Negotiation at Car Dealership

Hi All,

I am in the market to purchase a new car - Nissan XTrial Ti or Mazda CX9 and was wondering how much were you able to get a discount of the listing price or what free accessories were added to your order.

The dealership i visited offered only floor mats so was wondering if i need to negotiate harder or the market is too tough to negotiate due to demand

Comments

  • I bought last year and asked a car buyer. 1k under what I could negotiate including mats, fuel and premium plate. They weren't able to get additional discount on other accessories I wanted though they did hook me up for cheaper finance than what I was looking at so that saved me another ~1.5k over the life of the loan.

    Can't hurt to try if you are set on the purchase but hit a wall on your negotiations, I didn't feel any pressure to say yes to their offers

  • +1

    it's possible despite what people say here, trick is buy near the end of the month and to call up every nissan dealership and see what they can do. I got a brand new hybrid jolion for below sitcker in wyong a few days ago. It was cheaper than what the demo was going for at the Blacktown dealership.

    • +2

      How much below sticker?

      Plus Haval is still buying market share. They want their cars out on the streets and are more likely to do a deal to meet their quotas.

      • 40990 is usual retail, for the month of December they had a 2k off promo bringing it down to 38990 and I bought it down to 37722.

      • Agree - Any of the Chinese brands are trying to buy share.

    • I rented a new Haval Jolion for a week to test it out because I'm in a market for a new car.
      I wanted to like it because the prices seem reasonable, but they have to do even better to get me to bite.
      Heaps of driver assist electronics and cameras on , but that just didn't manage to fully compensate for the lacklustre handling and odd design choices.

    • +1

      I picked up the new Haval H6 Hybrid for 40k last week. Dealership tried to upsell me on mats etc didn't take it because someone there had left mats already in the boot and car lol

      • Which dealer? You sure it's H6 Hybrid not the Jolion one?

        • H6 Hybrid, Kedron dealership in Brisbane.

          • @sathion: They must have raised prices thereafter. The cheapest I can find now is at 45K so a 5K jump in just 2 weeks lol…

            • @notthebestoption: There was some sort of promo on for the Jolion and H6 when we got ours which ended in December.

  • +1

    Was offered free genuine towbar and roofracks + additional $1500 off a new base model X-Trail in October.

    This was before being able to physically see the new vehicle. Happy I didnt proceed - the new xtrail seems a generation behind the now larger sportage/tuscons. I think the sales people know it too… they are in for a tough time.

    Couple of qns/comments.
    - X-Trail and CX-9 doesnt seem like direct competiors. CX-9 is a big car.
    - While there is suposedly a wait on the tuscons and sportages, if your flexible on colour and you can move quickly (i.e cash available) they pop up pretty regularly from cancelled orders etc.

    • +2

      Reckon u are incorrect size wise.

      I'm sure xtrail is larger than Tucson and it's leads in boot space at 585 ltr for the std 5 seater.

      I reckon the deal u got is awesome don't think u can get such a deal today.

      • While the x-trail might still be a tiny bit bigger, the latest tuscon/sportage models are definitely a bit bigger than their predecessors such that practically the boot space is ~the same.

        Unfortunately nissan have done away with the sliding rear seats and under floor storage in the base model - which was enough for me to decide to just keep my 2020 x-trail and plan to do a few aftermarket upgrades (head unit, parking sensors etc.)

  • +4

    Recommend trying a car broker like Motor Scout - provide good description/info. of what you are looking for, extras you want vs like and they will put it out to the market and provide various options from dealerships.

    Not affiliated but used their service 20 months ago mid-Melb. lock downs as our car was hit/written off - Motor Scout provided various options and were able to move quickly.

  • -5

    I used Game Theory to get the best price on a new Subaru with loads of extras.

    Basically noted down everything I wanted, dropped it in a draft email. Called ~5 dealers, asked for their email. Told them I was buying in 24 hours based on the best price. Got their email, BCC’d them with the details and stated I needed the offer back via email.

    I also had a mate who used to flips new cars, so said I’d give him 50% of the price difference if he could find a cheaper deal.

