$$$ sales

I have sold cars for the past 16 years. I worked at a Ford dealer for 12 years and have worked at a used car dealer the last 4 years. As the gentleman said the is a lot of variation. Most car salespeople make in the $30th to $60th range with a few getting close to $100th but they are usually the consistant top sellers at the dealership. Finding a good place to work is the hardest part. If you can get into selling just used cars thats the way to go. Selling new cars is a pain. Its a lot of work and a lot of follow up. Most of the time you will end up getting a 'mini deal' which is usually only $100 or even less at some dealers. You will never make it on new cars alone. You have to get some used sales in there also. A bit of advice to everyone. Be nice to your salesperson they are NOT getting rich off your new car purchase.

dean said:

So what's really going on when you guys have to go "run this by the manager?" Dice games against the wall? You've got to know, at least on new cars, what the manager will and will not approve. Why the multiple trips back and forth?

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Unfortunately we (the salesperson) are not allowed to give the final yes or no. Yes any experienced salesperson has a good idea what will offer fly and what won't. A experienced salesperson with any sense will tell you straight up without even going back to the manager if your offer is reasonable or you might as well re think your offer because it won't be accepted. But even then we (salesperson) HAVE to go back to the sales manager to present your offer and see if it is acceptable. Usually the customer offers are so low we (salespersons) have to go back and forth between you and the manager trying to raise your sights on price to what is an acceptable figure. Its usually not a issue of 'how much profit can we get outta this guy' Its an issue of we gotta get this customers offer up or we can't even sell this car... period. No sale and both sides lose.

dean said:

10bv01 said:

i don't understand why everyone doesnt ask to speak to the sales manager the minute they walk in the door? I always do, even if im just looking.

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This is a good point. I know you may have a conflict of interest answering this, but what would happen if people immediately requested to negotiate with a manager? Is there a potential downside to the consumer?

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Actually that does happen on occasion. Not often but once in awhile. Usually the manager will speak to you at first then turn you back to a salesman to show you cars, test drive etc. The manager will not cut the salesperson out of the deal totally. Then the manager will be the one to quote you the best sale price. This actually makes it a bit easier for the salesperson because the manager will normally give you the lowest sale price he can do on the first shot. So the saleperson doesn't have to spend time with you negotiating and trying to raise your sights on price.

Thalo said:

dean said:

So what's really going on when you guys have to go "run this by the manager?" Dice games against the wall? You've got to know, at least on new cars, what the manager will and will not approve. Why the multiple trips back and forth?

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Most of the time it's a negotiating tactic. I can't speak specifically for car salespeople, but myself I'm in banking and usually when negotiating a rate (ie: for a mortgage) and the customer asks for a rate lower than I want to go (though still in my descretionary power) I'll say that I need to take it to my manager. I'll go up to the manager's office, chit-chat a little, talk about last night's hockey game, then return to the customer with a compromise rate and the customer thinks they won.

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Here is a big difference. I have never known a car dealership to give a salesperson discretionary power to quote you a final sale price without a managers knowledge and approval. I guess if someone walked in and said, hey I'll pay sticker for that car! Then sure I could accept that offer without checikng with a manager first. But thats about the only case.