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I've been shopping new trucks and I've gotten some surprises, but some I just can't figure out. I assumed that a dealer would love to take an order for a new truck from a buyer. He doesn't have to floor plan it. All he has to do is place the order, wait till it comes in, call the owner, make the final deal, prep it, and away it goes. But, instead, it doesn't seem like they want the customer to order. They want to sell existing inventory, and it seems they give better pricing on the existing inventory. I don't get it. Can someone explain? Is it just plain old short term thinking? They want your money NOW?
A variety of reasons. Dealers get additional incentives for manufacturers for taking on inventory and selling it, you may back out of the deal, and a sale in 6-8 weeks isn't a sale this month.
Guess what? Dealers finance their vehicles too. So the longer they sit on the lot unsold, the more money it costs them in finance charges, insurance, etc. They also want you to buy today because there's a good chance you won't tomorrow.
Dealers always want to move existing inventory because the longer it sits on their lot the more money they pay. After a few months of a vehicle sitting their lot they will actually start losing money rather than gain money from a sale. After all they are a business trying to make a profit.
Ford, GM and Toyota are in the process of phasing out one generation/bodystyle for a new/updated model. They want to clear the older bodystyle vehicles out ASAP, so there will be a lot of cash on the hood.
I'd stick to the traditional tactics:
1. Play dealers against each other.
2. Look at big and small dealerships. Sometimes a bigger dealer down the road can give a better deal.
3. Don't act desperate to buy. Be willing to walk out.
Mandalorian: Its the end of the month. I guess its time to play it the old fashioned way. The problem in our area, is that there is a lot of ownership of different dealers, with different names, and in different cities, but all owned by the same company. Sucks. So, have to be willing to drive farther.
Location: East of Seattle since 1992, 615' Elevation, Zone 8b - originally from SF Bay Area
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I bought our lat 2 new vehicles at a dealership 50 miles away, and it was well worth it. Not only did I get better discounts because of their lower overhead, but they were not pushy, and they specialize in trucks so huge inventory and no need to special order.
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