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Negotiating with a dealer...

Discussion in 'Ferrari Discussion (not model specific)' started by noahlh, Mar 2, 2004.

  1. noahlh

    noahlh Formula 3

    Aug 28, 2003
    2,225
    NYC, NY
    Full Name:
    Noah
    Anyone have any good tips on negotiationg an fcar purchase with a dealer? The "art of the deal" is always something I'm interested in, but now it's time to put it to work...:)

    Looking at a used 360 -- dealer is about $10k above what I think the car is worth (if not more, given what some people here say these cars are worth). But I'd feel good about the deal paying $10k below their asking price.

    They claim they might be able to budge $1k - $2k, but their price is their price. Are they bluffing? Is there always a 15% pad on the offering prices?

    Should I just hop on a plane, walk in, and lay down $10k less than the asking price in $100 bills and see if they bite? $20k less?

    I'm a serious buyer, able to pay cash, ready to do the deal now, but want to make sure I'm not setting myself up to get screwed...

    Thanks!!

    --Noah
     
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  3. scycle2020

    scycle2020 F1 Rookie

    Jan 26, 2004
    3,458
    potomac
    the car i bought (360 spider) was offered at 36k more than i payed for the car....but the sales person told me there true price was 26k less than the asking price, but i still got another 10 k...offer 5 to 10 k less than what you think the car isworth.. then you can neg. upwards...what are they asking for the car and what t year is it
     
  4. ralfabco

    ralfabco Two Time F1 World Champ
    Lifetime Rossa

    Mar 1, 2002
    23,478
    banana republic of america
    Full Name:
    Israel Beiteinu
    I would like to hear what others have to say on this.

    I heard from Allan F that you can have several knowledgeable synthetic (LOL)
    buyers call and make a low (but reasonable) offer for the car. It would
    have to be people who would know how to ask the correct questions.
    The dealer will not take a low offer seriously; if you call and offer 125K
    for a car listed at 160K. Even worse would be the person who does not
    ask the correct questions. The dealer will just tell the caller to please
    leave his #, and he will call back. Perhaps it would work with enough educated pin prick offers ? Then your reasonable low offer would look good.

    I would also guess that it would also come down to how hungry the
    dealership is to move "that" car off the lot.


    Last day of the month ~ I suppose that is for the hi volume dealers ?
    Anyone else have any tips ??????
     
  5. SrfCity

    SrfCity F1 Veteran

    Nov 1, 2003
    9,842
    Orange County, CA
    Why not continue to shop around? Get a good idea of what the wholesale price is and see if you can get a car for near that. You may find a guy who is thinking of trading a car in and is faced with what the dealer will pay him. Or, assuming it's an older car have the dealer throw in an extended warranty. Now, if the car is exactly what you want, it may be worth paying more for. You could also claim that you have another on the line for $X so you're leaning towards that. Whatever it takes........
     
  6. Brian C. Stradale

    Brian C. Stradale F1 Rookie
    Lifetime Rossa

    Mar 17, 2002
    3,603
    Dallas, TX, USA
    A few tips... you may already know these, though:

    1. Do your research... know what you can get a comparable car for.
    2. Don't get attached... be willing to walk from any deal at any time... if you get wed to it, you'll likely get over-charged.
    3. Make it easy on the dealer... if you want it cheap as possible, make the deal look easy for the dealer... cash-in-hand... no stipulations or contingencies... don't seem to be a prick.
    4. Develop a relationship with the dealer over time... if you want them to make a concession, you've got a much better chance if they like you and don't mind doing you a favor.
     
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  8. Carnut

    Carnut F1 Rookie
    Rossa Subscribed

    Nov 3, 2003
    3,711
    Gladwyne PA
    Full Name:
    Morrie
    Tough to answer without knowing alittle more. Lots of things factor in. The car, what color, equipment condition and how many miles on the car. The dealer and what part of the country they are in. Some dealers pad the numbers knowing they will have to drop the price, others do not. remember a good deal is just a state of mind. I would look around find the car you want and try and get as close to the number you want to spend as possible. I never pay much attention to supposed deals that are way to far from the norm. Kind of like I caught a fish thaaaaat biggggg. Good luck.
     
