Where do we get dealer's true cost (invoice?) for a Honda Accord or CRV? - Page 7

 

On 6/17/2010 2:33 PM, James wrote:

These are sometimes negotiable - it never hurts to ask and, depending on
how bad the salesman is trying to meet his quota, you might be
pleasantly surprised.

Marsha

 

On 6/17/10 6:04 PM, in article hve9mb$g7p$1@news.datemas.de, "MAS"


As long as you negotiate the "drive out" or "bottom line" price (the amount
that you are going to write on your check), you don't care about the various
fees and taxes and things.  As far as you are concerned its all included.

I have yet to encounter a dealer that will not negotiate to a bottom line
price.  Just make sure you've done your homework before you get there so you
know what the answer needs to be.

 

wrote:


That about sums it up.  

--Vic

 

Vic Smith wrote


The other obvious possibility is that the manager has decided that you can be
conned.

Doesnt mean that is true.

 


Conned or upsold....

What happens in the business office is the saleperson brings the quote
in and the Sales/Business Manager is calculating how much profit is in
the sale, before they approve the deal. Note that if your car is in
high demand, he will have a minimum profit already in his head. On the
other hand, if your car has been on the lot for 11 months, its a dog
to him and he just wants it gone, so he can order another car that
will turn over faster. He may even sell it at a loss.

What the business manager knows is the incentive packages/rebates from
the manufacturer. In many cases they could sell you some vehicles at
invoice cost and make a good profit from these rebates, in other cases
there are no rebates (high demand cars).

If the business manager thinks the profit is too low, they will strong
arm you into buying things like paint protector, rust proofing etc.
They will try to sell you these in any case, but in some cases, they
push harder. These are the most profitable items in the dealership,
with the highest markups, so if you really want them, bargain hard.
These items may have a margin of 50% or more. They usually count on
you being anxious or tired by this point.

Unless you are in desparate need of a car (never tell a salesperson
that), use your power to walk. It takes a sales manager only a minute
or two to calculate the profit in a deal. If they are deliberately
making you wait, walk, and don't go back.

The profit margins on small cars are also small, not much room to
manouvre. The more expensive cars are more profitable on a percentage
basis. Dealer installable add ons also add to the dealer's profit.
Many dealers make most of their profit from service, so if you have
been a loyal service customer, don't forget to mention that.

James