Q & A Session... - Ask a Ford Dealer

[oldmodman]

What is in it for the dealers?

Buying services. Every week I see some new ad about a different buying service. AAA, Costco, Super Duper Chepo Buy A Car, they are coming out of the woodwork.

Other than "possibly" sending a new customer to a dealership do they actually provide a better price than what you could just get by asking for one?

And naturally, if you really want a new car the one you want is excluded from the list of cars available. :shrug:

 

[13COBRA]

What is in it for the dealers?

Buying services. Every week I see some new ad about a different buying service. AAA, Costco, Super Duper Chepo Buy A Car, they are coming out of the woodwork.

Other than "possibly" sending a new customer to a dealership do they actually provide a better price than what you could just get by asking for one?

And naturally, if you really want a new car the one you want is excluded from the list of cars available. :shrug:

Exposure.

No, you can get the same dealer without all that stuff.

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[crfrider16]

I've read through this whole thread and didn't see this question asked quite like this so I apologize if I'm repeating but,

As it relates to MSRP or invoice, how far under each would you say to someone "damn, you got a smoking deal." Or are there too any variables to answer this accurately?

I went with my sister in law to buy a new Honda Accord, and we ended up at 1k under invoice. She then told the salesman that the dealer an hour away was waiving the 8 hundred and something dollar destination fee for all USAA customers. When we mentioned that, the finance woman lost her mind, but ultimately ended up waiving it. It was only later that my sister realized the other dealer was talking about some other small fee, not destination. She just misspoke, but it ended up saving a lot. I felt like we did OK on that one lol.

 

[13COBRA]

I've read through this whole thread and didn't see this question asked quite like this so I apologize if I'm repeating but,

As it relates to MSRP or invoice, how far under each would you say to someone "damn, you got a smoking deal." Or are there too any variables to answer this accurately?

I went with my sister in law to buy a new Honda Accord, and we ended up at 1k under invoice. She then told the salesman that the dealer an hour away was waiving the 8 hundred and something dollar destination fee for all USAA customers. When we mentioned that, the finance woman lost her mind, but ultimately ended up waiving it. It was only later that my sister realized the other dealer was talking about some other small fee, not destination. She just misspoke, but it ended up saving a lot. I felt like we did OK on that one lol.

I'd say you did ok by misleading them. More or less cheated them out of money.

Not sure how Honda works, but with Ford we pay destination and delivery before we sell it.

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[crfrider16]

I'd say you did ok by misleading them. More or less cheated them out of money.

Not sure how Honda works, but with Ford we pay destination and delivery before we sell it.

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Just to be clear, that wasn't intentional. She genuinely thought that the other place was waiving the destination fee, so we just threw that in as part of our negotiation.

 

[13COBRA]

Just to be clear, that wasn't intentional. She genuinely thought that the other place was waiving the destination fee, so we just threw that in as part of our negotiation.

I understand that. Not saying it was intentional.

Hillary's emails weren't intentional either...lol

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[bdcardinal]

This is kind of more of a Fixed Ops question but how does your dealer handle "We Owe" or "Due Bills" that do not get sent to the departments that fulfill them? In the 9 years I have been at my dealer I have seen only 1 Due Bill ever get sent to the parts department so we can order or pull items that were promised the customer. The vast majority of the time we find out about things we were supposed to order when the customer shows up and says that the sales person told them to come in at any time. We have suggested withholding payment to the finance and sales person until the Due Bill is completed, however it is easier for them to just stab parts in the back.

 

[13COBRA]

This is kind of more of a Fixed Ops question but how does your dealer handle "We Owe" or "Due Bills" that do not get sent to the departments that fulfill them? In the 9 years I have been at my dealer I have seen only 1 Due Bill ever get sent to the parts department so we can order or pull items that were promised the customer. The vast majority of the time we find out about things we were supposed to order when the customer shows up and says that the sales person told them to come in at any time. We have suggested withholding payment to the finance and sales person until the Due Bill is completed, however it is easier for them to just stab parts in the back.

They aren't stabbing you in the back. All you have to explain is that you never received a we owe stating what needed to be order, but you will check and get it handled for them.

I don't have that issue as my management team is on top of it.

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[bdcardinal]

They aren't stabbing you in the back. All you have to explain is that you never received a we owe stating what needed to be order, but you will check and get it handled for them.

I don't have that issue as my management team is on top of it.

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You are lucky to have good management. Having sales managers dressing me down in front of customers for the issue gets old. I just tell them that if they want it ordered, I need the Due Bill so I know to order it. Higher management seems to think it is normal.

 

[13COBRA]

You are lucky to have good management. Having sales managers dressing me down in front of customers for the issue gets old. I just tell them that if they want it ordered, I need the Due Bill so I know to order it. Higher management seems to think it is normal.

Yeah that's wild and very unprofessional.

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[4u 2 nv]

MMR is the most accurate as it tracks the value of pre-owned vehicles by prices they have actually sold for.

