It will take a high-pressure nozzle. After dealing with most of the auto sales outfits in my wife’s area, it may take that to denude us of the ick.
My wife’s work requires her to drive moderate distances on a regular basis, which means that when her vehicle ceases to feel reliable, she isn’t the only one uncomfortable with that. Call me a sexist pig to your heart’s content: I view it as my personal undelegateable husbandly duty to make sure that my wife has a safe, reliable vehicle. I’m still driving my 1990 Toyota pickup, and with luck, I may drive it for another twenty-four years. She goes through cars in six to eight years. When it’s time to go shopping, I do most of the research, because I have more time to do it.
I have a number of friends, however, who know many things I do not. One goes back with me to third grade: my man Russell Deason, a fellow veteran of Heritage
Child Abuse Christian School in beautiful Fort Collins, Colorado. Among Russell’s virtues is a mean streak when it comes to those who prey upon others, and with his sales background, that’s terrible news for car dealerships.
Before I get on with the story, with Russell’s kind permission, I quote here most of the advice he gave me. I took as much of it as possible, and kept some of the remainder in the quiver in case I needed it. I would like to share it with the world.
RD: “Look and show interest early in the month but walk on all offers. Return the last week of the month when they are desperate to make sales and fulfill their quotas. Continue to string the salesman along all month with teaser contacts (usually less painful over the phone than in person). Beware of the “tie down” questions. Those are designed to get you to answer yes, nod your head and other affirmative actions which in theory make it psychologically easier for them to ask you for the purchase. Drive the salesman nuts by constantly answering those questions ambiguously or negatively. Create a very long objections list to each vehicle you are considering. Dig through every consumer report on each and compile every petty complaint. Salesmen are taught to “answer objections” in ways that allow them to turn the objection in a “tie down.” If you beat them at this game they will become frustrated, their egos get bruised and they get desperate to land your sale because they cannot stand to be beaten at their own game. Finally, beware the “manager.” This person is their most well trained “closer.” They are the party best at the “tie down” and high pressure tactics. Do everything possible to avoid that person until you are actually ready to make the deal. When you do reach that point, insist on changing the chair position in the office. They will seat you back to the door. Turn the chair sideways so you can see the door. This unnerves them as this is a key point in their tactics. Tell the actual salesman to either not stand behind you or leave the room. Make that statement an order. They use that tactic to create an uncomfortable environment. Insist on time alone in the room to read the contracts in their entirety and hold out the possibility you may ask your lawyer to review them before finalizing the purchase. These are all things I was taught in sales training. Use them to your advantage with my full blessing. Please make the salesmen squirm so I can hear about it afterward.”
And I did. Russell, I know this is the best way to thank you.
Unfortunately, it wasn’t practical for us to time it that well. We needed to get Deb a new car, my window of time to help her was July 4, and that was that. But we were well prepared for their psychological warfare, and when they cut loose with it, we made sure it backfired.
RD: “I very much like David’s [another helpful commenter, David Lee] idea of a list the salesman is not allowed to see. They will find that most unnerving. I agree it’s also a very good idea to withhold job, family, downpayment amount or any other personal info back until you are ready to negotiation in earnest. Simply tell them that information isn’t relevant until “you are ready to be closed.” They hate customers who know what the close is and know how to avoid it. Also tell them upfront that you “will tell them when you’re ready to be closed. Please don’t try before that time as I find it offensive and more likely to go to your competitor if you do.” The more you take control of the entire situation the better. Their entire sales system is predicated on isolating the customer, controlling the conversation and narrative, creating a conversation full of the “tie down” (yes it does work on most people), and in hyping the emotional interest you show. Be dryly analytical about your interest in the vehicles. They play on emotion. They prefer the customer who is impressed by horsepower, options, fancy colors and street presence. If you display nothing but a dry analysis which allows no room for emotional manipulation you’ll be better off.”
I steeled myself. I think the points on my ears actually become more pronounced.
RD: “One more thing … the salesman is trained to exhibit positive body language especially when using “tie down” statements. They will nod their heads affirmatively vigorously, touch the vehicle fondly, pat you on the back or any other thing they can think of to reaffirm their desire for you to respond positively. They are also taught to watch for your compliance. So be VERY conscious of this and any time they are nodding yes, nod no. Respond to every question designed to get an affirmative answer (even if you answer affirmatively) with a negative head shake or other action like turning your back on the vehicle or salesman, scrunched face or a fart for that matter. This also confuses the salesman because they aren’t getting their desired reaction.”
