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Fall 2009, Featured Articles, Columns

MY TWO CENTS - Letter from the Editor

By Car Chat Guy   Mon, Oct 05, 2009

The consumer experience of buying a new car at the dealership.

MY TWO CENTS - Letter from the Editor

Recently it was time to turn in what I call my "people mover", the family SUV, for a new minivan. I had been trying to hold out for promised hybrid versions, but with all of the financial trouble of the manufacturers, it did not look like that would materialize any time soon. So I went down to the local dealership with research in hand to see what kind of  a deal I could strike up.

I was met with the much of the typical and some of the sad, in terms of the dealership buyer experience. I was surprised to see some 2008 models still around with no mileage. Not so much that there were any, but that I could actually find the color and combo of options I wanted in a 2008 vehicle. I thought this would help me find a vehicle at the best price and give me some bargaining power.

I had done quite a bit of research online before stepping foot in a showroom, something that just about everyone loathes (maybe even some of the dealers!). I found several vehicles at different locations and started contacting dealers by email with what I thought were appropriate prices thru email. The manufacturer had a neat online too for doing this, but all of my offers were turned down. This was just as the manufacturer was about to announce bankruptcy, and no one knew where all of this was really going.

At the same time a friend of mine bought a similar car with fewer options, at a great price, $10,000 off sticker on a $35,000 van. I was determined to get a dealer, any dealer, to match this discount on something at $42,000, thinking I could leave with it for $32,000. The closest I could get was $8,000 off, on a 2008 with very few of the options I wanted. Oh, and it had some mileage! Granted this was after the dealer incentives expired, but the manufacturer seemed to be in a free fall by now.

I met with a young man at a 1970s-looking wood paneled dealership who told me to leave my car on the lot and take the van for the day. Sound like a slimy sales tactic to you? It left me with a "Ferris Bueller" at a parking garage kind of uneasy feeling. The sales manager told me he could only make a "special deal" that nite since a new month was starting and he didn't want to pay financing costs for the month on the on-lot stock!

Finally, the young man (who persistently called me for the next week) told me that if I came down again he could make happen what I needed to make happen. I told him that meant $10,000 off sticker and he said ok. Later, he told me $8,000 off and said that he was in business to make money, not lose it. Later, that week I had a severe case of schadenfreude when I found out that the dealership had lost its franchise agreement. Today, it sells used cars and has about half of the cars it once had on the lot.

I had also found a 2008 from a dealer in the countryside. His grandfather started the dealership in the 1930s. I asked him what he thought of all of this crazy financial stuff going on and you could hear the sadness in his voice. He also met the same fate the next day, also losing his franchising agreement.

Finally, I found a dealership that knew how to treat a customer and wound up buying from there for more money, but also free tires, maintenance and better financing. Factoring that in I was ahead of the game and I didn't feel like I needed a shower afterwards. Something businesses need to learn is cars are still a people business!  

POST SCRIPT: After five months I received a customer survey to find out why I didn't buy the vehicle.

Have you had dealership experience(s) like this? If so, we'd like to hear from you?

 

By Car Chat Guy

Car Chat Guy

Car Chat Guy is the Publisher and Editor in Chief of Car Chat Club Magazine. He has been a lifelong fan of cars, particulary Mustangs and Shelbys.

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