    End result was I got it $5k below his price. Significantly below RRP. Deal was done within a day and an hour of my time. This was in 2017.

    • +12

      This was in 2017.

      TL;DR

      • -1

        Cool. Seems better than the advice you’ve given so far.

        Also, from what I hear competition is heating up from dealers with less buyers and stock is slowly increasing from pandemic levels. Your advice may be outdated.

        • +2

          Industry was completely different 6 years ago. You may as well be giving advice from 30 years ago.

          Dunno where you heard that because it's not the case for every brand… But hey, I don't just get my news from the internet

      • +5

        Haha, that one time a car salesman is telling you the truth.

      • +1

        Yeah but didn't you see he used game theory?

    • You can try this…and maybe get 1k off or floor mats but no where as successful as it used to be

      • +1

        Agree. You’re not going to get the same mileage now. The point is it was this strategy yielded better results than a pro.

  • The best car is no car, the greatest car is employers car, but the legendary car is company car write off.

    • Care to elaborate further?

      • +7

        Best explanation is no explanation

        • +2

          Worst explanation is the Tate exploitation.

    • I understand the write off part.
      Lost concentration and car completely written off.

  • +2

    Best advice would be if you can wait it out then wait - as the new car market is still running hot but hopefully not much longer.

    It's ideal to do your own research first on the exact model, trim, color and accessories/extras and compare forums like Whirlpool where others might share their recent purchase price and negotiate with dealers from there. I managed to get around 5% off RRP during middle of 2021 (for a completely different brand) and I considered myself lucky.

    All the best.

  • I negotiated on my trade in car, dealerships won't budge on the new car prices. If you've got a trade in car, push harder there

    • +2

      Car dealership offered 10k for my trade in when the cheapest equivalent of my common hatchback goes for 22k haha. Even if they upped their offer it’s a ridiculous trade in price. Trading money for convenience YMMV

  • I used a car broker to purchase my current car, although it was 1 year ago I did manage to save around 10% off the listed price with tinting, boot liner and weathershields thrown in as well.

  • +4

    Last month we picked up a brand new Mazda 2022 CX9 GT FWD with metallic paint, cargo lights, bonnet protector, windshield protector, roof racks, floor mats, 3 year free servicing, full tank and premium plates for just under $66k (Sydney dealer).
    Purchased through Motor Scout who I can't recommend enough. We could have saved another $1k however I wanted the car before Christmas.
    I ended up getting the car tinted and ceramic coated for $1500 by a third party detailer, and purchased a dash cam which was installed through air tasker. it would have been more than double that getting those extras through the dealer.

    • +2

      Dealers always put their own markup on aftermarket accessories. A local Mazda dealer was selling tinting for their cars for $900, but a friend worked at a local tint-a-car and said they do all Mazda's work. Tint-a-car charge half what Mazda were offering it for on new cars.

  • +2

    Welcome to the past 2 years.

    Toyota basically told me to order online, they don't have any cars on the floor to show me or test drive or do deals with.

    Try a broker, they might get better deals through their connections and bulk deals. But otherwise, it's basically a RRP based purchase.

  • +1

    Go on last day of the month and get the quote from wholesale dealer like Motor Scout first then sure you get something in my opinion….!

  • -5

    friend just got a new car - they were friend of the salesman and said they got a 10% discount

    offered me the same opportunity - I went "wow - a chance to spend $38,000 on something I don't need !?

    Let me think about it - OK I thought about it … no"

    • Is this comment being downvoted because it is good deal information—disregarded—or poor information?

  • I’ve been able to get my cx9 for 42,780$. The advertised price was 45,000$. We here in Queensland have RACQ membership. Included In the membership, there is a service called ‘new car negotiaton’. A person from RACQ calls up and seeks details about the car - make, model and any accessories that we need. I asked for 3 free services on top of the 42,780$ reduced price. I didn’t go for floor mats as the services are more worthy. Each Mazda service costs 450$. So for three years it’s around 1400$. There is also 5 year free road side assistance. Which is another 1000$ from Racq. Altogether we were able to get a very decent price and services.

    • Is this driveaway pricing? When did you purchase the vechicle?

