I'm sure that John got a good deal regardless. I know him well enough to know that he would not have bought the Mercedes otherwise.
A dealership may "loose money" on an individual used car sale. For example, he may take a car in trade for $10,000 that's worth much less. But he won't loose money in the overall trade. For example: Joe Somebody drives his minivan in to trade on a new Mercedes. The Stealership gives him a $3000 trade-in allowance on a C class. Joe Somebody feels good about the trade because he knows that his minivan is only worth $500.00 - and that's only with a full tank of gas! He thinks he's "got one over" on the dealership. But Joe Somebody does not know that there is a buffer built into the selling price of the car for just this event. Joe Somebody drives his shiny new Mercedes to work, bragging about the great trade-in he got for his old minivan. Jane Somebody Else with 36 kids in tow comes in and buys the minivan for $1800. On the books, the Stealership lost $1200 on the minivan that they sold to Jane Somebodyelse ($3000 C class trade in - $1800 sale). And they are proud to show this, leaving Jane Somebodyelse with the impression that she really did get a great deal. But they made lots of $$$ on the entire string of transactions because they did very well on the C class sale. And they did especially well on the minivan sale because they would have sold it at auction for only $300.00. This same scenario is played out at every Stealership, every day. Now you know why I call them Stealerships!!!! Thanks, Tom Hargrave www.kegkits.com 256-656-1924 -----Original Message----- From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf Of John Robbins Sent: Thursday, April 10, 2008 8:05 AM To: Mercedes Discussion List Subject: Re: [MBZ] Gave in... WAS: Must... resist... temptation [EMAIL PROTECTED] wrote: > How does the dealer "loose" on this sale? > I've never known a dealer to "loose" on a sale, how does he stay in business? I think he lost money because he gave too much for the car as a trade in to sell the new Bluetec the guy bought... and he wanted it off his lot. I glanced at his computer screen and he paid nearly 28k for the car... It was listed at 29k a week or two before I test drove it. Regardless, I still think I got a decent deal. Certainly not the best deal, but I don't think I got taken to the cleaners either. John _______________________________________ http://www.okiebenz.com For new parts see official list sponsor: http://www.buymbparts.com/ For used parts email [EMAIL PROTECTED] To Unsubscribe or change delivery options go to: http://okiebenz.com/mailman/listinfo/mercedes_okiebenz.com No virus found in this incoming message. Checked by AVG. Version: 7.5.519 / Virus Database: 269.22.11/1368 - Release Date: 4/9/2008 4:20 PM No virus found in this outgoing message. Checked by AVG. Version: 7.5.519 / Virus Database: 269.22.11/1368 - Release Date: 4/9/2008 4:20 PM _______________________________________ http://www.okiebenz.com For new parts see official list sponsor: http://www.buymbparts.com/ For used parts email [EMAIL PROTECTED] To Unsubscribe or change delivery options go to: http://okiebenz.com/mailman/listinfo/mercedes_okiebenz.com
