[AMA] I Am a Car Salesman, Ask Me Anything!

spackbace on 21/03/2019 - 15:12
Last edited 21/03/2019 - 20:06

To celebrate my 22,000th comment which will happen on this post, I figured it's about time I do something like this, especially after trying to dispel the hybrid myths on this post

Currently working Toyota new cars, have worked for Holden & Suzuki previously, as well as used car sales.

Former top 10 deal poster, current top 10 commenter and competition poster (Stats here)

Aaaaand go!

(FWIW I won't neg vote anyone on here, I know the discussion can get passionate at times but that does nothing to further the conversation. I use my words not my neg votes!)

Introduce Yourself

closed Comments

      • arkie0 on 22/03/2019 - 09:54
        +3

        We do the work to earn your business, only to go to the competition who of course can match our price.

        It's that mentality that gives car sales people a bad name.

        It should be: If I can really offer this guy the lowest price, he will come back to me for being honest about having the lowest price.

        Rather than: This guy is going somewhere else, I wont even try.

        • spackbace on 22/03/2019 - 10:46

          Every dealership buys their cars for the same price. Anyone else could match my price

          • p1 ama on 22/03/2019 - 12:45
            +3

            @spackbace: Again, this is how it works in any industry. JB and HN buy their TVs for the same price from Samsung and compete on price. I can give JB a call and find out their price and give HN a call and find out their price and go with the best, no fluffing around.

            I don't mean to keep reiterating the point (and I'm also not attacking you at all, I really appreciate your comments round here and you're defs a nice guy I'd have a beer with), but there is the mentality of "if you don't buy with us, then you're a dick" in the car industry.

            • spackbace on 22/03/2019 - 12:48
              -2

              @p1 ama: But that depends who you spend your time with

              Ask a guy at JB hifi 50-million questions, then go buy elsewhere, you're a dick. Buy from him after spending time with him, you're awesome.

              Test drive through me, use me to help narrow down which model you want, then buy for the exact same price from the guy down the road, you're a dick.

              Make sense?

              2nd salesperson has a far easier job. You're just there for a better price than the first, it's that simple. He spends less time with you, so it makes sense he'd do it for pennies, because he doesn't actually have to work for your business. Easy transaction.

              • endolphin on 22/03/2019 - 13:43
                +7

                @spackbace: You are missing a key point. By not shopping around, they are putting their trust in you that you are giving them the best possible price. And that is a very stupid thing to do. How can you not see that?

                Car sales people deserve absolutely zero trust and zero respect.

                • spackbace on 22/03/2019 - 13:51

                  @endolphin: Again, we all pay the same price for the cars, we can all do the same deal.

                  zero respect.

                  Wow. That says more about you than it does about my profession. I can't think of any role in any other company that deserves zero respect.

                  Very hard to think of any individual person that deserves zero respect, besides murderers/rapists etc.

                  I actually can't believe you stated that publicly.

                  Please don't ever buy a car from me, you're not welcome.

                  • endolphin on 22/03/2019 - 14:11

                    @spackbace: Well, the profession deserves no respect, but you're right, you personally, and everyone, deserves respect.

                    Not trust though. I wouldn't trust you as far as I could throw you.

                  • endolphin on 22/03/2019 - 14:25

                    @spackbace: "Again, we all pay the same price for the cars, we can all do the same deal".

                    So what? That’s completely irrelevant. The key word in that statement is “can”. All dealers can do the same deal, doesn’t mean all dealers will do the same deal.

                    Example. I walk in to a dealer fully in the knowledge that the new car I want to buy has been purchased by all dealers for the same price. A price I don’t know, I just know it would have been the same price. Let’s say that is $30k, and RRP is $40k.

                    I go in, test drive, have a chat, and ask for best price. Having zero trust in car sales people, I walk away, and go and compare this with another dealers “best price”. According to you this is rude? According to me it is common sense.

                    You are arguing that it will be the same “best price” everywhere, and that is just laughable.

                    • spackbace on 22/03/2019 - 14:31
                      +4

                      @endolphin:

                      You are arguing that it will be the same “best price” everywhere, and that is just laughable.

