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Some interesting 'haggleing' news

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Hey guys. Just been for an interview (it went well, thanks) and poped into the dealership over there.

I'm not not sure about the colour again as they had a sea gray fiesta in there that looked sweet. Anyway... I asked about prices and the guy reckoned that for the Dress up kit, Titanium X and Technology packs in sea gray 3 door 1.6 VCT they make profit up and above £13,710. (WITHOUT THE PRICE INCREASE!)

They said the only way to get more money off would be to get a brokers quote (in writing). They also said that they can't compete with online deals and that they can no longer differentiate between cash and finance sales as it is illegal.

So... is it illegal to offer a sale for less if someone is offering cash? I presume it was bulls**t but it could be the truth maybe?

and how would I go about getting a broker's quote 'in writing'? I rang some guy in Leicester who quoted £13,100?

While we are on the subject of brokers vs dealers: How come brokers can get so much money off? Is it becuase they buy them in their name and then sell it on? What about online deals like DealDrivers.com? HOw come its so much cheaper?

Thanks.



Hey guys. Just been for an interview (it went well, thanks) and poped into the dealership over there.

I'm not not sure about the colour again as they had a sea gray fiesta in there that looked sweet. Anyway... I asked about prices and the guy reckoned that for the Dress up kit, Titanium X and Technology packs in sea gray 3 door 1.6 VCT they make profit up and above £13,710. (WITHOUT THE PRICE INCREASE!)

They said the only way to get more money off would be to get a brokers quote (in writing). They also said that they can't compete with online deals and that they can no longer differentiate between cash and finance sales as it is illegal.

So... is it illegal to offer a sale for less if someone is offering cash? I presume it was bulls**t but it could be the truth maybe?

and how would I go about getting a broker's quote 'in writing'? I rang some guy in Leicester who quoted £13,100?

While we are on the subject of brokers vs dealers: How come brokers can get so much money off? Is it becuase they buy them in their name and then sell it on? What about online deals like DealDrivers.com? HOw come its so much cheaper?

Thanks.

The reason brokers are cheaper is because they can buy in bulk in a figuratively speaking kind of way, just like leasing fleets do.

When I buy a car, I buy one which doesn't give much scope for the dealership to earn extra wonga from me. When you buy through a broker, they will have a deal with certain dealers, say a Ford dealers that all Fords that they agree prices on with clients will go through that dealership, therefore handing a significant amount of sales to said dealership, which therefore gives a better chance of reduction.

As for getting it in writing, it depends on how that's specified. I had a written E Mail quote listing prices etc before I went ahead with the purchase in mind. I suggest you don't ask the broker to give you a written quote so you can go to your local dealer and get it cheaper, it kind of defeats the object for the broker, although when I went to my local dealer with quotes, I didn't even show them, there was no need as there wasn't a hope in hell of getting a better price. Even with a written quote, I seriously doubt that the dealer wil better it.

I have yet to see anyone get a better deal than the ones offered by Dealdrivers. I checked all the brokers on the net and for a first registered vehicle, it was the cheapest and that's why I went with them.

As for finance and cash, I wouldn't imagine there's a law against it but I'm open to be corrected. Not sure how it would be governed. Not everyone who buys the same car, from the same dealer, whether it be cash or finance will pay the same so who or what is to say the difference in price is down to cash. To be honest, I would imagine the salesman/dealer gets commission on any finace arranged as well as the sale of the car, that's probably why they push the finance.

It wouldn't surprise me if it's just another bit of spiel from a salesman, they have a habit of it, more money for the car, more money for them and the added bonus of another finance sale on top.

I got them to email me a quote so i could check it over etc and then showed it to my dealer who matched it. Dealer drivers were still a little better but for the hassle it was worth of driving up to get it etc and signing paper work (because of Options), thought it was worth getting it from someone down the road :)

I am not sure about the ethics of showing one dealer the price offered by another. That is not fair practice and best avoided. Ask as many dealers as you want for their best price. Keep it confidential and then decide. Be Fair!

  • Author
I am not sure about the ethics of showing one dealer the price offered by another. That is not fair practice and best avoided. Ask as many dealers as you want for their best price. Keep it confidential and then decide. Be Fair!

It's not entirely ethical. That said, neither is creating a car (or any product for that matter) for a price then selling it on for a ridiculous profit margin. Coke for example costs £0.00.01p to make, making a profit margin of like 5000%.

I'm not saying cars are this ludicrous, but its all part of the business. If a dealer wants your sale they are going to have to be prepared to negotiate and pull of the best deal... its all part of business.

IMO of cause.

I am glad you agree about the ethics, and I am all for strong haggling or negotiations. Thats what I do for a living. Regarding profit margin, we live in a free market, and the price of goods is set by the supply and demand equilibrium. The oil price over the last 12 months is a good example. As consumers we pay what we beleive the product is worth otherwise we vote with our pocket. If we all wanted Fiestas the price would rise. Suppliers set prices at a level that the customers are willing to pay. Incidently the fiesta was the biggest selling car in Jan and Feb this year. Their market share in Feb this year was 17% compared with 15% last Feb. See figures below. Source SMMT. Little wonder that they are putting their prices up.

1 Fiesta 12,093

2 Focus 9,046

3 Corsa 7,406

4 Astra 6,519

5 Golf 5,000

6 A3 3,601

7 Insignia 3,523

8 207 3,365

9 Jazz 3,361

10 Polo 2,877

Hi, new here, ordered a Fiesta 1.6 Titanium 5 Dr, Bluetooth / USB, ESP, Metallic and yes a tow bar (small trailer for garden bits), did the internet research all very easy, had to go 50 miles or so to sign the papers, the local dealer did previously let me drive a 1.6 model so I thought best to offer them the chance to match - £12303 on the road - took about 25 minutes for them to decide, a straight yes was the reply, signed up there and then. Est for a 24.4.09 build date. Quite pleased, looking at the invoice the discount is against the base car 17.8% quite pleased.

All the best in your quests

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