The bright and shiny new cars lure you in like a kid marveling at Christmas tree ornaments. The automobiles splayed before you not only represent movement and freedom, but the opportunity for improvement. There is an unspoken excitement when you think that soon you will be driving one of these beauties home. But before you can drive out of the parking lot, you have to make it through choosing, negotiating, financing and buying.

CHOOSING: Today, most people have done some sort of research on the internet about the car they want to purchase. It’s in your best interest to compare several makes and models and brands of similar vehicles online before heading to the dealership. Go to several companies’ main websites to get a general sense of features, mileage, and technology for the cars you like. Then check out websites with independent reviews and personal experiences of people who have driven those cars.

Once you have done a little research and narrowed down your options you’re ready to hit the lots. The salesperson is usually the first person you will meet at any particular dealership. Consider this person your dealer representative. It is his/her job to be the intermediary between you and the owner or general manager. Up front, ask to see all the vehicles you have previously researched and take them for a test drive. If the salesperson knows what you want early on, he/she can make your choosing experience go smoothly.

NEGOTIATING: Now that you have chosen the car you want, the nerve-racking task of agreeing on a price awaits. For new cars, there’s not much wiggle room in the price for negotiations. The brand headquarters sells the car to the dealership at a pretty steep price and suggests an MSRP that’s only a few percentage points above cost. The General manager of the dealership can sell the car anywhere in between those two price points. Keep in mind, he also has to pay the salesperson, the finance specialist, the support staff and still try to make a profit for the dealership from the money made off each car. During negotiations you should consider a decrease in price of 2% – 5% off MSRP acceptable for a new car. But this should not be expected. Some dealerships have already reduced the sticker price below MSRP for a special sale or to increase customer traffic.

FINANCING: Negotiating and financing tend to occur at the same time. While you are working with the  salesperson to determine a price, he/she is working with the finance specialist to get you a loan that will supplement the down payment and monthly installments you can afford. This is the part of the car buying process that tends to take the longest. Depending on your credit report and down payment, the finance specialist may have several options for you or just one. At any given time, don’t hesitate to put the financing on hold and get a quote from an outside institution like a credit union or bank. In the end, it is up to you to decide what the car is worth to you and how much you can afford.

BUYING: Once you have decided on the financing terms, you still have to go over all the details of your purchase. Most likely you will be sent to a customer service office where the representative will have you sign papers regarding terms and conditions of your loan, different insurance and warranty  options, suggested upgrades and many other important issues. You will also be required to procure insurance for your new car before you are allowed to drive it off the premises. Finally the salesperson will hand you the keys to your new car.

Congratulations on your purchase of a new car! The following are some important tips that will help you make the car buying process go smoothly.

• It can take up to 6 hours to buy a car. Expect to spend at least 2-4 hours at the dealership. Bring a book or other similar entertainment if necessary.
• If you have a trade-in, find out what it’s worth ahead of time. Try to sell it yourself to get more money, then use that as your down payment.
• Bring at least $500 – $1000 for a down payment. Most lenders won’t loan you money without a down payment.
• Don’t bring children. They just don’t have the patience or coping skills to sit through 4 + hours of negotiations and financing.
• Remember, you are going to be driving and paying for this car for the next 3 – 10 years and you should always feel comfortable when choosing and negotiating. If you ever feel pressured or bullied ask for a different sales representative or leave if necessary.

See Maxie Price Chevrolet for great deals on New Cars

by Wally Koster

Not too long ago, anyone shopping for a new or used car or truck would spend hours scouring the newspaper or waste precious time and money driving from dealership to dealership to compare models, trim levels and prices. Today’s smart, Internet-savvy customers do it all with just a few clicks on their computer keyboard and from the comfort of their own home or office. The Internet has, in fact, now become the information and shopping source of choice for today’s busy, time-crunched car and truck buyers.

Much of yesterday’s traditional showroom traffic has moved into cyberspace. Over 80% of all U.S. households now have Internet access. Nearly 85% of all new and used car purchasers shop online first, before even visiting a dealership. They spend an average of four hours researching and comparing vehicles and prices on a wide variety of manufacturer, dealer and third-party sites such as Kelly Blue Book, Edmunds and Yahoo. More than 10 million used car searches are conducted on Yahoo! each month.

According to a poll conducted by Cars Online, 44% of people surveyed said they were likely or very likely to purchase a car or truck entirely over the Internet, if that capability were available. Last year, one major automotive manufacturer piloted a program in California to sell their cars, trucks and crossovers on e-Bay.

To better satisfy the growing number of customers who shop online, dealerships are creating dedicated Internet Sales Departments to manage customer e-mail inquiries. "It’s grown so fast," says Donna Lawlis, Internet Sales Manager at Classic Chevrolet in Grapevine, Texas. "We started with just one person. Now we have ten full-time sales consultants in a separate building just to respond to all our customer leads."