                      No, what happens is:
                      Customer walks in, asks for best price, leaves with a price.
                      Goes to dealer 2, quotes dealer 1's price, of course they beat it.
                      Customer buys from dealer 2, because they beat dealer 1's price (usually by the region of $100 or so).
                      And because buyers lie moreso than the salesperson, that customer told Dealer 1 "Oh no I won't quote your price to the next guy, I'll ask what their price is".

                      It's not hard to counter a quote from another dealer, and hence why you'll never know if you got the very best price.

                      Plus if you ask for the best price, 90% of the time it isn't the best price. I've stated it here many times, you put your offer in writing, show commitment and learn to negotiate.

                      Asking for a best price isn't negotiating, it's not how you'd buy a house is it? Ask a Real Estate Agent for their best price? No, you'd put an offer in of what you wanna buy it for, and it'll either get accepted or a middle-ground price will be quoted. This is negotiating. "What's your best price" is a sign you don't know how to negotiate.

                      You buy something from Bali (for example), do you ask what's their best price, or do you say "would you take $XX?". Those shop-keepers aren't giving you their "best price".

                      Learn to negotiate. It's a handy life tool used in many more places and areas of business. "What's your best price" is just weak.

                      • endolphin on 22/03/2019 - 15:13
                        +1

                        @spackbace: Semantics. It gets to the same point.

                        Let’s change the scenario. I offer in writing $32k. You come back and say you can’t do that, but the “best you can do” is $33k. I don’t believe you (this should be the default position for anyone speaking to a car salesperson), and so I go through this same process with one or two other dealers. Maybe their “best they can do” is more, maybe it is less, but at least I have reduced the chance of being ripped off.

              • p1 ama on 22/03/2019 - 16:12
                +6

                @spackbace: Wait, let me get this right. You're blaming the customer for going with the better price? That goes against any sort of logic and conventional wisdom.

                So in your mind, you believe that just because you've spent some time with the customer (which you are getting paid to do, mind you) that you're entitled to a sale? That's ridiculous.

                Test drive through me, use me to help narrow down which model you want, then buy for the exact same price from the guy down the road, you're a dick.

                What about your responsibility in all of this? I could easily flip it and say that if a customer walks into your dealership first to enquire with you, they are putting their trust in you for your advice and your price. If you give them an inflated price that another dealership can beat, you're being a dick to them. Is that fair too?

                I understand your points about learning to negotiate, but that's besides the point. Don't you see that the current system of buying cars is set up so that dealerships can milk more change out of every customer and keep them in the dark? You know how much every Corolla sold for, but the customer doesn't. Not fair is it?

                Asking for a best price isn't negotiating, it's not how you'd buy a house is it? Ask a Real Estate Agent for their best price? No, you'd put an offer in of what you wanna buy it for, and it'll either get accepted or a middle-ground price will be quoted. This is negotiating. "What's your best price" is a sign you don't know how to negotiate.

                That's different. For a house, there is little precedent for price. What precedent there is (houses around the neighbourhood recently sold) is public information.

                With cars, thousands of Corollas are sold every year. You know what price they go for. There is a market price for Corollas that the seller knows and the buyer doesn't. That means it's easy to rip someone off.

              • Peel on 23/03/2019 - 12:45

                @spackbace: I completely agree if I did require some help to narrow down on a car. But in my analogy earlier where I just wanted to replace my old Hilux for a fresh one and didn't need any sales pitch or guidance. I just want to go and buy that exact car without having to pay a premium. Exactly like if I wanted a new iphone I dont need help from the JB or HN staff I just want to spend my money efficiently. Personally (I know for some people this may not be the case, but I bet on Ozbargain many people would share my view) that a reasonable price to me is just the cheapest I can get something which I was already set on purchusing.

  • rompastompa on 21/03/2019 - 22:11
    +1

    Will you eventually sell me a car? ;)

    • spackbace on 21/03/2019 - 22:37

      When your budget increases 😂 or maybe if you wait till May

      • rompastompa on 24/03/2019 - 00:56
        +2

        It's not about budgets, it's about bargains :)

  • justwii on 21/03/2019 - 22:12
    +1

    What can I expect car salesperson to know about their cars in stock? In general, I find most of them know just about the in car features, some good ones know about fuel efficiency, etc. I have never met a salesperson who knows the car specs in and out, like the horsepower, torque, chassis size etc. Its so rare to meet a geek car salesperson. Am I expecting too much? When there is no customer, do you guys not do your study and try to memorise more spec. about your cars? But I mean its real, my garage entrance is tight, I would love to speak to someone who can tell me if their car fit my garage or not if I give them the measurements.

