Car Sales: Old-School Pitching Makes for Negative Buying Experiences

Why is it after all these years, the majority of the car buying consumers cringe at the thought of dealing with a car salesperson?  Being in sales for 20 years myself, and now at Glance Networks, I have seen companies evolve their sales process away from the hard-sell pitch and toward a value-add conversation.  But not the car dealers.  Why not?  My own emotional response:  It is a game to see how many consumers they can take advantage of... 

And most Americans agree...in a Gallup poll taken last November, 51% of Americans believe car dealers to have "very low honesty and ethical standards".

My most recent experience was a few months ago.   I went into the process fully armed with months of research (reliability, safety, features, and price). After all my research, I selected a Honda CRV.  I drove to the dealership and expected to test drive and get a price all within an hours' worth of my time. 

I should have known better.  

I was there for FIVE hours!  (Did I mention I was 8 1/2 months pregnant?)  My frustration was boiling over as they determined I would be better off purchasing a used 07' model for the same price as an 09'.  It  was amazing to watch the tag team dance performed by the sales person and the the sales manager,  driving the point to me that this was the best deal I'd ever see, and I needed to agree NOW, as it wouldn't be offered tomorrow.

Did they know I was pregnant, not stupid?  Of course I walked away from the dealership with a very bad taste in my mouth, and NO sale. Two questions crossed my mind:  

1. What purpose does a car salesperson serve, if they actually have no power? They seem to always have to get their sales manager involved, as he / she makes all the $$ decisions; and
2. What was I thinking....wasting 5 hours of my Sunday afternoon at a car dealership? 

I did finally purchase a vehicle, but not without a fight. Instead of wasting my time driving from dealer to dealer, I found a way to take matters into my own hands. I went to Vehix.com for a price quote, and completed a bid request, which was sent to local dealers of my choice. They all contacted me via email and I was able to price-haggle with them by email, by stating another dealers' offer of a lower price.

I don't intend to purchase another new vehicle for many years.  When I do, I will research, test drive, but then opt to do the price haggle dance via the Internet again. Lesson learned: I don't really need a salesperson for the close anymore.

What are your thoughts? Why does the car buying process seem to stay "old school" at the dealerships? Why haven't we evolved a less painful car sales process? Anyone out there have different experiences at dearlerships?

-- Jo Klos, Senior Account Manager

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Comments

[voiture thermique]

Hey great post, this is what i came up with.

Data shows, that due to the economy, people are keeping their cars longer and more people are buying cars used rather than new cars. It's a good idea to protect your investment in an older auto with an extended warranty.You should have better mileage.Before heading out to the various dealerships, take some time to do some comparison shopping.

Read about various vehicle "families" and determine which size is best for your needs: Do you need a subcompact, a compact, and two-door? Always be sure to compare the mileage ratings for the various cars or trucks you're thinking about buying. All new cars have window stickers listing the latest U.S. Environmental Protection Agency's mileage ratings. These ratings are scientifically determined using state-of-the-art testing facilities that run the cars and trucks through simulated city street and freeway driving. The mileage you get on your vehicle may differ from this rating. By purchasing cars used, you can save a lot of money. A new car depreciates quickly in the first few years and after three years, it is worth only about 60-70% of the original price. In fact, as soon as you leave the dealership, your new vehicle is suddenly worth $1000-$2000 less. When purchasing a new car you are paying for its fresh "new" aroma and warranty. Buying a new car does not always mean the buyer will get perfection. A new car may come with problems associated with poor design or manufacturing defects that may have been already repaired during the warranty coverage period if it's a used car. The same is true for all kinds of recalls and service campaigns. Search for tips and tricks online on how to buy a used car.

[Dealer Supply]

I have a 1998 Honda Accord with 185,000 miles on it and have had nothing but problems and thousands in repairs. I'm looking for a new car this time around.

[Consumer Cars]

I have to agree that the car sales process in most dealerships have not changed from the "us verses them" mentality. You would think that with the amount of information that a consumer can get on the Internet that this sales process would have been changed. The only way the consumer can make the dealer process change is to be armed with more information AND to use the internet to comment on their particular dealer visits on review sites like www.consumercars.com so others can be informed.

[Seized Car Sales]

Great Information Lesson learned Thanks

[twan]

The process is in fact designed to hold gross. I have been in sale for ten years and have been in management for four of those years. The reason it hasn't evolved, and let me enlighten you is because sales people are needed, we take your information we process your paperwork, we walk.in the rain,snow,heat so you don't have too. We make sure the cars are clean and we demonstrate how the new features work and make.sure you test drive has gas in it, we also answer all the questions you didn't think to research in the months that you did your online evaluations we take the time.to get to know you and yes we do try to make a living for our family but if your intelligent enough to say hey I used car for the price of.a new one is a rip off then you should be smart enough to go to a reputable dealer which you can research on the internet also... all car dealers are not crooks we are just running a business just like anything else...to make money and provide for our families
T