,776
    Well, ncmom, it sounds like your offer was too low, and that is why they didn't accept it. If you make an offer, any response other than Yes should be taken as a No. In my book, they gave you a very clear No.

    If you want to buy a car, I guess you will have to go somewhere else or increase your offer.

    Of course, you could browse the highways to see if any large SUVs have been abandoned because the owners could not afford the gas prices which are headed toward $5 a gallon. If no one is around, the vehicle is yours. The Law of the Sea says you can claim any boat abandoned on the high seas, and since SUVs are as large as boats, I think the law applies to them as well.
  • ncmomncmom Member Posts: 22
    Already moved on - please note I said that I politely declined his offer. And, now I am moving on from this discussion as well.
  • nortsr1nortsr1 Member Posts: 1,060
    Well bobst, you lost another Edmunds member!!! (although, I totally agree with your answers to ncmom)
  • bobstbobst Member Posts: 1,776
    Yeah, usually I can polish them off pretty quick with a couple snide remarks, but ncmom fought back for awhile. I must be losing my touch!
  • clarencehollowclarencehollow Member Posts: 60
    I have never sold a PRICE. And that's what a lot of customers ask for - best price. I don't think we all were born yesterday, and everyone is looking for the best deal on a vehicle they want. Fact is the highline Imports don't budge much off sticker, including Toyota Honda and many European line. Anyone can pretty much buy a domestic at invoice or $100 or $200 over. Factor in the rebates, you're going to get a good deal. I don't think I am that good a salesperson that you will buy a car on price alone and I will bet money on it. Most people submit requests on a vehicle they configured, however what actually may be available may vary in color or equipment. I usually quote at invoice minus rebates on the vehicle they configured. That will be a very competative price, and it's upfront, nothing to hide. Unless you are a GM employee, you will most likely not get a better price on a Chevy, in particular.

    There are some so-called tips websites that are creating an irrational mindset in the consumers mind. Most dealers are legit businesses, run by good people. Most of the salespeople are good people, the job is stressful when someone wlaks in with attitude. If you want good results, sugar works better than salt.

    My best advice for shoppers is if you submit an Internet request - PLEASE - contact the person who sends you the quote, or ask for and demand to see them if you visit that dealership. Do not shop payment, because where I live, a very large dealership low-balls everyone who walks. They show them a payment $30 less than what any other dealer can do, because they have the same programs. The people leave, continue to shop the payment on the same car, then discover no-one can beat that quote. In most cases, when you return to the dealership to pick up your vehicle, the payment went back $30 or $40 bucks higher on the contract. You were hoodwinked masterfully. The other dealers that were honest lost your business, not because they didn't give you the best deal, they probably did - they lost to your own greed and so did you.

    On most domestics, most Chevy's including SUV's, Cars, except Corvette, you can buy one for $100 over invoice, minus rebates. That's fair and pay's the salesperson approximately $100. Most salespeople sell 12 cars a month - You do the math. Salespeople make some of it up in used cars where they deserve to make some money, because you will never know what the dealer really paid for it. Just like everything else you buy, you don't know the cost - except on new cars, you have some control.
  • mikefm58mikefm58 Member Posts: 2,882
    It is very difficult for an "honest" sales person to make a decent buck when there's a slime ball right around the corner. I just got done with my quest for an 05 Civic LX SE and met some dealers who I could tell are exactly as you described. Their internet offer was too good to be true and have called or emailed me 3-4 times a day since.
    .
    I ended up buying from a dealer over in Tampa who was straight up and worked with the salesman (well his backup because he was off the only day I could drive over), who I worked with over the net and phone. His backup was a Brit who looked like he'd been around the block a few times and when I asked how long he had worked there, he said something like 15 years and the guy who I worked with over the net had been there over 10.
    .
    So with salesman that had been there for a considerable time, I felt they were decent business men. Oh, they tried to sell it for all they could, as they should, but there wasn't any games.
  • mirthmirth Member Posts: 1,212
    Just a few comments...

