Here's a brilliant article from several years ago that crops up on HN from time to time -- an undercover report on car dealerships. It's long, but it's recommended reading if you are planning to buy a car, or if you have any interest in sales psychology:
According to this article, there are two kinds of dealerships -- high-pressure and low-pressure -- and the reporter spends some time working at each. The high-pressure Japanese dealership had an elaborate buying process with many additional costs, delays, and psychological tricks to greatly inflate the final price. "Let me talk with my manager" is used as a weapon.
But online research is a good idea. Some lines from the article:
"Three hundred below invoice," he smugly answered.
I asked how he did it. He said he checked prices on the Internet. He then called the fleet manager and made the deal over the phone.
I had a schizophrenic reaction to this. Part of me admired the fact that he had outfoxed the dealer. But the car salesman side of me was angry that I never "got a shot at him." It seemed like just a matter of time before people who, in the past, walked onto our car lot, would be on the Internet making deals.
http://www.edmunds.com/advice/buying/articles/42962/article....
According to this article, there are two kinds of dealerships -- high-pressure and low-pressure -- and the reporter spends some time working at each. The high-pressure Japanese dealership had an elaborate buying process with many additional costs, delays, and psychological tricks to greatly inflate the final price. "Let me talk with my manager" is used as a weapon.
But online research is a good idea. Some lines from the article:
"Three hundred below invoice," he smugly answered.
I asked how he did it. He said he checked prices on the Internet. He then called the fleet manager and made the deal over the phone.
I had a schizophrenic reaction to this. Part of me admired the fact that he had outfoxed the dealer. But the car salesman side of me was angry that I never "got a shot at him." It seemed like just a matter of time before people who, in the past, walked onto our car lot, would be on the Internet making deals.