Recent dealership negotiation outcomes for new vehicles?

Keep in mind, almost anything Toyota is gold right now. And the dealers know this. For various reasons, "the internet" has converged on the idea that Toyota walks on water. I don't know how a corporation can do that, but they can, even with Tundra engines throwing rods, and Tacoma transmissions locking and failing. :)

So OP's premise that it has to be well below MSRP doesn't comport with the still sticky market for Toyota, except for the troublesome Tundra and Tacomas, which have some room to deal due to emerging reputational issues. Now, it is very different with other brands, including some of the other good ones. Mazda, for example, has dealing room.

As for the "Absent Authority" technique, isn't this what the dealers do routinely when the sales person has to "check with their manager." My cousin sold used cars for a while and he said they used that time to socialize, drink coffee or have a smoke.
 
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LOL! "Where's my checkbook, let's get this over with." I love that scene from Fargo. 40 years later nothing has changed. "They already installed the TruCoat. It is part of the deal.... .... ... He's never done this before; we can take $100 off the TruCoat." LOL.

Must see TV before buying your next car.
 
One more log to add to the fire.

Used cars continue to be priced high, and to interestingly put upward pressure on new cars. This is especially a problem with Toyota, which had a supply chain crater during the pandemic. When used cars are priced high, people think, "What the heck, let's go new." This is a real issue with Toyotas.

"Car Dealership Guy" has this to say about the issue, from his report dated yesterday. The best way I can summarize this is that the pandemic effects are still playing out, and will continue to do so for at least the next two years:
More car buyers are heading to used car lots as affordability challenges push new vehicles out of reach for many. As a result — Cox Automotive projects retail sales will climb to 20.1 million in 2025 — the highest level since 2021.​
But inventory? Still tight.​
A big reason for the supply crunch is due to the pandemic’s production slowdowns which dried up leases, and now that’s hitting the used car pipeline hard.​
  • Lease maturities dropped 18% in the fourth quarter of 2024 and are expected to fall another 17% next year.
  • Meaning — fewer 1- to 3-year-old vehicles (key to wholesale inventory) will be available in 2025.
 
This was back in the 80s when cars were cheaper... one coworker said he went in to buy a car he wanted and had the cash... laid it out on the desk, spreading it out for effect... said the guy looked at it... put it back in a pile and gave it back to him...

It goes to show that you actually have to have a good number to get the deal...
That reminds me of a time that I was buying a new car and told them I would be writing them a check ( no financing). They seemed totally befuddled. The salesman told me that no one had ever done that before. I thought it was weird.
 
I bought the car.

I left a 2 star review that prompted their Internet Sales team to write a follow-up for me to contact them.

Instead, I just contacted the salesman whom I was wheeling and dealing with. I said, I want the car. If you give it to me for $500 off your rock bottom price I'll change my review to 5 stars.

They said nope. but if you finance through Toyota you will get a $500 military discount.

I bet folks thought it would end another way...

I wanted the car, I got it "supposedly" less than "invoice." I paid $33,000 for the 2024 GR86 Premium Edition with the Performance Package and a few little extras.

In the end, as some had mentioned above...if I think the value is there, then why fuss. I can't wait for spring season to take this along the river run.

I was already invited into a car club which is a first for me.

And I get a track day with the purchase.
 
Keep in mind, almost anything Toyota is gold right now. And the dealers know this. For various reasons, "the internet" has converged on the idea that Toyota walks on water. I don't know how a corporation can do that, but they can, even with Tundra engines throwing rods, and Tacoma transmissions locking and failing. :)

So OP's premise that it has to be well below MSRP doesn't comport with the still sticky market for Toyota, except for the troublesome Tundra and Tacomas, which have some room to deal due to emerging reputational issues. Now, it is very different with other brands, including some of the other good ones. Mazda, for example, has dealing room.

As for the "Absent Authority" technique, isn't this what the dealers do routinely when the sales person has to "check with their manager." My cousin sold used cars for a while and he said they used that time to socialize, drink coffee or have a smoke.
I brought this up to the salesman...the rods being thrown. He essentially put salesman hat on and reworded the problem into a value statement with some comment like "isn't that great that Toyota was able to stand behind their warranty for all those truck owners and get them a brand new engine. All those engine's being replaced under warranty." I thought. man I'm glad I'm not part of THAT recall. Speaking of which, time to track GR86 recalls.
 
