Knowing how car dealers work
Individuals or firms involved in the sale of a motor vehicle are called car dealers. On the other hand, a car dealership is a business that involves the sale of new or used cars at the retail level. Car dealers act as middlemen between the manufacturer and a customer, and the concept of car dealership includes the sale of vehicles belonging to a particular company.
Roles and responsibilities of car dealers
- Car dealers are involved in the sale of new or used cars. They are also involved in a number of activities like meeting, greeting, and prospecting customer requirements, negotiating sales prices, and handling contracts.
- When you visit a car dealer showroom, a salesperson welcomes you at the doorstep. They will ask questions regarding the car model, color, budget, and such.
- Based on your requirements, the salesperson will show the vehicle model available at the showroom.
- A price catalog will be provided on request, and the salesperson shortlists the car models you prefer to buy.
- Later, they might ask you to take a test drive along with them, and they explain the physical features of the car.
- Next, one-to-one discussions regarding special discounts, festival offers, budgeting, and such take place.
- Before proceeding further, they might ask for personal details like address proof, ID proof, salary slips, credit history, and photographs.
- At this level, the salesman needs to check whether the customer is clear with all their doubts regarding the vehicle, financing, and discounts. They also need to ensure that the customer is ready to make a deal.
- The final duty is getting approval, getting the agreement signed, and providing the vehicle to the customer.
However, the responsibilities of the salesperson do not end after the sale of the car. They have to inquire about the vehicle’s efficiency and fix any issues faced by the customer.
Myths surrounding car dealers
- Time factor : The best time to buy a car is the month ends as dealers have monthly targets and might provide offers and discounts at the end of the month. Customers familiar with this fact can derive the best advantage from the dealer.
- Finance : Car dealers are aware of reliable financial agents or institutions who offer a fair rate of interest on funds. The dealers might actually have tie-ups with various financial houses.
- Cash payment is beneficial : Cash payments can prove to be a costly affair in some cases. It is better to make payments partially in cash and partially through the loan.
- Dealers always benefit : No, they don’t always benefit as dealers have to bear the losses in the case of unsold goods. Dealers have to sell the old and unused vehicles swiftly to replace the old stock of vehicles with new ones.
A car dealer’s business is highly dependent on knowledgeable sales personnel. The dealer must also possess a positive attitude toward the sales, financial, and housekeeping departments. These aspects are essential for the development of business, good relations among the employees, and such other things.