Auto Sales: How To Negotiate In Auto Sales
Negotiation is an art and negotiating in auto sales is not the easiest of them all. You need to have all the necessary information about a particular car before you can actually negotiate. When we talk about information, it means that you have checked the car thoroughly. You have read through the Vehicle history report, checked its VIN#, checked the odometer readings, the interiors, the brakes, the paint coat, the emissions, the fuel gauge, the mileage it gives etc. All these are very important, as it will tell you exactly where you stand when you are ready to negotiate. For example, if the car you like is absolutely perfect except it has few small dents or dings near the rear bumper and if you are aware of it then you will be in a better position to negotiate.
Negotiation is a process and you need to understand the process and learn how to negotiate in auto sales. Here are certain tips that will help you to understand how you can have the upper hand in an auto sales negotiation.
- Firstly, always have a strategy. A strategy is not just important for a war or for marketing purposes only, it is as important for negotiating in auto sales too. There is certain basic information that you can find from car mechanics and even showrooms by using your skills. You need to know at what price the dealer got the car. Then you need add a 5% profit offer, and put it in front of the dealer so that you are in a better position in the auto sales process than most customers are. You can also take a look at the buyer forms and other paperwork. This will keep you one-step ahead of others and even surprise your auto dealer.
- The second part of the negotiation process in auto sales is striking the deal and completing it quickly. A salesperson or dealer would always want you to take the financing from them so that they can earn their commission on it. The best thing is to go prepared as in find a financier before you strike the deal. There are many sales people who would haggle for a couple of hours and it is certainly not worth the time and money. Remember that you need to convince them in 30 minutes and if can't then you will never be able to do so. So you can tell them in advance that you need to close this deal in 30 minutes by the watch and if that doesn't happen then you will walk out. This will help you to be on top of things.
- The third and one of the most important parts of negotiating auto sales deal is making the right deal and sticking by it. When you meet the salesperson, you should be prepared with all facts and figures. If you have the facts then you will be in control of the conversation. Don't let the sales person speak till you have said everything. Show them the big picture. Make them understand that you are offering them a profit on the car, and then tell them that you will be visiting them again for future warranty repairs, and repairs at their body shop. They may laugh at this and even go down saying that you are taking away a part of their income etc. But the important part is to stick by your guns. If you are able to do that, then you will win the negotiation as well as the car.