Don’t Talk Price Over the Telephone!

By L James Johnson

L James Johnson

Contributing Writer BIO

L. James Johnson joined the automotive industry after winning recognition as a radio & TV journalist and running three thriving, fast-growing small... More

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1 2,099 views May 17, 2010

Difficult economic times are forcing more car owners to sell their vehicles privately instead of trading them in. The reasons vary: as financial markets tighten, it’s harder to qualify for a loan. Or you’re dumping that second or third car to cut expenses to generate some cash. Or you may prefer to sell privately so you can pocket the dealer’s cut for yourself.

Most private sellers only sell a handful of vehicles over a lifetime. And there’s a lot to learn to sell your vehicle quickly and profitably. This includes what to say when someone calls and asks about your vehicle.

Learn from the Pros

As an ex-Internet Manager for a major car dealer, I learned never to talk price over the telephone. It’s the quickest way I know to scuttle a potential deal and send a prospective buyer on to the next vehicle on their list.

Yet, most of the thousands of initial inquiries I've fielded from customers over the years included a question about price. When someone calls or emails for information, like is the car still available, they invariably ask one of the following:

• What's your best price?
• Is that the best you can do?

That's why my answer to the initial questions about price never varies:

• Of course I'm flexible about the price. But there’s not much point negotiating until you look at the car and give it a drive. If it’s what you’re looking for, I'm sure we can make a deal that works for you. Do you want to see it tonight or tomorrow?

Learn from the pros: negotiating price by phone or email is a bad idea for the seller. The only exception to this rule is if the buyer has to travel a significant distance to see it.

Exceptions to the Rule

Yet, there are times you simply have talk price over the phone or you lose credibility with the caller. If that happens, follow these general guidelines:

• Confirm as often as necessary that you are flexible on the price. Buyers know that virtually all sellers add some wiggle room into the asking price.

• Try working with the caller to problem-solve in determining if this is really the car for them. Ask the buyer questions. Find out what her actual needs are, how the vehicle will be used, who will drive it, and her other concerns.  Your honest curiosity will go a long way to shifting the conversation away from price. And just like you, a private buyer is more likely to do business with someone they like and trust; someone who is actually concerned about their best interest.

• Keep reaffirming the car’s best features. This includes the features the caller has indicated they liked most about your vehicle.

• If you need to talk dollars and cents, reduce your price in small increments, then ask, “Will that work for you?”

• If you’re not getting anywhere, don’t be afraid to repeat yourself by saying, “Why don’t you take a look at the car in person. I’m flexible on the price but there’s not much point in negotiating until you look at it in person. If you like the car, I’m sure we can make a deal. What time tonight works best for you?

Be Yourself

It may sound hokey, but the new rules of selling your car online dictate that you be honest, upfront, and transparent in all dealings with potential buyers. Do this and they’ll get the message that you’re one of the good guys. If buyers get the sense that you’re honest and can be trusted, they’ll beat a path to your door to do business with you.

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 L. James Johnson's new book, HELP! I Gotta Sell My Car NOW! New Rules for Selling Your Vehicle Online! is available for download at BayAreaCarGuy.com. You can also download his FREE report, The 8 Biggest Mistakes Used Car Buyers Make & How to Avoid Them!

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