this whole thing has illuminated how the dealership mafia is bad for car owners. elon was right. Direct to door has to happen

[Steelbama]

We already pay the shipping cost now... so yeah. Tesla model would be the way to go. But all the big manufacturers already have contracts with dealerships in place that prevent this from happening.

I think there are laws that unofficially guarantee the dealership model as well.

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[Big Boss]

It is clear we are talking about the dealership as a model for selling cars. For many of your other points, there is competition. I choose to I to use the service department at a dealership. I choose to use their financing. In those areas, dealerships have kept pace because the competitive marketplace demands they improve. I have no choice.

There is not incentive for the sales department to improve because they don't need to.

I am not aware of what Tesla's model is, but Carvana, CarMax, to name two, are great models. Customer service, easy, the ux is great, clear communication, no skeevy folks playing the "sit in my office and make you feel uncomfortable" game.

Lastly as a customer, it doesn't matter if I am "informed", what matters is my perception, because that influences my purchases. The dealerships could add a multitude of value that I don't understand, but if they do a shitty job of demonstrating this value, then that is their fault. It still leaves many customer wanting something better, and other entities willing to meet that need.

Caravana and Carmax are great models but they deal only in used vehicles. It would be interesting to see how that worked with new models

Don't know about you but I have never had a dealer have a car ready for me to take home the day I decided to buy.

The last 2 cars I purchased were sitting on the lot. In and out in a few hours. With the exception of having to do a dealer trade for my wifes last two (which took maybe 3 or 4 days) every car purchase I have been apart of helping friends and family out have gone home with the car that day.

 

[Headsong]

It seems on here, that the dealers with the best deals also offer the best customer service. They want the business and earn it. The arrogant dealers who think it is a privilege for you to buy from them are the worst.

That's an excellent point....

 

[Rubicon 2 Badlands]

im pretty sure most people would pay the shipping cost too

We kind of already are with the Destination Charges. We could definitely get lower cost vehicles if they didn't have to pay the dealers to sell and store them.

 

[sjp]

And frankly, for 95-98% of customers, the dealership works just fine for sales. the vast majority of customers haven't done the legwork to determine their own credit score, let alone competitive financing to compare against captive. Yes, this is slowly changing with the lending applications being available online and in ways that require near-zero customer knowledge about the process.

Not true, at least among the people I know. Most of them would rather go to the dentist than visit a car dealership. And most people I know do know their credit scores and they do compare lenders.

This is not slowly changing. It changed.

Unless...Are you talking about people who don't have access to the internet?

 

[rugbysecondrow]

I was just logged in to the Ford website and was asked to complete a survey. They asked many questions about completing a sale completely online. Maybe Ford is considering going to direct online sales. I would definitely go for that.

This. Ford creating the online RSVP system is the first step in creating a direct relationship with they car buyer, allowing them to skip the dealer in the future. They will want to make sure we are Ford customers, not ABC Ford Dealership customers.

Somebody mentioned going to the dentist instead of the dealership...I am in this camp. Lol.

 

[North7]

As a car salesman, it always amuses me how the older dogs stay afloat with little to no product knowledge. That said, consumers can be hostile for no reason, and there is a general lack of respect towards people in the sales position

No disrespect for those that EARN a good reputation, those that don't, wear that reputation.

There is a reason that Car Sales People are rated second to last in Trusted Professions.

America's Most & Least Trusted Professions

 

[Dirty Bronco]

No disrespect for those that EARN a good reputation, those that don't, wear that reputation.

There is a reason that Car Sales People are rated second to last in Trusted Professions.

America's Most & Least Trusted Professions

https://processengineering.co.uk/ar...ted-profession-nurse-doctor-and-then-engineer

Shameless plug

 

[North7]

https://processengineering.co.uk/ar...ted-profession-nurse-doctor-and-then-engineer

Shameless plug

Nice to see us engineers finally rate.

 

[mpdnj]

I guess you can do that with a Tesla! Why waste time haggling over the price and hidden fees, when you can order your vehicle directly from the factory with no BS mark-up.

Actually when you buy a Tesla, you have no choice but to pay MSRP (full mark-up). At least with a dealer, you can shop them against each other for the best price. Even though most people don't like to negotiate, the dealer model is the best free-market model for consumers to get the best deal as opposed to factory-direct sales where there is no price competition.

 

[North7]

Actually when you buy a Tesla, you have no choice but to pay MSRP (full mark-up). At least with a dealer, you can shop them against each other for the best price. Even though most people don't like to negotiate, the dealer model is the best free-market model for consumers to get the best deal as opposed to factory-direct sales where there is no price competition.

So how long have you worked as a dealership salesperson?

 

[4X4XFAR]

I absolutely agree with the OP....

 

[jwoobs]

My clients do not associate "value" with the accuracy of their tax return, or that complex tax situations were recorded properly and in full IRS regulatory compliance.

Not committing tax fraud is quite literally the bare minimum.

Not to mention the tax preparation lobby suffers from the same problem as the dealership lobby, They are worried if it becomes too easy, no one will buy their product.

First thing is find a dealer you like and get to know them (usually a small town dealer) establish a relationship. Get your oil changed there.

Or, instead of buying off a dealer by purchasing over-priced oil changes, I could do it myself for $30 and know that the drain bolt didn't get re-installed with an impact wrench.

The competition would still exist in a direct sales model, but between brands, not dealers. If dealers disappeared tomorrow, Ford wouldn't jack up the price of the explorer, because they still know you can go to Kia and get a mid size SUV for $28,000. Heck, even the Bronco would still be reasonably priced, as it has the Wrangler to compete against.

 

[HarderCorer]

Car dealerships make money from three areas: Sales, Service, and the Finance. And over the years, the money from sales has gone from most the profit to the least. If they want to survive, they need to either let customers order directly from the manufacturer or make it an actual enjoyable, value added experience.

Instead of a long story of the car buying experience I just had, let me give you the highlights...

1. I knew more than the salesman to the point I had to correct him twice on what trim/package we wanted.

2. The paperwork we completed were bad copies of bad copies.

3. Waited a week after signing to get the car from a different out of state dealer.

4. Salesman had to have a young employee setup the tech which was basically connecting the phone to the Bluetooth.

5. Salesman then proceeded to incorrectly explain what the buttons in the car did. At one point insisting that button for hill start assist worked the heated seats.

As a car salesman, it always amuses me how the older dogs stay afloat with little to no product knowledge. That said, consumers can be hostile for no reason, and there is a general lack of respect towards people in the sales position

I'm sure there are very passionate and talented salesmen around and it sounds like they all work for the dealerships on this site. Were I'm at, it's just the old boys club trying to rent seek and the entire process I just kept thinking, why am I paying this guy?

And frankly, for 95-98% of customers, the dealership works just fine for sales. the vast majority of customers haven't done the legwork to determine their own credit score, let alone competitive financing to compare against captive. Yes, this is slowly changing with the lending applications being available online and in ways that require near-zero customer knowledge about the process.

You're right that I'm not typical and for most, it's fine. And while it was slowly changing, the pace is accelerating. More and more are getting comfortable with the online model and the last year has been a hard hat of gasoline on a smoldering brushfire.

 

[TJconvert2.7]

This is my last attempt at buying a vehicle I actually think will be fun. If I don’t end up keeping it, or if it falls through I’m just going to rely on appliances like a Prius or Accent. So one more new purchase after the bronco, and then forgetting dealerships exist.

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