The absolute absurdity of auto pricing.

Occasionally I am asked to talk about the car business to a group like the Rotary or Lions.

 I recently gave my usual public presentation explaining the no-nonsense sales approach and culture, and the misguiding tactics some other dealerships use to lure you in. After my presentation, I received a comment from a man that claimed to be a regular car buyer (approximately every 3 years), and he explained one certain situation that sets him off most about other car dealers. He said he will ask their sales personnel about a specific ad he saw in the paper, or a certain sale they are running, and they won’t have any idea what he’s talking about, or if by chance they do, they can’t interpret it. He said not one time has he found an informed sales person that knew about, or could explain the deal that they CLAIMED to offer.

 Here is a great test, when you see an ad with a price call the dealer, if their own sales people can’t explain the “sale” how can they expect buyers to understand it? How transparent can it be? How about if a roof contractor wanted to do your work but could not tell you the price? How about if you went to buy a TV and the checkout person had no clue? Why does this happen in the car business?

 It’s simple the price really isn’t there to sell you that vehicle, the ad price is just there to lure you in. The car advertised includes all sorts of obscure rebates and the probability is there may be nobody on the planet that will qualify.

 It’s no wonder they can’t explain the deal!

 Want an example? I found a local dealer that  had a specific price advertised in the paper, but in order to actually get the price you had to be active in the military while being a recent college graduate, with a competitive leased vehicle, have A+ credit and get this, YOU HAD TO HAVE PURCHASED A CASE TRACTOR WITHIN THE LAST 12 MONTHS. No, a John Deere won’t do, it has to be a Case! I can’t make this up! Do you think this person actually exists?

 So, when it comes down to it, how many people do you think actually qualify for all of these rebates and get the price advertised? Awwwwwwwwwwww you know the answer.

I suggest that the next time you see an advertised price, check out the mouse print (if you can find it), and where it says “all rebates applied"  call and ask about it before you go to the dealer…….you’ll have some real fun!