    Fact is the highline Imports don't budge much off sticker, including Toyota Honda and many European line. Anyone can pretty much buy a domestic at invoice or $100 or $200 over.

    That's pretty inaccurate. I think anyone can get a Camry or Accord for a couple hundred over invoice.

    There are some so-called tips websites that are creating an irrational mindset in the consumers mind.

    I agree that many tip sites create an overly-paranoid mindset. But on the other side of the coin, it doesn't hurt to know potential ways that the dealer can play with the numbers.

    Do not shop payment, because where I live, a very large dealership low-balls everyone who walks.

    Do not shop payment? People do that every day - does Best Buy have a better price than Circuit City? Does Kmart have a better price than Wal-Mart? If you are a consumer that's not sure of what to offer, what's wrong with shopping price? Now, if that price turns out to be a low-ball, the consumer should leave and go elsewhere. That's better advice for people than "don't shop price".
  • Kirstie_HKirstie_H Administrator Posts: 11,242
    "payment" is different than price. Price is what you pay overall for the vehicle - I think (hope) by payment he means monthly payment.

    MODERATOR /ADMINISTRATOR
    Find me at kirstie_h@edmunds.com - or send a private message by clicking on my name.
    2015 Kia Soul, 2021 Subaru Forester (kirstie_h), 2024 GMC Sierra 1500 (mr. kirstie_h)
    Review your vehicle

  • amad1amad1 Member Posts: 123
    I was pushed myself couple of times until I learned. I overpaid for my first car, I was pressured into my second.

    If you were dealing with honest people there would have never been a first or a second time. You need to face it, there is a reason why car dealers rate of the top of the most hated profession, because they lie and decieve. I don't know about you, but I can't stand people that lie and decieve for a living.

    You really need to read some of the testimony of previous sales people that got out of the car sales profession because of all the sleaze. They got out to pursue more honorable professions.
  • clarencehollowclarencehollow Member Posts: 60
    Out of respect of the length of my post I did omit some other points. YES - by all means shop payment and price, but here's some snippets about LEASING or SmartBuys I didn't get to: I can only talk about GMAC, but let's say you are goint to buy a vehicle (let's say 2006 Impala), well actually lease... and you know that every dealer will sell you "X" car for invoice ... there are standard rebates in a Lease, they vary, and with GMAC they call it "Cap Cost Reduction". Well to my point, there is a "BUY RATE" .. and the dealers Business Office is allowed to mark that up 2 points. I think you should be knowledgable with this. It's a profit builder and your local banker does it too when you go to thier bank for a car loan. But if you know you have excellent credit, let's say a 720 Beacon.. you should get their best rate - at Retention (the Buy Rate). Ask what the Retention Rate is and ask other dealers too. It helps if you know your credit score, but many times the Dealers are now using Online Systems where they get Instant Approvals. If you do not have the best credit score, but do not have bad credit they may have to put you on thei lender Alternative program which can be several points higher. I know for GMAC if you are an S,A, B or C Tier, you qualify for the preferred Rate. D and E Tier could be conditioned and will probably pay the higher rate. If you have bad credit, forget it, you are no leasing.
  • mirthmirth Member Posts: 1,212
    ...is definitely a quagmire that I will not venture into.
  • juicymoosejuicymoose Member Posts: 22
    I am currently looking for an Acura RSX in the Seattle area, and I live about 2 1/2 hours away from the nearest dealer. The internet was the only option for me as far as I could see it.

    I did lots of research on exactly what every little cost would be and sent my offer to all the dealers w/in a 200 mile radius. Only two replied. The one that matched my offer replied w/in 1 hour, and I had him itemize all the figures so there would be no doubt as to how much I would pay for everything (even taxes, doc fee, licencing).

    The other dealer won't match my offer and said there is going to be a $150 inspection fee because the color vehicle I want is not available right now.

    I put $500 down and am currently waiting for the color I want.
  • bobstbobst Member Posts: 1,776
    We have had an RSX for over two years and I absolutely love the car. It is a lightweight car with fairly wide tires, so I drive it very carefully when it is raining.