  9. Texas Forever

    Texas Forever Four Time F1 World Champ
    Rossa Subscribed

    Apr 28, 2003
    47,689
    Texas!
    I agree with Brian. The only "trick" to negotiating is knowledge, all the rest is bs. If you know what you want, have figured out what you are willing to pay, and are willing to wait, sooner or later you will find your car.

    Other than that, the only real tip I have is to let the various sales managers around the country know that you have money in hand and are willing to overnight a deposit sight unseen with the deal contingent on a PPI. Many Ferrari dealers operate under a different model from the typical dealer in that they don't floor plan trade ins. They either take them on consignment or flip them to wholesalers. The typical sales manager has a short list of wholesalers who will do exactly that -- overnight a draft and arrange pickup for the car, all without even looking at the car. So if he is going to fool with you, you have to be ready to deal.

    Good luck, DrTax
     
  10. Kds

    Kds F1 World Champ

    "But I'd feel good about the deal paying $10k below their asking price"

    ----------

    If I were you in that mindset....I'd offer them 15-20K back of their ask and bump myself up 2-3K at a time, until your limit of 10K back of their ask is reached. Each time you bump your offer up justify it's limits with knowledge based on other cars for sale.....use facts and show that you have done your homework....there's 199 360's for sale in the duPont registry right now.

    This way you show movement and don't come across as a hardhead......and you may surprise yourself and get a better deal.

    State that you will tender a large deposit ($50K) and do not attach any hair to the deal. Agree with the others here as well......the fewer strings and hassles attached to your deal.....the happier we are to sell for less.

    Good Luck !!!
     
  11. henryk

    henryk Formula Junior

    Dec 9, 2003
    479
    Door County, WI
    The last 2 Ferraris that I bought where from a F dealer..........both where on consignment. I got a better deal on these, then if they where owned by the dealer. One negotiates with the seller, and not the dealer. He is acting just as a middleman interested in his 10%, regardless what the seller agrees to.

    In both cases, the dealer admitted that he would not have sold the cars at the prices I bought them for. Dealer would have wanted $5K-10K more per car.
     
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  13. JeffB

    JeffB Formula 3

    Jan 16, 2004
    1,121
    Northville, Michigan
    Full Name:
    Jeff B
    I agree with the others when they say shop around. There are tons of used 360s on the market. Do enough research and you will find a deal suitable to your liking. A few years ago I was very close to buying a 355, then I decided to hold off and do a bit more research. I found an almost identical car that had 2k less miles (6k and the first one had 8k) for more than $7k less.
     
  14. noahlh

    noahlh Formula 3

    Aug 28, 2003
    2,225
    NYC, NY
    Full Name:
    Noah
    Thanks so far for the great tips everyone!

    I will report back tomorrow on my success ... I made a deal with someone (not a dealer, as it turns out) today for a car contingent on a PPI ... $9k below his asking price, which is just about where I wanted to be (I gave a bit at the end to seal the deal).

    Details to come....

    nlh
     
  15. Cavallino Motors

    Cavallino Motors F1 World Champ
    Lifetime Rossa

    May 31, 2001
    14,143
    Florida or Argentina
    Full Name:
    Martin W.

    A dealer that deals in these cars hopefully knows the true value of his cars. If he does he will not sell his car for anything less than what he knows the car is worth no matter how many low-ballers call.

    I will tell you do a PPI and you will see how good the car is and then we talk price. That usually puts a lid on low-ballers. Most of them don't buy anyway.
     
  16. exiges

    exiges Karting

    Feb 26, 2004
    199
    Midlands
    Full Name:
    David Brown
    In my recent purchase, I argued that:

    1. The car had been on their lot for a while now.. so MUST be overpriced..

    2. The Lamborghini Gallardo is a lovely car, and must be affecting their sales.

    3. I had bought from the before..

    4. I saw what a HUGE markup they put on the car I sold to them last time.

    5. If it's left standing for more months, it's losing them £hundreds/thousands anyway.

    6. If they drop the price to what I ask, I'll sign for it here and now.

    7. Their inflated prices take into consideration that you'll probably have a part exchange car.. and I'm not looking to part-ex anything.

    8. The car will be coming back to them when I sell it, future profit for them.

    9. It's a cold month, sales are glacial
     

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