Car Sales Really, Really Suck
I don’t normally link to videos if they can’t be embedded, but this cracked carafe of not good is required viewing for anyone who thinks the U.S. car industry isn’t dead in the water. The interviewee, President of NY’s Major World Auto, offers such a litany of bad news that you half expect Harold Bendell to break down and weep: banks getting out of the sub-prime biz (perish the thought), leasing is DOA, new cars aren’t selling, used cars aren’t selling that well, etc. To which the Fox newscaster replies, “Car companies are in business to sell cars. If they are not selling cars, there’s no reason for them to be in business… what are they going to do?” “If you don’t have a 700/725 [Fair Isaac Corp or FICO credit] score, nobody really wants to look at you the same way,” the harried, hapless car dealer moans. “Who wants to take a chance?” Inventory problems? “I’ve got so many cars that I want to give them away,” Bendell says. Only you know what? I believe him.
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bipsieboy, I am not going to "buy one today," but I am watching the market because it is one of my likely choices if I buy new. I am also looking at used vehicles. I am more than kicking tires. At any rate, the dealership promises a quick, no haggle price. Had it been anywhere close to the discounts they were advertising on Tahoes (same dealer, different lot), I would have gone down there quickly. I would love it if my salesman made a million dollars, but that's not my concern. That's between him and his boss. If he is stupid enough to get paid on profit at a business that lies to him about what profit is being made, then that's his problem. His lack of professionalism was displayed by the second email, so at this point I even care less. I am not a guy who abuses reps for a little money off. I also know that even when a deal makes no money, there is a possibility of a commission, otherwise the salesmen will stop working. If my salesman, who was less than professional, decides to continue working at a place that doesn't pay well, that is his problem. It's my job to get the best truck value for my money that I can. It's his to make a profit for the dealer. I guarantee that I will act more benevolently and ethically than any car salesman I have ever met. I have given training at car many dealerships, so I think I can qualify as someone who knows.
PS, I also know better than to look for my salesan in the event of a problem. He didn't have anything to do with it. Less than 5% of car salesmen today are professional enough to even really help. I know, I have trained car salesmen. It's not their fault. The dealership organizations no longer run their businesses in a way that builds and keeps those kinds of professionals around. Different dealerships have different games going on, but the best I expect to get at a Jeep dealer these days is someone who knows how to play his boss while actually being a semi-professional towards his customers, or someone so new and naive that they still have a good attitude because they haven't figured out the game being played on their checks. If I wanted to be unfair, I would likely never have to pay for a repair on a car even close to warranty, while getting just about anything I wanted. I know how to play the game. I trained service reps, too.
Well, at least if Major World tanks I can stop hearing their damn ads every ten seconds. They can stop telling me they have 2,000 cars on their lot, by the way. Everyone knows. If you spend any time in their showroom, it's easy to see that a good amount of their used cars spent some time in a body shop anyway.
Harold in the video sounds and looks the way Mayor Giuliani looked right after 9/11. As was quoted on Diehard - "the quarterback is toast" Airhen mentions liking both Fox News and Judge Judy. Hmmmm.