    In the website clubrsx.com, I read about one guy who wrecked his new RSX when he lost control as he was passing a truck when it was raining.

    If you drive in the rain a lot, you might want to consider buying a different kind of car.
  • isellhondasisellhondas Member Posts: 20,342
    You WILL drive in the rain a lot! Especially this past month!
  • yurakmyurakm Member Posts: 1,345
    Or different tires?

    Any case, how it is related to Internet sales?
  • raybearraybear Member Posts: 1,795
    I like it when a potential customer has a handle on what they're willing to pay for a new car, it eliminates a lot of back-and-forth emails.
  • bobstbobst Member Posts: 1,776
    "how it is related to Internet sales?"

    Because everything that happens in the Universe, from tire sizes on an RSX to the success of internet sales, is due to the will of an almighty God.

    Remember, no man is an island. Everything is related to everthing else. For the want of a nail, the battle was lost.
  • isellhondasisellhondas Member Posts: 20,342
    Me too.

    The ones that drive me nuts are the people who have no idea what they are looking for.
  • raybearraybear Member Posts: 1,795
    Yeah! How about the folks who ask for a lease...nothing else, just a lease. No term, mileage, no nothing.
  • isellhondasisellhondas Member Posts: 20,342
    And they have no idea what a lease even is.

    "Can you run some numbers?"

    NEXT !
  • mikefm58mikefm58 Member Posts: 2,882
    Oh come on now. Aren't those the ones you sales folks want? The ones that don't know anything and only care about their monthly payment, not the term or interest rate.
  • isellhondasisellhondas Member Posts: 20,342
    People who are unfocused can take hours of my time and buy nothing and the people who only care about their monthly payment usually have bad credit!
  • raybearraybear Member Posts: 1,795
    Those are the ones who should be walking in the door, not coming via email...even the vaunted Edmunds has been sending me an extra share of knuckleheads this season.

    In return for giving my best price up front, I expect my customers to be prepared to buy the car almost immediately and to have a handle on finances...my dealership and I are taking a minimum profit to sell the car and we expect a minimum amount of work to put the customer into it.
  • mikefm58mikefm58 Member Posts: 2,882
    " my dealership and I are taking a minimum profit to sell the car and we expect a minimum amount of work to put the customer into it "

    My experience buying an 05 Civic in Sept. was exactly like that, a couple emails back and forth to agree on the price, one trip to the dealer for a test drive and sign the paper work, then to my credit union for the loan and back to pick it up.
  • bobstbobst Member Posts: 1,776
    "I expect my customers to ..."

    Mr. Bear, any time you 'expect' people to act a certain way you are asking for trouble.
  • jnealjneal Member Posts: 247
    " my dealership and I are taking a minimum profit to sell the car and we expect a minimum amount of work to put the customer into it "

    Perhaps that is why my purchase in Sept of 06 Dakota was so satisfying. All research done before hand via Edmunds etc so knew close to what I would have to pay. Financing arranged ahead of time, sent requests to 2 dealers within reasonable distance. Both responded reasonably soon with email, one never gave a quote but more or less the used-car pitch of "Come on up and let's see what we can find for you". 2nd gave a very reasonable quote, one more exchange of emails to quibble a bit, accepted his quote and picked up vehicle next day.....no hassles, no sweat. In and out in 2 hrs and most of that was waiting for the vehicle to be serviced out.

    I haven't gone eyeball-to-eyeball with a salesman since the 80's. Before wide-spread useage of the internet I bought via phone from a dealer that I knew and trusted. Like doing business this way. I know before hand what I want, colors, options etc and usually have looked at the vehicle after business hours so prolonged negotiations aren't gonna happen.

    On the other hand I don't try to grind the dealer down to the last penny but in return I expect to be treated fairly and also to get excellent service on the vehicle when needed.
  • yurakmyurakm Member Posts: 1,345
    haven't gone eyeball-to-eyeball with a salesman since the 80's. Before wide-spread useage of the internet I bought via phone from a dealer that I knew and trusted.