    • spackbace on 21/03/2019 - 22:39
      +2

      We need to know 20 cars or so, and each car with multiple variants. You study and learn 1, and then try to school us.

      No one can learn the exact specs of every model. And even if you did, so what? Lol the person that wants the very minor specific details is in the minority. And even then, I could find your answer out within minutes.

      Relax and don't try to school the salesperson!

      • justwii on 21/03/2019 - 22:45
        +1

        I don't know then, what do you proud of in your occupation?

        • HardlyCharly on 24/03/2019 - 15:31

          It's called 'sales' for a reason. We work to survive, if you want to do something you're proud of either be lucky enough to find yourself in a role which aligns with your passions and you can do that, or do it in your own time.

      • Bills22 on 22/03/2019 - 08:36

        AMEN on that, especially with their general smart remarks, "Oh you should know this…"

    • This Guy on 24/03/2019 - 16:14

      Car sales people are generally trained to play dumb and be likable. What would you prefer:

      Look at this beast! She has a 554 and puts out 63 at the wheels!

      or

      Wow!!! I didn't know that. You are really smart!!! Can you tell me more?

      People who what to share information with a salesperson want to be admired for knowing it. A good salesperson (note I did not write good person) will smile, nod and thank the customer, even if that fact is wrong.

  • rulz245 on 21/03/2019 - 22:19

    Is there a specific time to purchase new cars? Months-wise EOFY? or even days or times, I've been told to try go in at the middle of the week on an arvo where its quieter, thoughts?

    • spackbace on 21/03/2019 - 22:41
      -1

      No. Various sales occur through the year, prices can fluctuate depending on the sales.

      Some dealerships follow Japanese EOFY, which ends at the end of Feb.

      Day of the week makes no difference, nor does time of the day

      • kickling on 22/03/2019 - 08:36

        Similarly to a prior comment, but going in towards the end of the month might snag a good negotiated price if the dealership has a target to achieve, correct?

        And also I would have thought EOFY would be fairly significant to boost the takings for the Australian registered side of the business for AU financial reporting?

      • [Deactivated] on 22/03/2019 - 20:35

        Japanese financial year ends at the end of March 😕

        • spackbace on 22/03/2019 - 20:35

          Oops cheers

    • ozeebee on 26/03/2019 - 11:26

      Try during the business days between Christmas and New Year. Be ready to sign and leave a deposit, and most would offer the best deal or (realistic) price you're after.

  • John Kimble on 21/03/2019 - 22:27

    Congrats on the +22,000 posts!

    Apologies in advance for the long post…

    I know you haven't worked for Honda and are not a mechanic so understand if you don't reply or don't know, but wondering if perhaps you knew due to being in the industry or know of other cars that are the same perhaps?

    I bought the new CRV, didn't realise it had an "oil monitoring system" or that cars have "severe driving conditions" in the manual.

    Anyhoo, the CRV service schedule is "12 months, or 10,000kms, or when the engine oil monitor light illuminates".

    I had the first service done 8 months in after about 7,000km because of the oil indicator. Straight after the service, I checked the oil life and it was blank. About 500kms later the indicator said oil change due in 6,000km!

    I called the dealer and said how can this be? Shouldn't it start at "10,000kms left" and go down? and I can't see how I've driven in such a way to lose "3,500kms".

    He said no, (something along the lines of) it uses some super secret KFC recipe to calculate when the next oil change is required based how the car is driven, that's why it took 500kms to pop out 6,000kms…claiming if we drove "better", it could even increase a bit again.

    I told him (I'm an Ozbargainer) I drive as economical as I can. The only thing it might be is "short trips", but as the definition of short trips is vague, I don't know if I qualify.

    Is there anything that someone (Honda) can do to check if the calculation is faulty (just on my car maybe)? Or could there be a more sinister explanation?

    Or would I have to ask them or an independent party to test the oil when it's changed next?

