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The Profitable Dealer

Apr 20, 2008
In today's competitive market, dealers are looking for every edge to increase the profit they make on each vehicle sold. Trying to up sell and convince customers that all the extras are good for them allows a dealer to get that little extra that they deserve. But how much profit is fair for a dealer to make when they sell a car?

With all of the information that is available to the average consumer today, they can very easily figure out what the fair price for a car should be, but when you listen to what people are saying, they seem confused about the car buying process. Toyota Los Angeles Dealers believe that negotiating the right price for a car should be easy, and yes, the dealer should be allowed to make a reasonable profit.

Each customer can pay significantly different prices for the same car, at the same dealer, on the same day, depending on the level of knowledge each customer has of how car pricing works. Dealers expect most customers to negotiate price but unfortunately, negotiating is not the easiest thing to work through. Dealers seem to be able to quickly spot those customers who are not as good at negotiating well and as we all know, knowledge is always the key.

Though the process can be difficult, buying a new car shouldn't be thought of as a war between customer and dealer. Instead, it's really more like a game so the sooner customers recognize this, the sooner they will realize how they can win the game by simply being prepared. Remember, the salesperson's job is to get as much for the car as possible while the customers goal is to pay the least amount so you should be getting ready for war.

Not all dealers operate in this adversarial manner. Dealer in particular regions of the country, Dover Audi Stratham Dealers and Portsmouth Honda New Hampshire Dealers operate under a different set of rules. These dealer do not view purchasing a car as a game, it is a serious business transaction.

Dealers have terms for certain types of customers such as "Minnie the Moocher" for customers who want everything, but are not willing to pay for anything and "I'll Be-back" for the customer who wants to make multiple visits before closing the deal. Customers should not allow themselves to be rushed.

Dealership sales people have known for many years how to push the buttons that will make customers want a car so much that they will be ready to drive it home that very day. They still know how to get the most of you if you let your guard down. For every dealer, the real money is made with the back-end charges. With a good salesperson who knows how to sell, customers can find themselves paying for extras that they may or may not really need, such as an extended warranty, rust-proofing, undercoating, paint sealant, servicing and parts sales - even an antitheft system or a power sun roof if they're not in your budget.

So as many of us have heard time and time again, "Let the buyer beware".
About the Author
Elite Search Engine Marketing can efficiently and affordably administer a quality search engine marketing campaign for you as we have for Dover Audi Stratham, Portsmouth Honda New Hampshire Dealers, and Toyota Los Angeles Dealers
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