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Justis

63,670 Posts.

731

17/06/17

21:25

Post #: 25337337
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Originally posted by poyndexter ↑

mojo

About a year ago I was in the market for a higher end 4wd.

I had time and so looked carefully at 4-5 different brand dealerships.

None were in any real mood to negotiate and so I ended up taking best value offered in one brand.

On the night before I was going to sign up for the deal I went on to a well known car sales web site and looked up late model offerings of the car I was going to buy and found one at a dealer with just 13,000 km, 6 months registration, full 3 year warranty and an upmarket factory installed driver assist package with adaptive cruise control, collision avoidance, lane depart, blind spot warning and a few more ... the price to me was $25,000 under new car price and they insisted on fitting tinting, boot liner and a few other bits n pieces.

I grabbed it for well under a base model basic hilux 4wd.

So, if you have time have a look for similar late model in the brand you want ... you may be rewarded?

Dex

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Demo and or low mileage near new is the way to go, will save $thousand on a brand new car.

Brand new car is worth at least 10% less as soon as you drive it out of the dealers yard, fact is that the brand new car has probably already had some bums on the seat and the engine run.

Originally posted by mojohand ↑

Finally made up my mind to buy a new car. Been looking for a few weeks and settled on a white manual Mistubishi ASX. The RRP $24,990 driveaway. It's the base model and meets my needs.

Today I visited two dealers as part of their big end of year sales but neither would sell me one. My offer was $21,000 cash right now, no trade, will sign today. You'd have though I had asked for their first born child. Can't be done they said. No way in the world could we do it that low. This, despite all the 10ft signs screaming SALE! SALE! SALE! plastered out the front of the dealerships. Not only that but there is a current marketing campaign where the Mitsubishi parent company offers a $1000 cash back, not the dealership itself, so essentially (in mojo's eyes anyway) the negotiating start point for the dealership is $23,990. My offer of $21,000 was a 12% discount on the this initial price. Is that too extreme for an EOFY sale on a model of vehicle that's been around for seven years? Are the margins in new cars that slim that all dealerships are in perpetual danger of going under?

All that being said ol' mojo thanked them for their time and left. Although I don't know the margins in the car industry I'm fairly certain that in parting with the vehicle at my asking price they would not have incurred a loss on said vehicle, just a much reduce profit than usually made. If the car was the only one I could understand them wanting to hold onto it for a customer willing to pay more but they can sell as many as they like and for every tough customer that walks in and gets a low price there might be five or six weak negotiators that don't get much of a deal at all so it all evens out really. I don't think dealerships see it like that though.....

There are more dealers in my area so will continue on and there is always Sydney I suppose but unless they are willing to deal on the phone it can be an immense hassle to buy from there. Although I would like a new car now I am a patient man and if required will wait til runout sales begin when 2018 models arrive and drive an even harder bargain. Alternatively, there are car brokers but I'm not sure as to how good or bad they might be.

Still can't believe 12% was too steep a discount for them....

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Yeah i imagine new cars have pretty slim margins, not sure how it works but suspect the car sales men are on commission and any discount comes off the commission.

Humm I would suggest give them contact details and say "call me if you have a change of heart" as it gets closer to end of the month and EOFY they will be keen to meet sales targets.

But look for a demo low mileage one, it will be heaps cheaper

Last edited by Justis: 17/06/17
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