  • +1

    Prices are up across the board. I just made 2k profit on the original purchase price selling a 3 year old car - to a car yard even!

  • +2

    Eric from Motorscout. Good guy. Was able to find stock for us for what we wanted at $3.5k discount for CX-9 Azami mid 2022. We went with slightly used that was fully loaded with all the accessories, tow bar, tints, paint protection etc and saved a decent amount compared to new. Even with used, I was able to negotiate rego. Not sure if you’re open to 1-2 year old car but definitely worth considering as you can pick up immediately and save more than $10k

  • +4

    We ordered a RAV4 Cruiser as the wait times were starting to blow out. First dealership we went to told us the price is non-negotiable due to people paying more for the secondhand cars. I think dealerships will try continue to get away with this argument. But it is just a negotiation tactic they now use.

    Approach I took was to go to a random dealership, tell them a number "another dealership offered" to get an idea on how low they could go before calling my bluff. Then took that number back to whoever was the most helpful. We ended up with $5.5k off, floor mats, and full tank of fuel.

    You are there to make a purchase, and while the next person who walks through the door "may" want the same car at RRP, why would they throw away a guaranteed sale just because of a discount?

    • +1

      Good tactic. This is the correct answer to save money!

    • +1

      We ended up with $5.5k off

      Hmm have you received the car yet? We don't even have that sort of margin in one…

      • No we have not received it yet.
        The status did get updated to in production last month. Which I am happy to be getting the 2023 model as it fixes all gripes I had with the initial.

        We were told by multiple sales people at the time that they could not believe we snagged it for that price/extras (figured they were just trying to make me feel like I got a great deal at the time, which I feel like I did). It did have to go through the manager, and then the regional manager apparently.

        • That's strange because it does appear to be sold for a loss.

          Have they contacted you to pay the extra for the newer spec model yet? Or was the original contract in the new spec pricing?

          • @spackbace: We do have to pay up to $1000 per new model, depending on the difference. So max $2k at this time.
            They did call to give us a year of insurance after the first hike as compensation, and a duffel bag (no cash inside unfortunately:)).

            My inclination was that we would be on the longer side of wait times to try accommodate the lower price.

            • @Mr Random: New spec is ~$2500-$2800 extra on RRP, which needs a new contract to be signed…

              • @spackbace: Yet to hear about this from the dealer, and we spoke to them about 3 weeks ago to confirm where things are in the process.
                Will sus this out. Thanks.

                • @Mr Random: Have you checked with them? Highly doubt they'd cover a further $1500 or so discount on an in demand vehicle

                  • @spackbace: Had a chat with the person who handled the sale this morning. He confirmed the car is in production, and that as our contract states an additional charge of up to $1000 per new model, we will have to pay the $1000 for this years model. He said he would need to look into the 2022 increase as he was unsure if our model hit the $1k cap.
                    Worst case we have to pay $2k on top of the initial deal signed off on.

    • +1

      This is exactly our tactics too, we went for a test drive in the Hyundai Tucson N Line with zero interest in buying on the day, and the dealer offered us $3.5ks off without us even negotiating.

      So that's what we can now play then off each other at, my plan is to get the top of the range spec car the same price as the mid range, which is about a $6k difference, or ill get it as close to that as i can when the time comes.

  • +2

    Do new cars ever not have a full tank of petrol when delivered?

    • +1

      If they don’t, you can ask for it as part of your contract.

      • +3

        I just find it surprising people mention it… $50 or $100 on a 20-100k purchase. Such a small %

        • +2

          Every dollar adds up.

        • +1

          It's basically just a sales tactic, people are very price sensitive with fuel so they don't think about % of overall value.

        • +1

          also having the first stop when picking up a new car being the service station takes some of the 'new car excitement' shine off :)

    • +3

      FWIW, Toyota dictate that the car must come with a full tank of fuel. It's non-negotiable

      • Honda is the same in regards to fuel.

  • Definitely use a broker.
    We got a discount on a Hybrid Rav4 using a broker that we couldn’t negotiate anywhere near on our own.
    Happy to send our brokers details if you’d like

  • +2

    I can't wait until the arse falls out of the new/used car market , I'm gonna submit so many enquires and ignore all responses from car dealers, payback will be sweet.

