This is just a rant… maybe a discussion starter
Margins on 2nd hand and new electric cars are thin, gone are the days where you could get 25% off a new car, and thin margins mean lower commission.
Servicing costs are minimal so no kickbacks for selling the servicing plans.
People are wise to paint protection and alloy wheel cover that cost more than a refurb.
EV buyers tend to make better decisions and are more likely to be cash buyers or finance elsewhere, so no kickback for selling a finance plan.
Manufacturers still selling higher margin hybrid and ICE vehicles mean they are the real target for salespeople.
Manufacturers also want to shift their ICE inventories and new products so they are still pushing the FUD on electric, and myths like “EVs will be obsolete once Hydrogen cars come out, you may as well get an ICE car in the meantime.”
I’ve had a really bad customer experiences at Toyota, Honda and now Kia dealerships.
I know people will suggest the Tesla online sales model, but Musk is just ruining the brand to the point where I can’t buy or recommend one.
So now I’m going to do all my own research, find the exact car I want, and contact the dealer/seller directly while avoiding as much interaction as possible.
I think you need to look into how dealer pricing works, because you’re making a lot of common incorrect assumptions. The dealer’s margin on a new vehicle is, like 2%. They make a third of their revenue from accessories, a third or more from repair work, and the rest from financing finders fees.
You got 25% off a car because either it was used, or the manufacturer kicked in incentives. Not because a dealer could afford to give you 25% off.
Also, LMAO on hydrogen.
However the dealer achieved it, as a customer when I bought my car 8 years ago I ordered the spec I wanted and a price came up, I said I wanted it at a price the was 25% lower (I had found 24% discounts online) and as I was walking out the building they stopped me and agreed.
For new model cars discounts from car brokers are only around 3% on the cars I’ve looked at.
Probably because their list price was too high. Doesn’t mean they’re all that inflated.
True, but if I went to buy the same car again the discounts would be really big in comparison to the EV equivalent.
You’re talking 25% off MSRP, or worse a locally adjusted market price which isn’t the price people should pay. It’s a suggested price. You should be paying invoice price plus a margin for dealer profit. It would really help for people to know how products sell and what the various prices are, because not knowing these things leads to mistakes like thinking you got an amazing deal by discounting MSRP or even a local market price rather than moving upward from invoice price.