    I feel super ripped off that I would potentially have to service every 8 months instead of 12 months…(I know it's also my fault for not being aware of this "oil monitoring system").

    Any advice appreciated.

    • spackbace on 21/03/2019 - 22:42

      Not sure sorry

      • John Kimble on 21/03/2019 - 22:47
        +3

        ha no worries, at least you got one more comment on your tally. :p

    • Levathian on 22/03/2019 - 01:50
      +2

      That BS oil monitor is why I didn't end up buying a Honda civic. What's the point of scheduled servicing if the car can randomly decide to overrule it?

    • Soluble on 22/03/2019 - 07:21

      I could be very wrong, but on my Ford Kuga the oil light would come on 5000kms after the service. I decided that there must have been something they weren't resetting when it was serviced. Just googled how to reset it.

      • John Kimble on 22/03/2019 - 07:53

        I have considered this, but I was/am worried about them somehow finding out and voiding my warranty…

        • Soluble on 22/03/2019 - 08:29

          I traded it after 2 years and only lost 60% of its value. But last time I reset it just begore the service and it showed up in line with the next service. Personally I was thinking they intentionally forgot to reset it each time.

          • John Kimble on 22/03/2019 - 08:39

            @Soluble: They did reset mine for sure, because mine went into negative before I took it in and it was cleared out after.

    • brad1-8tsi on 22/03/2019 - 14:33
      +1

      The most likely explanation is that the mech didn't reset the counter back to zero with the Honda scan tool.

      Skoda have a similar system (QG1 variable service code) that isn't implemented in AUS and it's really easy to think you have reset it or get the units wrong.

      At a minimum I would ask the dealer to hook the scan tool up and confirm the service interval has been reset properly.

    • Worf on 23/03/2019 - 10:06

      @johnkimble: How long would your average drive (in the CRV) be?

      • John Kimble on 23/03/2019 - 23:44

        Hard to say…10 kms as a guess?

        • Worf on 24/03/2019 - 09:40

          Some claim frequent short trips will require more frequent service intervals. If true, I think That’s poor engineering/design. Older cars survived frequent short trips and could last 300,000km+ With regular (10,000km) service intervals.

          I also recently bought the crv 1.5t. Mine gets to operating temp super quick (<1km).

    • This Guy on 24/03/2019 - 16:30
      +1

      Severe driving conditions:

      Constant short trips (under 20 minutes) as the oil never gets hot enough to do it's job properly
      Constant vibrations (dirt roads and gravel)
      Constant heavy load (car always carrying full load and/or towing)
      Constant low speeds (usually under 40 as engine stays cool unless car heavily loaded)
      Constant extreme temperatures (unless fluids and tyres changed for that environment)

      Constant speed on flat ground used to be an servere driving condition, especially in the firt 1,000 to 5,000km> It will sometimes pops up as an issue when there is a quality control issue (like in some of Hyundai's and Kia's 2 litre motors half a decade ago).

      With your slow acceleration and your short trips it sounds like you would be using your oil more quickly than normal. However unless your CRV's engine has a design fault or they are using the wrong oil, it should still last at least 10,000km's given your quoted driving style.

      For example Isuzu had 10,000km oil changes for years, then suddenly last year 20,000km service changes were fine. Honda's dealership network has pressured Honda into screwing you, the customer over with bull***, unadvertised service intervals.

  • apoptosis on 21/03/2019 - 22:41

    Is it legal to sell a car with a broken key-lock mechanism without disclosing it?

    My mate only found out after he bought it. The response he got from the dealer was "the remote works so it's fine".

    • spackbace on 21/03/2019 - 22:43

      Not part of the statutory warranty, no.

      Depends how much recon work the dealer wants to do. I'd guess your friend hit a cheap car, and/or something a bit old

      • apoptosis on 21/03/2019 - 22:50

        Yeah it was a cheaper second-hand car. Any thoughts on the best way for him to get it fixed without being out of pocket if the dealer is adamant about it being "fine"?

        • spackbace on 21/03/2019 - 22:52

          I don't think you'll be able to tbh

          How old and how many kms on the car?

