Interesting...Toyota's Lexus Testing Haggle-Free Sales at 12 U.S. Stores
07-25-16, 06:22 AM
#361
Lexus Fanatic
iTrader: (20)
chicken and egg. most of my local dealers have a 'package' on EVERY VEHICLE of several hundred dollars or more than a thousand in some cases, including pin stripe (really?), upholstery protection, and other fluff (nitrogen in tires, lol) which costs the dealer almost NOTHING or in fact, NOTHING. it's this kind of insulting starting point that makes the whole thing adversarial to begin with.lol - knew you'd post something like that. and yeah, because of the above dealer shenanigans every time, i EXPECT to get a car around invoice price, knowing the dealer's still making good money. dealers have no one to blame but themselves for being thought of as worse than even politicians in terms of trust.
07-25-16, 07:12 AM
#362
Lexus Fanatic
"These cars".....meaning what? Lexus products?
It can also be quite difficult, in many cases, because of a number of factors, to determine just what the exact dealer invoice is. With Consumer Reports or typical buying services, one can come reasonably close (maybe a couple of hundred dollars), but even then, a number of different factors apply.
It can also be quite difficult, in many cases, because of a number of factors, to determine just what the exact dealer invoice is. With Consumer Reports or typical buying services, one can come reasonably close (maybe a couple of hundred dollars), but even then, a number of different factors apply.
07-25-16, 08:06 AM
#363
Not a expert but want to share my thought. I like the idea of Haggle-Free Sales but it doesn't mean the dealer can not screw you on something else. The dealer can still screw you on finance & extra fees. I just experienced it with my XC90. After negotiated a final price with sales, the finance manager show me a contract with totally different numbers. A six pages contract with number & fee that most people have no clue on. It took 20 mins & dozen of questions to kinda figure them out. He first bump up my monthly payment for the following reasons:
1. My credit score was not tier 1
2. Money Factor given by sales was incorrect (0.00096 vs 0.00126)
3. only 39 month term available vs the 36 month (affect the residual % as well)
I told him trash it and give me a new contract with negotiated price & monthly payment. It took 1.5 hours to get back on the track but I still I ended up compromised to take 39 month term instead of 36 months.
Its is interesting what price are the dealer offering on these Haggle-Free deal.
1. My credit score was not tier 1
2. Money Factor given by sales was incorrect (0.00096 vs 0.00126)
3. only 39 month term available vs the 36 month (affect the residual % as well)
I told him trash it and give me a new contract with negotiated price & monthly payment. It took 1.5 hours to get back on the track but I still I ended up compromised to take 39 month term instead of 36 months.
Its is interesting what price are the dealer offering on these Haggle-Free deal.
07-25-16, 08:24 AM
#364
Lead Lap
I think you said it the best. At this time the only numbers most of us have seen who have come in to contact are with the pilot program. I believe we have not seen what the numbers will come to when they expand this over all diff franchises. My only question is that if they offer 8k discounts as suggested by the our fellow forum poster as the price you pay without haggling, how would that affect residuals and resale values. What value if any would the sticker hold?
07-25-16, 12:49 PM
#365
Pole Position
Not a expert but want to share my thought. I like the idea of Haggle-Free Sales but it doesn't mean the dealer can not screw you on something else. The dealer can still screw you on finance & extra fees. I just experienced it with my XC90. After negotiated a final price with sales, the finance manager show me a contract with totally different numbers. A six pages contract with number & fee that most people have no clue on. It took 20 mins & dozen of questions to kinda figure them out. He first bump up my monthly payment for the following reasons:
1. My credit score was not tier 1
2. Money Factor given by sales was incorrect (0.00096 vs 0.00126)
3. only 39 month term available vs the 36 month (affect the residual % as well)
I told him trash it and give me a new contract with negotiated price & monthly payment. It took 1.5 hours to get back on the track but I still I ended up compromised to take 39 month term instead of 36 months.
Its is interesting what price are the dealer offering on these Haggle-Free deal.
1. My credit score was not tier 1
2. Money Factor given by sales was incorrect (0.00096 vs 0.00126)
3. only 39 month term available vs the 36 month (affect the residual % as well)
I told him trash it and give me a new contract with negotiated price & monthly payment. It took 1.5 hours to get back on the track but I still I ended up compromised to take 39 month term instead of 36 months.
Its is interesting what price are the dealer offering on these Haggle-Free deal.
07-25-16, 01:48 PM
#366
07-25-16, 02:45 PM
#367
Front page coverage
Looks like at least some of the no-haggle dealerships are happy with the results thus far...
https://www.clublexus.com/articles/h...eriment-going/
https://www.clublexus.com/articles/h...eriment-going/
07-25-16, 03:35 PM
#368
Moderator: LFA, Clubhouse
because the price the dealer first 'offers' is usually ludicrous. chicken and egg. most of my local dealers have a 'package' on EVERY VEHICLE of several hundred dollars or more than a thousand in some cases, including pin stripe (really?), upholstery protection, and other fluff (nitrogen in tires, lol) which costs the dealer almost NOTHING or in fact, NOTHING. it's this kind of insulting starting point that makes the whole thing adversarial to begin with.
chicken and egg. most of my local dealers have a 'package' on EVERY VEHICLE of several hundred dollars or more than a thousand in some cases, including pin stripe (really?), upholstery protection, and other fluff (nitrogen in tires, lol) which costs the dealer almost NOTHING or in fact, NOTHING. it's this kind of insulting starting point that makes the whole thing adversarial to begin with.
