The negotiation phase can be either a smooth or stressful experience, depending on your approach. While some media outlets advocate for an adversarial relationship between the customer and the salesperson, the ideal outcome is a fair and equitable deal for everyone involved.
Some advise withholding information that could weaken your position. However, truly successful negotiations aren’t about winners and losers. Instead, they involve both parties mediating their positions to find common ground.
Based on my experience, I recommend beginning the process in a personable and pleasant manner. By this point, you should have already conducted your research (as outlined in Part 1) and have a clear idea of the vehicle you want and a fair price you’re willing to pay.
Let’s imagine you’ve arrived at the dealership and found the car you’re interested in. In this case, it’s a Ford Fiesta. It has the right age, mileage, and color, and the price is within £300 of Parkers’ recommended value. A salesperson approaches you and says, “What can I do for you? My name is Peter.”
How do you respond?
I’ve observed various customer reactions, some of which I’ve listed below:
1. Ignoring the salesperson and continuing to inspect the car. While this prevents you from revealing information, it creates an awkward and unfriendly atmosphere, hindering the development of a positive relationship.
2. Saying, “Nothing, just looking.” This response also fosters an adversarial environment and requires extra effort to establish a neutral footing.
3. A better approach is to say, “Hi Peter, I’m Graeme Smith. I’m here to see this car and would appreciate some information about its history.” This response is both normal and helps to relax both parties, setting the stage for a more relaxed negotiation.
In my experience, customers who adopt this friendly and cooperative approach tend to secure better deals than those who are overly aggressive and uncooperative.
Stay tuned for Part 3: Agreeing on a Deal.