  • cowiie on 21/03/2019 - 22:42

    Bought a 2018 Corolla Ascent Sport Hatch in June and was told by car salesman that the fuel economy was 6L/100km. The computer screen in the car says I’m averaging 8ish Litres and i reset it often and the lowest I’ve personally gotten was 6.9L whilst driving on the highway. Any problems with my car? Any advice ??

    • spackbace on 21/03/2019 - 22:44
      +1

      Too many variables but yes the rated fuel average is 6L/100

    • BestofOZB on 22/03/2019 - 01:50
      +3

      Manufaturer's fuel consumption is measured under very controlled environment, lightweight driver with almost empty fuel tank, no headwind, ideal road etc. So you will never, ever, get the indicated fuel consumption, it is only helpful to give you an idea and to compare cars and models.

    • Jugganautx on 22/03/2019 - 12:44

      Dont go buy the trip odometer….

      Go buy km per tank and average the litres…

    • brad1-8tsi on 22/03/2019 - 14:40

      The engine probably hasn't fully run in yet (and might never be). I know VW engines take at least 15,000km before they come good.
      I bought a Subaru off my Dad. He'd run it in very gently. At 100,000km it was as tight as a fishes bum. It didn't like revving and the fuel economy was woeful - that was never going to change.

      Lots of other variables the greatest being driving style and traffic conditions but tyre pressures and AC use can have a noticeable effect..

    • jason101 on 23/03/2019 - 07:01

      I rent many 2018 Corollas for 1-2 days at a time and I dont think they ever show over around 7.8L on collection or during my drives. Are you doing many short trips?

      • cowiie on 23/03/2019 - 23:06

        Just drove 25 minutes into the city and back today and averaged 7.5L. This was without traffic as well and I reset the data before the trip. Will do the km and fuel L calculation myself and see if it’s any accurate.

        • This Guy on 24/03/2019 - 16:46

          From memory the test cycle is around 20 minutes. 5 minutes idling. 7 minutes very gentle city driving and 8 minutes constant, low speed highway driving.

          Like others said, this is either simulated or done in a shed with an empty car, so there is no drag or weight losses.

          Last time Caradvice did a round up, only Holden was spot on with their fuel ratings.

  • kiwimex on 21/03/2019 - 22:45

    which sale is generally better EOFY or Plate run out? or do they both offer similar discounting?

    Cheers

    Steve

    • spackbace on 21/03/2019 - 22:48

      Have answered this lol no specific time, sales differ through the year

  • skimp on 21/03/2019 - 22:49

    Would it be realistic to haggle a used car deal from a dealer using RedBook prices plus a margin (e.g. 10%)? What's the best approach to reach a fair price? Thanks.

    • spackbace on 21/03/2019 - 22:53
      +1

      Not really.

      Find the cheapest equivalent car for age/kms/condition on carsales, and that would be what you wanna pay.
      If it's already the cheapest, consider any discount a 'win'

      • skimp on 23/03/2019 - 01:08

        Can I use a private price to haggle against a dealer price?

        • spackbace on 23/03/2019 - 01:34

          Not really no. Dealers have to put a warranty on the car as well as put their own profit margin on it

    • This Guy on 24/03/2019 - 16:58
      +1

      Further Spackbace's reply

      They will just tell you that they use real time sales analytics to see how the market is moving (it's true) and that they stopped using redbook years ago (redbook value is included by the main analysis proivder, but is normally completely off, so it is ignored).

  • lainey13 on 21/03/2019 - 22:55

    Thoughts on novated leases? I don't see the point myself… but presumably there's some benefit to someone at some point? The pricing is ok… can you beat or pay the price but without the lease?

    Are you seeing a slow down in car sales (that would indicate a slow down in the economy)?

    • spackbace on 21/03/2019 - 22:58

      I'm sure they're handy if it brings you down to a different tax bracket, or if you just want 1 simple repayment.

      Most of the time they try to wow you with big numbers, showing what you save on tax.

      Certainly can buy the car for those prices.

      Yeah just need to check VFACTS to know it's down, but retail is down etc plus a pending election brings confidence down

    • This Guy on 24/03/2019 - 17:14
      +2

      Best lease price is still higher than best retail price as the lease company wants to add their surcharge.

      That said, most lease companies present car prices without mandatory taxes to make the car look significantly cheaper than it really is.

