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Pure Pricing still leves room for haggling

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Old 07-06-2007, 03:32 PM
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When I bought my box, I started by doing all my test driving at koons Scion of Annapolis. Rose, not sure if she still is there, put so much time and effort into helping me. We did test drives and all that. She was great. When I went to trade in, their trade in guy gave me a lowball figure that would have left me negative on the car i was trading in. I went to Browns Scion of Glen Burnie, and they gave me a much better trade in deal, I actually made out much better there. So did I screw Rose over, no, her trade in guy cost her a sale. However, she was a wonderful person and I had seen her many times at different scion events, many of which Koons sponsered.

Ps. Is Rose aka Unikone still around?
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Old 07-07-2007, 02:50 AM
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I got a question my G6 is about 12.500 according to KBB how much do you think I could get them to take it for?
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Old 07-07-2007, 03:27 AM
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^^^ sometimes a part of the discrepency in price between dealerships is what car you're trading it in for... obviously, the higher in price the car that you want, the more money they'll give you for yours.
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Old 07-07-2007, 03:30 AM
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^^^^thank you
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Old 07-07-2007, 01:07 PM
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Originally Posted by midtowndesi
^^^ sometimes a part of the discrepency in price between dealerships is what car you're trading it in for... obviously, the higher in price the car that you want, the more money they'll give you for yours.
ok, the value of the car is the value of the car, no matter what, and this called Actual Cash Value, or ACV. This doesn't change if you're looking at a Lambo, Land Cruiser, Yaris, or Skateboard. What you are refering to is the Trade Allowance. Trade Allowance is using rebate, artificially inflated retail pricing, and gross profit to allow more than ACV for a trade. KBB has gotten much better at being closer to reality over the past few years, but NADA is still off the charts ridiculous, they are obvious reporting allowances. KBB seems to be a mix of cash and allowance.

The only book that matters is the black book that compiles information from the auctions, this is where the ACV's come from.

BTW, what do you mean "kbb is 12.5"? KBB gives 3 numbers. Everybody thinks their car is "excellent", but in reality, nobody's car is. Well, I take that back, I once took in a Land Rover that was factory mint perfect and had 70k mi on it. The reason everybody thinks their car is excellent, is because they use the phrase "excellent for what it is...." Fact is, excellent is simply excellent. Zero scratches/blemishes, perfect paint, zero stains, zero dust, and nothing needs replacing I.O.W., showroom perfect.

If you get better than fair, it's a good trade figure.
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Old 07-07-2007, 01:56 PM
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Originally Posted by scionofPCFL
Originally Posted by midtowndesi
^^^ sometimes a part of the discrepency in price between dealerships is what car you're trading it in for... obviously, the higher in price the car that you want, the more money they'll give you for yours.
ok, the value of the car is the value of the car, no matter what, and this called Actual Cash Value, or ACV. This doesn't change if you're looking at a Lambo, Land Cruiser, Yaris, or Skateboard. What you are refering to is the Trade Allowance. Trade Allowance is using rebate, artificially inflated retail pricing, and gross profit to allow more than ACV for a trade. KBB has gotten much better at being closer to reality over the past few years, but NADA is still off the charts ridiculous, they are obvious reporting allowances. KBB seems to be a mix of cash and allowance.

The only book that matters is the black book that compiles information from the auctions, this is where the ACV's come from.

BTW, what do you mean "kbb is 12.5"? KBB gives 3 numbers. Everybody thinks their car is "excellent", but in reality, nobody's car is. Well, I take that back, I once took in a Land Rover that was factory mint perfect and had 70k mi on it. The reason everybody thinks their car is excellent, is because they use the phrase "excellent for what it is...." Fact is, excellent is simply excellent. Zero scratches/blemishes, perfect paint, zero stains, zero dust, and nothing needs replacing I.O.W., showroom perfect.

If you get better than fair, it's a good trade figure.

I could not say it any better. No matter how you tell the story/show the numbers inflate the trade value or show a deep discount in the car you are buying it all works out the same. The differance figure is always going to be what it is. Some people feel better on seeing more for the trade while others love to see a large discount off the sales price. Bottom line your trade is only worth its ACV and thats that.
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Old 07-07-2007, 02:20 PM
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I don't mind the no haggle pricing on Scion cars. About $17,000 for a new xB is a great deal to me. I don't know how Toyota does it. I've always hated haggling over the trade in value of my car though. How is it that dealers can vary so much on their trade in values? $2000 on a $12,000 car is a really big difference. When you apply that to a new car loan at 6% interest thats $38.67 a month more over 5 years.
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Old 07-07-2007, 02:24 PM
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I agree. It doesn't always work out the same. Since we're interested in, or purchasing, "Pure Pricing" vehicles, Trade in value is a very integral part of our purchase. I shopped for my xB at three dealerships all within 30 miles of each other. My trade in value swung $1200 between dealerships. Gee, where did I buy? At the dealer that gave me $1200 more than the other. A dealerships resources are also important. Where they gave me the most money, they were in cooperation with a franchise selling the make of vehicle I traded in. Therefore they didn't forsee having to wholesale the vehicle at auction.
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Old 07-07-2007, 02:32 PM
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Do you think me wanting to trade in my xA on for a xB will benefit me then?
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Old 07-07-2007, 02:39 PM
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WOW theres alot said in this thread!!!!! i dont even want to really get started on this topic..... but all i have to say is you will soon find out what its like to buy from a dealership that doesnt care about you!!!! youll see why its better to go to a dealership with a good track record or a salesman that treated you wright!!!! when it comes to buying a scion.... were not selling you a car were selling ourselfs and the dealership!!!! you can go anywhere and get the same price for the car and yes, some dealers do charge different prices for warranties and what not, but you dont have to buy them... its an option!! plus if you were smart then you would go to the dealer that treated you better and tell them that you went to another dealer and their warranty price was better!! 9 times out of 10 there going to work with you!!!!