We did not really get into this part as much, since we made looking at vehicles the last step, and did so only at the dealership where we had already negotiated what I think was a reasonable price. However, it does apply to most people.
RD: “If you are mindful in person, and force yourself to be cold it’s a great advantage. Go in person only when you are already in a bad mood and have negativity on your mind. Do anything that will put you in that frame of mind before meeting them. It helps.”
That was easy. After a month of emailing with dealer sales representatives, being put on spam lists, having my questions ignored and getting answers to many questions I never asked, the hard part was not being cold. The hard part was not betraying any emotion at all, especially the dominant ones of a) quivering with revulsion, or b) visceral loathing that burned with a sickly greenish-yellow flame.
RD: “Another good help with the in-person contact is to be in a hurry. Tell the salesman you have fifteen minutes and nothing more. Carry a stopwatch or set your phone for one if necessary. Control the situation by announcing the time left every 5 minutes and every minute after the halfway point. This was a tactic actually taught to me in a seminar by a 5 star salesman who used it to put off car salesman when he made his own purchases. He announced upfront, “I’ve done all the research. I know what I want. I’m in a hurry I only have 15 minutes. After that I’ll go somewhere else if you don’t give me a satisfactory deal.” Salesman use fatigue as a tactic. They drag out the sale and the close to wear people down. Thus the “let me go ask my manager” gag done several times before the manager finally comes in to do the close. By then you’re worn down and already beaten down by tie-downs. Don’t give them any time. Always be in a hurry.”
We did this right, though it only factored in on our trade-in evaluation visits. And oh, how they hated it.
RD: “I keep thinking of things. A technique is taught to turn objections into tie downs. The classic example is a price objection. Salesmen are taught to say “so what you’re telling me is that if I could get you this car for x$ you would buy this car today?” They attempt to put the affirmation in your head. The correct response is ALWAYS to say no and to reiterate your objection saying “I was only seeking an answer to the specific question. It does not infer anything further than a desire for information.” This also flummoxes the salesman because they know then you are onto the technique being used.”
We didn’t even let them get that far. They tried.
RD: “They use the same for options or features … “so what you’re telling me is if I had this car in hot pink with power windows and a V6, you’d buy it today?” The kicker is always “buy it today.” It’s a form of psychological warfare. The best defense for this is the hurry. I’ve only got 15 minutes and I have a LONG list of objections and questions. I’m NOT prepared to buy today, I’m only info gathering. If the salesman decides to blow you off because you’re holding your ground then you have the impetus to later to call the sales manager and complain. In turn the sales manager will force the salesman to call you repeatedly to try to make amends. It can be quite an amusing scenario. Always try to appear nonplussed and even a little pissed off with their performance or offerings when leaving. Also, always ask to use the restroom and complain about it’s cleanliness. This usually results in the salesman cleaning the restroom or being forced to do so when he’s being interrogated by the SM about why his contact with you didn’t result in a sale that day. Using the restroom is a good diversionary tactic if you are feeling overwhelmed by tiedowns and other high pressure gimmicks and it gives you an open opportunity to criticize. Also complain any car you sit in or test drive isn’t very clean and doesn’t have that “new car smell” you love so much. Ask if it’s been on the lot a long time, or has been used as a loaner by the service department and if it has been smoked in. This makes them manic.”
We used the hurry very effectively. And when some of their managers follow up, they will not like what they will hear.
RD: “…their system was researched and designed by psychologists. One must be very diligent and aware. Even those like myself who are aware of all these techniques can fall prey to a skilled operator. The best advice is to be obstreperous, hurried and constantly shake one’s head no. The very act of shaking your head no helps to allay the psychological pressures being brought against you.”
And it’s true. If you don’t realize that the whole tactical goal of what they do is to cause you to purchase something whether you want it or not, you can get maneuvered. You can’t play any game well unless you know its rules.
So. With that, our story.
A month beforehand, I wrote to about eight Toyota dealerships in the Portland, Oregon area requesting quotations on specific new vehicles, plus trade-in estimates. In my mail program, I coded their names with an abbreviation for the dealership and a number representing the order in which they responded, so that I could hold tardiness against the tardy. Thus, there was James RMT0, Julian RTT6, and so on. The result informed me that I wasn’t going to like the process.
