Ask a car salesman anything...anything at all.
Discussion
Dr Jekyll said:
What kind of income/payments or salary/loan size ratio puts finance companies off these days?
anything that clearly doesn't make sensewe just had a rejection where a customer earns 10k a year part time and they wanted to finance a 20k car he has always had finance as this is what he earns and its never been a issue. his partner always pays the mortgage and other bills but the finance company said to him well we cant possibly lend you the money as its clearly above your personal means, its not about what your partner earns or pays
Depends on the finance company.
It’s about to get a lot stricter.
Particularly with main dealers and their tie in lenders.
Independent dealers can be a bit more flexible.
We always ask customers their salary as part of the online finance app process for all lenders. It’s really only sub prime or in rare cases the customer is asked to actually back this up with proof.
It’s about to get a lot stricter.
Particularly with main dealers and their tie in lenders.
Independent dealers can be a bit more flexible.
We always ask customers their salary as part of the online finance app process for all lenders. It’s really only sub prime or in rare cases the customer is asked to actually back this up with proof.
We have to ask the salary, however I don't believe it is actually used to determine whether finance will be accepted or not, it is used to provide a percentage calculation of income vs monthly payment, using a traffic light system to make the customer aware of what they are taking on financially in relation to monthly earnings.
I had a guy accepted last week on about £200 pm, his declared gross was £10800, this is what he draws from his business officially as a wage but his wife explained there is other money coming in too but £10800 is his salary.
I had a guy accepted last week on about £200 pm, his declared gross was £10800, this is what he draws from his business officially as a wage but his wife explained there is other money coming in too but £10800 is his salary.
My knowledge of salaries in the industry.
Today the industry standard at a franchised dealer is for a sales exec to deliver 150-180 units.
In the late 90's I worked for a major volume brand in used cars, our target was 250 units. My basic wage was £5,500.
The most biggest unit no I know of personally was 500 cars in a year in the early 90's.
10 years ago on a busy Vx site our top guys were earning £70k+ Mediocre salesmen were on £35-40k
in 2005 I worked in a group that held AM. The sales exec earned north of £200k due to the success of DB9 and an out of date pay plan.
The difference in the industry today is a shift towards reduced working hours for sales staff and higher basic wages. For years the basic was £8-10k but £18k is now common and £22k for more experienced staff. That said the average earnings now are more in the £35-40k range depending on franchise.
One of the biggest changes is a lack of "career" sales staff entering the business. With the exception of 5 years overseas and a few years after school I have been in the motor trade my entire career. When I joined you didn't come to work for the basic, it was s
t. You HAD to sell cars to survive. Today you can earn £20k basic, have a car and fuel and (when young, single and not in London) get by on that. We see lots of people apply for jobs but leave in short order as the expectation and reality often differ. Car sales is hard work and little of it involves sitting at a desk in a shiny showroom.
There are two common slights thrown at salesmen. They couldn't get a real job and they earn pennies. The latter is covered above. As for a real job;
If you look at a sales exec in a franchised dealership and what is required of them it can be daunting. 20+ models in many ranges, plus derivations, engine choices and spec. Each model will have a marketing campaign behind it that they need to know. They are expected to be aware of the competitors models and offers too. Lead times, out going models, face lifts, dealer stock, aged units, demo availability pre reg stock. Add in fuel economies, road tax regulations, BIK ratings and special sales channels. Then there's the used cars, web site, finance examples, merchandising the showroom, keeping the line straight, mandatory training courses, regulatory exams for the FCA. We haven't spoken to a customer yet, done a handover or cleared our diary. The sales manager will want an update on your overdue leads and follow calls too. The extras that earn you a decent income require a reasonable knowledge too as do the warranties. Service schedules, requirements, pricing (customers ask), plans, and work shop lead times. I appreciate that many in our business don't bother to learn all these things, but many do.
Today the industry standard at a franchised dealer is for a sales exec to deliver 150-180 units.
