Bark's Bites: Are We Getting The Dealer Experience We Deserve?

Mark "Bark M." Baruth
by Mark "Bark M." Baruth

In my nearly 25 years of car buying, I’ve walked into a dealership and walked out with a brand new car more times than most people would in several lifetimes. 14 times, to be exact. I’ve bought Volkswagens, Infinitis, Pontiacs, Mazdas, Fords, Chevrolets, Hyundais, and Toyotas, representing nearly every mainstream brand. And yet, only two of those 14 instances was anything resembling positive.

When I leased a Mazda CX-7 in 2008, I drove to the store in my 2005 Scion tC with two numbers in my head: $279 a month with zero down (the advertised CX-7 lease price) and $9,000 (the amount of money I believed my tC to be worth). The lease was already a strong offer, so I didn’t feel the need to negotiate further, and my trade valuation was based on one thing only — as with most shoppers, it was exactly the amount of money I needed to pay off my loan. The dealer quickly agreed to my terms, as he knew he would be able to sell the tC for $10,500 within 30 days.

The second time? We’ll get to that. But the other 12 times? As Dr. Dre once said, it was like muthaf–kin’ Vietnam. And in all honesty, I have nobody to blame for that but myself.

As car buyers, we expect everything to go our way, don’t we? We want the most money for our trade, but we also want to pay the least amount of money possible for our new car. We want our salesperson to know more about the car than its engineers, but we don’t want them to make any money at all for selling us the car. We want the F&I manager to fight like hell to get us the best rates, but we’d prefer that he get us in and out of his office in two minutes flat without asking us to buy gap insurance or extended warranties.

In other words, we’re awful people. We treat buying a car differently than we treat any other purchase experience. We transform from normal, rational people to sellers in the markets of Mumbai. And it’s because of us that the dealership model is the way it is. We want everything to go our way, we want the experience to be top-notch, but we aren’t willing to pay one extra dime to make it that way. So we deal with terrible salespeople, dirty stores, F&I offices that feel like saunas, and we all walk away feeling dirty.

Now, hold on, you might say, we only behave the way we do because of the broken franchise model. And you might have a point. It’s a chicken-or-the-egg sort of situation. If the dealers would just be honest and forthright, as was suggested in this space only a week ago, we wouldn’t have to treat them like our mortal enemies. But the replies in the comments last week indicated to me that the dealer could show you his financial statements, drop his pants, and bend over directly in front of you, and you’d still think that you were the one getting screwed.

But you’ll gladly go to the Apple Store and pay $750 for a phone that cost $25 to make and walk out completely happy. Scratch that — you’ll wait in line for the opportunity to do it! And you don’t even care because you know that anybody who bought that phone paid exactly the same amount as you did. Nobody got screwed.

Wrong. Everybody’s getting screwed. And that’s exactly what would happen in a direct-selling environment, too.

Oh, were you thinking that the OEMs wouldn’t take every opportunity to pocket cash? Or that owning and operating thousands of factory-owned stores would somehow cost less money for an OEM than selling cars to franchisees and walking away, scot-free? There’s a reason that franchises exist, and it’s not because of laws. It’s because the OEMs don’t want the risk of operating their own locations. They sure as hell aren’t going to want to own a twenty-unit-a-month store in Silver Lake, Indiana; Rapid City, South Dakota; Belleville, Illinois.

And OEMs wouldn’t be satisfied to make zero dollars selling new cars, like franchisees often are, just so they can funnel more traffic to their service departments and get trades for the used car side. No, they’re gonna want to make straight cash, homie. So all of you who are hoping and praying for the end of the franchise model — be careful what you wish for.

But there is a solution to all this madness. We could all pay sticker.

Hear me out for a second. As anybody with an internet connection and an Instagram account knows, I bought a Focus RS not too long ago. You know how I did it? I called a dealer that had one, and offered to pay him the price on the window. He happily accepted.

I walked into the store later that night and shook the hand of a gentleman who was thrilled to be making around $4,000 on the sale of a new car. He instructed the sales rep to go fill my new car with premium gas, and walked me into the F&I office, where all the documents were ready for my signature, pre-filled out with “NO” checked on every warranty and insurance product. Moments later, I drove home in my new Focus RS, the process taking less than 30 minutes.

I returned the next day with the family to pick up my Fiesta ST I had left overnight, and the dealer had been kind enough to wash and detail it for me. Just because. He then offered to wash my Focus for me any time I happened to be around the dealership, and gave me coupons for three free oil changes.