Industry experts recommend dealers hire one dedicated Internet sales consultant for every 100 leads received per month. The industry closing ratio for Internet leads is 2.9%. "Being an Internet sales consultant isn’t a car job, it’s a sales job," says Eric Hall of Classic Chevrolet. "A normal day for me is to get here at about 8:00 a.m. in the morning, check our incoming leads, start answering customer e-mails, and take photos of our new and used inventory to post on the dealership website. The day kind of progresses from there."

The NADA reports that 96% of franchised dealerships have a website. Nearly 90% of all GM dealerships are enrolled in a factory-sponsored Certified Internet Dealer (CID) program which provides a dealership website, search marketing tools, links to the GM and brand sites, and automatic updates of national sales and service promotions.

"Our dealership website gives us an opportunity to get business we otherwise wouldn’t get," according to Rick Smallman, Internet Sales Manager at Lupient Chevrolet in Bloomington, Minnesota. "It’s as important to our dealership as the showroom, or as the Parts and Service Department."

Over 80% of all activity on a dealer’s website is related to inventory. Most sites feature photos of new and used vehicles, including "Internet Specials," with detailed descriptions of vehicle features, specifications and pricing available at the click of a button.

"Keeping our inventory fresh or finding that one special car, truck or SUV for a customer is always a challenge," says Nate Cottrill, Inventory Manager at Al Serra Motor Plaza in Grand Blanc, Michigan. "About 70% of our used inventory comes from auto auctions. To find the quality, late-model cars and trucks we need, we’re now shopping auctions as far away as Texas and Florida."

As evidenced above, consumers are not the only ones shopping online. Many dealers now buy and sell a substantial volume of their vehicles on the wholesale market through online auctions. Dealers in the Midwest buy used rental cars over the Internet from as far away as Hawaii, California, Nevada and Arizona.

In the same way, online car haulers are helping used car dealers maintain their profitability when shipping vehicles from auto auctions outside their usual trading area. With a few clicks of their mouse, dealers can find online car haulers who offer both truck and rail service options.

Online car haulers are making auto transportation easy, safe and efficient for dealers who are using the Internet to find the best inventory. Dealers shopping online don’t want to be constrained by a vehicle’s location. After buying a car online from a wholesale auction, dealers simply go to the car hauler’s website to get a price and estimated transit time for door-to-door pickup and delivery. Dealers can then place orders, track shipments and manage all their transportation needs in one place online.

Technology and the Internet have changed how consumers compare and shop for cars and dealers are responding. Dealers are finding new ways to use the Internet to manage their business and remain competitive when selling cars to consumers and sourcing inventory for their lots.

About the Author

ShipCarsNow offers auto shipping nationwide providing used car shippers a robust and responsive vehicle delivery network to handle long distance and volume shipments.

Maxie Price Chevrolet in Loganville, GA has a fully staffed internet sales department and can ship any vehicle anywhere in the continental US. To buy cars online go to www.mymaxieprice.com

DETROIT – The first of 500 retail 2011 Corvette Z06 Carbon Limited Edition coupes will go to the highest bidder at Barrett-Jackson in Palm Beach, Fla., on April 3.

The winning bidder will also be given the unique opportunity to tour GM’s Performance Build Center in Wixom, Mich., home of the hand-built LS7 and LS9 engines found in the Z06 and ZR1 respectively. The winner will also have the opportunity to watch the car going down the line at the famed Corvette Assembly Plant in Bowling Green, Ky.

“The Corvette Z06 Carbon will surely be an instant collectible,” said Jim Campbell, U.S. Vice President, Chevrolet Marketing.  “For that reason, we see Barrett-Jackson as the premiere venue to sell the first retail Z06 Carbon.”

The Corvette Z06 Carbon was designed as a tribute to the 50th anniversary of Corvette’s first race in the 24 Hours of LeMans.  As such, it continues the technology transfer between the production Corvette and racing.

Notable features of the Z06 Carbon include Brembo carbon ceramic brakes, Michelin PS2 tires, Magnetic Ride Control and enhanced cooling. Black headlamps and mirrors, a ZR1-style body color spoiler, body color door handles, carbon fiber raised hood, and black carbon fiber rockers and splitter enhance the Z06’s dynamic design and reduce mass and aerodynamic lift.

This auction continues Chevrolet’s tradition of offering exciting cars at Barrett-Jackson. At the Scottsdale, Ariz., auction in 2008, the first retail production 2009 Corvette ZR1 sold for $1,000,000. The first retail 2010 Chevrolet Camaro was also sold for $350,000 at a Barrett-Jackson auction last year. Most recently, a limited edition Corvette Z06 (number 427 of 427 produced) garnered $200,000, all of which was donated to the Red Cross relief efforts in Haiti.

The Barrett-Jackson Palm Beach auction runs from April 1 to April 3.

Source: GM Media