In the late 90's I worked for a major volume brand in used cars, our target was 250 units. My basic wage was £5,500.
The most biggest unit no I know of personally was 500 cars in a year in the early 90's.
10 years ago on a busy Vx site our top guys were earning £70k+ Mediocre salesmen were on £35-40k
in 2005 I worked in a group that held AM. The sales exec earned north of £200k due to the success of DB9 and an out of date pay plan.
The difference in the industry today is a shift towards reduced working hours for sales staff and higher basic wages. For years the basic was £8-10k but £18k is now common and £22k for more experienced staff. That said the average earnings now are more in the £35-40k range depending on franchise.
One of the biggest changes is a lack of "career" sales staff entering the business. With the exception of 5 years overseas and a few years after school I have been in the motor trade my entire career. When I joined you didn't come to work for the basic, it was s
t. You HAD to sell cars to survive. Today you can earn £20k basic, have a car and fuel and (when young, single and not in London) get by on that. We see lots of people apply for jobs but leave in short order as the expectation and reality often differ. Car sales is hard work and little of it involves sitting at a desk in a shiny showroom.There are two common slights thrown at salesmen. They couldn't get a real job and they earn pennies. The latter is covered above. As for a real job;
If you look at a sales exec in a franchised dealership and what is required of them it can be daunting. 20+ models in many ranges, plus derivations, engine choices and spec. Each model will have a marketing campaign behind it that they need to know. They are expected to be aware of the competitors models and offers too. Lead times, out going models, face lifts, dealer stock, aged units, demo availability pre reg stock. Add in fuel economies, road tax regulations, BIK ratings and special sales channels. Then there's the used cars, web site, finance examples, merchandising the showroom, keeping the line straight, mandatory training courses, regulatory exams for the FCA. We haven't spoken to a customer yet, done a handover or cleared our diary. The sales manager will want an update on your overdue leads and follow calls too. The extras that earn you a decent income require a reasonable knowledge too as do the warranties. Service schedules, requirements, pricing (customers ask), plans, and work shop lead times. I appreciate that many in our business don't bother to learn all these things, but many do.
HTP99 said:
We have to ask the salary, however I don't believe it is actually used to determine whether finance will be accepted or not, it is used to provide a percentage calculation of income vs monthly payment, using a traffic light system to make the customer aware of what they are taking on financially in relation to monthly earnings.
I had a guy accepted last week on about £200 pm, his declared gross was £10800, this is what he draws from his business officially as a wage but his wife explained there is other money coming in too but £10800 is his salary.
Keeping him under the threshold for tax , rest will be paid as dividends at a lower rate.I had a guy accepted last week on about £200 pm, his declared gross was £10800, this is what he draws from his business officially as a wage but his wife explained there is other money coming in too but £10800 is his salary.
I assume ?
HTP99 said:
We have to ask the salary, however I don't believe it is actually used to determine whether finance will be accepted or not, it is used to provide a percentage calculation of income vs monthly payment, using a traffic light system to make the customer aware of what they are taking on financially in relation to monthly earnings.
I had a guy accepted last week on about £200 pm, his declared gross was £10800, this is what he draws from his business officially as a wage but his wife explained there is other money coming in too but £10800 is his salary.
Keeping him under the threshold for tax , rest will be paid as dividends at a lower rate.I had a guy accepted last week on about £200 pm, his declared gross was £10800, this is what he draws from his business officially as a wage but his wife explained there is other money coming in too but £10800 is his salary.
I assume ?
renmure said:
jdw100 said:
Sorry, are you saying his basic was £100,000 but he’d be very lucky to get up to £200,000 with bonus?
Nope. Under £20k and be very lucky to break £40k.The guy is mid-30s and selling Ferrari’s to earn less than £40,0000.
I would have thought that role would be at around six figures.
The general view I’m getting from this thread is that the sales role is not at all well paid.