    • Just don’t use your real phone number!

  • It also depends on the suburb you are buying in. You will get a cheaper price in Liverpool then you will get in Parramatta in Sydney region. So maybe try and call low socio economic areas dealerships and try your luck there.

    • How about blacktown?

      • Worth a shot, but I would still compare prices with dealerships in Liverpool, Campbelltown etc.

        • Would the number of google review an indicator of having the best prices? Liverpool and Campbelltown has more google reviews than Toyota Chatswood or Hurstville. Blacktown toyota has most reviews.

  • Saved 5k off MSRP + free tinting + Euro plates. This was a top spec BMW though so 5k wasn’t a huge amount.

    • which dealer and model? i've bought or negotiated four new ones now over the past 12 years.

      • Electric X3 (iX3) at North Shore. How have you done over the past years?

        • ok i think the iX3 is harder than other models to haggle down

          I go my X4 early 2021 down from 130k to 99k on road. I timed it well though as I work in tech and saw the looming shortage.

          • @JPMelb: Damn that is a huge win for you. Some of my colleagues were getting ~20k discounts on low-mid range X3s but even after visiting 3 dealerships in person I found it impossible to price them against each other for any more than 5k. Oh well, still a great car to drive and super happy with it.

            • @AlbiesDad: Yeah, I negotiated hard with the dealership on my Z4 in 09. Ever since they have been great. But the key is really writing the number down and saying if you got that we have a deal. I find that works best.
              Dealers all have a common database so if you go into dealer A, they know you went to dealer B.

              Great to hear you like the iX3. How is handling vs an ice car with an that weight?

              • @JPMelb: Thanks for letting me know - will employ those tactics next time round.

                It's really quite good - it handles quite well around bends and stays very well planted. It rings true to the tale of electric cars sticking nicely to the ground due to the weight of the batteries being at the floor of the car. In true Ozbargainer fashion I've been going through bends like a granny to reduce wear on the tyres - I'm sure they wear out fast enough with how heavy the car is.

                The one thing I'll say is that it's tough to park - not sure if it's a BMW thing as it's my first one, but the car brakes quite hard at low speeds. I think that might be due to the electric motor engaging/disengaging and what not, but I probably look like an L plater parking for the first time when I'm trying to reverse parallel. Could also be due to the weight of the car. It also lurches backwards quite a bit when stopping at a red light.

                Last gripe - the handbrake not auto engaging when shifting into Park is an annoying little first world problem when coming from a Toyota that did it.

                • @AlbiesDad: I don't have that problem re braking. I find the X4 relatively easy to park.

                  It is a lot bigger than the Z4, but the virtual top down is excellent. I learnt to reverse park in a 78 fairlane so everything is small

      • free tinting

      Can we specify 20% VLT for rear windows, 35% for front, 20% for back window or the dealer will stare at us weirdly? I mean if given free tinting, I suppose it would be on our VLT term and not theirs right, even though it's free?

      • +1

        I would not consider that a strange request in the slightest. I'd put in on par with picking what paint colour you want to be honest.

  • -1

    Walk in there telling them you already have a deposit on X car at Y price. You are just killing time while your partner shops and want to check out the competition. Now you are beginning discussions from a position of power and they have to fight tooth and nail for your business.

    If you are happy with the way negotiations progress you can let them know you would need to lose your $x deposit if the contract is cancelled so they need to knock that price off their best offer to get you to sign a new contract right now. If not you are happy with the car you've already paid a deposit for and walk to the next dealership where you rinse and repeat.

    It's all about having a believable story the floor sales rep can tell their manager when requesting significant discount approval. Do your research and choose a brand/model they are in fierce competition with for extra discount ;-)

    • +2

      Walk in there telling them you already have a deposit on X car at Y price. You are just killing time while your partner shops and want to check out the competition.

      FYI that doesn't put you in a position of power, as every dealer would have people who come in to tyre kick.

      What you've just said would have most people going back to the manager saying "yeah don't worry about them, they've bought elsewhere, came here to kick tyres".

