Quote:
Originally Posted by Ray paulsen
Sleasy - Unpleasant Affair ?, It's an easy out for consumers to say, dealers and salespeople are scum, but the real truth is, a lack of knowledge creates fear, seeking knowledge creates courage.
And the simple reason is, commercial and fleet customers have done their homework or they would not be hired to perform this task.
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Ray, are you being paid to be an apologist for the industry?
Essentially, you are blaming the consumer for the dysfunctional auto sales industry. This is nonsense.
Theoretically, a well-informed consumer does not need the dealer sales force at all, because they know everything!
The dealer sales force
should exist to aid ill-informed consumers and help them make an informed decision.
Instead, what do dealers almost universally do? EXPLOIT THE CONSUMER because of their lack of knowledge. IMO there is something very wrong when a consumer must do all sorts of homework on products, negotiation tactics etc, on their own to prepare themselves for dealing with the dealers.
Yes, some industries work this way, such as the residential construction trades. But most industries do not operate this way. Most companies use professionalism and trust at some level to gain a competitive advantage with the consumer.
All I am saying is auto manufacturers need to do the same in order to be more competitive in the marketplace....... to overhaul the dealer system and remove the opportunity for the wholesale exploitation of the consumer.
. How to do this??? One way is to remove the distribution monopoly of the dealers. Allow well-informed buyers to buy a car over the internet, direct from the factory. Dealers can still make money servicing these new cars....... and still be able to sell them..... to those consumers who need or value the personal attention.
I am sure dealers would squawk about the unfair factory competition. So what? Dealers have had carte -blanche for decades now and have produced just about the most disreputable consumer industry in existence. Meanwhile, GM and Chrysler are costing the taxpayers billions. Should the dealers be allowed to screw-up the publically-funded bailout to fuel their greed? Nonsense. IMO since the taxpayers now own GM and Chrysler, the distribution network should now work in the best interest of the shareholders (aka the public), with as much competition as possible.
Is this a reasonable attitude? Well, consider my position. I have bought new vehicles both for personal use, and for fleet/commercial use. Given my management/marketing background, I am so utterly dismayed at the exploitative nature of the sales industry, I refuse to buy any car from a dealer. I will always buy used from a private seller (which is also a PITA). And I am not the only one. A responsible manufacturer could easily sell a new car to me in the future if I could buy direct, at the appropriate price.