Question is why on earth would people want a role that has significant target pressure (for little actual reward), requires regular weekend working and, as we have read, also involves interacting with strange members of the public?
jdw100 said:
The general view I’m getting from this thread is that the sales role is not at all well paid.
Question is why on earth would people want a role that has significant target pressure (for little actual reward), requires regular weekend working and, as we have read, also involves interacting with strange members of the public?
I know this is PH, where we’re all on six figures and often can’t decide which supercar to drive to Waitrose, but really?Question is why on earth would people want a role that has significant target pressure (for little actual reward), requires regular weekend working and, as we have read, also involves interacting with strange members of the public?
I’m not in sales, car or otherwise, but £40k is above the average national wage, and it’s an indoor job with no heavy lifting, in which you can probably do quite well in if you’re personable and have a bit of nouse about you. It seems like quite a good option to me - we can’t all be PhD qualified quants in the city, after all.
DanL said:
know this is PH, where we’re all on six figures and often can’t decide which supercar to drive to Waitrose, but really?
I’m not in sales, car or otherwise, but £40k is above the average national wage, and it’s an indoor job with no heavy lifting, in which you can probably do quite well in if you’re personable and have a bit of nouse about you. It seems like quite a good option to me - we can’t all be PhD qualified quants in the city, after all.
This, recent talk in this thread has been largely based around the downside of the job but the upsides are a job where you are not stuck at a desk all day, you get to meet interesting people regularly and often build a great, natural rapport with them. You drive a brand new car which you get to change regularly and the engagement with your brand involves excitement about new products, some nice trips for launches and meetings etc and ultimately you can earn a decent wage. I’m not in sales, car or otherwise, but £40k is above the average national wage, and it’s an indoor job with no heavy lifting, in which you can probably do quite well in if you’re personable and have a bit of nouse about you. It seems like quite a good option to me - we can’t all be PhD qualified quants in the city, after all.
jdw100 said:
The guy is mid-30s and selling Ferrari’s to earn less than £40,0000.
Sounds like a dream for lots of people. £40k pa, working in a showroom with shiny Ferraris and probably getting to drive some too.I don't sell Ferrari, don't think I would TBH as I imagine it involves dealing with lots of 'PH' types
but I do enjoy my job, selling the product I sell and for the amount of work and stress involved I am happy with what I earn. 
jdw100 said:
Seriously?!
The guy is mid-30s and selling Ferrari’s to earn less than £40,0000.
I would have thought that role would be at around six figures.
The general view I’m getting from this thread is that the sales role is not at all well paid.
Question is why on earth would people want a role that has significant target pressure (for little actual reward), requires regular weekend working and, as we have read, also involves interacting with strange members of the public?
Depends if your view of 40k is a bad pay ?
I don't work for a prestige brand but I get paid a similar amount each year. company car 1 weekend off every month and a day of during the week.
as much as I moan about the job sometimes its pretty easy to do and decent income.
The guy is mid-30s and selling Ferrari’s to earn less than £40,0000.
I would have thought that role would be at around six figures.
The general view I’m getting from this thread is that the sales role is not at all well paid.
Question is why on earth would people want a role that has significant target pressure (for little actual reward), requires regular weekend working and, as we have read, also involves interacting with strange members of the public?
Depends if your view of 40k is a bad pay ?
I don't work for a prestige brand but I get paid a similar amount each year. company car 1 weekend off every month and a day of during the week.
as much as I moan about the job sometimes its pretty easy to do and decent income.
papa3 said:
My knowledge of salaries in the industry.
Today the industry standard at a franchised dealer is for a sales exec to deliver 150-180 units.
In the late 90's I worked for a major volume brand in used cars, our target was 250 units. My basic wage was £5,500.
The most biggest unit no I know of personally was 500 cars in a year in the early 90's.
10 years ago on a busy Vx site our top guys were earning £70k+ Mediocre salesmen were on £35-40k
in 2005 I worked in a group that held AM. The sales exec earned north of £200k due to the success of DB9 and an out of date pay plan.
