Ask a car salesman anything...anything at all (Vol. 2).
Discussion
nismocat said:
To cut a long story short, they offered him a fantastic credit deal he couldn’t turn down.
I just found it odd they’d rather the credit than cold hard cash.
The company that provides the finance will pay commission to the dealer / sales person for every credit agreement taken out. I just found it odd they’d rather the credit than cold hard cash.
cuprabob said:
nismocat said:
To cut a long story short, they offered him a fantastic credit deal he couldn’t turn down.
I just found it odd they’d rather the credit than cold hard cash.
The company that provides the finance will pay commission to the dealer / sales person for every credit agreement taken out. I just found it odd they’d rather the credit than cold hard cash.
If you pay cash the dealer only has the one source of profit, the margin in the car. If you're having credit there is an additional source of profit, finance commission. Years ago the finance commission could be as much as or even greater than the margin in the car.Save Ferris said:
nismocat said:
Do dealers/sale people prefer you buy on credit or are they not bothered if you pay cash?
Like the opposite of buying a house, cash better than mortgage.
They would much rather you took the finance option, it’s another source of income.Like the opposite of buying a house, cash better than mortgage.
We tend to find the majority of normal/average car buyers will fund the purchase with us, main dealer rates are normally subsidised, and can often have a deposit allowance or free servicing included.
Cash is fine obviously, but not as common as you might think.
sawman said:
Was offered a deal at 12.4 % this weekend - with rates like that cash is going to be getting more common....
Possibly, but as i mentioned earlier most average car buyers don’t have £10/20/30K cash sat in their banks, and will be funding it somehow.A bank loan may well have a lower APR than a used vehicle in particular, but a dealer will normally be able to offer a PCP up to 48 months, which typically will have lower monthly payments.
(Just my experiences of being in main dealer sales for 19 years)
Margins between trade and retail prices. I know dealers have to make money but I’d always factored in sort of £7/10k on the price between trade and retail on the used Range Rovers that I’d bought.
But now, dipping my toe tentatively back in, I’m regularly seeing £20k / 40% mark up on a 3yo AU FFRR which is sticking in my craw a wee bit. Can anyone help me understand? FFRR’s being lemons requiring extra work, long stocking times, the market sustaining the high prices (but then why doesn’t that filter into the trade price)?
But now, dipping my toe tentatively back in, I’m regularly seeing £20k / 40% mark up on a 3yo AU FFRR which is sticking in my craw a wee bit. Can anyone help me understand? FFRR’s being lemons requiring extra work, long stocking times, the market sustaining the high prices (but then why doesn’t that filter into the trade price)?
Query to a salesman.
I rocked up at a main dealer to see a car in the metal. Asked them if they could match a lease deal I saw and was met with some frosty attitudes from the sales executive, receptionist and sales manager. All three were very happy to see me before this.
I obviously know they only want a sale, but does this piss sales staff off?
I rocked up at a main dealer to see a car in the metal. Asked them if they could match a lease deal I saw and was met with some frosty attitudes from the sales executive, receptionist and sales manager. All three were very happy to see me before this.
I obviously know they only want a sale, but does this piss sales staff off?
Pretty much yeah.
Dealers are kneecapped by manufacturers and normally can’t get anywhere near the lease deals offered by third parties and it hurts.
Salespeople get paid on what they sell, so if they spend time with someone and can’t sell to them for something out of their control, it’s frustrating.
Dealers are kneecapped by manufacturers and normally can’t get anywhere near the lease deals offered by third parties and it hurts.
Salespeople get paid on what they sell, so if they spend time with someone and can’t sell to them for something out of their control, it’s frustrating.
21st Century Man said:
If you pay cash the dealer only has the one source of profit, the margin in the car. If you're having credit there is an additional source of profit, finance commission. Years ago the finance commission could be as much as or even greater than the margin in the car.mikey_b said:
21st Century Man said:
If you pay cash the dealer only has the one source of profit, the margin in the car. If you're having credit there is an additional source of profit, finance commission. Years ago the finance commission could be as much as or even greater than the margin in the car.M.F.D said:
Query to a salesman.
I rocked up at a main dealer to see a car in the metal. Asked them if they could match a lease deal I saw and was met with some frosty attitudes from the sales executive, receptionist and sales manager. All three were very happy to see me before this.
I obviously know they only want a sale, but does this piss sales staff off?
Perhaps it’s changing as leasing increases in popularity but it always used to be different people who handled leasing - usually salespeople dealing with businesses.I rocked up at a main dealer to see a car in the metal. Asked them if they could match a lease deal I saw and was met with some frosty attitudes from the sales executive, receptionist and sales manager. All three were very happy to see me before this.
I obviously know they only want a sale, but does this piss sales staff off?
The Rotrex Kid said:
Pretty much yeah.
Dealers are kneecapped by manufacturers and normally can’t get anywhere near the lease deals offered by third parties and it hurts.
Salespeople get paid on what they sell, so if they spend time with someone and can’t sell to them for something out of their control, it’s frustrating.
Fair enough, I can understand that.Dealers are kneecapped by manufacturers and normally can’t get anywhere near the lease deals offered by third parties and it hurts.
Salespeople get paid on what they sell, so if they spend time with someone and can’t sell to them for something out of their control, it’s frustrating.
With this new era of buying online unseen, I always like to go and put my arse in a seat and physically eye ball one. I could have led the sales woman on but I would rather be honest so I am not wasting anyone's time.
M.F.D said:
The Rotrex Kid said:
Pretty much yeah.
Dealers are kneecapped by manufacturers and normally can’t get anywhere near the lease deals offered by third parties and it hurts.
