A few months back, I asked you to share your dealership horror stories, and now I have one of my own. Well, maybe it's not a horror story, but it's a true tale of how a dealership experience can make or break a sale.
A friend asked me to accompany her to check out a couple of second-generation Honda CR-Vs at two different dealerships. The first car was pretty nice -- it had been traded in at that very dealership, and appeared to have been maintained regularly, if a bit cheaply. But the salesman turned my friend off -- he was nice enough during the test drive, but when he found out we had other cars to check out and that we weren't going to come inside to wheel and deal, he got impatient and made a lousy attempt to turn up the pressure. He even urged her to look at a used Hyundai Tuscon, apparently forgetting that during the test drive he told us Hyundais are lousy used-car buys. (They aren't, by the way.)
Our second stop was at a Nissan dealership. We met with the used car manager and took a lengthy test drive. The car had been bought at auction and, although the mileage was lower than the first car, it had obviously not been well cared for -- lots of scratches and nicks outside and inside, mis-matched tires front to rear, and it didn't drive as well as the first CR-V. But the dealer was as nice as could be. We were up front and told him that it wasn't the right car, and he gave us a bottom-line price and offered to check for other CR-Vs at other dealerships owned by the same group. There were none, and it was obvious there wasn't going to be a sale, yet he remained a total gentleman, and my friend and I actually felt a little bad that she wouldn't be doing business with him.
Back to the first dealership, our goal being to get a Carfax report and get a bottom-line price for my friend to consider. The salesman was pleased to see us, but when we told him we were back just to get a bottom-line price but not to buy, his attitude quickly resurfaced. He even balked on giving us a Carfax report -- "I told you I took the car in on trade, and I showed you the VIN tags on the fenders" (which he apparently meant was proof that it hadn't been in a wreck. I wanted to ask if he ahd ever heard of Bondo, but I bit my tongue.)
The used-car manager came in and attempted to save the deal; he was much more direct and patient, and did eventually give us a firm cash price. He asked why we didn't want to buy that day -- a legitimate question -- and we explained that my friend simply wanted time to sleep on the deal. He gave us a price -- a pretty decent one -- and made it clear that he might be willing to knock off another $200 or $300 if we returned tomorrow.
So we left with what my friend wanted: A fair price on a decent car. But the salesman's attitude had left a bad taste in her mouth. I urged her to look past the dealer and decide whether she thought the car was worth the price they wanted. "Even if it is," she said, "I don't think I want to do business with those people." Had the second dealer -- the nice guy with the not-so-nice CR-V -- offered that same car at the same price, my friend would most likely be returning today to buy it.
So that's my story. Got one of your own? Add it to my Dealership horror stories page. -- Aaron Gold
Related:
Some people have vision of making big bucks selling cars, but just aren’t cut out to do it, or can’t keep their focus after having a bad day. The problem with used cars is you sometimes have to put up with the dealer/salesperson to get the right car since you can’t buy the exact same car elsewhere.
I would separate dealership horror stories and salesman stories. I have two experiences. The first was a salesman who refused to give me any negotiation on the car I wanted. I walked out and came back the next day to try again and noticed his desk was empty.
The other was the salesman who told me they didn’t have any of the coupe I wanted to test drive, but showed me a sedan, which was totally different. After that was done, I had a look around the lot and saw the car I wanted. Went back in and asked the receptionist if someone else could show me the car I wanted. Sales manager overheard and look after things for me.
I never buy a car the first time I go to the dealership. I tell them upfront that I am not going to buy after all it is a big purchase.
I am always super polite. If they are busy I tell them that I will come back on a slower day.
My favorite line is when they tell me that the price is for today only.
I look at them and flat out tell them that I really doubt that. But if it is then that may cost them the sale.
I’ve had several. One was at my local Ford dealership when I made one of the biggest car buying decisions in my life. I bought a used Explorer for $99 down-$99/mo for the first year. The salesman never told me that my payments would go up to $700/mo after that first year. He also treated my wife as though she wasn’t there. I never should have completed that deal.
Another was when I was shopping for a Chrysler Sebring Convert back in 1998. I had already made a deal on one car, but hadn’t yet signed the paperwork. My wife and I stopped at another dealership on the way home from a mini-vacation to see what prices they were offering. They took my trade for a drive, but also kept the keys. Then the salesman sat us down at his desk and left us for nearly a half hour. When he came back, he didn’t have the keys to my trade, and proceeded to try for a hard sell. I felt like I was being interogated by the Police at the station. I finally demanded my keys back, and we left.
I’ve had far more good experiences than bad, but you just never know what you’re going to run into out there, and they occur in pretty much all of the dealerships, no matter what brand they sell.