The difference in the industry today is a shift towards reduced working hours for sales staff and higher basic wages. For years the basic was £8-10k but £18k is now common and £22k for more experienced staff. That said the average earnings now are more in the £35-40k range depending on franchise.
One of the biggest changes is a lack of "career" sales staff entering the business. With the exception of 5 years overseas and a few years after school I have been in the motor trade my entire career. When I joined you didn't come to work for the basic, it was st. You HAD to sell cars to survive. Today you can earn £20k basic, have a car and fuel and (when young, single and not in London) get by on that. We see lots of people apply for jobs but leave in short order as the expectation and reality often differ. Car sales is hard work and little of it involves sitting at a desk in a shiny showroom.
There are two common slights thrown at salesmen. They couldn't get a real job and they earn pennies. The latter is covered above. As for a real job;
If you look at a sales exec in a franchised dealership and what is required of them it can be daunting. 20+ models in many ranges, plus derivations, engine choices and spec. Each model will have a marketing campaign behind it that they need to know. They are expected to be aware of the competitors models and offers too. Lead times, out going models, face lifts, dealer stock, aged units, demo availability pre reg stock. Add in fuel economies, road tax regulations, BIK ratings and special sales channels. Then there's the used cars, web site, finance examples, merchandising the showroom, keeping the line straight, mandatory training courses, regulatory exams for the FCA. We haven't spoken to a customer yet, done a handover or cleared our diary. The sales manager will want an update on your overdue leads and follow calls too. The extras that earn you a decent income require a reasonable knowledge too as do the warranties. Service schedules, requirements, pricing (customers ask), plans, and work shop lead times. I appreciate that many in our business don't bother to learn all these things, but many do.
This is about right, salesmen are now micromanaged, with a lower earning potential. For me the fun has gone and skill set changed.Today the industry standard at a franchised dealer is for a sales exec to deliver 150-180 units.
In the late 90's I worked for a major volume brand in used cars, our target was 250 units. My basic wage was £5,500.
The most biggest unit no I know of personally was 500 cars in a year in the early 90's.
10 years ago on a busy Vx site our top guys were earning £70k+ Mediocre salesmen were on £35-40k
in 2005 I worked in a group that held AM. The sales exec earned north of £200k due to the success of DB9 and an out of date pay plan.
The difference in the industry today is a shift towards reduced working hours for sales staff and higher basic wages. For years the basic was £8-10k but £18k is now common and £22k for more experienced staff. That said the average earnings now are more in the £35-40k range depending on franchise.
One of the biggest changes is a lack of "career" sales staff entering the business. With the exception of 5 years overseas and a few years after school I have been in the motor trade my entire career. When I joined you didn't come to work for the basic, it was s
t. You HAD to sell cars to survive. Today you can earn £20k basic, have a car and fuel and (when young, single and not in London) get by on that. We see lots of people apply for jobs but leave in short order as the expectation and reality often differ. Car sales is hard work and little of it involves sitting at a desk in a shiny showroom.There are two common slights thrown at salesmen. They couldn't get a real job and they earn pennies. The latter is covered above. As for a real job;
If you look at a sales exec in a franchised dealership and what is required of them it can be daunting. 20+ models in many ranges, plus derivations, engine choices and spec. Each model will have a marketing campaign behind it that they need to know. They are expected to be aware of the competitors models and offers too. Lead times, out going models, face lifts, dealer stock, aged units, demo availability pre reg stock. Add in fuel economies, road tax regulations, BIK ratings and special sales channels. Then there's the used cars, web site, finance examples, merchandising the showroom, keeping the line straight, mandatory training courses, regulatory exams for the FCA. We haven't spoken to a customer yet, done a handover or cleared our diary. The sales manager will want an update on your overdue leads and follow calls too. The extras that earn you a decent income require a reasonable knowledge too as do the warranties. Service schedules, requirements, pricing (customers ask), plans, and work shop lead times. I appreciate that many in our business don't bother to learn all these things, but many do.
