Critical Rules for Negotiating the Price of a New Car

Posted on: 29 July 2016

When buying a new car, you may not always be able to negotiate the price when at the dealership; some dealers don't allow their sales staff to haggle but will set a sticker price and accept nothing else. However, there are dealers who will still negotiate with buyers when it comes to a new car, as they may be able to come down on the price slightly and cut into their own profits in order to still close the sale. If you're ready to negotiate the price of a new car, note a few critical rules for ensuring success.

Be polite

Don't assume you can go in and demand a better price and throw nothing short of a tantrum if you don't get it; many car dealers have enough customers that they're not going to tolerate unprofessional behavior from any of them, and being rude may backfire in that they don't lower the price as much as they would otherwise. Be professional so you always keep the communication open with the sales staff and this will help secure the best deal possible.

Follow up

Don't think that your first visit to the showroom is your only visit; you may need to walk away from the negotiation if the dealer doesn't lower the price enough to suit you the first time you meet, but following up can mean finding that they're more willing to negotiate at a later time. Call back on the last day of the month or late in the day on a Saturday or Sunday and your salesperson may be ready to negotiate more, as they may not have sold as many cars as they assumed through the month or may be willing to negotiate just to be able to go home!

Do your homework

Don't think you can just show up at a dealership and demand a lower price for a new car; you need to convince the salesperson or manager of why you should get a lower price. This can mean knowing the price at dealerships in the next city, or knowing the price of the car model that is their biggest competitor. You might also research some drawbacks of the car you want, including its overall expected longevity or problems you might have with it down the road, its resale value, and the like. If you present this information to the dealer during negotiations, they may be more convinced to lower their asking price.

Next time you visit a dealership like Rebel Ford, keep these tips in mind.

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The Future of Auto Dealers: An Auto Blog

Hi, my name is Jules, and as a salesperson, I always like to follow what's happening in a range of sales industries. In particular, I have been very interested in the exciting changes I have seen in the car dealership industry. In many dealerships, sellers have stopped haggling over prices, and they have even evolved past working on commission. Although I don't sell cars, I have researched the industry and want to write all about it. If you are planning to buy a new vehicle, I hope these posts can help you. Please share them with others if you learn something new or useful.