Golf mkVII Buyers - What was the deal closer?

[zardoz]

Hi,

Shopping around for a wagon and it seems nobody has a fully optioned one available so it looks like a factory build. Dealers aren't willing to move much on price since it's a new release. How much -are- they making out of this and how far could they be willing to go?

Hoping to avoid finance this time - perhaps it's best to disclose that after agreeing on price? Happy to talk about extras (paint protection etc) once I have a firm delivery date at least to make them -think- they're going to do better.

When I picked up the mark 6 wagon, I test drove a Calais wagon the same day and wasn't a fan. Perhaps the VF is an improvement.. but since I prefer the smaller vehicle, the Golf Wagon turns out to be cheaper (actually, so does the Passat, incidentally)...

I've got three dealers I'm willing to buy from and will be going with the cheapest price. I have one dealer I'd prefer to give my business to, however. Will using a tender method piss them off instead of build loyalty?

[NewBuy]

NewBuy - get a great price on a new car

Hi all

Let me start by saying we are a new sponsor of this site and dealer negotiations are what we are about.

In my experience the best way to buy a car is to set your own price and tell the dealer - take it or leave it. If they say no, walk away. Try another dealer, re-evaluate your price etc...

To make it easier we've built a website that lets you set a price and push your offer out to every dealer instantly! That puts extra pressure on dealers to accept your offer before another dealer does.

So if you're in the market for a new car check us out at Home - NewBuy.

James

[Dutch77]

I've got three dealers I'm willing to buy from and will be going with the cheapest price. I have one dealer I'd prefer to give my business to, however. Will using a tender method piss them off instead of build loyalty?

It's business - if it pisses them off then maybe they're not the preferred dealer. I'd be inclined to get the best price and then, if it's not your preferred dealer, go to them and explain your keen on dealing with them so can they get to $x price level.

Also remember that quite often the best price can only be obtained after signing an offer - so don't be afraid to lowball on that and then look to negotiate (as long as you're happy to buy at the offer price should they accept it).

[ziggyboy]

Hi all

Let me start by saying we are a new sponsor of this site and dealer negotiations are what we are about.

In my experience the best way to buy a car is to set your own price and tell the dealer - take it or leave it. If they say no, walk away. Try another dealer, re-evaluate your price etc...

To make it easier we've built a website that lets you set a price and push your offer out to every dealer instantly! That puts extra pressure on dealers to accept your offer before another dealer does.

So if you're in the market for a new car check us out at Home - NewBuy.

James

Hi James. This sounds great. I would love to be able to just set the price and get a straightforward answer on whether I can buy it at that price or not.

Negotiations do take a while if you wanna get the best price. Worst thing about it is that salesmen know if they can sell it at a particular price or not, but drag you down a path of unnecessary negotiations to get you to pay more or sell accessories you don't really want. I know it works for others but not for me as I just keep saying no. Would be good to cut the crap and just tell me whether its ok at a price or not!

Just a question: how is this different from a car broker? What's your commission pricing like?

[DV52]

I just hope you don't mistake my upbringing as being too money centric. My parents are Christians and I was brought up as one (though I'm not one anymore), but every single person on this planet will have to participate in some form of commerce in their lives. I'm sure even the pope concerns himself with Vatican financial matters and church purchases. I just want the best price I can get anything .....

Ziggyboy:whilst I'm not of Asian background, I also was raised a Christian. And like you I'm no longer a believer (agnostic now). My experience has been that being, or not being religious makes no difference in ones attitude to negotiation. Some of the best proponents of the art of negotiation have been devoutly religious.

The most important thing about negotiation is to remember that it is what game theorist call "a net sum game". It's amazing how many people forget this simple principle.

And yes, I'm certain that the pope is an expert in the art of negotiation. Perhaps he doesn't use his skills for financial gain (after all the Catholic Church's objective is not about attaining wealth - hmmm). But, I don't believe that someone gets to be the head of such a humongous organisation without being an extremely proficient negotiator. Doubtless " our Aussie George" (Pell) will need to hone-up his skills in his new role!

[peanutz]

Deal closer for me is price, salesman's attitude, and time taken to negotiate. I bought Golf Highline last Saturday. The first dealer was too busy to talk to me. No problem, I moved on. The second dealer lied to get me in as I was considering Comfortline and Highline and they said they had Comfortline. When I went over, they didn't have one. Not sure because I told them I need a car as I sold my old car and had nothing now, they didn't want to budge on the driveaway price but kept bragging about how good the car is. I walked away, they then offered $1k discount, after they slapped on $500 for metallic paint at the start, pending manager's approval. The third and last dealer got my message that I wanted to talk price and nothing else so he started off by including metallic paint in the driveaway price and coming down from there in much lesser time than I spent with the second dealer.

[NewBuy]

Hi James. This sounds great. I would love to be able to just set the price and get a straightforward answer on whether I can buy it at that price or not.

Negotiations do take a while if you wanna get the best price. Worst thing about it is that salesmen know if they can sell it at a particular price or not, but drag you down a path of unnecessary negotiations to get you to pay more or sell accessories you don't really want. I know it works for others but not for me as I just keep saying no. Would be good to cut the crap and just tell me whether its ok at a price or not!