I do not purchase cars often. My last new car buy was about 3 years ago. I spoke to a few dealers and one of them met my pricing objective. We went to the dealer in a day or two after our phone discussion.

During the review of the purchase, the sales manager said they made a mistake the price was too low. That lead to a nasty conversation about bait and switch and told him his problem is with the phone sales rep. We want the offer she provided.

So, DW and I walked out. We made it over half way to our parked car when they chased us down and asked us to come back. The negotiation in the parking lot ended up by me saying we have nothing to discuss. We know the price and and I wanted the .09% financing for the entire vehicle.

Upon sitting down again, things calmed down on their end. They honored the original deal and if memory serves, upgraded the floor covers. But, I would never go back. In our case, we have moved thousands of miles away so going back is not an option.

I felt like I was in a movie during this whole thing. All of us had our roles. What an unpleasant experience. Why would they have done that even if they ended up making a few more bucks?
That part about feeling like you are in a movie is so true. I felt a similarily strange feeling. Ordering a brand new vehicle does eliminate the rehearsals.

So here was the kicker. Snow on the roads the night I shook and signed. So I said hey can I pick this racecar up when its not snowing. Sure, sure anytime...

I text the salesman next day. I'll be ready later today. He says oh I am leaving for the day.

So I wait an hour and call the main Toyota dealership line...it transfers me to him.

He is still working.

Liar, Liar, pants on fire. Why? For what purpose would you lie to the customer who is trying to accept delivery of their new freaking baby. Just...why?
 
Congrats! The best deal is always the one that you are happy with, even if getting there was painful. It sounds like you did well. Too many people are accepting high ball offers from Toyota dealers right away.

I'm still trying to get used to these new prices. I never thought I'd say it, but anything, any model, any deal, below $35k seems "good" these days. Seeing people routinely buying vehicles for over $50k is freaking me out.
 
So for sh!ts and giggles, write out a check for your best out-the-door offer, don't sign it and give it to the salesman and tell them that you're going for a short walk and they have 10 minutes to decide if y'all have a deal or not. If you have a deal they can do the paperwork and you will sign check. If not, take the check back and leave.

Very few car dealers can resist a cash in hand reasonable offer.

I really like this approach. And I've found the perfect situation to use it.

Some auto dealers are going to the no negotiations model. The price is the price--no haggling. The dealers are adamant, they will not negotiate.

I went to one of those dealer's yesterday and drove a Toyota Crown hybrid sedan (very nice car, BTW.) The price was presented to me. I thought it was too high. Nothing I can do about it, right?

Here's where pb4uski's method comes into play...

At this point I am visualizing myself pulling out my checkbook and writing them a check for the price I think is fair. I hand the check to the salesperson.

I say: "I'm going to go out and get a cup of coffee. Show this check to your manager. I'll be back in less than half an hour. Let me know if we have a deal."

Salesperson: "I'm sorry, but there is no negotiating at our dealership."

Me: "We're not negotiating. I just gave you a check for payment. I didn't negotiate anything. Neither did you. You've successfully maintained your no negotiation policy. I'll be back to either sign papers or rip up that check. See you in a bit."
 
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This is a bit late, but for any other readers that are interested…

This is a great podcast about the inner workings of car dealerships. It is a number of years old, but it sound like not much has changed.

 
I never "negotiate" in the classic sense. I put requests for specific cars to various dealers in the network, usually through an Internet site inquiry. MSRP is a benchmark and every dealer should give you a plus/minus with respect to MSRP (manufacturer suggested retail price). After you receive 3-5 or more quotes you can get a sense of what is going on. Throw out the high offers, those are not worth your time. There should be a convergence to a floor price at some point. Don't go back and forth. Just tell them what you are thinking and leave it at that. Avoid anything that can be construed as emotion. You can tell them A-dealership quoted this and you are $200 over that. Please advise if you can move from your quote or it is locked in. Sometimes they have wiggle room, often times they do not. It is up to the sales manager to approve it. He is on the hook for the P/L at the end of the month. We always pay cash so they don't like that as much, believe it or not. They like wiggle room and paying cash allows for no wiggle.