Fast Bug said:
I met some really interesting people when I sold Porsche. The people with serious money were great. The people with a little bit of money were the wkers and usually bought the cheapest car we had. Strange but true 
Oh so true.....really interesting people on a whole with nothing to prove when i sold Ferrari, give them good service, look after them and they would tell others and you were always first port of call for repeat business.kers and usually bought the cheapest car we had. Strange but true I think the large groups are responsible for driving pay down on the elite brands.....£40K + a golf/3 series seems to be what they want to pay, thus many of the talented people have got and sell products where they can earn proper money.
Maybe some customers could answer this
What do they prefer their salesman to wear.
a nice suit... or shirt and tie.. or some places are quite casual with company polo shirt and jumper.
where I work its shirt and tie but we have our own sweater plain black. last 2 garages where I have worked customers have said they prefer a more casual looking sales staff as opposed to the fancy suits.
Views ?
What do they prefer their salesman to wear.
a nice suit... or shirt and tie.. or some places are quite casual with company polo shirt and jumper.
where I work its shirt and tie but we have our own sweater plain black. last 2 garages where I have worked customers have said they prefer a more casual looking sales staff as opposed to the fancy suits.
Views ?
Dan W. said:
.
where I work its shirt and tie but we have our own sweater plain black. last 2 garages where I have worked customers have said they prefer a more casual looking sales staff as opposed to the fancy suits.
Views ?
I haven't regularly worn a suit to work for years. If I'm offsite for a meeting or for certain meetings here I will but otherwise dark trousers/decent jeans and we have a uniform shirt. Open neck, quite casual but smart.where I work its shirt and tie but we have our own sweater plain black. last 2 garages where I have worked customers have said they prefer a more casual looking sales staff as opposed to the fancy suits.
Views ?
I have several problems with wearing a suit to work. I do own a few "Decent" suits. These will get ruined. Either because you brush against a ramp or a parts rack or you end up washing a car or jump starting one. Same with shoes. Nothing ruins decent shoes like a workshop floor or used car lot.
I haven't worn a tie, other than the same rules as suits, since I came close to killing myself on a Grand Cherokee whilst jump starting it.
What I find amusing is the hatred for cheap suits. If a business insists you wear a suit then one of 2 outcomes will lead to a cheap one being worn. The business provides it as uniform, in which case you have no input, or they insist and don't pay for it, in which case you are faced with a recurring expense for something that WILL get ruined. Nobody here would put on an expensive suit and then stuff the pockets with 2 dozen sets of car keys or use a jet wash, but these are normal tasks in a dealership.
jdw100 said:
renmure said:
We were chatting for about 30 mins when I took him for a flight and he was coy about figures (I wasn't actually asking, more joking that there seemed to be some perks in terms of his runaround car) but he said I would be surprised to hear his basic salary started with a 1 and he would be extremely lucky to double that.
a. I was surprised.
b. He isn't there anymore
Sorry, are you saying his basic was £100,000 but he’d be very lucky to get up to £200,000 with bonus?a. I was surprised.
b. He isn't there anymore
Selling Fiestas or Ferraris, an average salesman and pay scheme will pay them around the same. Obviously a different per unit commission, but basics will be relatively similar. Depending on your volume over a calendar half year, your basic for the next half year was calculated in five bands from £10k to £26k with the same £100 per car commission (plus extra for retention finance, add-ons and CSI was +£75 for good score, -£300 for bad, now that's +£100/-£500...).
The best will generally earn £75k give or take £5k, the worst a third of that and average in the early to mid £40ks, whatever brand - working for main dealers anyway. Independent dealers in specialist/niche vehicles may be different, but earnings over and above those levels are generally a by-product of being exceptionally good and staying in one place for a length of time so you have a healthy amount of repeat and referral business. One chap at Merc had been there for over 30 years for instance and was earning more than the Dealer Principal, but that's highly rare.
Gassing Station | General Gassing | Top of Page | What's New | My Stuff