Some took days to get back to me, and a couple never did at all. Some had communal e-mails, so you never really knew who you were dealing with. Some sent quotes from addresses one could not reply to. Many were semi-literate. Two put me on spam lists, and one actually failed to take me off their list upon the first request. No matter; I got a price spread, a rough idea of trade-in values, and a feel for which dealerships were pushiest, which were stupidest, and so on. All, of course, wanted me to phone them. Not a chance. The vast majority of the responses I got were garbage, irrelevant to what I’d asked.
The trip to Portland approached, and with the necessary funds on accessible deposit, it was time for us all to get serious. I explained our timeframe and the models that interested us, requesting quotes on three models, a quote on an option, a rough trade-in estimate subject to examination, and their work schedule for the upcoming weekend. Four responses came in, of which three were close to fully responsive: let’s call them Theater, Royal Baby, Mr. Wilson, and Witch Trial. (Samira, the rep at Theater, was perfectly responsive–strong props for a businesslike reply. Mr. Wilson’s rep refused to give even a range for the trade-in based on our very liberal parameters, immediately marking that dealership as a trouble spot. Royal Baby’s rep only remembered late in the game, just as I was leaving for the airport, that he wouldn’t be there on July 4, and sent me a colleague’s name. I didn’t bother to record it or ask for him. Let’s call him Walmart.)
Since we were doing the initial visits on July 4, Witch Trial wasn’t open that day, and it was out of the running unless all the rest failed, in which case we’d have to resort to Plan B–going in without some numbers beforehand. Had we found that necessary, we’d have had occasion to use far more of Russell’s good advice. Even so, it was of great value. In retrospect, where we didn’t do it his way, it was because the method we had chosen insulated us from the need to worry about that.
Before I left, I printed out all the quotation e-mails, and organized all the prices into a spreadsheet. The biggest remaining variable was trade-in value. Normally we’d sell the car ourselves, but I didn’t want my wife having to mess with that. Also, frankly, there were a few things about it that could stand to be serviced, and I felt more comfortable putting it into the used auto sausage machine than dealing with an individual coming back to complain that the gas mileage was lower than usual (normal on older vehicles of this model), or that a couple of the indicator lights wouldn’t shut off.
Thus, my logic: go to the three available dealerships and simply obtain a firm trade-in value. Nothing else. And see how they reacted to ‘nothing else’ as a concept.
First, off to Theater, where we met with Samira. She did precisely as we asked: obtained a firm trade-in value, and otherwise did not hassle us. Bear in mind that we already had her pricing, and in order to know what her cars would cost us, we needed only a firm trade-in. We advised her that we were in a hurry, and within twenty minutes we had what we’d come for. Overall, her pricing was second best not considering the trade-in.
We haled south to Mr. Wilson, which was an astonishing experience. Since the individual we’d spoken with was not present, we figured we were starting fresh (albeit with some reality check quotes to consider). Mr. Wilson was a shark tank, with plastic smiles converging on us before we got inside the front door. We asked to obtain a firm trade-in value for our vehicle, and were routed to the ‘sales manager.’ He began to deliver an oration on the dealership’s virtues and methods. I interrupted him, explaining that we didn’t need to hear any of that right now. Amazingly, he attempted to insist: “No, you do need to hear this.” I stood my ground. “No. We are not here for that. We are not going to buy on this visit. If you would like to be considered, we have fifteen minutes for you to evaluate our trade-in.” A frustrated, resentful employee finally undertook this task. While he did that, in a move that creeped us both out, the dealership looked us up in some database, presumably from our previous purchase, asking about us living at an address that was now obsolete.
While we sat in the lounge chairs, we watched another customer being strung along by another salesman as he waited, and he was blissfully vocal: “Goddamnit, I’ve been here three hours. If you guys don’t get it together, I’m leaving!” We enjoyed commiserating with him about the general suckage of car dealerships. I’d just about decided that Mr. Wilson would be at the bottom of our totem pole anyway, because their prices had been least competitive to begin with. The trade-in was reasonable, but not enough to overcome the poor pricing and ick factor overall.