Just a question: how is this different from a car broker? What's your commission pricing like?

Exactly!

We charge the dealer a fixed dollar-price on contract signing.

There's no fee to the buyer for building their car/options etc and submitting it to the dealers, who then consider the price and transact if they can accept that price. No negotiating, no drama, just straight forward 'can I really sell the car for this much' yes or no.

We're more like a portal to the dealers, It makes the dealers experience easier because its a committed yet anonymous and proteted buyer until a deal is done, and more powerful to the new car buyer, as the price and options are set by the buyer - take it or leave it.

[DV52]

Exactly!

We charge the dealer a fixed dollar-price on contract signing.

There's no fee to the buyer for building their car/options etc and submitting it to the dealers, who then consider the price and transact if they can accept that price. No negotiating, no drama, just straight forward 'can I really sell the car for this much' yes or no.

James: Like Ziggyboy I also consider your product to be innovative. At first, I thought that you were acting as a buyer's advocate. But having now read the FAQ on your website, it seems to me that you are providing an "introduction service" between buyer and seller - a kind-of intermediary service. If I understand your business model correctly, there would appear to be a degree of alignment between your service and many of the folk on forums such as this.

Whist I'm sure that your business will indeed prosper, the presence of new entrants like NewBuy is proof positive that the (normal) process of buying a car is far from efficient. In fact, the reason why NewBuy can offer its customers a service with real value is because the usual practice of buying a new car is so fraught with problems. Just read the issues that have been identified in many of the posts to this thread if there is any doubt about the tribulations that new car buyers have to face. And it needn't be so. Clearly the founders of NewBuy have been bright enough to see these problems as an opportunity and to create a product to fill the gap - well done!

The above plaudits notwithstanding, I'm still confused about your response to Ziggyboy's question regarding the commission structure. When you say "There's no fee to the buyer for building their car/options .....", who actually underwrites NewBuy's commission to the seller under your service?

My last bit of praise to NewBuy relates to your decision to sponsor VWW. I have absolutely no idea of the funding arrangements for a site like this, but I doubt whether the expenses incurred can be sustained without the support of companies like yours. I hope that the relationship is a long and profitable one - thanks.

[DV52]

Deal closer for me is price, salesman's attitude, and time taken to negotiate. I bought Golf Highline last Saturday. The first dealer was too busy to talk to me. No problem, I moved on. The second dealer lied to get me in as I was considering Comfortline and Highline and they said they had Comfortline. When I went over, they didn't have one. Not sure because I told them I need a car as I sold my old car and had nothing now, they didn't want to budge on the driveaway price but kept bragging about how good the car is. I walked away, they then offered $1k discount, after they slapped on $500 for metallic paint at the start, pending manager's approval. The third and last dealer got my message that I wanted to talk price and nothing else so he started off by including metallic paint in the driveaway price and coming down from there in much lesser time than I spent with the second dealer.

peanutz: congratulations on buying the Higline. You will find it an absolute delight to drive (as do I)!

[ziggyboy]

Exactly!

We charge the dealer a fixed dollar-price on contract signing.

There's no fee to the buyer for building their car/options etc and submitting it to the dealers, who then consider the price and transact if they can accept that price. No negotiating, no drama, just straight forward 'can I really sell the car for this much' yes or no.

We're more like a portal to the dealers, It makes the dealers experience easier because its a committed yet anonymous and proteted buyer until a deal is done, and more powerful to the new car buyer, as the price and options are set by the buyer - take it or leave it.

Sounds like a dating website The process seem very similar.

What would be better is if you can take my deposit money and give it to the first dealer that agrees on a price. It gives the dealership the assurance that I'm a serious buyer....because this also has the potential to turn into a back and forth negotiation process (from what I have read dealerships can counter offer).

Something like:

1. I want the car for $27k.

2. I enter my CC details and you debit an amount I'm willing to put up as deposit (ie $500).

3. You perform an auth on my CC for $500

4. Dealers see my offer and that a $500 is up for grabs to accept at that price.

5. A dealer accepts my offer

6. $500 is debited from my CC and credited to the dealer's account

7. We finalise the contract

8. Money is "released" to the dealership

Buyers need protection in case the dealership accepts but tries to renegotiate.

[OilBurna]

Give the stealer your lowball price and expect to walk or be told to walk. Recent buying experience dealer told me to give him a figure I did and expected to be told to walk but he said let me put the number to the regional manager. He came back with a figure which was 500 higher so he agreed to chuck in a tint and first service free so both parties happy.


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[OilBurna]

Also good to go in late on a Saturday at the beginning or end of the month


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[ziggyboy]

Holy crap you already do all that! Sorry just read the complete FAQ now.

Good job!

[marcsamus]

The deal closer would have been the dealer having the car they said they had when I sent the purchase order through. I remain golfless

[NewBuy]

[QUOTE=DV52;1036351]James:
The above plaudits notwithstanding, I'm still confused about your response to Ziggyboy's question regarding the commission structure. When you say "There's no fee to the buyer for building their car/options .....", who actually underwrites NewBuy's commission to the seller under your service?

Thanks for the positive comments DV52. As for fees NewBuy will invoice the dealer after the event for each successful transaction. The fee is a low fixed dollar amount per transaction, not a percentage of the car price.