      Many lease companies hide the true interest charge as it's often very silly.

      The best lease companies can be just as competitive as most other financial tools once tax is taken into account. However you need to speak to your accountant first to find out which fiance tool is best for you.

      You want this car. You love this car. It doesn't matter to us how you fund it. How about we secure it with a refundable deposit based on you talking to your accountant on Tuesday.

  • pegaxs on 21/03/2019 - 22:56

    If I was writing a wiki on buying a car, what would be your top 3 pieces of advice to get a better deal?

    • spackbace on 21/03/2019 - 23:00
      -2

      Buy a car in stock

      Put your offer in writing, stick closely to it. If the dealer let's you walk, your offer was too high. Consider taking them up on their last offered price before you left.

      Be friendly and respectful. Treating us like fellow human beings goes a long way, especially if you need anything from us down the track

      • BestofOZB on 22/03/2019 - 01:54
        +9

        Second point isn't always true, my local dealer made me walk away when I was ready to buy, and I got a significantly cheaper deal for the same car elsewhere.

  • digitalbargain on 21/03/2019 - 22:59

    in searching for a used kluger, it would appear the resale value was significantly higher than that of competitors (ie. pathfinder).. is that a big selling point for you? i was looking at 2012-2013 klugers, from which i have read good reviews so possibly they are very well worth it

    • spackbace on 21/03/2019 - 23:02

      Huge selling point for many of our cars. Strong resale = reliability and popularity. Plus it means very few people will buy a 1-2yo model if we do our job right and build value into the new car.

      If by the time you add stamp duty to a 1-2yo car and you're within a bee's dick of a new one, why wouldn't you buy a brand new car?!

      • digitalbargain on 21/03/2019 - 23:03

        i also heard it's the last of the 'made in japan' klugers too.. curious if that holds up as value/another unique selling point too?

        is there a difference in quality? or is it a perceived difference?

        • spackbace on 21/03/2019 - 23:05
          +1

          Nah the new American ones are perfectly fine, you wouldn't pick they weren't Japanese

  • Deuce on 21/03/2019 - 23:12

    Hi Spackbace

    I despise the add on sales person. Is there anyway to get past this person?

    When I got my hilux. She questioned me getting a friend (who does this for a living) to do tinting and paint protection (not that I need it) and then had the balls to scoff at my dashcam choice (Thinkware F800 pro) because she has never heard of it before.

    Recently got a 2018 Build/2019 spec SR Hilux (Cab Chassis with HDA tray, snorkel, reverse camera, Slimline weather shields, rubber mats, bonnet protector and tow pack) for $50500k drive away. I reckon I got a good deal but my family don’t. What’s your opinion?

    This probably more a mini rant then anything. Lol. My bad thanks.

    • spackbace on 21/03/2019 - 23:16
      +2

      Point 1 - just be nice and say thanks but no thanks

      Point 2 - no comment 😂

      • Deuce on 21/03/2019 - 23:20

        Sales rep said he wasn’t allowed to skip her and I was trying to be nice. But her questioning the warranty on it was kinda what ticked me off and put me on the defensive.

        Lol all good.

        • spackbace on 21/03/2019 - 23:22
          +1

          Yeah you can't skip them but just play along, many of them get very set in their ways and take it very personally if someone doesn't buy or objects to it. Just a "thanks but no thanks" and move onto the BM

          It sucks because we could have all this rapport with you with the sale, and then they crush that in an instant. Seen it happen

          • Deuce on 21/03/2019 - 23:25

            @spackbace: Last time I brought a Honda Civic. I was in that dealership (inc test drive) for 2 hours. What got us stuck there was after sales and finance trying to calculate repayments even though I said no politely multiple times.

            I remember the sales rep for that Civic was happy that I knew what I wanted and it was easier for him to quote up. (I just sent him an email with what I wanted)

    • This Guy on 24/03/2019 - 17:38

      Bypass the ming mole

      Rush the sale. Go in when you have a fixed deadline that can not be moved and waste most of your time with the sales person.

      Ring ahead and ask which days the aftermarket lady is on because you want to pop by when in town later that week to see her. Do not give them any of your details (they will get your mobile number when you call in, but often won't write it down if you rush them). Go in on their day off. Hang up on any calls not from your sales person.