Years ago, my father (in his early 70’s at the time) was looking to buy a new car. He told me of a deal he was considering on a Pontiac 6000, a midsize sedan, and the price (including his trade-in allowance) seemed pretty good to me. Because of his advancing age, he asked me to go to the dealership with him to see the car and help him verify and close the deal.
When I got there, the car the salesman pointed him to was a Pontiac 2000 (Pontiac version of the Cavalier – a smaller car than the 6000). Dad was a bit disappointed, but he still was interested in the car. Then the salesman showed me the price, and I knew immediately that Dad had transposed the trade-in price (lower) with the price he would have to pay (higher). I explained politely to the salesperson that my Dad had been confused on the details of the proposed deal, and that I was confident that, once he understood he was paying significantly more money for a smaller car, he would never agree to it. My dad left to go to the bathroom, and while he was there, the salesman went ballistic at me. Said “he had a deal with my father until I butted in and ruined everything.” I repeated (a little more forcefully) that my father would never sign the paperwork for the deal once he fully understood what he would have to pay out. The salesman didn’t budge, said that my father wouldn’t have the joy of driving a new car because of me, and “no son should ever do that to his father.” I asked to speak to the sales manager, who wasn’t in. But I gave the essentials of the conversation to the secretary at the front desk, who said she would relay the info to the sales manager. About an hour later, the sales manager called me at home and apologized for the incident, saying “we don’t do things like that.” About a month later, I noticed that this salesperson was no longer listed in their weekly newspaper advertising. Coincidence?
Footnote: My dad went across town and bought a new Chevrolet Caprice for less money than the Pontiac 2000 would cost. It turned out to be his last car before he died, and he loved it. So it all worked out okay in the end.
My question is about Carfax. I have been under the impression that it is nothing more than a joke. I know that most cars out there dont even have one.
Just how many places actually use this? Is it all dealerships or just a select few?
I’m not suggesting that it is a bad thing but when only one in several million cars are actually in their reports I have to wonder what’s the point?
@Jeff – I would bet good money you can’t find any used car manufactured after 1981 that Carfax doesn’t have a report for.
Nearly all experiences I’ve had a dealerships are a huge disappointment. But no worse I suppose than my first real estate purchase. There is so much emotion and irrational behavior in both buyers and sellers when it comes to large purchases that I feel only a handful of people on both sides of the transaction do it well.
When I finally did find a salesperson who I could also consider a friend, I bought 5 cars from him in 6 years. He took a medical leave and I have not bought one since. For me, the relationship is nearly as important as the car.
It would be nice to see a summary of the psychological machinations that both buyer and seller typically go through to better learn how to be better on both sides. The supposed fact that many car transactions produce little profit for the salesperson (as opposed to the dealership) due to commission sales making them hurry it up too much… The expectation from the buyer that the salesperson is in their corner… And the tactics used by sales managers completing paperwork to tack on needless extras to drive up the sales price… The myriad options for payment plans that could require an MBA and three hours of reading fine print to clarify…
Why can’t we just buy cars online? They are not hard to deliver since most of them roll…
@Jeff Like Chuck said, most cars out there do have a Carfax. The question becomes how useful it is. Not all states report all accidents to them, so they are not perfect. However, I do look for one from the dealer on all used cars, as I have found other information including some service and recall work.
You also don’t have to be a dealer to obtain one. For a small fee anyone can go to their website and order a report.
turned in an end of lease Ford at a Subaru dealership (with Ford, Dodge and other businesses owned by the same corporation) where I purchased a new Forester, found out 3 months later that the Subaru dealership didn’t accept the Ford and I was 3 months behind on my payment. Had to take the Ford back to the dealership I got it from. I was young and dumb, but that Subaru dealership never got any additional business from me.
When I was young and not so bright in 1989, I went to a dealership, based on an ad with a great price for a Ford Ranger. Of course when I got there, it was no where in sight, due it was the only one on sale (and beige.)
I had no cash for a down payment and used my Datsun 510 as a trade-in. I let the salesman talk me into obtaining a line of credit from Household Finance as a downpayment. This was in addition to the bank car payments! On top of that, the monthy payments for the LOC were almost as much as the car payment! It took about 10-years to pay it off. (I was in college.)
I have bought three cars since then, wiser and smarter. All have been online and with much research. Most dealers were surprised that I knew what I was talking about. The standard “why not buy it now” was given, with my reply “If you want to sell this car, the deal will still be on the table tomorrow.” And it was for all three!
(Side note – the dealership was later investigated by the Washington State Attorney General for Bait and Switch practices and went out of business.)