Home :: Articles > I Bought My Car on Sale
|
I Bought My Car on Sale
The common belief when buying a car from a dealership is to buy at the end of the month Sales quotas have to be made and, presumably, a dealership is more willing to deal at the end of the month to make those quotas, right? So what if you can’t wait until the end of the month to buy your next car; do you feel like a prisoner of circumstance and feel as though you paid more than someone buying at the end of the month?
The dealer environment is built around haggling. The better the haggler you are the better deal you will receive. But how do you know you really got the absolute lowest price? What if you are not a good haggler? The typical dealer experience is based on wearing the buyer down through carefully calculated methods. After three or four hours, most people are ready to sign over their first-born. “Sure, I’ll be happy to pay the dealer handling fee!”
The price of the vehicle is not necessarily based around the calendar but rather the length of time that vehicle has been in inventory. Most vehicles on dealer lots are on a sort of short-term loan; after 90 or 120 days the loan is due. Either the dealer sells the vehicle or they have to come up with the money to pay the loan off and keep the vehicle in inventory.
At the beginning of the loan, the dealer will offer the car at an inflated price then slowly get more aggressive on the price as the loan term draws near. If you walk through a dealer’s doors at the same time a car has been in inventory for the life of that loan, you may get a fair price on the car. Timing is everything.
Contrast that with your experience at The Import Warehouse. This small brokerage has a simple plan: Offer vehicles at prices significantly less that those charged by dealers (and private parties!), and sell them quickly. While the average time a car spends in inventory at a dealer can range from 60 to 120 days (often even longer), inventory time at The Import Warehouse averages 2-4 weeks. Oftentimes, a vehicle sells within 3-5 days!
It’s a simple concept, really: offer a vehicle at an aggressive price, sell quickly, make room for new inventory, repeat. The consumer knows they’re getting the best possible price when buying the vehicle and there’s never that lingering thought, “Did I really get the best deal?”
Stay tuned for Part II for tips on Dealer Overhead and Tent Sales!
|
Yelp!
Facebook
Twitter
