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[STEMO]

When I go into the car people, there is always a whole family at one table or other. The dad is invariably on a twenty year old walking stick with holes in his stinking tee shirt. Son and girlfriend have brought him along ‘cause he knows about cars’.
Said son and girlfriend are all smiles because the salesman has told the that they can afford the 7 year old corsa, price up extortionately at £6999 and, after paying £70 a week for five years, it will belong to them. They feel so lucky that he has done them a big favour.

[2boxerdogs]

Best thing when they start all that nonsense is just go to walk out of the showrooms, that has always done the trick for me  and the words " what discount for cash".

I doubt you’ll get any discount for cash, they’d rather you didn’t buy it so that another victim customer will...using finance.

Yep. The days of cash being king are long gone at the main dealer. Sadly.

. 



I can honestly say that I have always got a discount for cash , it's so easy to get taken in by the nonsense they spout tell them you've heard all that 'dangle berries' about super wax and any other rubbish they are trying to sell , got £775 off the Jeep last August .

[BazaJT]

There is very little profit in a new car for the main dealer.The profit comes from hitting manufacturer sales target[this can vary month by month as there are both good and bad selling months]as the dealership then gets a huge bonus payment from said manufacturer-it's why at times dealers pre-register cars as these then show as sold units.Commissions on finance/paint protection/gap insurance etc all then add to the pot.Used cars should show a better profit than new based on mark-up,with again commissions on the "extras" they can sell.

[STEMO]

Best thing when they start all that nonsense is just go to walk out of the showrooms, that has always done the trick for me  and the words " what discount for cash".

I doubt you’ll get any discount for cash, they’d rather you didn’t buy it so that another victim customer will...using finance.

Yep. The days of cash being king are long gone at the main dealer. Sadly.

. 



I can honestly say that I have always got a discount for cash , it's so easy to get taken in by the nonsense they spout tell them you've heard all that 'dangle berries' about super wax and any other rubbish they are trying to sell , got £775 off the Jeep last August .

That £775, and a bit more, was added at the beginning to make you think you got a good deal. 

[2boxerdogs]

Best thing when they start all that nonsense is just go to walk out of the showrooms, that has always done the trick for me  and the words " what discount for cash".

I doubt you’ll get any discount for cash, they’d rather you didn’t buy it so that another victim customer will...using finance.

Yep. The days of cash being king are long gone at the main dealer. Sadly.

. 



I can honestly say that I have always got a discount for cash , it's so easy to get taken in by the nonsense they spout tell them you've heard all that 'dangle berries' about super wax and any other rubbish they are trying to sell , got £775 off the Jeep last August .

That £775, and a bit more, was added at the beginning to make you think you got a good deal. 

. 



That's called business Stemo we all realise that they are there to make a profit , but there is no way on this earth I would pay the sticker price on any car that's the fun part for me .

[STEMO]

There is very little profit in a new car for the main dealer.The profit comes from hitting manufacturer sales target[this can vary month by month as there are both good and bad selling months]as the dealership then gets a huge bonus payment from said manufacturer-it's why at times dealers pre-register cars as these then show as sold units.Commissions on finance/paint protection/gap insurance etc all then add to the pot.Used cars should show a better profit than new based on mark-up,with again commissions on the "extras" they can sell.

That is very true. We got a captur for wifey with five grand off because the dealer had registered it the month before. It only had 7 miles on it.

But........how does the dealer/supplier make any profit from that sale?

[Doctor Gollum]

There is very little profit in a new car for the main dealer.The profit comes from hitting manufacturer sales target[this can vary month by month as there are both good and bad selling months]as the dealership then gets a huge bonus payment from said manufacturer-it's why at times dealers pre-register cars as these then show as sold units.Commissions on finance/paint protection/gap insurance etc all then add to the pot.Used cars should show a better profit than new based on mark-up,with again commissions on the "extras" they can sell.

That is very true. We got a captur for wifey with five grand off because the dealer had registered it the month before. It only had 7 miles on it.

But........how does the dealer/supplier make any profit from that sale?

Of the twenty cars they pre registered that week, eighteen were probably financed

[STEMO]

There is very little profit in a new car for the main dealer.The profit comes from hitting manufacturer sales target[this can vary month by month as there are both good and bad selling months]as the dealership then gets a huge bonus payment from said manufacturer-it's why at times dealers pre-register cars as these then show as sold units.Commissions on finance/paint protection/gap insurance etc all then add to the pot.Used cars should show a better profit than new based on mark-up,with again commissions on the "extras" they can sell.

That is very true. We got a captur for wifey with five grand off because the dealer had registered it the month before. It only had 7 miles on it.

But........how does the dealer/supplier make any profit from that sale?

