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How to negotiate with car salespeople


I think it's a universal law - in any part of the galaxy, the average person despises car salespeople. You know they're just trying to fleece you out of as much money as possible, throwing in add-ons and weird coatings, just to separate you from your money.

Throw in the fact that they usually work their own financing means that they've got quite a few variables to deal on.

This guy planned to buy a small Nissan or Honda, having researched the cars thoroughly, but ended up with an Audi.

The article does not go into too much depth, instead stating a few obvious facts about salesmen. The interesting point is that the writer talks about 'The Grid':

"The “grid” is a quadrant that car salesmen use to steal money from you. It has four quadrants of F$#% you on it to make sure they get every dime they can out of you. The first quadrant is down payment, the second quadrant is price of the vehicle, the third quadrant is financing, and the fourth quadrant is add-ons. The idea is to give a little bit in one of the quadrants and then screw you on the rest of the quadrants so you think you are getting a deal. In my case, they were trying to screw me on the financing."

Personally, I think the best way to buy a car is with cash upfront, which is what they writer suggests - or, at least, work out a car loan with your bank or credit union, allowing you to walk into a dealership and make a deal.

If you're curious about the inner-workings of a car dealership, read this excellent undercover report from Edmunds. About the other dealers:

" As I waited I tried to look like a promising candidate for a job selling cars — whatever that looked like. I tried to look eager and hungry. These are not traits that come easily to me so I studied the other sales people around me. They stood in poses of assertion and power: legs spread, hands on hips, arms folded across chests. All the men (which were 99 percent of the sales force) wore white shirts and ties. Their hair was slicked back and they favored jewelry. "

Here's a little Audi for you:


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Comments
4 Comments. [ Add A Comment ]
1. May 1st 2008 @ 04:58. Louie Says:
all I know is that they LIE, all of them
2. May 1st 2008 @ 05:18. Cibbuano Says:
Louie - it's the nature of the markets... any job that runs on commission necessarily includes lying. That's their money, right?

read the undercover report - it's fascinating!

3. May 4th 2008 @ 07:51. Autoloud Says:
Speaking from personal experience here, not all Car salespeople are liars!

I have to agree that there a lot of them out there that are! and sadly these are the guys that give the rest of us a bad name.

The worst liars in the Auto industry are the general public, man if I had a dollar for every time I got told a whopper by you guys, I would have retired in a tax haven by now!

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