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Originally Posted by chipj29
sa, great post with lots of excellent insight!
What are your thoughts on the employee purchase programs out there? My employer offers a discount through the big 3 US manufacturers. Is it even worth to mention, or do you lose all your negotiating power?
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Depends...I am most familiar with Ford.
If it is "X" plan (AKA: Friend and Family) it truly translates to a price anyone can get with a bit of effort. Not really the best deal...just a fair deal for both parties. Truth is, the customer always wants to make the fantastic deal, and there is always a dealer willing to take it. X plan is good, not great. A plan or D plan...reserved for direct employees of Ford or dealerships...you won't find a better deal.
Also, with regard to everyone saying "this place or that place won't match the price"...well, it simply is this. Do you want to keep the $ local or not?
Think of it like this...if you go to "Joe's Hardware" for a widget on a Saturday afternoon, it might cost $5.00, and he might sell 25 widgets a week. Well, Home Depot is 3 miles away, and, because they sell 1500 widgets a week, they sell them for $3.75. You spend the $5.00 for 2 reason. 1. It is closer. 2. (and more importantly) You like the fact that when you go in there, they call you by name, ask how the family is, talk sports for a while, chew the fat as you browes a bit, and maybe offer you few tips on the project you are working on. They are friends. They know
you. They like you. They are happy you are their customer.
But guess what...there are no longer "Joe's Hardware" stores on every corner. In fact, they are quite rare. Home depot took care of that, didn't they?
And so, when price is all you care about...and will drive to the super store in Maine or Portsmouth to save some $$$ (of course with gas, and all of your time spend driving) well, that cuts into it, doesn't it.
And, when you find that little scatch after the fact (2/3 days later) that is totally at the discression of the dealer to fix or not, do you think for a second the hometown/family owned small dealership is going to cover for you? More likey...they will tell you to enjoy your drive back to Maine.
Or if it breaks down for some reason. Is it covered at the small/hometown place? Of course. But if it is a Friday night, and you had weekend plans...or a Tuesday and you have to have it for Wednesday...do you honestly think the place that you DIDNOT buy it from is going to go above and beyond for you. PLEASE!
One day, when I write my book, there will be an entire chapter devoted to the 100's of stories I have, about people that outsmarted themselves. Coutless times.
For some reason, in our society, long ago it became an accepted concept that dealerships are not entitled to fair profit. And now, the family owned friendly places are going away.
How do the huge places do it??? With Volume? No, not really.
They get you there with the price. And then they have a system. Designed to wear down, and defeat even the sharpest of buyers. Some will tell you must finance with them at their rate to get the price, and they make it up on finance reserve (of course, you don't really have to finance it with them...but they'll try you on for size...many people simply "lay down"). And they'll after sell you to death. They are good at what they do. Believe me. They will indeed find a way to do...but you have to be set up to do it that way. You will be turned over from person to another to another. Sit in this office, then that office. It is a system, and it is choreographed. You have driven 50 miles for a deal, the dealership kowns this, and they will wear you down, until you say "whatever...just give me my new car".
The people that do the grinding...they are good at it. It is what they do for a living. The dealship has put this system in place. They are set up to defeat anyone. Not just avarage Joe's...Docotor's, Laywers, Accountants..whoever.
It is only the arrogant SOB that thinks..."oh, they won't get me". Believe me, those are the people that are the most fun to get.
So...drive your 25/50/75/100 miles to save a few hundred.
And soon, when your small, hometown place is gone (you know... the place you love going to for service..but when it come time to buy, well, they just can't quite hit the mark)...when that place closes, you know who to blame.
Right now, for the life of me, I can't figure how Meredith Ford stays open. A single point store, with Irwin and Auto Serve minutes away...but she plugs away and keeps the doors open. For now anyway.
My place went under, over a year ago...after 66 years in business. It happens.
Not any different than all the drug stores from the 50's and 60's on every corner. CVS and Rite Aid took care of those. No more walking in to the corner store, and "Joe the pharmacist" says, "hey, Marie, how's little Jimmy's cold. Did that script clear it up?" days gone by...