Comments on: How to handle customers insisting on discounts http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/ Used Car Market - A Guide for Success Tue, 07 Feb 2012 23:17:00 +0000 hourly 1 http://wordpress.org/?v=3.1.3 By: JoePistell http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-8842 JoePistell Thu, 18 Jun 2009 14:59:11 +0000 http://www.dalepollak.com/?p=351#comment-8842 OMG JC, 1200 Altimas in 50 miles! I have 11. gulp... eleven. JC, how many days supply do you have for that Altima? In MY 50 mile radius, I have 84 days supply and with Altimas like mine, I have 68 days supply. Joe OMG JC, 1200 Altimas in 50 miles! I have 11. gulp… eleven.

JC, how many days supply do you have for that Altima? In MY 50 mile radius, I have 84 days supply and with Altimas like mine, I have 68 days supply.

Joe

]]> By: JoePistell http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-19190 JoePistell Thu, 18 Jun 2009 14:59:00 +0000 http://www.dalepollak.com/?p=351#comment-19190 OMG JC, 1200 Altimas in 50 miles! I have 11. gulp... eleven. JC, how many days supply do you have for that Altima? In MY 50 mile radius, I have 84 days supply and with Altimas like mine, I have 68 days supply. Joe OMG JC, 1200 Altimas in 50 miles! I have 11. gulp… eleven.

JC, how many days supply do you have for that Altima? In MY 50 mile radius, I have 84 days supply and with Altimas like mine, I have 68 days supply.

Joe

]]> By: JCreran http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-8775 JCreran Tue, 16 Jun 2009 21:51:38 +0000 http://www.dalepollak.com/?p=351#comment-8775 Thank you for the kind words, Dale. Interesting point of view on price points. We are doing well. Over 100 pre-owned units in April and again in May. Like you say, I love playing the game and when the rules change it just makes us that much sharper. That's what seperates the men from the boys. -John C Thank you for the kind words, Dale. Interesting point of view on price points. We are doing well. Over 100 pre-owned units in April and again in May. Like you say, I love playing the game and when the rules change it just makes us that much sharper. That’s what seperates the men from the boys.

-John C

]]> By: JCreran http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-19189 JCreran Tue, 16 Jun 2009 21:51:00 +0000 http://www.dalepollak.com/?p=351#comment-19189 Thank you for the kind words, Dale. Interesting point of view on price points. We are doing well. Over 100 pre-owned units in April and again in May. Like you say, I love playing the game and when the rules change it just makes us that much sharper. That's what seperates the men from the boys. -John C Thank you for the kind words, Dale. Interesting point of view on price points. We are doing well. Over 100 pre-owned units in April and again in May. Like you say, I love playing the game and when the rules change it just makes us that much sharper. That’s what seperates the men from the boys.

-John C

]]> By: dpollak http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-8751 dpollak Tue, 16 Jun 2009 16:20:22 +0000 http://www.dalepollak.com/?p=351#comment-8751 John, as usual, thank you for your thoughtful response. In fact, I was moved so much by your concern, that I’m preparing another posting for later this week entitled “Total Transaction Profit”, so stay tuned for more on this subject. In the meantime, however, do not fear that there will be a race to the bottom in price. As with any efficient marketplace, there is an equilibrium price for everything. When that equilibrium price gets too low, sellers exit the market for greener pastures of opportunity. When the equilibrium price moves too high, competition enters the market and pushes the equilibrium price back down. The winners in this type of efficient environment are those that can most readily identify the equilibrium price point and can operate there profitably. You are a bright student of the business and the market, and I have no doubt that you’ll be a winner. Thanks - Dale John, as usual, thank you for your thoughtful response. In fact, I was moved so much by your concern, that I’m preparing another posting for later this week entitled “Total Transaction Profit”, so stay tuned for more on this subject. In the meantime, however, do not fear that there will be a race to the bottom in price. As with any efficient marketplace, there is an equilibrium price for everything. When that equilibrium price gets too low, sellers exit the market for greener pastures of opportunity. When the equilibrium price moves too high, competition enters the market and pushes the equilibrium price back down.

The winners in this type of efficient environment are those that can most readily identify the equilibrium price point and can operate there profitably. You are a bright student of the business and the market, and I have no doubt that you’ll be a winner.

