I had a dealer recently trying to play games thinking I’m an idiot.
I asked about 15% off and they got back to me a week later saying “Fine, we’ll do 15%.” But looking closely, I saw they bumped up the MF a lot so that the end net payment is the same as standard MF at 12% off. Then when I called them out on that, they brought back down the MF, and then lowered the residual.
Freaking games with traditional dealerships I tell you. Lol.
Dealers can’t touch residual, so if it changed it was because the program changed.
For the rest, asking for terms, I’ve found presenting and requesting them as a package, e.g.
MSRP: XXX
SELLING PRICE: XXX -YY%
INCENTIVES: XXX
XX MONTHS / XXK MILES PER YEAR
BUY-RATE MF .XXXXX (.XXXXX AFTER 10 SECURITY DEPOSITS)
RESIDUAL XX%
ACQUISITION FEE XXX
GOVT FEES + TAXES
NO OTHER MARK-UPS, ADD-ONS, OR CAPITAL ADJUSTMENTS
MAXIMUM SECURITY DEPOSITS
GARAGING ZIP XXXXX
discourages dealers from going “full dealer” on you.
Folks really don’t understand that signaling “I’m shopping down to the penny and will be a pain in the rear” isn’t as good of an opener with an actual human as “Hi [name], what do you think about Model [XYZ]/Unit #XXXX, I’m interested.”
Honestly, both ways have worked for me in the past, pic of contract and detailed breakdown. I think a lot of the times it’s right dealer, right car, right timing
This! If a dealer is motivated to move a car, they will give it to you with minimal profit if you ask for it. If they think they can sell it for more by keeping it, it doesn’t matter how you negotiate IMHO
I mean, sure there is a hold back, but when you are discounting 9%-15% of it, there isn’t any profit margin to begin with. Mercedes is trying to gain the marketshare for the Electric vehicle. So, they really don’t mind selling at the loss, but no there isn’t any profit.
I wouldn’t open with this, as others have suggested it sends an aggressive signal that probably won’t resonate with too many dealers. But if a dealer is being squirrelly, it’s a good way to figure out if there’s a path forward or not.
Feature, not a bug, imo.
And I would add “right approach”. Certain things resonate more with certain people and less with others, and part of being a good negotiator is knowing not just what to say, but how to say it. Blasting terms to a bunch of dealers will probably leave you on read, but developing a rapport and then introducing detailed numbers can work really well. Just have to feel it out.