Automotive

No negotiating, no haggle pricing

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[OP]
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No negotiating, no haggle pricing

Normally, I love to surf autotrader and see what is the 'deal' of the week.

I have been finding a lot more used car dealers in the GTAH advertising vehicles at their lowest, non-negotiable price tag.

I think this is the time in the market where consumers are actually get better and better at buying vehicles and in order to keep the the margins thicker, there are dealerships that will now no longer negotiate their pricing. And if you don't like it, shop elsewhere. It's the same principle that we as buyers use when shopping for vehicles. 'Plenty of other cars out there'.

These vehicles are priced lower to make it appear to be the better deal and tagged with 'No Haggle, Low Price, Why Pay More!'

Favourite one is this 'We've made vehicle shopping easier by taking away all the hassles and haggles!'

Bastards.
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There's nothing wrong with that as long as you're happy with the price.

I tried to buy a VW Atlas but it didn't work out. Dealership wanted full MSRP and added a $4000 upgraded 22" rims & tires and $2000 running boards. But on the bright side, they dropped their admin fee from $995 to $695. Smiling Face With Open Mouth And Smiling EyesFace With Tears Of Joy I guess there are a few suckers who want an Atlas that bad to pay for those upgrades.
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[OP]
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No and I agree with 'if you're happy with the price', but if all dealers start doing this, where is the consumer advantage? As consumers, we are already losing a lot of buying power because of monopolies or crown corps.

If all the cell phone companies only at the cheapest offered $100/month for 5GB data, do you think people would be upset? Or you needed to subscribe to TV services in order to get internet at home for $150/month.
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Well then sales would drop so they would make more margin per sale but less sales. I think dealers want as.many cars.on the road as possible, more chances of repairs and service. Plus they'll try to get you for the extra warranty, sound proofing, rustproofing. Plus it would be hard for all the dealers to agree on this. These days consumers are a lot smarter than 10 years ago and shit like this won't fly. Now if you do it like Tesla where everything is sold by Tesla then it'll work.
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Jan 12, 2008
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Autopark in Brampton says lowest price and no haggling but when I went there just to "look"

They started haggling like crazy
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Disciplinz wrote: Autopark in Brampton says lowest price and no haggling but when I went there just to "look"

They started haggling like crazy
The greatest negotiating tool you have is the willingness to walk away...

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koffey wrote: No and I agree with 'if you're happy with the price', but if all dealers start doing this, where is the consumer advantage? As consumers, we are already losing a lot of buying power because of monopolies or crown corps.

If all the cell phone companies only at the cheapest offered $100/month for 5GB data, do you think people would be upset? Or you needed to subscribe to TV services in order to get internet at home for $150/month.
So you complain about oligopolies and crown corps is bad , and now you're complaining free market with lots of competition (used cars) is also bad?

So what do you want? Seems like you don't want free market , regulated pricing, oligopolies...

Any first year or probably even HS economic student can tell you that perfect competition and oligopoly (and obviously monopolies) all lead to uniform price
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Jun 26, 2011
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They will never have true no haggle pricing because they make most of their money on people who don't haggle much on the inflated prices.
[OP]
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StatsGuy wrote: So you complain about oligopolies and crown corps is bad , and now you're complaining free market with lots of competition (used cars) is also bad?

So what do you want? Seems like you don't want free market , regulated pricing, oligopolies...

Any first year or probably even HS economic student can tell you that perfect competition and oligopoly (and obviously monopolies) all lead to uniform price
Did you even read the OP? lol, you have to be the biggest fail poster of 2019. You get trashed in every thread from hot deals to food and drink. You always try to spin posts into your own opinion in order to bash others. I'm shocked you're still around.
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koffey wrote: Normally, I love to surf autotrader and see what is the 'deal' of the week.

I have been finding a lot more used car dealers in the GTAH advertising vehicles at their lowest, non-negotiable price tag.

