You need to be a good negotiator before you can get a good deal on the vehicle you want to buy. Doing all the required research or buying from a reputable dealer is not enough to help you get a good deal. You should be able to bargain strongly and tactically in order to get a good deal on the vehicle you want to buy. When you have worked out the invoice price and carry out all the necessary research, you are ready to start negotiating with the salesperson of the dealership. Here are some negotiating tips to apply when you are buying a vehicle.
Stay in an open place
It is better to stay in open place than staying in a closed office or cubicle in the showroom while negotiating for price. The salesperson may ask you to come into the office for negotiating. But if you are not used to staying in an office, you may be frightened and intimidated. But staying in an open place will make it more natural and less frightening. You will naturally be freer while negotiating with the salesperson.
Make the initial offer
Your initial offer should not be exactly the amount you have budgeted. It is recommendable to make an initial offer that is equal or a little bit above the invoice price of the vehicle. Speak convincingly and like a professional. You should show the salesperson how you worked out the price. If you talk convincingly, the salesperson will know that you have done your home work very well. Tell him that you are ready to close the deal if he accepts your offer.
Gradually increase your offer
Definitely, the salesperson will not accept your initial offer. He is much more likely going to ask for a price that is a little bit lower than the retail price of the vehicle following your initial offer. Add one or two hundred dollars to your initial offer. As you negotiate and add few dollars, the salesperson is much more likely going to reduce the price. Follow him and continue adding few dollars while insisting that you are already pricing more than your budget and findings.
Stand your ground
Salespersons are very skilful and when they see that you are insisting on your price or that you are frugal with your negotiation, they will excuse themselves to talk to the sales manager about your price. Some actually talk to the salesperson while some do not. It is all a strategy to convince you that they are giving you the best price. If he comes back and asks for a price closer to the price you are bargaining, it is an indication that he may accept you offer. But if he insists on his price or asks for a price still higher than you offer, it is an indication that he will not accept your price. So, you can add few dollars to your offer. Watch his movement including body gestures. It will tell you whether you are winning or not.
Make up your mind
If the salesperson goes to sales manager and come out insisting on his price, you should decide whether to buy or look elsewhere. Going on with the negotiation at this point may be a waste of time. Once you stand up to go, the salesperson will call you back if you have priced the amount they are willing to sell.