Salespeople get paid on what they sell, so if they spend time with someone and can’t sell to them for something out of their control, it’s frustrating.
Fair enough, I can understand that.Dealers are kneecapped by manufacturers and normally can’t get anywhere near the lease deals offered by third parties and it hurts.
Salespeople get paid on what they sell, so if they spend time with someone and can’t sell to them for something out of their control, it’s frustrating.
With this new era of buying online unseen, I always like to go and put my arse in a seat and physically eye ball one. I could have led the sales woman on but I would rather be honest so I am not wasting anyone's time.
The Rotrex Kid said:
You did the right thing. I always preferred when people just said it up front, at least I only gave them what they needed rather than investing any more time than I had to. Sales people (whether they like it or not) are ambassadors for the brand they sell, sometimes you just have to be nice to people!
I thought so, costs nothing to be decent. Cheers mate 
The Rotrex Kid said:
Sales people (whether they like it or not) are ambassadors for the brand they sell, sometimes you just have to be nice to people!
While waiting for one of our cars after service at a multi-franchise Stoneacre place, a sales woman chatted to me and said she “worked for Peugeot, and she used to work for Citroen” (pointing to the other side of the garage).I couldn’t help myself and said ‘are you actually employed by Peugeot”? She said “yes”! Not giving up I said “surely you’re employed by Stoneacre?” She said “well yes, but I work for Peugeot”. I gave up at that point.
No wonder the public think salespeople are brand ambassadors.
Sheepshanks said:
While waiting for one of our cars after service at a multi-franchise Stoneacre place, a sales woman chatted to me and said she “worked for Peugeot, and she used to work for Citroen” (pointing to the other side of the garage).
I couldn’t help myself and said ‘are you actually employed by Peugeot”? She said “yes”! Not giving up I said “surely you’re employed by Stoneacre?” She said “well yes, but I work for Peugeot”. I gave up at that point.
No wonder the public think salespeople are brand ambassadors.
And this attitude is why I feel sorry for people that have to deal with the general public to earn a living.I couldn’t help myself and said ‘are you actually employed by Peugeot”? She said “yes”! Not giving up I said “surely you’re employed by Stoneacre?” She said “well yes, but I work for Peugeot”. I gave up at that point.
No wonder the public think salespeople are brand ambassadors.
Sheepshanks said:
While waiting for one of our cars after service at a multi-franchise Stoneacre place, a sales woman chatted to me and said she “worked for Peugeot, and she used to work for Citroen” (pointing to the other side of the garage).
I couldn’t help myself and said ‘are you actually employed by Peugeot”? She said “yes”! Not giving up I said “surely you’re employed by Stoneacre?” She said “well yes, but I work for Peugeot”. I gave up at that point.
No wonder the public think salespeople are brand ambassadors.
Gold star for you Detective ColumboI couldn’t help myself and said ‘are you actually employed by Peugeot”? She said “yes”! Not giving up I said “surely you’re employed by Stoneacre?” She said “well yes, but I work for Peugeot”. I gave up at that point.
No wonder the public think salespeople are brand ambassadors.
BrabusMog said:
And this attitude is why I feel sorry for people that have to deal with the general public to earn a living.
I think it'd be better all round if the public realised that they're dealing with (in most cases) an independent company and not with the manufacturer.Of course, a few dealerships are owned by manufacturers, and the Agency model confuses things now too.
Sheepshanks said:
While waiting for one of our cars after service at a multi-franchise Stoneacre place, a sales woman chatted to me and said she “worked for Peugeot, and she used to work for Citroen” (pointing to the other side of the garage).
I couldn’t help myself and said ‘are you actually employed by Peugeot”? She said “yes”! Not giving up I said “surely you’re employed by Stoneacre?” She said “well yes, but I work for Peugeot”. I gave up at that point.
No wonder the public think salespeople are brand ambassadors.
Do you tell the kids that work in Mcdonalds the same?I couldn’t help myself and said ‘are you actually employed by Peugeot”? She said “yes”! Not giving up I said “surely you’re employed by Stoneacre?” She said “well yes, but I work for Peugeot”. I gave up at that point.
No wonder the public think salespeople are brand ambassadors.
The Rotrex Kid said:
Pretty much yeah.
Dealers are kneecapped by manufacturers and normally can’t get anywhere near the lease deals offered by third parties and it hurts.
Salespeople get paid on what they sell, so if they spend time with someone and can’t sell to them for something out of their control, it’s frustrating.
In Ye Olden Days of Drive The Deal/Broadspeed etc, I would ask the local salespeople if they would match (or better - you have to be cheeky!) their deals. Sometimes they did, sometimes they didn't. Where they didn't match the deal, the same local salesman would often be the one handing over the Drive The Deal/Broadspeed cars.Dealers are kneecapped by manufacturers and normally can’t get anywhere near the lease deals offered by third parties and it hurts.
Salespeople get paid on what they sell, so if they spend time with someone and can’t sell to them for something out of their control, it’s frustrating.
vikingaero said:
In Ye Olden Days of Drive The Deal/Broadspeed etc, I would ask the local salespeople if they would match (or better - you have to be cheeky!) their deals. Sometimes they did, sometimes they didn't. Where they didn't match the deal, the same local salesman would often be the one handing over the Drive The Deal/Broadspeed cars.
I had that happen with CarWow, and apparently they pay hundreds to CarWow in commission.DriveTheDeal were slightly cheaper than the CarWow offers was getting but the DtD guy wouldn't discuss anything unless I agreed to wait the factory leadtime, and we needed the car quickly. On collecting the car, the salesman told me they do loads with DtD!
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