You think car dealerships have the upper hand when consumers shop for a vehicle?

Question

if yes or no tell me why, I am adding a link to a website to explain what I think but will also like to add what some consumers have to say on the subject...reply only if your answer may be posted, I appreciate your time... http://www.usedcartips.org/

Answer 1

They have the upper hand if you haven't done your homework and you've gone unprepared. I think the area they really bite the consumer is on a trade in. They give you next to nothing for your trade. You can literally get thousands more if you just sell it outright yourself. I refused to accept the trade in offer the last time I bought a car. I ended up selling it to a friend and got $3,000 dollars more than the dealership offered me!!!

Answer 2

Car Dealerships vary in work ethics from one to another. However, they all have an underlying thing in common: How to sell a car optimizing the profit of the sale.

Unfortunately a lot of people who are not educated-consumers walk through their doors on a daily basis and end up paying more than they should. While there are some cars that are worth every penny of the asking price, there are some that have a margin that can be played with.

It's not entirely a matter of "having the upper hand".. it also has to do with the consumer doing their homework prior to go out shopping for a vehicle, and THIS can be equally important to a decent deal.

Cars are probably the 2nd most important purchase (behind real estate) that a consumer can invest in. It is a art-form to deal with these kinds of purchases.

Answer 3

well,. I have worked in car dealerships for a while now. There was a time when the dealership had the upperhand, but over the last few years that has changed dramatically. With the internet being in 99% of homes and the ad campaigns that the manufactureres run, it makes it very difficult for a salesman to make a living; the buyers have almost too much information now and seem to think that cars are almost free.

There are honest, good salesman and there are cheats that are out to rape the customer.

Answer 4

Sparkie has the right idea. If you have done you homework and know what you want and the price you are willing to pay. And if you know the value of your trade (trade in value) you can have the upper hand. Be firm yet flexible. Be prepared to use the "NO" word. This is a fairly good time of year to buy a new car, many dealerships are slow and want to get their cars sold.

Answer 5

They do, but a shopper can gain the upper hand. Like any type of sales, the salesman takes advantage of what the shopper does not know and only divulges information that helps promote the product.

So, if you go in well educated and be willing to walk out at any time, then you'll be in good shape.

Answer 6

dealerships only have the upper hand in the fact they they carry so many cars and have more options available than what private sellers have. therefore when a customer comes to their lot they have the vehicle the customer wants. if the customer comes informed, i.e. internet, trade values and knowledge of what he/she wants to buy its a pretty fair deal either way.

to sparkie. yes..you can always sell your car for more than what a dealer will give you for it. but think about this. if a dealer gives you $5000 for your car. he then has to run it through his shop (Iwe usually spend about $700 per car for recon) then he has to get it fully detailed ($50) then he has to advertise that vehicle ($500-1000). and then hope that it doesnt sit on his lot for longer than 45-60 days since he has to pay interest on that car each day it sits on his lot. (60 days equals about $100-200 in interest) after all that he now owns that car for $$6500-7000. if he sells it for what you sold your car for ($3000 more) then that dealer maybe made $1000-1500. not alot of money. not to mention most dealers have to warranty that vehicle if something happens to it after the fact. that also saves the customer from having to advertise it for 45-60 days, have people come to their houses (who they dont know) test driving their car etc...

Answer 7

Of course they do! They sell dozens of cars every week. You buy one every few years. The more often you do something, the better you will be at it.