Lexus VP: Not focused on U.S. sales volume or higher incentives despite falling sales
04-21-09, 12:13 AM
#46
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04-21-09, 07:27 AM
#47
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i agree there, it's not generally brand-specific, although the 'philosophy' of the brand can influence the salespeople's approach. as mentioned, lexus seems to push heavily to sell what's on the lot, even though typically what's on the lot is a VERY limited, VERY generic selection. part of luxury to me is about getting what you want!
04-21-09, 07:29 AM
#48
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It's not hard. That's the maddening thing. I expect most of my clients to pay somewhere close to list price, but I also generally spend at least 90 minutes demoing the car, showing them service, showing them all the things that make a Lexus a Lexus. I don't feel I have the right to ask for a $40K, $50K, or $85K car purchase at list price without justifying it.
Do I always get it? Nope. But you never know unless you ask.
As for customers, I treat everyone like I would want my wife treated if she went shopping. Unless they are disrespectful towards me, then we are pretty much done with things.
I also do what I say I will do, follow-up with my customers more than once a decade, see them in service, and I do little stuff all the time...go to their house to program Homelink stuff, get them gift cards to parts and companies we do business with, I've even gone out to houses to re-deliver cars if they didn't fully understand the first time.
Stuff like that isn't hard, it doesn't ruin my day to do it. In fact, I enjoy it. And I think that, in the end, that's the kind of service that lets people justify the fact that we usually make a pretty good amount on them.
It's the hardest easy job you can ever do, sales, and I go batshiat crazy when I run into idiot salespeople.
Do I always get it? Nope. But you never know unless you ask.
As for customers, I treat everyone like I would want my wife treated if she went shopping. Unless they are disrespectful towards me, then we are pretty much done with things.
I also do what I say I will do, follow-up with my customers more than once a decade, see them in service, and I do little stuff all the time...go to their house to program Homelink stuff, get them gift cards to parts and companies we do business with, I've even gone out to houses to re-deliver cars if they didn't fully understand the first time.
Stuff like that isn't hard, it doesn't ruin my day to do it. In fact, I enjoy it. And I think that, in the end, that's the kind of service that lets people justify the fact that we usually make a pretty good amount on them.
It's the hardest easy job you can ever do, sales, and I go batshiat crazy when I run into idiot salespeople.
04-21-09, 07:37 AM
#49
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you're both right to an extent, which means neither is in total control.
yes it's true that the consumer can just walk out, but not every consumer is that strong-willed and maybe they DON'T have another dealer nearby to go to. lexus for example, only has, what, 210 dealers NATIONWIDE?
a good salesperson will know more about the consumer when they walk in the showroom than the consumer does about themselves! (as far as how they approach buying a car at least) good salespeople have 'seen it all' and they know right away how it's going to go down (or isn't). so MOST consumers are at a huge disadvantage right away. yes they can walk out, but a lot don't if they're 'set' on that brand/model.
yes it's true that the consumer can just walk out, but not every consumer is that strong-willed and maybe they DON'T have another dealer nearby to go to. lexus for example, only has, what, 210 dealers NATIONWIDE?
a good salesperson will know more about the consumer when they walk in the showroom than the consumer does about themselves! (as far as how they approach buying a car at least) good salespeople have 'seen it all' and they know right away how it's going to go down (or isn't). so MOST consumers are at a huge disadvantage right away. yes they can walk out, but a lot don't if they're 'set' on that brand/model.
04-21-09, 07:40 AM
#50
Lexus Champion
It's not hard. That's the maddening thing. I expect most of my clients to pay somewhere close to list price, but I also generally spend at least 90 minutes demoing the car, showing them service, showing them all the things that make a Lexus a Lexus. I don't feel I have the right to ask for a $40K, $50K, or $85K car purchase at list price without justifying it.
Do I always get it? Nope. But you never know unless you ask.
As for customers, I treat everyone like I would want my wife treated if she went shopping. Unless they are disrespectful towards me, then we are pretty much done with things.
I also do what I say I will do, follow-up with my customers more than once a decade, see them in service, and I do little stuff all the time...go to their house to program Homelink stuff, get them gift cards to parts and companies we do business with, I've even gone out to houses to re-deliver cars if they didn't fully understand the first time.
Stuff like that isn't hard, it doesn't ruin my day to do it. In fact, I enjoy it. And I think that, in the end, that's the kind of service that lets people justify the fact that we usually make a pretty good amount on them.
It's the hardest easy job you can ever do, sales, and I go batshiat crazy when I run into idiot salespeople.
Do I always get it? Nope. But you never know unless you ask.
As for customers, I treat everyone like I would want my wife treated if she went shopping. Unless they are disrespectful towards me, then we are pretty much done with things.
I also do what I say I will do, follow-up with my customers more than once a decade, see them in service, and I do little stuff all the time...go to their house to program Homelink stuff, get them gift cards to parts and companies we do business with, I've even gone out to houses to re-deliver cars if they didn't fully understand the first time.
Stuff like that isn't hard, it doesn't ruin my day to do it. In fact, I enjoy it. And I think that, in the end, that's the kind of service that lets people justify the fact that we usually make a pretty good amount on them.
It's the hardest easy job you can ever do, sales, and I go batshiat crazy when I run into idiot salespeople.
You're definitely not ideal for somebody like me, though... I almost never come across a sales person who can tell me anything I don't already know about the car, and much more often I end up hearing blatant lies from them (because they assume I don't know any better). My main concern when car shopping is to drive the car to get my own impression of it (ideally without the sales person or without them talking to me while I'm driving) and then get the best price I can. But that's because I'm a car nut and not wealthy. At the same time I've never made an offer on a car that was so low that they wouldn't make enough money on it to justify their time with me. I always allow them to make some money, but I'm not about to pay a premium for a sales person to tell me what I already knew.