      Say no thank you. Walk over to your sales person and thank them for their time then walk out. You should get a call from their sales manager asking what went wrong. Tell them you don't want to deal with the aftermarket sales person. They will usually then honor your request from then on.

      Threaten to give zero on your customer survey and ring up the manufacturer every day until your survey arrives (the nuclear option).

      That said

      In many modern dealerships, the ming mole is the best salesperson on team and is responsible for customer satisfaction. Senior salespeople will often either sell you aftermarket direct or tell the ming mole directly in front of you what they know you will buy during the introduction (This is misses customer. She has young kids with fair skin so could really use some tint. etc.).

      • Deuce on 24/03/2019 - 20:12
        +2

        I couldn't by pass no matter how much I asked the salesperson. The sales rep said he will cop heat from the aftersales lady.

        So I just played along and said no to everything since I can get my tinting and paint protection done cheaper since I have a friend, which annoyed her and she started questioning warranty and types of products that my friend was using. In the end I said warranty doesn't affect me because he can redo everything if he needed too.

        Then on dashcams she kept giving BS about getting her product, even after I told her I already have a dashcam and was going to be hardwired after I get my vehicle. Which then led to her questioning the workmanship of the person who is doing the hardwire and the warranty she offered on it. Which led me to my best moment ever, I showed her my trade ticket as an auto electrician. Her face was priceless and all she could say was "oh ok"

        • This Guy on 26/03/2019 - 03:40

          Like I said, the ming mole is normally the best salesperson on the team. They pull sales from thin air. The big boss never want you to skip them as their business depends on the ming mole putting more money in the deal.

          Ideas to get over the sales person guilt tripping you for next time. Maybe:

          I am in the industry. I have no interest talking to aftermarket. If you can not respect my wishes, then maybe I should leave, call up my friend and ask for their help instead.

          Or:

          I deal with enough shit at home from my family/at work from my boss/etc (pick an excuse). This has been a pleasant experience so far, but I will not be doing business with you if you will not respect my wishes. I do not want to meet anybody new. Take my deposit then give me my receipt and contract so I can leave now.

          Saying no and standing firm will lead to the sales team bullshitting with lines like: 'We just need to go see **** to finailise your paper work,' or 'This is ****, they look after customer relations.'

  • pm88 on 21/03/2019 - 23:29

    I was watching a youtube video where the creator mentioned buying used cars between 3 and 5 years as being the sweet spot for best value, and that he would look continue to trade cars in with this in mind…

    Is there any truth to this in your opinion?

    • spackbace on 22/03/2019 - 00:02

      Depends what you want out of the car. A 3-5yo Toyota/Mazda/Nissan wouldn't have any factory warranty or capped price servicing.

  • ranmalynx on 21/03/2019 - 23:50

    What do you think about reverse/Dutch auctions? I've seen a few websites pop up but they eventually die. For example. Do you think these types of services will be viable eventually?

    • spackbace on 22/03/2019 - 00:03

      As someone who earns a living from a job which pays commissions, Dutch auctioning can take a hike 😂

    • p1 ama on 22/03/2019 - 00:05
      +1

      If you're looking to buy, you shouldn't consider a Dutch auction. The theory is pretty complex, I studied auction theory extensively as part of my PhD in Economics. Basically, the general gist of it is that in a Dutch auction, you pay your highest bid, whereas in a normal (e.g. eBay) auction (which is called a Vickery auction), you pay the second-highest bid.

      Basically, think of this thought experiment. There's a car two people are bidding for. You're willing to pay $1000 for the car, and the other guy is willing to pay $900. In a Dutch auction, you call at $1000 and pay $1000. In a Vickery auction, the other guy bids $900, you bid $1000 so you win, but you will pay $900 (like in an eBay auction). What's better for you?

      • Ti-au on 22/03/2019 - 12:32
        +1

        You have AMA in your username.

        What job did you get when you finished your degree?

        • p1 ama on 22/03/2019 - 12:49

          Not my AMA, but I've previously worked in the private sector, in government roles, and as a university academic. I'm now doing a teaching degree and taking some time off. Now that I'm getting older, I'd prefer the better work/life balance and time with my family.