I think this is the time in the market where consumers are actually get better and better at buying vehicles and in order to keep the the margins thicker, there are dealerships that will now no longer negotiate their pricing. And if you don't like it, shop elsewhere. It's the same principle that we as buyers use when shopping for vehicles. 'Plenty of other cars out there'.

These vehicles are priced lower to make it appear to be the better deal and tagged with 'No Haggle, Low Price, Why Pay More!'

Favourite one is this 'We've made vehicle shopping easier by taking away all the hassles and haggles!'

Bastards.
I’ve noticed this trend too. It seems like it comes in 2 versions. In the first version the set price is actually a pretty aggressive price that’s probably actually a pretty good deal for both sides. These dealers know their market and their stick turns over quickly.

The second version though is more pernicious. In this model the set price strategy is really more of a slowly moving Dutch Auction. The set price starts out pretty high and isn’t really a deal at all. They’re trying to max out the profit hoping the right guy finds the ad and wants the vehicle with no awareness that it’s overpriced. Then if they don’t land a whale after the first few weeks they drop the set price a little bit. They repeat every few weeks until they get a bite.

It’s really just a way of having a comfortable sales experience and has nothing to do with saving money. The only way you save money with a dealer like this is to watch a vehicle for several weeks until it hits the price you’re willing to pay but you’re at the risk that someone else might be willing to overpay and you lost the vehicle before it hit your price point. So an educated vehicle buyer is still playing the same old dealership pricing games - you’re just doing it by a slightly different set of rules.
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CanadianLurker wrote: I’ve noticed this trend too. It seems like it comes in 2 versions. In the first version the set price is actually a pretty aggressive price that’s probably actually a pretty good deal for both sides. These dealers know their market and their stick turns over quickly.

The second version though is more pernicious. In this model the set price strategy is really more of a slowly moving Dutch Auction. The set price starts out pretty high and isn’t really a deal at all. They’re trying to max out the profit hoping the right guy finds the ad and wants the vehicle with no awareness that it’s overpriced. Then if they don’t land a whale after the first few weeks they drop the set price a little bit. They repeat every few weeks until they get a bite.

It’s really just a way of having a comfortable sales experience and has nothing to do with saving money. The only way you save money with a dealer like this is to watch a vehicle for several weeks until it hits the price you’re willing to pay but you’re at the risk that someone else might be willing to overpay and you lost the vehicle before it hit your price point. So an educated vehicle buyer is still playing the same old dealership pricing games - you’re just doing it by a slightly different set of rules.
That makes sense. I actually didn't even think of that portion of the buying experience. Nice subject post. I've even noticed that smaller best bros auto sales shops are doing this as well. Outside of the norm big dealership groups...
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Everything is still negotiable if both parties want it to be.
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Aug 18, 2014
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koffey wrote: No and I agree with 'if you're happy with the price', but if all dealers start doing this, where is the consumer advantage? As consumers, we are already losing a lot of buying power because of monopolies or crown corps.

If all the cell phone companies only at the cheapest offered $100/month for 5GB data, do you think people would be upset? Or you needed to subscribe to TV services in order to get internet at home for $150/month.
that's not how market competition work..
Well unless it is a monopoly with no regulation, but there are plenty of competition when it comes to buying & selling cars....
If one dealers is pricing it too high they lose sales to others

I am all for no haggle pricing...
Imagine having to haggle everytime you buy anything...I know some people enjoy the haggling process...i just don't
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chimaican wrote: Everything is still negotiable if both parties want it to be.
IF being the magic word. I called this one shop in Kitchener, firm, no haggle to which I find disappointing. The same car listed at an actual dealership, identical year/trim/mileage sold, I should say listed, for $2300 less.
pinkdonut wrote: that's not how market competition work..
Well unless it is a monopoly with no regulation, but there are plenty of competition when it comes to buying & selling cars....
If one dealers is pricing it too high they lose sales to others

I am all for no haggle pricing...
Imagine having to haggle everytime you buy anything...I know some people enjoy the haggling process...i just don't
I know that's not how competition works, but there's no hard fast rule to suggest that if a majority of dealership companies decide to raise pricing and stay hard and fast to the no haggle process, there's potential that others could follow and prices could rise. But that's why I started this thread, to discuss it. Is it a possibility? I don't know. I do know that even with regulations, consumers still get stiffed, rules are still broken and its a never ending fight.

