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Millionaires Buy Cars from Extraordinary Sales Professionals

By Thomas J. Stanley on Sep 10th, 2013 in Mentor's Corner

Automotive News recently reported that two-thirds of new car buyers walked “ice cold” into the dealership where they bought their car.  The others took the initiative by contacting the dealer first.

In another article more than half of new car buyers indicated that the number one problem with their purchasing experience was “dealing with a salesman.” Most of these people are what I refer to as “intercepted buyers:” IBs. IBs are those who visit a dealership without making any previous contact. Often they are intercepted by unprofessional, low volume producing sales personnel before they even open the showroom door. Interestingly, I find that IBs are among the least productive in transforming their income into wealth. 

In the course of my studies of high income producing sales professionals,  I have found that the very best, the most professional sellers of cars, are not interceptors. They rely heavily on repeat business via interpersonal endorsements and have a history of cultivating long term relationships with buyers.

Here’s what a mega producing sales professional shared with me:

This morning, we delivered a car over to the next county to one of my customers.  I started selling to this company [the owners 15 years ago] when they had five employees.  Now they are ready to go public.  [The CEO] called me . . . .  We picked up the trade, appraised it.  Later we dropped his off [the new car].  The entire deal was done by phone.  The customer never had to leave his office.

I often find that most top producers can get a customer the best deal on a new car purchase as well as on a trade-in.  As one of America’s most successful car sales professionals said in Millionaire Women Next Door, ” . . . I have enough [power] here to sell cars at a price that I decide upon.  I don’t run back and forth to a manager.  I will go to bat for a customer to get more for their trade-in.  I make my money . . . commissions . . . on volume [not] on one or two people.”

To avoid being intercepted, do what most millionaire next door types do: be proactive in your buying process and deal with true professionals. Don’t hesitate to call the new car sales manager and ask “who’s the best horse in your stable. . . where does he/she rank nationally?” It will likely save you much time, aggravation and probably money in the long run. And, as a final note, always ask to see the invoices of the motor vehicles that you are considering purchasing.

The top two actions taken by millionaires to “get a good deal” when purchasing a motor vehicle are: 1. determine the dealer’s cost prior to negotiating with him and 2. buy from a dealer [and its top sales professional] whom they have dealt with previously.

3 responses to “Millionaires Buy Cars from Extraordinary Sales Professionals”

  1. Diego Montebello says:

    Do what most millionaire next door types do: buy a two or three year-old car from a private owner. Is there anything that depreciates faster than a new car?

  2. Mark Vieno, CPA says:

    I have always bought a used car, high quality luxury such as a Mercedes E class from a national used car seller. I purchase the extended warranty and drive the car until it’s almost junk but still looks great, being a luxury car. I have paid less than 50% for a quality used car only 2 years old with a better warranty than the factory.

  3. Brad says:

    Another way to save some time and money is to start with either Costco or AAA if you’re a member. I have used Costco several times to purchase cars, and in both cases it was a very senior and experienced salesperson or manager.

    With information you can find on the internet and then shopping another one or two dealers with the price you receive from the Costco dealer you can be assured you’re paying a fair price.

    My experience tells me these sharks depend on the uninformed consumer to make their money, and when they figure out you are not one of them, they don’t waste a lot of time trying to scam you and move on to the next customer who is not willing to do the homework.

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