The economic downturn is changing how people do business in this country. Yet, a recent upsurge in car sales is sending a new wave of buyers to automobile dealers across the country. Why do consumers continue to deal with major dealers when it’s understood they have a bad reputation for a good reason?
As an ex-Internet Manager for a major car dealer, I discovered four main reasons why buyers still prefer major dealers when buying used cars. All four come down to the buyer’s fear of making a mistake.
Used car buyers can buy from private sellers, small independent car lots, or major dealers. Yet, major dealers are now doing so well that are having difficulty keeping used inventory in stock. Why? My customers told me that if they made a serious mistake buying a used car, it would not only waste money, but it could negatively impact their lifestyle, their credit rating, and even their ability to work. No joking matter.
These were their four major concerns:
- Mechanical – Not understanding the mechanical aspect of cars. They were afraid they’d buy a car with a serious defect that they would have to fix.
- Time – The time and effort to look online, make calls, create a short list of vehicles to see in person, schedule test drives, schedule mechanical inspections, and more.
- Financing – They needed a loan. Dealing with a bank or credit union is a whole new set of problems.
- Paperwork – How do you draw up a bill of sale? What about the title? What if there is a loan on the car? What paperwork needs to be filled out at the DMV? Do you have to go there in person?
Major auto dealers help resolve all the above fears with one-stop shopping convenience. Let’s take another look at each issue to see how dealers do it:
- Mechanical – Their mechanics inspect all pre-owned vehicles and they boast that they have fixed any deficiencies. (Psst. . . you know you can only trust this if they offer a written guarantee, don't you?).
- Time – They offer (or have access to) a wide selection of vehicles. Customers may be able to find the vehicle they want by stopping at just one dealership. Also, buyers can test drive as many vehicles they want, right there, safely.
- Financing – The dealer completes credit applications on the spot, and works hard for instant approval.
- Paperwork – They complete all the paperwork and save their customers a trip to the DMV.
Those are real benefits! With a major dealer, a buyer can walk onto their lot and in a few hours literally drive away in their pre-owned vehicle. No wonder many dealers across the country continue to do a thriving business even in these difficult economic times.
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 www.BayAreaCarGuy.com. You can also download his FREE report, The 8 Biggest Mistakes Used Car Buyers Make & How to Avoid Them!