I must admit, I do enjoy fighting for every penny when it comes to purchasing. Even when it comes to my home products. Every year, prices go up and I call to bring it back down. I'm a RFDer after all and saving money is important to me. More so when it's hundreds or thousands of dollars. I'm not just willing to give my money away when I know, like in the example above, there's a lot of pennies to be saved.
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Hmm I'm unsure what you're trying to say but...
koffey wrote: I have been finding a lot more used car dealers in the GTAH advertising vehicles at their lowest, non-negotiable price tag.

I think this is the time in the market where consumers are actually get better and better at buying vehicles and in order to keep the the margins thicker, there are dealerships that will now no longer negotiate their pricing. And if you don't like it, shop elsewhere.
Yep, then do exactly that.
koffey wrote: It's the same principle that we as buyers use when shopping for vehicles. 'Plenty of other cars out there'.
Unless you're looking for something very specific, isn't that usually the case though?

Let's face it they may not want to haggle but they make money with volume as well. If they have a car sitting there month after month, they're going to have to lower the price to sell it and it's just going to depreciate further as it sits. If the price isn't to one's liking and they don't want to deal then that's the thing to do--go elsewhere.
koffey wrote: Favourite one is this 'We've made vehicle shopping easier by taking away all the hassles and haggles!'

Bastards.
My favourite one (from used car places) is "won't last!" :lol: Always get a chuckle out of that one. But yeah I'm still not sure of your point here. I agree it can suck in some cases (the no haggle business) and I agree you can shop elsewhere.
rf134a wrote: I tried to buy a VW Atlas but it didn't work out. Dealership wanted full MSRP and added a $4000 upgraded 22" rims & tires and $2000 running boards. But on the bright side, they dropped their admin fee from $995 to $695. Smiling Face With Open Mouth And Smiling EyesFace With Tears Of Joy I guess there are a few suckers who want an Atlas that bad to pay for those upgrades.
LOL MSRP. The Atlas is pretty darn expensive as it is, I dunno how people are buying these but they ain't cheap. And all the ones I see on the road are VR6/4Motion which really aren't cheap--again not sure how everyone is buying those but yeah. T'reg was still way better and then you could at least justify the high price. The ballooned out MQB Atlas, I'm not so sure. OTOH I saw a Tig the other day and though I knew it was larger I don't think I'd really seen many to see how much larger it is--at first I thought it was an Atlas! Just don't get that weirdo engine they put in that thing :confused: Anyway sounds like you were pricing out some pretty loaded Atlas there...given they didn't budge, what did you end up going with? Or still shopping?
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rf134a wrote: There's nothing wrong with that as long as you're happy with the price.

I tried to buy a VW Atlas but it didn't work out. Dealership wanted full MSRP and added a $4000 upgraded 22" rims & tires and $2000 running boards. But on the bright side, they dropped their admin fee from $995 to $695. Smiling Face With Open Mouth And Smiling EyesFace With Tears Of Joy I guess there are a few suckers who want an Atlas that bad to pay for those upgrades.
What is the admin fee for?
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A new one, used car dealer owned by the chrysler dealer did that here. Non negotiable prices looked pretty good(they did drop them the longer they sat). But this spring they changed, the headline price is if you finance through them only, otherwise the price is $1,000 more
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There are plenty of people who complain the price they pay shouldn't depend on their negotiating skills & that they're tired of having to haggle. For people who are good at haggling, these places may not be appealing, but there's a huge segment of the population that hate having to haggle & want a no haggle experience. I think its a good thing that the market has both types of dealerships, those that do no haggling & those that haggle, its good to have choice

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