07-25-16, 06:39 PM
#369
Can confirm - bought Two lexus' from a haggle free dealer. First my IS350 then the RC F.
In both instances, I was told upfront, 'we take the pain out of the transaction by automatically going to our absolute minimum so that you don't have to haggle with us' lol
In both instances, once I told them about my trade and cash in hand and was serious about buying, haggling took place. Both by email and in person, on both cars.
I guess most people who buy cars don't join car forums and are not 'car people' like most of us here, so the ploy works but come on!!!! Do they REALLY REALLY expect us to believe that $800 below MSRP is as low as they can go?
These days with the internet, its just way way to easy to find someone doing the same thing for less, and that..thankfully is their downfall.
In both instances, I was told upfront, 'we take the pain out of the transaction by automatically going to our absolute minimum so that you don't have to haggle with us' lol
In both instances, once I told them about my trade and cash in hand and was serious about buying, haggling took place. Both by email and in person, on both cars.
I guess most people who buy cars don't join car forums and are not 'car people' like most of us here, so the ploy works but come on!!!! Do they REALLY REALLY expect us to believe that $800 below MSRP is as low as they can go?
These days with the internet, its just way way to easy to find someone doing the same thing for less, and that..thankfully is their downfall.
07-25-16, 06:46 PM
#370
Lead Lap
On a side note, Edmunds reposted the same article but with a bit more info on the pilot program
Dealerships currently in the program
Three other dealerships will offer Lexus Plus by August 1.
They are Lexus of Bellevue, Bellevue, Washington;
Lexus of North Hills, Wexford, Pennsylvania;
Rohrich Lexus, Pittsburgh, Pennsylvania.
Dealerships currently in the program
- Berlin City Lexus of Portland, Maine
- Bergstrom Lexus, Appleton, Wisconsin
- Kuni Lexus of Greenwood Village, Greenwood Village, Colorado
- Lexus of Lehigh Valley, Allentown, Pennsylvania
- South County Lexus at Mission Viejo, Mission Viejo, California
- Tom Wood Lexus, Indianapolis, Indiana
- Lexus of Lincoln, Lincoln, Nebraska
- Lexus of Omaha, Omaha Nebraska.
Three other dealerships will offer Lexus Plus by August 1.
They are Lexus of Bellevue, Bellevue, Washington;
Lexus of North Hills, Wexford, Pennsylvania;
Rohrich Lexus, Pittsburgh, Pennsylvania.
07-25-16, 06:47 PM
#371
Lead Lap
Can confirm - bought Two lexus' from a haggle free dealer. First my IS350 then the RC F.
In both instances, I was told upfront, 'we take the pain out of the transaction by automatically going to our absolute minimum so that you don't have to haggle with us' lol
In both instances, once I told them about my trade and cash in hand and was serious about buying, haggling took place. Both by email and in person, on both cars.
I guess most people who buy cars don't join car forums and are not 'car people' like most of us here, so the ploy works but come on!!!! Do they REALLY REALLY expect us to believe that $800 below MSRP is as low as they can go?
These days with the internet, its just way way to easy to find someone doing the same thing for less, and that..thankfully is their downfall.
In both instances, I was told upfront, 'we take the pain out of the transaction by automatically going to our absolute minimum so that you don't have to haggle with us' lol
In both instances, once I told them about my trade and cash in hand and was serious about buying, haggling took place. Both by email and in person, on both cars.
I guess most people who buy cars don't join car forums and are not 'car people' like most of us here, so the ploy works but come on!!!! Do they REALLY REALLY expect us to believe that $800 below MSRP is as low as they can go?
These days with the internet, its just way way to easy to find someone doing the same thing for less, and that..thankfully is their downfall.
07-25-16, 11:47 PM
#372
Three other dealerships will offer Lexus Plus by August 1.
They are Lexus of Bellevue, Bellevue, Washington;
They are Lexus of Bellevue, Bellevue, Washington;
07-26-16, 03:06 AM
#373
Lexus Test Driver
07-26-16, 10:47 AM
#374
Instructor
I work at an AutoNation dealer and I AGREE with the one price business model. CarMax has been doing one price for a long time and they sell A LOT of cars. NO HAGGLE NO GRINDING NO LOWBALLING. Some customers are very annoying and stupid and want to grind all day. One price makes the selling/buying process so MUCH EASIER!
Dealers everywhere are watching Lexus and CarMax and I hope AutoNation also goes to one price!
Dealers everywhere are watching Lexus and CarMax and I hope AutoNation also goes to one price!
07-26-16, 01:21 PM
#375
Lexus Fanatic
Truthfully, the only two brands that I ever knew that were no-haggle were Saturn and Scion, one is no longer in business and Scion is discontinued. I doubt no-haggle will work. I am not convinced that no-haggle will work other than in a niche way