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Tactics car salespeople hope you don’t know Advertiser Disclosure Advertiser Disclosure We are an independent, advertising-supported comparison service. Our goal is to help you make smarter financial decisions by providing you with financial calculators and interactive tools, publishing original and objective content, by enabling you to conduct research and compare data for free and help you make sound financial decisions. Bankrate has agreements with issuers including, but not limited to, American Express, Bank of America, Capital One, Chase, Citi and Discover. How We Earn money The products that appear on this site are from companies that pay us. This compensation could affect how and where products appear on the site, such as such things as the sequence in which they appear within the listing categories in the event that they are not permitted by law. This applies to our mortgage, home equity and other products for home loans. However, this compensation will affect the information we publish, or the reviews you read on this site. We do not cover the entire universe of companies, or financial deals that might be open to you. Industrieblick/Adobe Stock
7 minutes read. Published 17th January, 2023
Dana Dratch wrote the article. Dana Dratch Written by Personal Finance Writer Dana Dratch is a personal lifestyle and financial writer who is a fan of all things money and credit. With a degree of English and writingskills, she enjoys asking the kinds of questions people would like to ask and sharing the answers — along with smart money management tips from experts. Written by Rhys Subitch Edited by Auto loans editor Rhys has been writing and editing for Bankrate since late 2021. They are committed to helping readers gain the confidence to control their finances with concise, well-researched and well-documented information that breaks down otherwise complicated topics into bite-sized pieces. The Bankrate promise
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So, this compensation can influence the manner, place and in what order products appear in listing categories and categories, unless it is prohibited by law. We also offer mortgage or home equity products, as well as other home loan products. Other elements, such as our own website rules and whether the product is available within your area or at your self-selected credit score range may also influence the way and place products are listed on this site. We strive to provide the most diverse selection of products, Bankrate does not include specific information on every credit or financial products or services. The process of buying vehicles or cars has a lot of moving components. It is necessary to negotiate with car salespeople over price and bargain with lenders about an auto loan as well as trying to negotiate a fair bargain for the trade-in. Making mistakes can cost you dearly and so it is essential to be prepared. “The salespeople are specifically trained to keep you away from your cash,” says Jeff Bartlett, Consumer Reports’ managing editor for cars. “This is a skill that they do every day, and the typical car buyer purchases a car every five years or so. It’s not a fair battle.” Learn these gambits and consider the following car salesman advice to have an increased chances of getting the car you’d like with your next purchase. Seven salesperson techniques to keep an eye on There’s a good chance you’ll be confronted with aggressive sales pitches whenever you visit a dealership. These are the seven most popular tactics you could be faced with. 1. The clock is being played out salespeople for cars use time as a tool, says Bartlett. They’ll draw out the process until you’re exhausted. The salesperson is going to stay all day long, regardless of what you do. If you’re planning on , don’t be afraid to make a plan for an entire day to spend at the dealership and bring something to fill your time while you wait for the salesperson to arrive. However, you don’t need to go through the entire process within one day. It’s okay to make an informed decision. If you are ready to make a purchase, don’t get held hostage. Tell the salesperson: “Give us your best price.” If the salesperson suggests going back and forth with their manager, tell them to text or email you the outcomes. The strategy is to arrive at a dealership, immediately set the pace of the conversation by saying something like “I’m here to take an evaluation drive. Tomorrow, I’ll return to discuss numbers.” 2. Psychological profiling Car sales staff get extensive training on how to analyze the weaknesses and needs of prospective customers. Their quick assessment of clients allows them to use scripted questions, and then lead the process. “Car salespeople are specially trained to convince customers,” Bartlett says. “You’ll need to know not only , but your weak spots.” One of the questions you could be asked is “How do you want to spend per month?” Bartlett says that it’s essential to keep this information in your purse. “If you announce that in advance, it could skew the process. This leaves you vulnerable.” Be sure to insist upon it after your test drive and have you completed the paperwork. It’s okay to let car salespeople help answer some questions, but be aware that they can use any facts against you for example, the need to please family members or safety concerns and try to convince you to buy a more expensive car or . “Stay on the right track,” Bartlett says, and keep repeating this phrase: “Let’s focus on this. We’ll get to that later.” Your plan of action: Break down the purchase process into phases and concentrate on only one at each step. Start with the car that you would like, and then move on to and put off any add-ons or for a separate discussion. 3. The pressure of the “imminent moment’ You know the things you want, and you have . Then the salesperson says the if you do not buy the car today then you’ll be unable to make the sale, or someone else will look at the vehicle. This is a tactic used to sell a car known as “the imminent moment.” “People become more interested in having something that they know that someone else would like or already owns. Car salespeople often take advantage of this,” says Ronald Burdge an attorney for lemon law. “Suppose you’re at a dealership to look around, and you decide to purchase an automobile and the salesman breaks the bad news to you, saying there’s already a deposit on that car or there’s a buyer who has said they’ll come back later in the day in order to take it home,” Burdge continues. “That’s typically followed by an invitation to put a on it or buy it now, prior to when they return. The upcoming event could be true, but most of the time, the story is just a sales gimmick to get you to commit to the purchase immediately.” “A auto dealer that will do that to you will probably going to try a whole amount more each time they encounter,” Burdge says. Keep in mind that you can get the exact car in other places, whether at a different dealership or even on the internet. You could also buy another item. The best strategy is to look the salesperson in the eye and say “Are you saying that if I come back tomorrow, you can’t make me buy the car?” In other words, your best defense is to walk away — or at least be prepared to do it. 4. The “porcupine close” this strategy, the dealer “sticks” potential buyers with an inquiry. It could be “If I could offer you this monthly payment, will this be enough for you to buy this car now?” Or “If I can purchase this in midnight blue Would you be willing to buy it right now?” This strategy, known as”the “if,” signals that the dealer is looking for the trigger to buy, according to LeeAnn Shattuck who is the creator of The Car Chick website and Car Chick TV. Your strategy: Your answer to this question must be no, Shattuck states. Instead, tell the salesperson you are shopping around with several dealers to find the best overall deal. Once you compare your deals, you’ll need to take a decision. 