Automotive

Feedback on the purchase of a "Manager's Demo"

  • Last Updated:
  • Mar 19th, 2016 9:48 am
Tags:
None
Deal Expert
Mar 25, 2005
21441 posts
2266 upvotes
antigua1999 wrote: Yours must be too it says last month and it was the demo and you complain demo`s are used vehicles not new. Its funny how you flip and flop New, Used whenever it suits you.
Incorrect, to compare the dealer's discount on the used car you need to calculate the price of the new car. The gap between the used car price and new car price is your discount. Lets break things out and spoon feed the details:

New car sticker w fees: $10,000
Dealer markup and negotiated discount: ($1,000)
Dealer cash incentive: ($4,200)
Price for new car: $4,800

Used car sticker w fees: $4,200 (that's a $5,800 discount off the new sticker price, because $10,000 minus $5,800 is $4,200)

The difference is $600. The dealer is offering a $600 discount on a used car with 6.5k km, not $5,800. Its equal to a whopping $0.09/km discount.
Deal Fanatic
Jun 11, 2005
8425 posts
2251 upvotes
Mississauga
romsan04 wrote: I think the main thing is that managers demo need to be plated, to do so you would have to register it with OMVC.
Demo cars have dealer plates, and usually do not get 6,800km, may be 300-400Km.

I have neighbor who is manager at Nissan dealership. He always drives new cars only but they are all plated with regular plates. I have not seen him doing anything stupid or reckless with the cars.
All my demo`s were plated and some reached 9,900 km before they were grounded.
Deal Fanatic
Jun 11, 2005
8425 posts
2251 upvotes
Mississauga
Kasakato wrote: Incorrect, to compare the dealer's discount on the used car you need to calculate the price of the new car. The gap between the used car price and new car price is your discount. Lets break things out and spoon feed the details:

New car sticker w fees: $10,000
Dealer markup and negotiated discount: ($1,000)
Dealer cash incentive: ($4,200)
Price for new car: $4,800

Used car sticker w fees: $4,200 (that's a $5,800 discount off the new sticker price, because $10,000 minus $5,800 is $4,200)

The difference is $600. The dealer is offering a $600 discount on a used car with 6.5k km, not $5,800. Its equal to a whopping $0.09/km discount.
The problem is they are sold through the New Car Department on New car paperwork. The used car lot doesn't sell demos.
[OP]
Deal Addict
User avatar
Sep 7, 2006
1096 posts
90 upvotes
Calgary
romsan04 wrote: I think the main thing is that managers demo need to be plated, to do so you would have to register it with OMVC.
Demo cars have dealer plates, and usually do not get 6,800km, may be 300-400Km.

I have neighbor who is manager at Nissan dealership. He always drives new cars only but they are all plated with regular plates. I have not seen him doing anything stupid or reckless with the cars.
I saw the truck on the lot and I'm pretty sure it was not a dealer plate on the thing - dealer plates have a set format in Alberta.

The truck was not parked in the regular vehicle area but in a fenced off area where they keep their extra stock. It was dirty like it had been driven on the streets. Pretty sure it was the same truck.
Deal Expert
Mar 25, 2005
21441 posts
2266 upvotes
antigua1999 wrote: The problem is they are sold through the New Car Department on New car paperwork. The used car lot doesn't sell demos.
If you believe a car with 6,500km on the clock is new, best stay at that dealer. The kool-aid has been drunk.
Deal Fanatic
Jun 11, 2005
8425 posts
2251 upvotes
Mississauga
Kasakato wrote: If you believe a car with 6,500km on the clock is new, best stay at that dealer. The kool-aid has been drunk.
Just cause you don`t like it doesn't mean it isn`t true. Like I said before most dealers have upwards of 30 demo`s on the road at one time and they sell all of them.
Deal Guru
User avatar
Mar 9, 2007
12551 posts
7427 upvotes
Think of the Childre…
antigua1999 wrote: Not sure what a mechanic is going to find on a Demo with 6,500 km.
You never know....

WOULD SOMEBODY THINK OF THE CHILDREN!!!
Deal Addict
Mar 22, 2004
3233 posts
721 upvotes
Chuck Garabedian wrote: I saw the truck on the lot and I'm pretty sure it was not a dealer plate on the thing - dealer plates have a set format in Alberta.

The truck was not parked in the regular vehicle area but in a fenced off area where they keep their extra stock. It was dirty like it had been driven on the streets. Pretty sure it was the same truck.
Go to couple of dealers and price the same truck and see what would they give you. If the difference is 1-2K.... I don't think it is worth it. If you can pull around 5K off, that is another story.