you know a thread like this really ____es me off bc alot of people have been mistreated or have had bad experieces with dealers and they think that there all like that!!!


BUT WERE NOT!!!!!


some dealers will play with you but thats why its worth going to a dealer that will take care of you... so down the road when you have a problem you can call them and talk to them and they will take care of you.... i dont know about other dealers but i still have people come in and just talk to me for no reason... i have people come back to me and ask me my opinion on things(what i recomend for parts and so forth) people call me when they have questions about their cars, people call me when they want an oil change ....




plus really i dont know how anyone is getting a better deal on warranty??? scion is pure pricing!!!! the warranty is what it is!!!!! dealerships arent allowed to change the price of the warranty!!!!!



oni424, no she doesnot work here anymore!! and to be honest with you ive heard that she was a joke form alot of people.... but im not judging her!!! ive never met her!!! but if she let you get away bc another dealer beet our trade, then there is something wrong!!!! i know for a fact that we NEVER let another dealer beat us on a trade!!!! if you would have told her that she should have gotttin browns price beat!!!!
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Old 07-07-2007, 03:07 PM
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Originally Posted by BozzMan
I don't mind the no haggle pricing on Scion cars. About $17,000 for a new xB is a great deal to me. I don't know how Toyota does it. I've always hated haggling over the trade in value of my car though. How is it that dealers can vary so much on their trade in values? $2000 on a $12,000 car is a really big difference. When you apply that to a new car loan at 6% interest thats $38.67 a month more over 5 years.
Listen, I don't blame you at all on that, not even a little bit. different dealerships have different guys eyeing trades, with different ideas on what that vehicle will bring at auction, at retail, and what kind of profit they're looking to make. And that's where the differences come in.
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Old 07-08-2007, 01:32 AM
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Originally Posted by scionofPCFL
The only book that matters is the black book that compiles information from the auctions, this is where the ACV's come from.
So where do we get this "little black book"?
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Old 07-08-2007, 01:48 AM
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Originally Posted by fullFXtc
some dealers will play with you but thats why its worth going to a dealer that will take care of you... so down the road when you have a problem you can call them and talk to them and they will take care of you....
I don't need a salesperson to "take care of me".

I don't need a salesperson to "help" me.

I find sales people to be the opposite of helpful. They are a hindrance, an annoyance, and a distraction when I am trying to evaluate cars.

Like others have mentioned, I'd prefer to never have to ever deal with a salesperson or a dealership. I'd buy right off the internet if I could - factory direct. That would be awesome. But that will never happen because the dealerships have a trade association which fights every attempt to change the entrenched system.

So no, dealerships aren't looking out for customers, they are looking out for themselves.

Sales is a technique of emotional manipulation. They try to make you feel sorry for them so that you will be more willing to part with your hard earned dollars. And every time a dealer says something like "it's not fair that someone went somewhere else to save a few bucks after we helped them" that is just another example of a sales technique used to manipulate people's emotions and try to get them to feel sorry for them.

Pure pricing is a step in the right direction. Unfortunately, it clearly doesn't go far enough.
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Old 07-08-2007, 03:24 AM
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Default Re: Pure Pricing still leves room for haggling

Originally Posted by avus
i didn't want to bother reading the following posts of all salesmen are a$$wholes and scum...
Things like this scare me, is there any reading comprehension anymore? No wonder our children can't read, type or understand things, even the adults can't it seems.

