Never said that stroked. You and Stoppie are missing my point and all others are getting it.

I will speak slow. cuz you two are in the biz

Gm and Ford and Chrysler offered 0% interest to move product. They also offered large incentives. They never offered both to clients. Whether you paid 0% interest and full price or some discount as someone stated or you paid cash and took heavy discounts, gm, ford and chrysler didn't give a shit. The price for financing the 0% deal was kept in the sale price of the car. Whether its 5k or 10k or as someone mentioned earlier with a Porsche example they got their money. Porsche offered 15k off or 1.9 percent finance. Do you think the dealer sucked that 15k up? No Porsche did. They charged the dealers less for those vehicles if clients took advantage of it. This is exactly what the big 3 did, they offered 0% and charged the dealers more for this car if clients took advantage of it.


I guess I shouldn't have used interest but it is really no different. Stopple I also wasn't talking about the kickback checks to the dealers Dependant on the number of cars sold. That still is in place whether the dealer sells financed or not.


I never stated that the sale prices were the same so the 30k example given makes no sense

Mercedes for example is different. When MB offers low financing thru whichever means they can their cars have so much profit already they are just taking a small token off the MB bottom line. Demand for their product over the years hasn't required much incentives but I am sure stopple knows of some and I am sure in the years to come we will see plenty more.

Leases imho are even worse than finance as I keep saying there typical is tons of profit for the leasing company to take over these cars. If there wasn't huge numbers no one would lease. I am sure stopple has written up lease deals on several occasions that he just laughed after the customer left with huge down payments and massive monthly payments totally way more then the normal huge depreciation curve of MB's

He would be lying to us if he didn't.

 

uh, that would be a negative. I only laugh when people who are allegedly fairly intelligent STILL don't understand the whole spectrum of the auto-bizz. Unlike some of you, who probably have been ass-raped by your local dealer, I do not do those sorts of practices. No, I don't work for free and do well for what I do. But I earned it.

What I also find comical is people who have purchased a LOT of cars STILL insist on using broadsword statements and mentalities when speaking about cars and the automobile business as a whole.

More plainly, I'll use an analogy so you understand:

JUST BECAUSE YOU HAVE BLACK FRIENDS DOESN'T MEAN YOU'RE NOT RACISTS. JUST BECAUSE YOU'RE BLACK DOESN'T MEAN YOU'RE NOT RACIST.

Get it?

just because a person has purchased a lot of cars doesn't mean you know exactly wtf you're talking about.

Each automaker is unique; as well as their programs, how the profit is made, and where it is made. As is each dealership. No two, are identical. I can assure you that our business practices are different than Brobbins dealerships business practices as well as when Cstroked was in the bizz.

There are MORE variables to which you refer than you're allowing your brain to comprehend. Thus - NO two car purchases are exactly identical (unless you happen to purchase two identical Chevy Malibu's at the same time, but why would you do that?! LOL)

If you think I'm laughing all the way to the bank, than the Ferrari and Lambo guys must just have swimming pools of money.

But I digress; the DEALERSHIP has ZERO control over the residual. Say that over and over to yourself. THE DEALERSHIP HAS ZERO CONTROL over the residual.

Let that sink in for a bit. and then think about how it relates to the dealership and each transaction.

 

A) I never once stated you had anything to do with the residual on a Lease. Your F and I just controls who they call to get said Lease. You are a car salesman not a banker. I stated several times Banks are smarter than you think and they are in this game to make money and make money they do.

B) I don't think there is much money in car sales themselves. I have 6 friends that own dealerships and new car sales are ok portion of the business but not the money making portion. Yes all of them never complain about the monthly kick back check.

C) You know you've sold several cars over the years wondering why someone would sign up for "said" lease and you also know that those "said" leases were used by your clients to buy something they really shouldn't have. If you deny this Stoppie I will call you out.

Leases are a tool to help people into your product only.

I've not purchased a lot of cars. I have also never leased a car. I have asked 4-5 times what a lease would be on a car. Funny thing is the last one was a MB It was when those CLS things came out and I went in to find out about them. I think they were like 75k. Not sure but the lease was something like 1400 per month for 36 months. I just laughed at him when he said it. I've never even had a house payment that was that high. I wouldn't have slept at night I'm sure.

Stoppie if you think I am calling you a crooked dealer I am not. I am telling you that you aren't a car salesman if you haven't sold a number of cars wondering WHY the person actually ended up pulling the trigger on it. Just saying you wouldn't be human if you didn't. I have one employee that makes a pretty good living 40hrs a week and close to 100k. He's got enough burden by his ex-wife that his truck (standard dodge nothing fancy) had to be financed for some stupid number like 6 years so he could get the payment he could afford. My guess is it happens 7 of 10 times or more that that person really shouldn't buy said vehicle.

Am I wrong?

Let that sink in a bit
I do know a lot about the business and know that if I didn't do what I did I would be a car wholesaler. 99% cash business and 90% hands off, title swapping only Money Printing machine.

 

That's the beauty of selling an emotional product Mark. I don't have to do anything buy my job. People have a movie playing in their heads of what their new car or suv will look like, or what it'll do. Sort of, a fantasy. And I help them make that movie a reality.

A normal person would say 'why did so-and-so just spend X, Y and Z on that car?! that's crazy!'

It's not crazy. It's not my position to judge.

Have I ever been like 'wtf, why did they do that?'- it's only when I see smart people walk away from increadible deals- thinking it's going to get better, or not have the ability to recognize such a deal. (I'm not speaking about the bread-and-butter transactions; but the 'once in a blue moon deals-')

Those are the only time I'm shocked or surprised. And that's the God's honest truth. Believe me or not.

Sadly, people are so jaded over my business even when good people are in front of them, it's hard to believe it. I understand it. But it's still a shame.

I know you're a smart guy Mark; but there are MANY componets you're missing- but that's not your fault; you've only been exposed to a limited band-with of the business. I've encountered many Dealer Principals who still don't get it. Personally, I get to witness one who does. My Boss. And we do laugh at those other dealers who don't get it. But thats a different conversation for another time.

Maybe I should come up to your house and we'll talk about it over beers. I'll cook for the Fam!

 

beers are good but could we trust ya on what you put in the dinner


Oh ya you sell an emotional thing. Like I said early on cars are my Hookers and Blow. I've just learned to control the urge.

 

Funny you say that^^^

Husband and wife in the store, car habit- not on the same level as yours;but new P car every 8 months or so. Wife was rolling her eyes but humoring her hubby- I said His wife responded hahahahaha!!!

 

^^^ lol

 

lol

told you, you a legal like Pimp Chris

 

lol, in a sense.

 

Lmao.
Look at this thread revival
Maybe Stoppie and Chase have smartened up in the last year


Oh and 70 % say they pay cash for their cars on this poll


I can't answer to the number but I'm laughing inside thinking that is more than double the reality.



Stoppie can you tell us? Do 70% of your clients write a personal check with no finance?