What are your tips/tricks to negotiating down the dealership?

[yates ™]

I work at a Chevy dealership so I know how it works. When a guy walks in our dealership with cash or cashier's check he gets hooked up.

Your dealership must be different than all the others I have ever heard of. Incentives are given from the banks for loans, extended warranties, accessories, vehicle manufactures. There is very little money for the dealership or salesman in a cash only dealing if there was no deanship would sell under invoice and there are many that make killing doing just that.

 

[about20ninj45]

FYI - Just got a call from my insurance broker (State Farm) asking what my interest rate on the loan was. I took 4.9% over 72 months from Chase/JP which was through GM. She said State Farm will do 2.9% over the same term with no fees to switch the loan. Not sure how many of you have a big insurance company (Allstate, SF, Geico, etc) but it might be worth asking.

I got 1.9% financing from ally with USAA discount and gm supplier discount

 

[AngelXL]

Your dealership must be different than all the others I have ever heard of. Incentives are given from the banks for loans, extended warranties, accessories, vehicle manufactures. There is very little money for the dealership or salesman in a cash only dealing if there was no deanship would sell under invoice and there are many that make killing doing just that.

I'm with Badrides. When I used to do slot work at the dealerships back on the 90s-2000s the salesmen will tell us it was about how many vehicles you were moving in a month. He didn't care if he made 100 or 1000k on a deal. I don't maybe times have changed.
I also like to walk on with cash in hand.
No BS around with their numbers.

 

[BADRIDES]

I'm with Badrides. When I used to do slot work at the dealerships back on the 90s-2000s the salesmen will tell us it was about how many vehicles you were moving in a month. He didn't care if he made 100 or 1000k on a deal. I don't maybe times have changed.
I also like to walk on with cash in hand.
No BS around with their numbers.

The more you sell the higher the bonuses. Goes off volume.

 

[yates ™]

Maybe things are different from dealer to dealer but my wife worked at volume dealer for awhile and the vehicles was a means to get incentives. Maybe the one you work for is still trying to make a living off the profit of each car.

Serious question, if what you say is correct, how does a volume dealer that sells under invoice make money?

 

[Protect1989]

What are your thoughts on an ask of $61,364 ('17 Denali, 2WD, ACC, Sun package).

Basically I am taking the LauraGMC price of a '17 4WD Denali and subtracting 3k (the cost of the 4wd system). Everything else on the vehicles are the same.

Do you think that is a fair negotiating standpoint?

 

[cardude2000]

Maybe things are different from dealer to dealer but my wife worked at volume dealer for awhile and the vehicles was a means to get incentives. Maybe the one you work for is still trying to make a living off the profit of each car.

Serious question, if what you say is correct, how does a volume dealer that sells under invoice make money?

Holdbacks, factory to dealer $$$ that they may not pass through, trade ins and the big one...Financing.

Historically 'internet' sales guys are straight up commissioned on volume which is why I've always emailed multiple dealers with the exact vehicle I want and the price I'm willing to pay and commit to buying the car by EOM if they meet my price. The one with the closest offer in their reply gets my business.

 

[cardude2000]

What are your thoughts on an ask of $61,364 ('17 Denali, 2WD, ACC, Sun package).

Basically I am taking the LauraGMC price of a '17 4WD Denali and subtracting 3k (the cost of the 4wd system). Everything else on the vehicles are the same.

Do you think that is a fair negotiating standpoint?

Get the invoice price for the vehicle, subtract and current offers (factory to dealer incentives etc) and then go in at $1000 under invoice. Work UP from there. Not DOWN from MSRP.

 

[yates ™]

Holdbacks, factory to dealer $$$ that they may not pass through, trade ins and the big one...Financing.

Historically 'internet' sales guys are straight up commissioned on volume which is why I've always emailed multiple dealers with the exact vehicle I want and the price I'm willing to pay and commit to buying the car by EOM if they meet my price. The one with the closest offer in their reply gets my business.

Trade ins are money but they're not scrapping by on new to make on used, if that was the case they would be a used dealership. Factory to dealer is one thing I mentioned, maybe not the exact wording, but the same. Also mentioned financing as they get incentives for people to finance, thus why a bag of cash would be worse in most cases than someone willing to setup financing there. Sounds like we are on the same page.

 

[yates ™]

Here is an article also explaining it. https://www.forbes.com/sites/jimhen...-make-the-most-money-off-of-you/#4351f7c01e6f