5. The ‘Ben Franklin close’ This one is a classic. This is how it works: The salesperson draws a line across the middle of a piece paper, and lists reasons to buy the car on one side and reasons not to buy on the other side. This is a very common marketing technique used in the automobile industry and elsewhere. “The concept is to show that, on balance it is better off buying a new vehicle,” Burdge says. “Of course, it all depends on the information they write down and how truthful it is in the first place.” It is important to concentrate on the following aspects during this tactic that includes your monthly payment, your down payment, and your length of loan, interest rate, and overall price. “Know what those numbers should be, in accordance with your budget prior to when you visit the dealership, and be sure you stick to the figures,” Burdge says. Your strategy: The most effective way to dispel such a tactic is to identify it. Say, “That’s the Ben Franklin close.” If you do this, it will likely create an uncomfortable moment for your salesperson. However, it’ll also stop the technique from going on for long. 6. The ‘alternative choice close’ This tactic is one of the most sought-after, says Dan Seidman, managing director at Read Emotions and author of “The Ultimate Guide to Sales Training.” The client is given a choice between two things that could be a matter of whether you’d prefer a car that is red or blue. The best car salespeople don’t ever ask you to answer a question because they don’t want to give you a chance to say no. The key is that both options are readily available. “In the business of cars selling what’s on the lot,” Seidman says. “A knowledgeable buyer could think, ‘I’d like to examine everything you’ve got.'” If a salesperson is trying to draw you in with a different close, don’t take the offer. “You’re relaxed, you’re leisurely, you’re not ready to make a decision,” Seidman says. The strategy you can use: Learn a lesson from the political arena. Deflect the question by responding with a non-committal answeras if you’re interested in various colorsand then shift to a different topic. 7. The trip to the back office The finance manager is among the most knowledgeable people in the dealership, Bartlett says. They’ll suggest that you add a bunch of unnecessary items. Since you’re spending a significant amount of money for the car, you may be urged to purchase interior stain protection, anti-theft devices including rustproofing and . “If you’ve been strategic through the process of buying a car make sure you don’t flinch at this final stage,” Bartlett says. You’ll need to be crystal specific about what you’re looking for that isn’t tacked on or profit-driven extras and finalize that package. To ensure additional costs don’t add up, go line by line through your invoice, looking for dealer fees you can . Some common ones to look for are preparation costs as well as title fees . Your strategy: Know what you want and need prior to visiting the dealer and stick to your mission. It is best to have financing in place and you should always remind the finance manager you have a set and aren’t flexible. What affects a car salesperson’s approach? Salespeople usually have pressure to make the most profit of each vehicle they sell in order to maximize their commissions which affects how they interact with you. The more a salesperson convinces you to purchase a vehicle, the more profit they make. Their commission may be up to 25% of the price at the time of sale, Burdge says. Dealership management also offers bonuses for selling cars that were sitting in the parking lot. There are still more bonuses from the car manufacturer for salespeople or the dealership if they have met the sales target for a particular model year or year of the vehicle Burdge says. Burdge. “Dealerships are run on a monthly basis , so at the end of the month the sales team is especially eager to get more sales,” Burdge says. “At the beginning of the month, it’s usually more about the amount of profit per sale — so the amount of profit to be made from each vehicle sold.” What are the steps to take for buying a car before you begin your search for a car It is important to consider your requirements and desires. are, as well as research the models you’re interested in, and then write the budget. What you require is the primary factor that you take into consideration. Sedans, SUVsand trucks and minivans are all available at different prices and features. Once you know the type of vehicle, you can research the makes and models. Certain manufacturers have better reputations and warranties. Trims and standard features should also be considered when shopping. Choose if you’d like to purchase . A brand new car could have the latest advancements in terms of safety, comfort and performance, however it’s priced at a higher cost and is valued significantly lower in the course of a year. Before visiting the dealer. There are online and banks that provide affordable rates for auto loans and it makes sense to get an idea of the potential monthly cost before you go to the dealership. starts wheeling out common tactics. Use your budget as your guide during the buying process. Before setting your feet on the dealership lot, it is essential to start be able to balance your car’s needs with the amount you’re able to spend. “The more you , the less likely that someone will talk you into a deal that doesn’t work for you or isn’t within your budget,” Burdge says. “Make your decisions at home and make sure you stick to them after you go for the car dealer.” The ability to trust is most important factor to getting a good deal Understanding the most popular strategies can help you remain confident in negotiations. However, it’s not the only option you have. Find out about other vehicles, and know the value of your vehicle before when you visit the dealership. You don’t need to be an expert — you only need to be clear on how much you’re willing to pay and what you truly need.
Authored by Personal Finance writer Dana Dratch is a personal lifestyle and finance writer who loves to talk about all things money and credit. With an education in English as well as writing, she likes asking the questions everyone would like to ask and sharing the answers -and also smart financial tips from experts. Written by Rhys Subitch Edited by Auto loans editor Rhys has been editing and writing for Bankrate from late 2021. They are passionate about helping readers gain the confidence to take control of their finances through providing clear, well-researched information that breaks down complex topics into manageable bites.
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