My boss has a friend who owns big dealership in GTA and one summer he gave my boss free Jeep for 3 months. Reason??? He needed to hit monthly quota bonus which was something like 30K. Later on, he would drop the 5-6K off the price of slightly used jeep and he would still pocket 20K+. :)
[OP]
Deal Addict
User avatar
Sep 7, 2006
1096 posts
90 upvotes
Calgary
Even though the $4200 cash discount for new 2015's is not valid for this month, I think that the offer of $5800 off is not really enough for a vehicle that's this dated and how crappy the economy is currently in Alberta (I don't think they are selling a lot of trucks) plus the fact that it is used (whether the dealership wants to define that it is "new" or "used" on paper).

I'll do the math tomorrow and determine a price I feel comfortable paying - everything in - fees, taxes, truck.

I have already contacted another dealership who had a similar demo for sale he needed to gather more information on their demo. He also said said he would give me $4500 off a 2016 and I'm sure I could get that higher with a bit of negotiation.

If I'm getting that kind of deal on a new one at another dealership, then the other dealer will have to come down more than $5800 for a used demo.
Deal Addict
Mar 22, 2004
3233 posts
721 upvotes
Chuck Garabedian wrote: Even though the $4200 cash discount for new 2015's is not valid for this month, I think that the offer of $5800 off is not really enough for a vehicle that's this dated and how crappy the economy is currently in Alberta (I don't think they are selling a lot of trucks) plus the fact that it is used (whether the dealership wants to define that it is "new" or "used" on paper).

I'll do the math tomorrow and determine a price I feel comfortable paying - everything in - fees, taxes, truck.

I have already contacted another dealership who had a similar demo for sale - he said he would give me $4500 off a 2016 and I'm sure I could get that higher with a bit of negotiation.

If I'm getting that on a new one at another dealership, then the other dealer will have to come down more than $5800 for a used demo.
That's what I said ;)
Deal Fanatic
Jun 11, 2005
8425 posts
2251 upvotes
Mississauga
Chuck Garabedian wrote: Even though the $4200 cash discount for new 2015's is not valid for this month, I think that the offer of $5800 off is not really enough for a vehicle that's this dated and how crappy the economy is currently in Alberta (I don't think they are selling a lot of trucks) plus the fact that it is used (whether the dealership wants to define that it is "new" or "used" on paper).

I'll do the math tomorrow and determine a price I feel comfortable paying - everything in - fees, taxes, truck.

I have already contacted another dealership who had a similar demo for sale he needed to gather more information on their demo. He also said said he would give me $4500 off a 2016 and I'm sure I could get that higher with a bit of negotiation.

If I'm getting that kind of deal on a new one at another dealership, then the other dealer will have to come down more than $5800 for a used demo.
If you can get close on a New one that is the way to go.
Deal Expert
Mar 25, 2005
21441 posts
2266 upvotes
antigua1999 wrote: Just cause you don`t like it doesn't mean it isn`t true. Like I said before most dealers have upwards of 30 demo`s on the road at one time and they sell all of them.
My sales guy told me he sold a car for full sticker to a grandmother as well! Someone buying something has nothing to do with whether its a good deal.

Looks like the OP realizes demos are simply used cars owned by the dealer. Excellent choice in my books, $5800 (or $0.09/km) is peanuts considering factory incentives.
Deal Fanatic
Jun 11, 2005
8425 posts
2251 upvotes
Mississauga
Kasakato wrote: My sales guy told me he sold a car for full sticker to a grandmother as well! Someone buying something has nothing to do with whether its a good deal.

Looks like the OP realizes demos are simply used cars owned by the dealer. Excellent choice in my books, $5800 (or $0.09/km) is peanuts considering factory incentives.
Your sales guy is the people that give dealerships a bad name. If what you say is true the management should be shot also. He is as bad as a thief. I suggested to op if he could get the numbers close go new.
Deal Expert
User avatar
Feb 9, 2003
18270 posts
2721 upvotes
Langley
antigua1999 wrote: My apology. A few obscure examples aside.
No, domestic trucks are routinely 10k off MSRP.
Deal Fanatic
User avatar
Oct 26, 2003
7068 posts
128 upvotes
Nepean
I bought one and it was fine. It was "used for about 6 months by a sales associate". I saved about 10k in total in cost compared to if I were to buy new. Came with manufacturer extended warranty. I'm the first registered owner according to MTO and insurance FWIW.

Top

Thread Information

There is currently 1 user viewing this thread. (0 members and 1 guest)