Pay attention to how quickly they respond. The good ones will respond within minutes. That means they may be competing. They know you are probably asking multiple stores for quotes and they want to be in the game so they are continuously monitoring their phones for incoming inquiries. Some high-end stores are a little different (i.e. my local Porsche store) as supply is constrained and you need to get a place in their build queue before you can even discuss price. I spent six months playing patty-cake with a few Porsche dealers a few years ago and vowed never again. If you do secure a spot on the build queue for the particular model you want and you pay your deposit you are golden.
 
Congrats! The best deal is always the one that you are happy with, even if getting there was painful. It sounds like you did well. Too many people are accepting high ball offers from Toyota dealers right away.

I'm still trying to get used to these new prices. I never thought I'd say it, but anything, any model, any deal, below $35k seems "good" these days. Seeing people routinely buying vehicles for over $50k is freaking me out.
LOL... when I was younger I bought cars for less than $20K... one was $19,990... I then bought one for $34K... since have bought a used for $13K and one for $30K...

SOOO, I never bought a car that started with a $2XXXX.... the way it is going I might skip the $40s...

It will be interesting to see!!!
 
LOL... when I was younger I bought cars for less than $20K... one was $19,990... I then bought one for $34K... since have bought a used for $13K and one for $30K...

SOOO, I never bought a car that started with a $2XXXX.... the way it is going I might skip the $40s...

It will be interesting to see!!!
My new cars:
- 1985 Pontiac Grand am: $9100
- 1991 Saturn SL2: $10500
- 2000 Olds Alero: $18000
- 2010 Subaru Legacy: $19500

So, yeah, $20k is some sort of benchmark. I'm trying to get used to $30k+ except for the stripper models (car, that is). I had a hard time buying a high mileage 2011 Honda 2 years ago for $7200 (used), even though its MSRP was over $40k for that trim.

I still have the Legacy. Been a great value with very little put into maintenance and repair through the years.
 
I guess I've bought so many new cars I don't really think much about it. Sure it's a game (sort of) but there are often many thousands of $ on the table. The more expensive the vehicle, the more on the table to negotiate. These days, I negotiate on-line. IMO, it makes thing much easier and less stressful. Usually the dealership has plenty of pictures of each car on-line, asking price and a picture of the window sticker w/options. Easy to play one dealer off another. Same with my trade in, I take pictures of the vehicle, add a brief description of the condition and VIN. The last one I bought the dealer was~3 hours away, so I had him deliver it and pickup my trade.

All from the comfort of my living room.
 
Keep in mind, almost anything Toyota is gold right now. And the dealers know this. For various reasons, "the internet" has converged on the idea that Toyota walks on water. I don't know how a corporation can do that, but they can, even with Tundra engines throwing rods, and Tacoma transmissions locking and failing.
In the last 10 to 12 years I've owned 3 (or was it 4?) new Toyota's. I know I've bought 2 new Sequoia's and 1 (or was it 2) Tundra's. They were all 4 wheel drive and loaded. Zero issues. Still, I doubt I'll buy another Toyota, but that's another story.
 
I text the salesman next day. I'll be ready later today. He says oh I am leaving for the day.

So I wait an hour and call the main Toyota dealership line...it transfers me to him.

He is still working.

Liar, Liar, pants on fire. Why? For what purpose would you lie to the customer who is trying to accept delivery of their new freaking baby. Just...why?

Like the proverbial scorpion that stings the helpful frog, it's just their nature. Lying comes easier than being truthful. Or, put another way, if a car salesman says something that is true it is just coincidence.
 
Like the proverbial scorpion that stings the helpful frog, it's just their nature. Lying comes easier than being truthful. Or, put another way, if a car salesman says something that is true it is just coincidence.
Car dealers (new or used) and politicians have one thing in common. For the most part, you can assume they are lying whenever their lips are moving. Some are so blatant, it's comical. Once in a while you'll find one that is reasonably truthful. They do exist but are hard to find.
 
We were dealing on used trucks a couple weeks ago. The dealers in our area are terribly high priced as in 5k over what KBB online value says. The dealers first offer is their ONLY offer!! They wouldn't budge a penny. One we were $750-900 apart. We walked away. We bought a truck couple days later from private seller. Saved us $15k.
 
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