As I was walking around the outside trying to find Deb, yet another salesman accosted me–let’s call him Potato. He’d seen the Idaho tags and wanted to talk, so we talked about Idaho and other meaningless things while I tried to spot my wife. He then switched to asking questions about our purchase. I explained that we were there for a trade-in value only. He persisted, asking rapid-fire questions about what we wanted to buy, and demanded to know why we did not buy today. I politely changed the subject. “You haven’t answered my question!” Potato said, polymer grin masking frustration. I said something else irrelevant. “You’re not even going to answer my question?” he demanded. Yes, demanded–and incredulously. I spotted Deb, said we needed to get going, and walked away. My last memory of Potato was his voice complaining: “I’ve never been treated this way before!”
So, I guess, in his universe, I was required to submit to any and all forms of inquiry, and if I declined politely, I was just a jerk. Nice job, Mr. Wilson.
Next it was off to Royal Baby, where Walmart had offered the best prices and most promising trade-in range. However, Walmart wasn’t working, so I figured I was on my own. I didn’t think that mattered much; surely they would price competitively, and if it was the best deal, we’d seriously consider it. That began with getting a firm trade-in value, and they didn’t give us too much grief about that. Their offer was very respectable, and we retired to Taco Time to eat lunch and consult. Over lunch, we decided to go back to Royal Baby and take the next step. Little did we know how much we were about to learn about the retail auto sales business, and that if we’d thought Mr. Wilson was a bag of foreskins, we hadn’t seen anything yet.
We sat down with a young salesman whom let’s call Julio, and began to talk about what we wanted–we had pretty well chosen one of the three original possibilities. Immediately another salesman let’s call Insurance Beard, supposedly a sales manager, sat down with him. The desk was by the front window, so I promptly turned my chair to put my back against that window. I looked askance at him: “Do you also have a role in this transaction?” Insurance Beard said something vague, which I interpreted to mean: ‘This is Julio’s first day and he doesn’t know beer from urine.’ We explained what we wanted and asked for a quotation. Julio and Insurance Beard left and came back with the list price minus the trade-in–which was much lower than the earlier value given, $1000 lower, in fact.
I kid you not.
I explained that I was very, very surprised, and that I’d expected a competitive quote. I gather that this caused them to think of Walmart, whom I hadn’t mentioned (why should I?). That set off some sort of alarm in Insurance Beard’s mind. He went in the back and dug through some emails, then came out with a look of patient disapproval on his face. “Did you get some quotations from Walmart?” Yes, I had, I said, but I figured he wasn’t here, so I had to start over. Insurance Beard went back, then came out with a hardcase let’s call Elijah. Elijah remonstrated with us for not telling them about Walmart in the first place. He talked over me, and I could tell he was mad as hell. Elijah began to lecture me about how Internet sales and floor sales were totally separate things, that good floor guys sold maybe twelve cars a month, but good Internet guys sold forty.
(As an aside: think about the implications of that. That means that they get a ton of online inquiries, and that those people get much better prices. Salespeople are evaluated on the profit they earn for the firm. That tells you that if you walk into the lot cold, you are getting the very worst pricing. The only way to buy new cars for a decent price is to contact them online, where you can keep a boundary between yourself and the ick.)
Next, Elijah accused me of trying to pit the departments against each other. When I tried to explain that I had no idea how his sales department worked, and didn’t care, he kept talking over me. He finished by presenting Wal-Mart’s original offer plus a couple hundred in movement on the trade–a very good offer, and one we would have accepted if presented by a non-jerk. “This offer is good right now only. If you want to do business, fine. If not, it’s been nice meeting you,” he said, in a tone that contradicted his words.
I wasn’t going to be bullied; I said we’d have to reconsider. I reached to take the paper with the offer. “You don’t get to keep that. That’s my property!” he snarled. At that point, Deb had had enough. My beautiful bride stood up and walked out, instructing Elijah to fuck himself. Brimming with marital pride, I followed her, commenting to Julio (who seemed very disappointed) that I’d never dealt with such an asshole before in my life, and that I was sorry he had to work for someone like that. We’d been told by locals that Royal Baby was a dump, and now we know just how truly awful it was. As we drove away, we marveled at the sort of stupidity that had a sale and destroyed it with bad attitude.