    No test drive? Not even sitting in the car? How do you know that you will like it?
  • isellhondasisellhondas Member Posts: 20,342
    Are the ones who refuse to give a phone number. These people USUALLY aren't the serious buyers.

    They will e-mail me back and forth asking question after question when one (gasp)phone call would clear everything up.
  • mikefm58mikefm58 Member Posts: 2,882
    Are the ones that I call on the phone, tell them what I'm looking for, haven't talked price yet. And then they never call back.....Amazing

    Outside of sheer incompetence, anyone want to gander a reason why?

    Maybe they just don't have or can't get what I'm looking for and don't have the decency to call me back. Like knowing they won't make a sale so why waste THEIR time. Guess who I won't ask for if I ever go back?
  • jnealjneal Member Posts: 247
    "No test drive? Not even sitting in the car? How do you know that you will like it?"

    I am perhaps a salesman's nightmare but when I buy anything I know exactly what I want, the options, the color, and what I am willing to pay. If you can't match all of the above then we don't need to waste each others time!!

    As I said, I had done my research prior to initiating contact with the dealers. Been driving Dakotas since early 90's and had been in 05 Dakota so didn't really see any need to drive that particular vehicle. That is where trusting your dealer to make things right comes in.......By "doing my research" I mean that I had also checked the dealer thru BBB, Chamber of Commerce etc and had looked at the service dept. As a former mechanic and long-time gearhead, if you give me 3 minutes to glance around your shop I can pretty well tell what quality of work will be done there.
  • raybearraybear Member Posts: 1,795
    I usually offer up my best price on the first email anyway, but I like knowing there is a phone number there in case I need to clarify something.
  • bobstbobst Member Posts: 1,776
    "the ones who refuse to give a phone number. These people USUALLY aren't the serious buyers."

    But sometimes we are.
  • raybearraybear Member Posts: 1,795
    "Usually" was the keyword, and he's right.
  • jnealjneal Member Posts: 247
    Isellhondas, I think you are the type salesperson that I could work well with if only you sold Dodges!! Dodge 5Star dealers have excellent website for checking inventory and requesting price quote.
    When I request a quote I already know tmv according to Edmunds and what inventory you have in stock and the exact vehicle I am interested in, financing arranged etc.No trade-in, just straight out sale. All you and I have to do is reach a price agreement. I dont try to grind the saleman but expect a fair price and if you hit it your first shot, well then, all is roses.....if not, there will be no prolonged negotiations. I'll counter-offer once.
    I think of buyng a vehicle as not just buying transportation but buying the dealer experience also. I look to the dealership to be straightforward with me and provide excellent service. For this I am willing to pay a bit more than Joe Blow dealership down the road. That guy all salesmen see at some time wandering around in overalls and straw hat that doesn't look like he has enough money to afford a bicycle was probably me!!!! I check my dealer out as closely as I do the vehicle and have been doing business this way since the 80's without a bad experience yet.
  • juicymoosejuicymoose Member Posts: 22
    I hear you on that one. I am not sure what my situation is right now.

    I made a deal with the internet manager and went down to talk about the car (live 2 hours away from dealer). I had to argue for a while about how I did not want the bland colors they had on the lot and said specifically I can wait a couple months for the one I want.

    I put $500 down on the vehicle and they said they'd be in email touch (I work on a ship 1/2 year). It has been almost 3 weeks so I usually email once a week to make sure they know I still exist. No replies though.

    How do I know they are doing their job? How do I know they didn't just take the money and run? They said it might take a while and I knew that, but they could at least acknowledge the fact I asked them a question.

    Not sure if I should call them up and bug them or what. Or will I expect one email when the vehicle actually gets to the lot? Who knows.
  • mikefm58mikefm58 Member Posts: 2,882
    How did you put the deposit down, cash, check, credit card? I would never put a deposit down like that with anything but a credit card, and I'd be specific on the amount of time I'd give the dealer.

