|Posted on May 16, 2011 at 10:54 AM|
Over the past couple of months I have had a lot of customers come by with offers from other dealerships that were way below invoice. This got me thinking about a couple of things.
After doing a little research a talking with a couple of customers I think I have come up with the answer to both questions.
Why didn't the customer buy the vehicle?
I think that most customers don't buy the vehicle because they either didn't know how good of a deal they were getting or after they accepted the offer the dealership wouldn't honor the price without them buying other stuff.
Why would the dealer even put that price out there?
There are a couple of reasons why a dealership puts really low prices in their advertising. The main reason for this has to do with the amount of uneducated customers that are out there, this usually lures them in. Many customers when they start out looking for a car look for the car that has the most equipment and the best looks that meets their needs. After that they look for the cheapest price, normally by sending in price quote request to dealers. I think that after a customer finds a vehicle that they like they should use other resources online (ex. www.edmunds.com) to find out pricing information. Then submit a couple of inquiries and go with the place that is closest in pricing to what they came up with AND treats them the best.
To many times have I seen people go with the cheapest place that they find, and then when they have a problem no one is there to help them. You get what you pay for! Buying a car needs to be looked at as a relationship with that dealership. More time needs to be spent finding out about the dealership and what happens after the sale, and I'm not talking about free oil changes for a year!
Here are some questions that you should have answered before you buy:
This is just a couple of things that should be considered. I think that dealers and customers should have a better understanding of each other and work together.