Thanks – Dale

]]> By: dpollak http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-19188 dpollak Tue, 16 Jun 2009 16:20:00 +0000 http://www.dalepollak.com/?p=351#comment-19188 John, as usual, thank you for your thoughtful response. In fact, I was moved so much by your concern, that I’m preparing another posting for later this week entitled “Total Transaction Profit”, so stay tuned for more on this subject. In the meantime, however, do not fear that there will be a race to the bottom in price. As with any efficient marketplace, there is an equilibrium price for everything. When that equilibrium price gets too low, sellers exit the market for greener pastures of opportunity. When the equilibrium price moves too high, competition enters the market and pushes the equilibrium price back down. The winners in this type of efficient environment are those that can most readily identify the equilibrium price point and can operate there profitably. You are a bright student of the business and the market, and I have no doubt that you’ll be a winner. Thanks - Dale John, as usual, thank you for your thoughtful response. In fact, I was moved so much by your concern, that I’m preparing another posting for later this week entitled “Total Transaction Profit”, so stay tuned for more on this subject. In the meantime, however, do not fear that there will be a race to the bottom in price. As with any efficient marketplace, there is an equilibrium price for everything. When that equilibrium price gets too low, sellers exit the market for greener pastures of opportunity. When the equilibrium price moves too high, competition enters the market and pushes the equilibrium price back down.

The winners in this type of efficient environment are those that can most readily identify the equilibrium price point and can operate there profitably. You are a bright student of the business and the market, and I have no doubt that you’ll be a winner.

Thanks – Dale

]]> By: JCreran http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-8724 JCreran Tue, 16 Jun 2009 01:53:28 +0000 http://www.dalepollak.com/?p=351#comment-8724 Thats a great story and it does happen occasionally. We sell in the HIGHLY COMPETETIVE New York Metro market. To give you an example, there are 1,204 2006 Altimas within 50 miles of my store. People do come in or call and want to "deal". A majority will get up, leave and buy somewhere else if we do not play the negotiating game. I have found over the last 7 months that the "advertised price" profit margins are getting smaller and smaller. Some cars we are stealing and have minimal recon. They still have a lousy profit margin on the internet. If this trend continues, by Christmas time we will be advertising at a loss just to get people in the door. Im curious to see where this ends up. -John C Thats a great story and it does happen occasionally. We sell in the HIGHLY COMPETETIVE New York Metro market. To give you an example, there are 1,204 2006 Altimas within 50 miles of my store. People do come in or call and want to “deal”. A majority will get up, leave and buy somewhere else if we do not play the negotiating game.

I have found over the last 7 months that the “advertised price” profit margins are getting smaller and smaller. Some cars we are stealing and have minimal recon. They still have a lousy profit margin on the internet. If this trend continues, by Christmas time we will be advertising at a loss just to get people in the door. Im curious to see where this ends up.

-John C

]]> By: JCreran http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-19187 JCreran Tue, 16 Jun 2009 01:53:00 +0000 http://www.dalepollak.com/?p=351#comment-19187 Thats a great story and it does happen occasionally. We sell in the HIGHLY COMPETETIVE New York Metro market. To give you an example, there are 1,204 2006 Altimas within 50 miles of my store. People do come in or call and want to "deal". A majority will get up, leave and buy somewhere else if we do not play the negotiating game. I have found over the last 7 months that the "advertised price" profit margins are getting smaller and smaller. Some cars we are stealing and have minimal recon. They still have a lousy profit margin on the internet. If this trend continues, by Christmas time we will be advertising at a loss just to get people in the door. Im curious to see where this ends up. -John C Thats a great story and it does happen occasionally. We sell in the HIGHLY COMPETETIVE New York Metro market. To give you an example, there are 1,204 2006 Altimas within 50 miles of my store. People do come in or call and want to “deal”. A majority will get up, leave and buy somewhere else if we do not play the negotiating game.

I have found over the last 7 months that the “advertised price” profit margins are getting smaller and smaller. Some cars we are stealing and have minimal recon. They still have a lousy profit margin on the internet. If this trend continues, by Christmas time we will be advertising at a loss just to get people in the door. Im curious to see where this ends up.

-John C

]]> By: tmelliott http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-8574 tmelliott Thu, 11 Jun 2009 14:58:42 +0000 http://www.dalepollak.com/?p=351#comment-8574 Call your local ATC rep . or feel free to call me and I will have someone contact you . Tim Elliott 330-524-6666 tim.elliott2autotrader.com Call your local ATC rep . or feel free to call me and I will have someone contact you .

Tim Elliott
330-524-6666
tim.elliott2autotrader.com

]]> By: tmelliott http://www.dalepollak.com/2009/06/10/how-to-handle-customers-insisting-on-discounts/comment-page-1/#comment-19186 tmelliott Thu, 11 Jun 2009 14:58:00 +0000 http://www.dalepollak.com/?p=351#comment-19186 Call your local ATC rep . or feel free to call me and I will have someone contact you . Tim Elliott 330-524-6666 tim.elliott2autotrader.com Call your local ATC rep . or feel free to call me and I will have someone contact you .

Tim Elliott
330-524-6666
tim.elliott2autotrader.com

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