purchase of a new car
Buying And Selling

How to negotiate the purchase of a new car

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The second largest household expense after housing, a new car is not something to be bought lightly. Once the model has been chosen, it remains to negotiate with the sellers to obtain the best price.

If the negotiation of the price of a new car must be done on tangible arguments, it is not necessary to seek under any circumstances to obtain the highest reduction. Indeed, the margin of professionals on the sale of new vehicles is not infinitely extensible. Unless there is a promotional operation by the manufacturer, a discount of 10 to 12% already represents a good commercial gesture. Be careful, if it is a very popular model such as a convertible, a sports coupe or a “trendy” city car, the seller will not be inclined to grant any discount. However, to make a sale, sellers can make other gestures by offering an accessory or a service. An extended warranty or a maintenance contract are heavy expenses for a household, which generally represent means of sales assistance offered to dealerships by manufacturers. Roof bars, GPS systems, high-end car radios… in the same way, accessories are “gifts” that sellers easily grant, without it costing them too much. Indeed, the margins on these “extras” are higher and give them more room to maneuver.

Adopt a “zen attitude”

The salesperson is often a fine psychologist and can spot a customer in a hurry at first glance. For him, an impatient customer often means a signed contract. You should therefore never let the salesperson see that you are interested in a vehicle or that the purchase is urgent. Enthusiasm and impatience to get behind the wheel limit the possibilities for negotiation. It is best not to get hung up on specific details such as the color, upholstery, finish, model year, etc. This allows you to gauge the offers from competing dealerships in the same network and to know the availability of vehicles. There will always be a salesperson who can satisfy, at the best price, a customer who knows the market but is less demanding on the conditions of choice. Indeed, certain models with atypical colors, certain cars ordered but ultimately not purchased or even models at the end of a vintage or those from a previous vintage  1 are opportunities that “clutter up” the dealerships. These vehicles represent a financial investment or a means of ensuring that the sales target is reached, and sellers are often prepared to make some sacrifices to sell them!

Wait for the right time

While there is no longer really a more favorable period for purchasing, three months remain quite favorable for negotiation: August, September and January. The first two because, traditionally, sales are lower. The third because it is the period of balance sheets and forecast schedules for the coming year. In the same way, it can be interesting to watch out for discount operations and other customer benefits offered by manufacturers. Air conditioning at 1 euro in the spring, ski racks before winter, navigation or audio-video equipment before the summer holidays allow you to acquire a new vehicle for a more reasonable budget. This “free” equipment generally reaches several hundred euros when purchased separately. Knowing about these promotions prevents sellers from passing them off as a commercial gesture.

Buying your car through an agent

One of the ways to get a good price for the purchase of a new car remains that of agents. These service providers offer cars from different European countries at unbeatable prices. Indeed, within the European Union, from one country to another, the same new car can sell for up to 30% less (the average is around 20 to 25%). Although the risks are minimal today, it is nevertheless advisable to go through renowned agents. It should be noted that, although the prices are unbeatable, the disadvantage of this method of purchase is the limited choice of models and versions.

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