Why pay full price for a car when you can negotiate with the dealer to bring the price down?
Negotiating with a car dealer is not everyone’s cup of tea. People working at car dealerships do it for a living. An average car salesperson in America meets more than 50 prospects in a week. Think about the mental state they must be in when you walk in through the door. They come to know a lot about you just based on their instincts.
Here are a few tips that will help you while negotiating with a car dealer.
1. Do thorough research before visiting the car dealership
In the age of the internet, you do not have to worry about the car dealer hiding information about the car. Thecomparison tool from US News lets you compare your desired car with other cars and get a detailed report with performance, features, safety, and prices included. What else do you need to know?
2. Let them know your maximum price
This is one thing that you should never hide from a car dealer or a salesperson. Let them know what the maximum you are willing to pay for a particular car. This way you will either get your desired car at your price or the car dealer will refuse to deal with you.
3. Do not interrupt the salesperson while they blab
“Successful negotiation is not about getting to ‘yes’; it’s about mastering ‘no’ and understanding what the path to an agreement is.” Christopher Voss
Every salesperson–irrespective of their experience in the industry– has a script prepared. Don’t get me wrong. There a select few who do believe in winging it and won’t throw the typical salesy lines on you. But they are far and few between.
Once the salesperson is done with his/her script, they will be more open for your suggestions. This is the time to close the deal at a price you can afford.
4. Have some empathy
Empathy is the ability to place yourself in someone else’s shoes and look at the world the way they do. Empathy is what makes humans the most intelligent animal on earth. Use this god-gifted tool into your negotiations and make it easy for both parties to close the deal.
5. Have the questions already prepared
Check out forums likeEdmunds and Reddit(r/whatcarshouldIbuy) to interact with the car enthusiasts and experts for free. The subreddit r/whatcarshouldIbuy has more than 42k car lovers. Ask any question related to buying a new car and you will get plenty of answers. You can ask the same questions to the car dealer to know how loyal he/she is.
The bottom line
You are less likely to do business with the same car dealer in the future. Likewise even the car dealer does not care whether you come back later(unless you are a big shot who buys cars for fun).
It is a one time deal and both parties want to benefit. This is why it is crucial to ruthlessly negotiate and get down to the price that you want.