Did I pay too much? Yes, of course I did. But, gosh, it was such a nice experience. And I couldn’t help but think most of it had nothing to do with the price I paid, but rather the lack of an adversarial contest between myself and the dealer. In fact, even if there had only been $1,500 baked into the sale (which is about the average front end gross profit on a new car), I think it would have been just as nice.

So couldn’t we agree with our frienemies, the dealership? Couldn’t we agree to pay just a bit more so that they could hire knowledgeable salespeople instead of overweight tech school rejects? Couldn’t we sacrifice a dollar or two so that we wouldn’t be locked in a hot, sweaty F&I office for hours on end? Couldn’t we agree to maintain our cars a little better so that the dealer could make us a fair offer on our trades the first time?

In other words, can’t we all just get along? I think we can. But who’s going to offer the olive branch first?

Mark "Bark M." Baruth
Mark "Bark M." Baruth

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  • Stevelovescars Stevelovescars on Dec 19, 2016

    I've also had luck with the email multiple dealers technique. I email as many as I can within a distance I'm willing to go with the specifics of what I'm looking for. Last time I did this, half of them never emailed me back, two said to come in and talk, and two gave me prices and confirmed they had what I wanted. One was $1,500 cheaper than the next price (this was a VW Golf, so it was a huge price difference) but he was 45 minutes away. I gave the closest guy (where I had test-driven the car and wanted to give him the chance to match the price) the quote and he said he couldn't match it, he didn't have the exact color/options, either. I drove to pick up the car. It was washed and parked in front of the showroom when I got there. I had done the credit app in advance, so the paperwork was all done and waiting for my signature. I was in and out in less than 45 minutes. I don't know why the price was so drastically different... maybe the cheapest guy had some huge sales bonus to hit from VW that month? Unfortunately, I now live in a pretty rural area and the only other dealers are 2.5 hours away and are mostly owned by the same schmuck (who's wife was recently nominated for Sec. of Education by Trump), so I'll have to figure out a new option when it comes to buy another car. Probably will just focus on something used from a private party.

  • Raph Raph on Dec 23, 2016

    I'd dig direct sales since I think MSRP is fair and I don't go in for anything other than gap if I can't provide a big enough down payment to beat depreciation. I'm also not big on dealer service for basic maintenence and simple mechanical work like swapping worn parts so the extras like free oil changes and basic tune-ups or what-have-you don't factor into the buying experience. I also tend to keep my cars until they are paid off before getting another so I don't stick around long enough to develop a relationship with a salesman or dealership. I'd much rather go to Ford.com and select my car with the options I want then fill out the necessary paperwork and either finance through Ford or someplace else and have the car delivered to a prep shop and drive off.

  • AZFelix UCHOTD (Used Corporate Headquarters of the Day):Loaded 1977 model with all the options including tinted glass windows, People [s]Mugger[/s] Mover stop, and a rotating restaurant. A/C blows cold and it has an aftermarket Muzak stereo system. Current company ran okay when it was parked here. Minor dents and scrapes but no known major structural or accident damage. Used for street track racing in the 80s and 90s. Needs some cosmetic work and atrium plants need weeding & watering – I have the tools and fertilizer but haven’t gotten around to doing the work myself. Rare one of a kind design. No trades or low ball offers – I know what I got.
  • El scotto UH, more parking and a building that was designed for CAT 5 cable at the new place?
  • Ajla Maybe drag radials? 🤔
  • FreedMike Apparently this car, which doesn't comply to U.S. regs, is in Nogales, Mexico. What could possibly go wrong with this transaction?
  • El scotto Under NAFTA II or the USMCA basically the US and Canada do all the designing, planning, and high tech work and high skilled work. Mexico does all the medium-skilled work.Your favorite vehicle that has an Assembled in Mexico label may actually cross the border several times. High tech stuff is installed in the US, medium tech stuff gets done in Mexico, then the vehicle goes back across the border for more high tech stuff the back to Mexico for some nuts n bolts stuff.All of the vehicle manufacturers pass parts and vehicles between factories and countries. It's thought out, it's planned, it's coordinated and they all do it.Northern Mexico consists of a few big towns controlled by a few families. Those families already have deals with Texan and American companies that can truck their products back and forth over the border. The Chinese are the last to show up at the party. They're getting the worst land, the worst factories, and the worst employees. All the good stuff and people have been taken care of in the above paragraph.Lastly, the Chinese will have to make their parts in Mexico or the US or Canada. If not, they have to pay tariffs. High tariffs. It's all for one and one for all under the USMCA.Now evil El Scotto is thinking of the fusion of Chinese and Mexican cuisine and some darn good beer.
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