    • This Guy on 24/03/2019 - 17:48

      Many manufacturers already kind of use a dutch auction. They set their price to a level at which they think they can achieve their sales goals and discount when needed to increase sales volume.

  • Shadowsfury on 22/03/2019 - 00:01

    Is the end of the month really when to do a deal (ie is the end of the month really when your sales target for the month cuts off?)

    • spackbace on 22/03/2019 - 00:03

      Any time is (I've talked about this a few times)

  • OzFrugie on 22/03/2019 - 00:07
    +1

    what's the latest strategy that came out of Ming Mole Club Association?

    • This Guy on 24/03/2019 - 17:51

      Sales person sells AM. Ming mole works on CSI. Works well. Quick, automatic add-ons (if you get what I am implying). Very happy customer. No issues with ming lies or ming promises.

  • Hybroid on 22/03/2019 - 00:18

    Here's a new one… why hasn't new car purchasing transititioned online yet?

    Why can't I choose car online, spec it the way I want, pay online and have it delivered to me whenever it's ready like almost everything else?

    Not saying showrooms aren't required anymore to look and feel as well as test drive but surely there should be an online order option too by now…

    • spackbace on 22/03/2019 - 00:50

      We have just activated click & collect on our websites. Don't think you can offer less though I haven't fully checked it out

  • Levathian on 22/03/2019 - 02:04
    +1

    Hi Spackbace. I know you work for Toyota but I assume things would work the same at Subaru?

    Is there something about the Subaru brand that makes them unwilling to negotiate? When I bought my impreza last year, I looked at a My17 demo and the sales people wouldn't budge on price OR add any extras at all. So I went back to one I'd been at before, did the drive and they wouldn't go any lower than a 7% discount on a new in stock vehicle (with mats and a rear cargo tray as well). Was that a bad deal?
    A few weeks back my cousin bought a used one and thaf dealership wouldn't haggle on price at all because it had very low km, yet the asking price was like $4k above redbook recommendations. She was desperate and only wanted that specific model so she got it anyway.

    Also what info do the sales staff share with the aftersales/Ming mole? When I bought my car, the lady knew nothing about the model I just bought or what seats it had, or even what colour I selected, but tried to badger me into buying paint protection etc. It gives a very bad impression if you're pushing someone to buy an add on and you don't even know what they bought!

    • JimB on 22/03/2019 - 16:05

      Is there something about the Subaru brand that makes them unwilling to negotiate?

      The majority of Subaru dealers in Melbourne are owned by the importers of Subaru Inchcape.

      There's little incentive for the dealers to discount because the importers will make money no matter which dealer you buy from.

      If you visit one dealer, your name goes into the database so the next dealer knows you have been to the other one.

      I think the fixed price model will the way of the future. Dealerships will only be there for test drives/service, not for bargaining. Tesla is doing it now.

      I'd be happy to pay the fixed price as long as everyone else pays the same price. I won't be questioning if I got ripped off and there will be no high pressure sales tactics.

      Asko and Miele also have this business model.

      • Roman Sandstorm on 25/03/2019 - 11:33

        If you visit one dealer, your name goes into the database so the next dealer knows you have been to the other one.

        Is this for real?

        I would have thought that the Privacy Act would preclude passing on personal information (name, phone, etc) between different companies. (And yes, before someone says "All Subaru" (or whatever), I would imagine that different dealerships would definitely be separate companies. They are certainly presented that way to the public.)

        • JimB on 25/03/2019 - 16:44

          I should say, the database is shared among the Inchcape owned Subaru dealers- the vast majority of Subaru dealers in Melbourne.

          The smaller regional/rural dealers are usually not Inchcape owned.

  • Bob81 on 22/03/2019 - 02:05

    Hi Spackbace,

    Thanks for doing this AMA. Any pricing yet on the new Rav4 Hybrid?

    • spackbace on 22/03/2019 - 02:25
      +1

      Nope sorry!

  • inherentchoice on 22/03/2019 - 05:01

    Are the trade in prices on redbook accurate/realistic? Can you suggest any other ways to find out value for used cars?

    Also, do you have any views on the term "stealership"?

    • spackbace on 22/03/2019 - 10:47

      Can give you a ballpark to work from but that's it.

      Eh, not bothered on the term

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