We also now had to think on our next move. While we’d made people uncomfortable at two dealerships, about which I felt zero guilt, we didn’t yet have forward movement on a purchase. I’m a believer that better people should get the business. I’m also a believer that once one identifies the better people, when it comes down to the firm process of making a deal, being forthright can get you places. Thus, I got on the phone to Samira. I explained that we’d just come out of two other dealerships and that we wanted to scrub ourselves off with brillo. I told her we’d like to stop by, if she’d still be there, even though she was a bit higher than the lowest competition. How much? asked she. I do poorly talking or calculating on cell phones while riding in the passenger seat, so I guessed at a gap of $1800 including trade-in, making very clear that it was just a guess. I suggested that if she could meet us in the middle, that would work. She called me back in a few minutes and told me she could come down $500, so that we wouldn’t be surprised when we got there. We still decided to proceed.
When we came in, I did the math in front of Samira. I labeled one column Samira and one Jerk, then put down honest figures as they stood at the moment. That got a laugh out of her. My estimate had been wide of the mark: they were $1261 apart, not $1800. “Samira, half the difference is $630, discounting the buck. Meet me there, and we’ll have a deal.” She checked, and did, as I was pretty sure she would. It was too late to go to the bank for a cashier’s check, so we picked out the specific vehicle and arranged to handle the transaction the next day.
Could we have beaten her up a little more on price? Perhaps, but I gave consideration to Samira’s overall presentation. She was the only one who had done only what we requested and neither pushed for more nor asked unwanted questions. She had done the best job by far. In fact, she was the only one who had done an acceptable job.
How’d we do on pricing? Per KBB, the fair market price is $25,916 out the door. We paid, let’s see: about $23,500. Not bad. However, if we’d been able to time it better, we could have improved that. It surely would have improved in another month. Unfortunately, greater considerations impacted us. I think we didn’t do too badly.
We learned a lot, though, especially about the difference between pre-shopping online and just bombulating into the front door. Let’s distill what we learned:
- If you just walk in the front door, you are a sheep awaiting shearing.
- Advance research and price comparison are crucial.
- Expect a good percentage of the dealerships you contact online to ignore everything you asked them, and to ‘follow up’ with you or put you on spam lists.
- They really do hate when you keep control of the sale, which is primarily accomplished by refusing to let them put you into their patented sales process.
- If they don’t get their way, they get borderline loutish. They may believe they are entitled to demand answers of you.
- They expect to hold all the information cards, and for you to hold and play none. When you play one, that’s cheating. When they play one, that’s smart business.
- You can’t trust Yelp or other online site reviews of any business. There are ‘reputation management’ companies out there busily creating spurious reviews loaded with bologna. In fact, my experience is you should go the opposite direction. Any business with massive amounts of loving reviews, especially with the same ‘customer service manager’ graciously returning all the oral sex in the comments, has quite probably bought them to swamp glaring deficiencies or simply render negative reviews harder to find.
- If you get a variety of offers online, you can use the best one to beat up (that’s sales jargon for negotiating aggressively) the floor salespeople anywhere but the dealership that gave you the online quote. Just don’t go to that same dealership’s floor people, that’s all.
- Trade-ins can vary widely–our lowest and highest offers were $2900 and $4500. You should learn in advance what is the acceptable range.
- Trade-ins are a shell game, and a silly one. Who cares whether they knock $1000 off the price, or give you $1000 more for the trade? It’s all the same unless sales tax is involved (which in Oregon it is not).
- Even if you don’t plan to trade your car in, you can still have them evaluate it, and see how they respond to your insistence that they do no more than that, and ask you no further questions.
It’s still as slimy a business as it has ever been. It has not gotten better at all. The more the dealership brags about how ‘different’ it is than the others, the more you should guard your wallet. You are still dealing with a fundamentally deceptive, dishonest business, and as such, you do not owe it honesty or candor unless someone earns these of you. And after studying Russell’s advice–which fortified us greatly, and in gratitude for which we can’t wait to buy him a decent dinner if life ever brings him our direction–I suggest that when shopping for cars, you consider the words of Anton LaVey (the carny who became a Satanist to shock people, then decided he liked it). I think he cribbed it from an Eastern proverb:
Lie to a liar for lies are his coin;
Steal from a thief, ’tis easy you’ll find;
Trick a trickster and win the first time —
But beware of the man who has no axe to grind.
Never as true as when dealing with auto dealerships.