If you take a NADA guide to the auction you will end up with a TON of cars for several thousand dollars more than they are worth. Anymore it seems that NADA clean trade is what you will be able to sell it for retail.

KBB is a joke as well.

I buy and price my vehicles based on the vehicles for sale. If I can make $5k and have it priced reasonably, great. If I make $1 and have it priced reasonably, great, moved the car and can reinvest. If I price it too high and let it sit...then I'm wasting everyone's time. That's why a lot of stores are moving towards being a one price store.

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Not doing Vauto or similar?

MMR near me is high. Very high.

 

[4u 2 nv]

assuming a used car is in good condition - what tools do you use place a value on a used car and what's the best way for a non dealer consumer to place a value on a used car? follow up question is how accurate do you believe manheim MMR, kbb, and nada are?

13cobra was spot on. There are a few programs a that you I out the vin into. It gives you% of market value, you can set your recon fees, margins etc and see where you need to be on your trade apprasial. It pulls info on MMR, nada, kbb, black book, other simialar retail units for sale e.tc.

 

[13COBRA]

Not doing Vauto or similar?

MMR near me is high. Very high.

I use VAuto, but it's really just a combination of other tools.

13cobra was spot on. There are a few programs a that you I out the vin into. It gives you% of market value, you can set your recon fees, margins etc and see where you need to be on your trade apprasial. It pulls info on MMR, nada, kbb, black book, other simialar retail units for sale e.tc.

+1

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[13COBRA]

Gotten quiet in here lately.

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[ssj4sadie]

Gotten quiet in here lately.

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I think you mentioned it before. Regardless, I've been to dealerships that had damn near every vehicle on the lot unlocked so you could get in and feel the interior. Went to a dealer last weekend and the salesman laughed at the notion that a customer could get into a vehicle without the key. Is there some sort of system that allows the customer to get in the vehicle without a key and salesman?

 

[7upstang]

Gotten quiet in here lately.

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I feel like you have mentioned this before, but in my search I can't seem to find the answer. You had mentioned something in regards to after market warranties, that the average person could buy after the fact. Do you have any recommendations?

Unfortunately, my girlfriend has bought a Jetta (she has owned since new) it's a 2012 with 25K miles. So warranty is up. However, so far we have spend $400 on a new wiper motor, the headliner is falling down and part of the weatherstripping is falling off. I have a bad feeling about this car.

 

[13COBRA]

I think you mentioned it before. Regardless, I've been to dealerships that had damn near every vehicle on the lot unlocked so you could get in and feel the interior. Went to a dealer last weekend and the salesman laughed at the notion that a customer could get into a vehicle without the key. Is there some sort of system that allows the customer to get in the vehicle without a key and salesman?

Some stores leave them unlocked all the time.

Kinda ignorant in my opinion because a lot of insurance companies won't pay out on a stolen vehicle claim if they were unlocked.

I feel like you have mentioned this before, but in my search I can't seem to find the answer. You had mentioned something in regards to after market warranties, that the average person could buy after the fact. Do you have any recommendations?

Unfortunately, my girlfriend has bought a Jetta (she has owned since new) it's a 2012 with 25K miles. So warranty is up. However, so far we have spend $400 on a new wiper motor, the headliner is falling down and part of the weatherstripping is falling off. I have a bad feeling about this car.

Yes, you can. Century is a really good one.

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[Kevins89notch]

I'll play.

So my DD sucks, and I'm thinking of a Fiesta ST. I like the 0% down for 72 months, but I'm about to go house shopping, so that likely won't be around in 2, 3, maybe 4 months. By that time I expect I'll have to deal with other promotions and such. A friend is a Ford engineer locally, so I can likely get the x-plan or whatever it's called. Will that be my best option? Also, will 2017s be available by then?

 

[13COBRA]

I'll play.

So my DD sucks, and I'm thinking of a Fiesta ST. I like the 0% down for 72 months, but I'm about to go house shopping, so that likely won't be around in 2, 3, maybe 4 months. By that time I expect I'll have to deal with other promotions and such. A friend is a Ford engineer locally, so I can likely get the x-plan or whatever it's called. Will that be my best option? Also, will 2017s be available by then?

Correct. 0 for 72 will be gone by then.

Unfortunately there isn't any markup on Fiestas...less than $100. Whether you pay X Plan or MSRP, it'll be damn near the exact same.

I'd wait 2 months, then order a MY17.

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[oldmodman]

About locked cars at the dealer.

Galpin Motors, the largest dealership for many different brands (a MEGASTORE) leaves the cars and trucks on the front line locked since they could all be driven off the curb into the street. But the showroom cars are all unlocked, as are all the cars in their locked storage lots behind the dealership. And the keys are in the ignition too. I have gone back there to demo the sound systems on a lot of different cars. And if it's a hot day i will fire them up and run the AC too. They don't care. Maybe that's the reason i have bought several cars from them. And may soon be getting another.