    They should at least acknowledge that they've received your email and are still working on it. If I were you, I'd ask for my deposit back.
  • juicymoosejuicymoose Member Posts: 22
    I put the deposit down by check. I would prefer to go with them because they gave me the lowest price on the car and I do have that in writing. What are the benefits of using your credit card vs check? I mean they could be doing their job.
  • juicymoosejuicymoose Member Posts: 22
    I was thinking too, why would they not want to get the vehicle as quickly as possible anyway to make the sale? I will probably take your advice and call the guy up to tell him if they don't let me in the loop then I will definately ask for my money back.
  • mikefm58mikefm58 Member Posts: 2,882
    " What are the benefits of using your credit card vs check? "

    Better fraud protection. They basically have your money with writing a check.

    They are ignoring your emails, aren't they? I think you're problem is that the sales person you're working with just isn't very competent. They should at least be acknowledging your emails.
  • isellhondasisellhondas Member Posts: 20,342
    A couple of things to ponder...

    1. Be serious about buying a car. If you are three months out, you aren't serious.

    2. Know what you want. Do your research first.

    3. Leave a phone number.

    4. When you do get a call or an e-mail, return the call.

    Car dealers PAY for these leads to the tune of 20-25 dollars each. This is why we want you to be serious.

    Example of non-serious....

    " Hi, is this Kathy Brown?"

    " Yes, it is"

    " Well, great, my name is isellhondas and I'm the Internet Manager at ABC Honda...It looks like you are in the market for a new Civic"

    " Ah....oh, YEAH...how much are they?"

    " Which model were you interested in?"

    " I don't know"

    At that point, I'll try to narrow it down by explaining the dirfferences...

    " Ah, how about a Pilot?"

    Same discussion....

    " Well, I have a Passat that I leased six months ago and I just don't like it...how about Odysseys...how much are they?"

    " What are you going to do about your current lease?"

    " Why would that be a problem?"

    " Do you know what you are responsible for"

    " No"

    Another lengthly discussion where I discover she's probably 7000.00 buried because she dumped negative equity (from an Explorer) into the Passat lease.

    " Oh, and I want to lower my payments"

    " Are you planning to make a sizable down payment?"

    " No....you know, I don't care about the model so much as long as it has a sunroof, leather,etc."

    ****SIGH****
  • raybearraybear Member Posts: 1,795
    Craig, that would be funny if it weren't true!
  • isellhondasisellhondas Member Posts: 20,342
    I don't understand WHY anyone would submit an internet inquiry when they aren't serious?

    I get tired of trying to ferret out the serious people from the ones who submit requests for no apparant reason?
  • asafonovasafonov Member Posts: 401
    If there is anything I learned on the RIP "Any Questions..." discussion and the other fora, it is to not waste the time/resources of a salesperson. Looking online is ok, but no matter how attractive the deal or the vehicle is, I will not set my foot in the dealership, call or email until I am firmly convinced I need to get a vehicle in the next 2-3 weeks.
  • british_roverbritish_rover Member Posts: 8,502
    And we appreciate that. Unless you need something so specfic that it is going to have to be special ordered that is a good plan. I know for some makes, Hondas and VW's come to mind, I don't even think you can special order a particular car.
  • isellhondasisellhondas Member Posts: 20,342
    Some lead providers try to weed out the "non serious" I'm being nice here...people by requiring a phone number.

    So, some people will put down something that is obviously phony like 555-1212. I don't have a problem with this, I just email these people back.

    Other people, however will make a number up at random. I have woke up day sleepers, called a woman who was in a hospital bed,and recently a gas station!
  • british_roverbritish_rover Member Posts: 8,502
    Yeah I don't think people realize that just making up a phone number could actually be a real number.

    I have had people that have come into the showroom actually give me fake numbers. That has happend twice that I remember. I called one and the number was disconnected so I put in the persons address, right off their ID, into anywho.com and got a different number. That one was also disconnected. I sent them a letter to the address and it got returned as undeliverable.
  • isellhondasisellhondas Member Posts: 20,342
    I wouldn't have bothered. If a person is a flake, I don't want to persue them.
Sign In or Register to comment.