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RE: New car discounts??



More fuel...

I was picking up some sunroof gears for my 944, and decided to wander into
the showroom and get a new A4 brochure, which unfortunately was a year old.
Anyway, after no one approached me (I was gazing at the new TT in the
showroom) I went up to the receptionist to ask for the brochure.  She had to
hail a salesman to get me one.  

Really it seems to come down to politeness or courtesy.  And that doesn't
just stop at the showroom either.  I almost feel guilty (like a criminal)
even going into a showroom.

I'll stop dealer-bashing now.  :)

dB

-----Original Message-----
From: James M. De Arras [mailto:jmd@westlab.com]
Sent: Monday, August 16, 1999 12:58 PM
To: 'Michael Williams'; Browning David (TVCS); James M. De Arras; q-list
Subject: RE: New car discounts??


I suspect some salesmen are buying that $600 fixed cost per customer myth,
and not "wasting" time on anyone not worthy.  

But the reality is, that number came from a count of customers divided by
the fixed and variable overhead of a dealership.  The formula does not work
backwards, i.e., one adding a customer does not increase overhead by $600.
Instead, it is more a step function, where you can add "X" additional
walk-ins at a minimal to no added cost, then suddenly you need more room,
salesmen, or whatever, which causes a step jump in the overhead for "one"
added customer.

Basically, I see no excuse for salesmen to be huddled in groups discussing
sports scores, while a potential customer (me) wanders around trying to
force answers out of anyone who will listen.  I can see on a busy day, where
the customers outnumber the salesmen, that a salesman might get picky in who
he spends time with, based on looks, even, but never on a slow day!  You
will never convince me it costs a dime extra to talk to me, as opposed to
talking to each other.

Jim