      Most purchase contracts allow more than the deposit to be kept, if the purchaser cancels out, so if you say you've bought elsewhere, why would the next salesperson want to deal with you? Not to mention, you've just said how flaky you can be, and how easily you could cancel out of another order with them.

      Not a powerful position.

  • +1

    Lol imagine being this dumb, no new car stock anywhere in Australia and this guy wants a discount. The discount is they are still selling the new cars for the sticker price and haven't jacked up the prices by 20% as supply shortages normally would cause.

    • Damn, I must be an idiot for negotiating a 5.5k discount on a new car which has long wait times.

  • Your best bet is to check out if they sponsor any local sports clubs or similar. Sometimes they will give a member of those.

  • Car Mats! Im aiming for 10%.

    We went around October as we were looking at the Kia Sportage and Hyundai Tucson, we eventually decided on the N Line Tucson as it was better detailed inside.

    We took it for a test drive in Mornington Victoria and had zero plans to buy that day as we always go to a few dealers to see what they can do.

    Anyway we were asking about the wait times etc.. and said we wasnt there to buy and the dealer went off to get us a print out of the specs we wanted, when he came back he said, i know your not looking to buy but today only we have a fleet discount on the Tuscon, he told us how much we said no, then he said hed throw in another 2yrs warranty and also the Towbar we asked about $1k in value.

    So all up without us even trying to get a discount he basically offered $3500 discount right there, so we knew then we had some leeway at other dealers, the top of the range Tuscon is $56,000, the one we asked about was thr midrange spec at $50,000, so although we havent been to a dealer since, this year im going to go for the top of the range spec car for as close to $50k as possible.

    So if they say car mats id just laugh and walk out, even a full tank should be included anyway.

    Id personallly be aiming around 10%, the money is in your pocket and they want it so go to a frw dealers and play them off each other, then go back to the one local and say these guys said x amount…match it!

  • Is it still better to buy during the last few days of the month (presumably due to sales targets, etc) or is this no longer relevant in the current situation?

    • +2

      That is mostly a myth. Dealer principals work on car registrations, not orders.

      Cars on the floor are registered so they don't care that much.

  • Just as an FYI All new Toyotas must come with full tank of fuel and carpet mats as standard. So try bargaining for some other accessory, new car prices aren’t falling anytime soon due to the booming used car market and new car availability.

    nearing end of month is still a tactic you can you use to get a better deal.

    New cars are still hovering around the rrp but hopefully will end soon once the availability of new cars is there.

  • +1

    CX-90 in a few months, be crazy to buy a CX-9 in early 2023

  • There is always room to negotiate. It largely depends on the amount and popularity of the vehicle.

    I would agree at the cheaper end of the market there isn't a huge amount of room. At the higher end (100k +) the aim should be 20-30% off list price on road.

    I got my X4 3.0 in 21 from around 130 to 100. This was just before the component shortage though.

    The main thing is you have to find a rep that wants your deal and you have to make them feel the car you want to buy is the second choice option and the first choice is just a bit cheaper.

    Certain brands though forget it. Subaru are almost all owned by Inchcape so they set their pricing tightly. Tesla, forget it and cars like the MG at 21k, I'm amazed and scared they can build a car for the prices they sell at, I think they would barely make a cent on them.

  • My other negotiation tip, is if you know what you want and how much you want to spend. After you get a feel for the price, write down the amount you want to spend and say "If you hit my price, we have a deal".

    Of course, you should be committed and sign on the spot if they hit your price. you won't get a chance to get it again and you'll look like a right douche.

    Sounds old school, but it works. Just do it when you are 100% committed and ready to go.

  • I purchased a 2020 Peugeot van yesterday , NO DISCOUNT AT ALL , ( it was very keenly priced ) the salesman did although give it six months rego rather than 3 and is going to touch up all the imperfections…

  • +1

    I ordered a rav4 hybrid cruiser awd mid 2021, negotiated 3.5k of rrp with free tinting, upgrade to rubber mats, weather shield and full tank of petrol. I did add on roof racks for $800. Didn't end up getting the order in till 13 months later so got the 2022 model with a 1.5k increase, but toyota offered 12 month comprehensive insurance.

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