Car dealership is a very competitive industry and used car dealers have to be creative in attracting customers. Customers, on the other hand need to be armed with relevant information with regard to used car deals. This puts you in a better bargaining position when you are looking to buy pre owned cars. Dealer advertisements are meant to gain an edge over competition and not necessarily to deceive consumers.
For example, when you see ads that promise an incredibly low price, the price may be after a down payment, or ad prices that may be promising low interest rates might mean low percentage rates and may apply only to loans up to a certain amount. While this information is not blasted during the advertisements on TV, it is also not hidden from you when you visit the dealership or call to get information about the products. It is therefore important to understand the process and research used cars before going to a dealer to buy.
So What Should They Really Tell You?
If their deals have hidden charges
If you can get a better deal if you use a middleman as opposed to coming directly to our showroom
If there are any issues with the car to be aware of
Really, all it takes is a conversation in most cases. Auto dealerships have an incentive to be straightforward with you if you know the right questions to ask.
Another thing to note: although Americans may be busy buying cars it does not necessarily translate to profits for the used car dealers. Selling spare parts has become an alternate or supplemental way of making up for the lack of profits despite a decent amount of cars being bought. These can be of great value, but you need to carefully research the source of parts and the reputation of the seller.
Profit margins for car dealerships have fallen, in large part due to the internet that has cracked prices open with a sledge hammer. Because of this, it becomes increasingly difficult for used car dealers to keep vital information from buyers when it comes to price. Consumers are now able to drive a better bargain because they know exactly what other used car dealers are charging. This really benefits you, because you can see what a car is worth before you buy it. Use the internet to explore all information you can get about a vehicle.
Share26 November 2017
After going to my first auto auction, I became very interested in how dealers select the cars they're going to put on their lots. I spent a lot of time talking with local dealers, auction regulars, and others in the industry to learn the behind-the-scenes secrets to picking out the perfect auction cars and getting them lot-ready. I created this site to help others understand what goes into the process in the hopes that it would help car buyers understand what they're looking at when they hit the car lot. I hope the information here helps you better prepare for buying your next car.