Of the twenty cars they pre registered that week, eighteen were probably financed

Seems a bit hit and miss.

[BazaJT]

Doesn't make a profit from that particular sale as such.The profit has come from manufacturer bonus for hitting new car sales target for the month it was registered.Say the manufacturer has set the dealership a target of 20 new car sales for the month and they've sold 18 of those to actual buyers and the month end is close then the dealer will pre-register 2[which then count as sales] to hit the magic number,then the dealership earns the bonus which can be tens of thousands of pounds.If you used a trade in which can then be retailed they'll then make profit[or should]on the mark-up on that also.Pre-registered cars can sit on the forecourt for however long it takes to retail them as used cars,technically the buyer of a pre-reg is the second owner as the dealer is the original "buyer"

[Doctor Gollum]

There is very little profit in a new car for the main dealer.The profit comes from hitting manufacturer sales target[this can vary month by month as there are both good and bad selling months]as the dealership then gets a huge bonus payment from said manufacturer-it's why at times dealers pre-register cars as these then show as sold units.Commissions on finance/paint protection/gap insurance etc all then add to the pot.Used cars should show a better profit than new based on mark-up,with again commissions on the "extras" they can sell.

That is very true. We got a captur for wifey with five grand off because the dealer had registered it the month before. It only had 7 miles on it.

But........how does the dealer/supplier make any profit from that sale?

Of the twenty cars they pre registered that week, eighteen were probably financed

Seems a bit hit and miss.

Not really. There are infinitely more stupid people than you might want to believe...

[STEMO]

Doesn't make a profit from that particular sale as such.The profit has come from manufacturer bonus for hitting new car sales target for the month it was registered.Say the manufacturer has set the dealership a target of 20 new car sales for the month and they've sold 18 of those to actual buyers and the month end is close then the dealer will pre-register 2[which then count as sales] to hit the magic number,then the dealership earns the bonus which can be tens of thousands of pounds.If you used a trade in which can then be retailed they'll then make profit[or should]on the mark-up on that also.Pre-registered cars can sit on the forecourt for however long it takes to retail them as used cars,technically the buyer of a pre-reg is the second owner as the dealer is the original "buyer"

I see. Still a cracking deal for the buyer, though. Retail on wifey’s captur was £17,995, we got it for £12,500, plus we got £3,000 for her megane which, tbh, I would have taken £2,500 for.
Strangely, when I put it into WBAC, they only offered £11,000, so I thought they must know it’s a pre-reg because it’s only got a few miles on it but two previous owners. But, after I waited for about 18 months, they were still offering around £10,000. Not bad, only losing £2,500 in 18 months.

[Doctor Gollum]

Doesn't make a profit from that particular sale as such.The profit has come from manufacturer bonus for hitting new car sales target for the month it was registered.Say the manufacturer has set the dealership a target of 20 new car sales for the month and they've sold 18 of those to actual buyers and the month end is close then the dealer will pre-register 2[which then count as sales] to hit the magic number,then the dealership earns the bonus which can be tens of thousands of pounds.If you used a trade in which can then be retailed they'll then make profit[or should]on the mark-up on that also.Pre-registered cars can sit on the forecourt for however long it takes to retail them as used cars,technically the buyer of a pre-reg is the second owner as the dealer is the original "buyer"

Our local Vauxhall dealer will actively buy cars from the factory by the fifty and sell them pre-registered at cost plus £100.

The factory is kept employed, and the dealership pockets £5,000 each time plus their Franchise sales target bonus which they're pretty much guaranteed to hit, after all, they've just bought and 'sold' 50 cars.

Of the fifty, 90-95% will be financed and almost all will be dealer serviced for the (financed extended) warranty period, ensuring that the dealership running costs are covered. Sales staff get their meager wages bolstered by commission on everything from that they can add to the base price of the car.

If you take my first Insignia as an example, £12.995 on the road for a 10 mile old new car. The only profit was on the finance and the £100 stocking fee.

[BazaJT]

I agree a pre-reg car can be a very good choice because they're classed as a used car[having been registered to the dealer as the first owner]where in reality as you know with yours you've got a brand new car with "delivery"mileage.

[STEMO]

I agree a pre-reg car can be a very good choice because they're classed as a used car[having been registered to the dealer as the first owner]where in reality as you know with yours you've got a brand new car with "delivery"mileage.

It’s still like new, had it two years now and she’s only put 14,000 miles on it.
It’s still going when the 4 year warranty is up, though. That’s when Renaults start acting up.

[Andy B]

......
It’s still like new, had it two years now and she’s only put 14,000 miles on it.
......

SWMBO has had her C3 4 years & only put 12k on it ...... still, it's French so we don't want to push it too hard