Toronado, I'm with you all the way...
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Old 07-08-2007, 04:27 AM
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Hey next time you shop for a car do it a night when the dealership is closed. When you have a question don't ask the dealership look up the answer on the web. When you figure it all out and have all the answers you need and found the car you want hit the send button and wait for it to arrive. Look guys I don't get it everyone else in the world is allowed to make a profit, Home Builders, Clothing Stores, Electroinc Stores Furinture Stores Ect. But when it comes to buying a car new or used we all want to pay dealer invoice we all want the best deal. You know the average car deal is only about 4-8% profit when you buy clothing its about 75% profit that new TV 125% profit and so on. Nobody thinks twice when buying that TV or that cool shirt but man buy a car and you all want it for close to dealer cost. Ever think about how much it cost to run a dealership or how much it cost just to by the franchise. Go figure why they need to make a profit. Think about it how much does the place you wok at need to make to stay in business. Is 4-8% profit really that much to expect to pay above dealer cost? I am in the business have been a tech for over 13 years and have been in sales for the past 3 years. I live and breath cars and have a true understanding about dealer operations. Yes if you are not ready to wheel and deal you will more than not pay too much. As much as I hate the whole process it is just part of buying cars. As I always say the best deal you will get is the one that will get you to buy the car. I know it sounds cheezy but think about it if you are going to walk away from a car deal due to price if the dealer can do better they will to save the deal if they let you walk away you just got the best deal they could offer and they will let you walk vers loose money to sell a car. No body can stay in business loosing money .

Oh one last thought got to love this one. Well sell me the car at cost and make up the loss on the next buyer. yep hear that one all the time. Guess what the guy before you got it at cost and now you get to pay a little extra.
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Old 07-08-2007, 04:40 AM
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Actually I do indeed do all my research on the web. I don't ask any dealer any questions, they never seem to have the right answer anyway. I'll lead my life my way, you lead yours your way. If I could just order it online, I would. End of story.
Dealerships make plenty of profit in the Financing and Service departments. I saw plenty of numbers to back that up.
There's a reason for the negative stigma surrounding buying a vehicle, it's well earned and I don't feel sorry for something the industry brought upon itself. I'm certainly not willing to pay for it, I have my own bills and my son to raise. Does anyone feel sorry for me? Nope, and I don't want them to either.
I shop online for just about everything, car shopping is not the only place I'm worried about how I spend my hard earned money.
Pure pricing is a good start as stated, hope it goes further.
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Old 07-08-2007, 06:03 AM
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Originally Posted by uberspeed
Dealerships make plenty of profit in the Financing and Service departments.
True. And don't forget the used cars! They have much better profit margins there. Because it is much more difficult (if not impossible) for a customer to know what the true dealer cost is on a used car. So they can claim whatever they want and there is no way to verify it. Just look at how little they pay for a trade-in vs. what they would sell the same car for. And even if they put a little into fixing it up, their actual cost to do that is super low because they do it in-house.
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Old 07-08-2007, 06:33 AM
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For many years I bought personal cars through the "fleet" side of dealer organizations. I'd walk in with a complete order, made up from the fleet books we had at the office, hand it to the person who handled that sort of order, get a price and expected delivery date. The prices had holdback, flooring, etc. etc. all backed out of the price, then a fixed X% profit added for the dealer. Essentially "Pure Pricing."

When I no longer worked for that same corporation, I tried walking in and doing the same sort of deal> Here's what I want, what is your best price, one shot, no haggling. 3 out of 4 dealers didn't understand the concept, and tossed me a ridiculously high price, then would follow me out to my car, dropping the price with each step.

I patiently tell the salesperson, and the guy from 'the tower' if he was following me by now, that they had ONE chance to give me best price, and since they were dropping the price as we walked, the price they gave obviously wasn't their "best."

Amazingly, at the fourth dealership they understood my plainly spoken request, and gave me a solid best price (much better than the "initial offers" from the other three). I ordered the car on-the-spot.

Now, on to Scion.

My experience at the two Scion dealerships I bought my two Scions from were very much like a fleet sale: Here's the price, here's the tax, here's the charge ($35) if you finance, do you want one?

It was so refreshing to be back in that type of environment again. The salesmen had to spend a minimum of time with me, the finance weasel didn't get the extras they live for, and I was very happy with the experiences. Yeah, they didn't make as much money as they could have if they sold 'em like the Toyota side did, but it didn't cost 'em much to make the sale, either, and the salesman and I both had time for a leisurely cup of coffee while finance printed up the paperwork.

Pure Price can work and should work. It actually has twice for me, at two different dealerships.

Tom
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Old 07-08-2007, 06:42 AM
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Scion has a pure pricing policy but our buyers' credit doesn't. A 2008 tC at $18,550.00 at 5.35% or at 7.55%, or at 10% can have a payment that fluctuates almost $100 a month.

Pure pricing is at the car level not the financing level ;)
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Old 07-08-2007, 07:32 AM
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Originally Posted by Tomas
the salesman and I both had time for a leisurely cup of coffee while finance printed up the paperwork.
I have a few questions about the pure price process...

If I'm not financing the car through the dealer, and I'm paying cash - essentially getting a check from my bank or credit union for the full amount of the vehicle and handing it to them - do I still have to deal with the dealership finance dept? Or can that step be avoided? Would they still require me to fill out a credit app? Or can that part be skipped and proceed directly to the bill of sale?
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