Cars

[neuromancer]

In one of the PDFs on his site, Tim talks about how to get a car for 60% off. Anyone want to explain how that's done?

[shultice24]

Dang, That would be tight, where did it say that at?

[neuromancer]

http://www.fourhourworkweek.com/bonus/pdf/jedimindtricks.pdf

It's in here, page 1 paragraph 6, at the end of the paragraph. It's one sentence. I want more.

[deanypop]

60% off, say, MSRP, with a trade-in (on a not-too-old car), on a model that isn't terribly popular, wouldn't be impossible. Definitely 40-50% is an afternoon's (hard) work.

But, then, with cars you're dealing from the start with pricing that isn't "real".

Maybe if he meant "Paying 60% OF full price on a new car" (40% off), that as I said should be totally doable. With a trade-in. On an overstocked/non-moving model. ;)

[neuromancer]

here's the text from the PDF:
To preserve the flow of the dialogue, the principles are put in parentheses ()
when used and then summarized afterwards. I have used three of them alone
(1, 5, and 7) to get $700,000 of radio advertising on 152 stations for $10,000,
$20,000 full-page print advertisements for $2,000, and 60% off new cars, and
those are just the most believable.

Like I said, I want to know more.

[OneOfEm]

#1 - Arrive right before the new models come out - the dealer is going to be discounting them shortly anyway, and they know this. Arrive towards the end of the month - if the end of the month and the end of a week coincide, so much the better - salesmen, sales managers, and dealerships have to make weekly and monthly numbers. Arrive 45 minutes prior to their close of business for the day - car salesmen and their managers have families, too, and it puts pressure on them to deal quickly.

#5 - If you've noticed, car salesmen always have to "check with the sales manager" on any offers. You should have someone you have to get approval from, too (on the phone). The salesmen won't like it, because it levels the playing field, but you'll keep them dealing with #7.

#7 - First, be ready to buy "today." If that means getting pre-approved by a credit union or bank for a certain amount, perfect. If that means you already have a large cash down payment, that will work, too. Bring a checkbook and write the check for the down payment at the very beginning of the negotiation (use a thick, dark pen, and write the number big - you want the salesman to be able to read the number as soon as you write it). Then, the salesmen knows that if the deal dies, he didn't lose a customer, he lost a sale. If you're bringing in a cash down payment, bring a stack of hundreds. They'll take it to their cashier immediately, but the sales manager will hate the idea of giving it back. No one deals in cash buying cars anymore, so it gets the salesman's attention like checks can't.

If you have to bring in a trade, be aware that you'll be negotiating two separate deals. Dealers like to combine them so that they can make one side (whichever matters to you) look great. One way to handle this is to say up front that you don't have a trade, then, once you agree on a price for the new car, "my boss changed his mind about the trade." Again, they won't like it, but it's already after closing time at the end of the week/month, and they'd like one more sale before it ends. Don't let them change the agreed-upon purchase price.

Last, since you're completely prepared to buy "today," let them know that by saying, "If you can do $X, I will buy this car right now." Again, if you've already worked out financing, you speak with authority. They know you can buy if the deal is made.

(During sales training that auto manufacturers put on for their salesmen, they teach their salesmen to use #5 and #7, as well as other techniques. It's very common to have salesmen say they need to run the numbers by their manager. You'll also hear them say something like, "If we can do $X, would you buy today?" This makes the customer imagine driving out of the dealership *right then* and it's still not a promise that they can do $X. Often they'll return back "from their manager" and say something like, "he couldn't do $X, but he can do ($X+$Y)." They also write down the "offers" and have you sign them to make them look permanent. It's not permanent until you've both agreed.)

[OneOfEm]

One other thing - weekends, holidays, and any time between the beginning of November and the end of the year are terrible times to buy a car. That's when dealerships typically make the most sales, so the pressure is off. Thursday evening at/near the end of the month is the day/time to buy.