04-21-09, 07:43 AM
#51
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Control has nothing to do with how good of a salesperson one is. A good salesperson in the Toyota/Lexus family creates a relationship between customer and dealership. This is what what makes a salesperson good. The dealership then profits off of the new car sales, the service provided, the snacks they buy in the waiting room, the trade in of the exsisting vehicle and then a new car sale all over again, its one big cycle a salesperson is after..... a good salesman doesn't just stop there....a good salesperson gains referals from exsisting customers which starts the whole Toyota/Lexus dealer and customer cycle all over again.
A good salesperson moves inventroy...period. He/she takes care of the customer at all costs which in turn makes the customer want to buy the vehicle.
If I had five people walk in to buy a ES350 for $500 over invoice and I sold it to each one of them...these five sales are more important than one big $3000 over invoice sale. Why? Because of the dealership/customer relationship...if I take care of the 5 people who walked in for the ES350...then they maybe be back for service, trade ins and a new car...etc etc..
Salesperson brings business to the business...
I live 5km away from a standalone Toyota and Lexus dealer in my area....I refuse to go to this dealer because of the service and attitude they provide. I go out of my way to visit Ken Shaw Lexus/Toyota to service my vehicles..I don't mind the 30km drive because they take care of all my needs.....and are not afraid to bend over backwards to do it.
Control has nothnig to do with it.
A good salesperson moves inventroy...period. He/she takes care of the customer at all costs which in turn makes the customer want to buy the vehicle.
If I had five people walk in to buy a ES350 for $500 over invoice and I sold it to each one of them...these five sales are more important than one big $3000 over invoice sale. Why? Because of the dealership/customer relationship...if I take care of the 5 people who walked in for the ES350...then they maybe be back for service, trade ins and a new car...etc etc..
Salesperson brings business to the business...
I live 5km away from a standalone Toyota and Lexus dealer in my area....I refuse to go to this dealer because of the service and attitude they provide. I go out of my way to visit Ken Shaw Lexus/Toyota to service my vehicles..I don't mind the 30km drive because they take care of all my needs.....and are not afraid to bend over backwards to do it.
Control has nothnig to do with it.
You have absolutely no idea how the luxury car market operates.
04-21-09, 07:48 AM
#52
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You sound like the ideal sales person for somebody who has money to burn and doesn't really know much about cars.
You're definitely not ideal for somebody like me, though... I almost never come across a sales person who can tell me anything I don't already know about the car, and much more often I end up hearing blatant lies from them (because they assume I don't know any better). My main concern when car shopping is to drive the car to get my own impression of it (ideally without the sales person or without them talking to me while I'm driving) and then get the best price I can. But that's because I'm a car nut and not wealthy. At the same time I've never made an offer on a car that was so low that they wouldn't make enough money on it to justify their time with me. I always allow them to make some money, but I'm not about to pay a premium for a sales person to tell me what I already knew.
You're definitely not ideal for somebody like me, though... I almost never come across a sales person who can tell me anything I don't already know about the car, and much more often I end up hearing blatant lies from them (because they assume I don't know any better). My main concern when car shopping is to drive the car to get my own impression of it (ideally without the sales person or without them talking to me while I'm driving) and then get the best price I can. But that's because I'm a car nut and not wealthy. At the same time I've never made an offer on a car that was so low that they wouldn't make enough money on it to justify their time with me. I always allow them to make some money, but I'm not about to pay a premium for a sales person to tell me what I already knew.
That's cool, I can roll with that too. I'm not going to bore someone to death. If I run into a car person, I don't sit there talking about stuff they already know. I challenge myself to inform them of at least two things they didn't previously know about the car.
I don't bother lying to people, it doesn't work from a personal or business standpoint. I prefer the phrase "I don't know, but give me a minute and I'll find out for you."
04-21-09, 07:49 AM
#53
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Having many friends/associates in the dealer biz a salesman for BMW/Benz/Lexus nearly "has it made". The more arrogant ones (who are a trip to talk too) tell stories of people who seemingly WANT to bend over and pay anyprice. A good salesman can smell that.
I'll never forget this great BMW salesman I had and there is this UGLY turd green 318 (at the time) sitting in front the lot elevated for everyone to see. This salesman knew his stuff (as did I) so we got along great. He says to me...
"Mike you see that there, that ugly turd green slow as crap 318"
I reply yes
He replies "Some dip**** is going to come in here and tell me "I've been looking for this color my whole life".
I was lmfao
He was one of the first salespeople to tell me he really doesn't have to sell anything. The brand/car sells iteself and most people have the money/credit to buy them. He literally just fills out some paperwork.
Taking to Lexus/Benz people, its more of the same. People for the most part already have in their mind they want a car. The salesman's job is NOT to screw it up acting arrogant etc. Sometimes they get to show a feature they are unaware about that helps convince the buyer. Then you show features and benefits.
That is the majority of buyers. There are a few like us in here that know very well not just about the car we want but the competition. That said don't we usually know what we already want
I find it VERY VERY rare for people to literally have 3-5 luxury cars in mind and the test-drives etc convince them. Usually what does in that case is PRICE/Payment.
Surely though kalvano knows more than me. I'm just sharing what I know.
I'll never forget this great BMW salesman I had and there is this UGLY turd green 318 (at the time) sitting in front the lot elevated for everyone to see. This salesman knew his stuff (as did I) so we got along great. He says to me...
"Mike you see that there, that ugly turd green slow as crap 318"
I reply yes
He replies "Some dip**** is going to come in here and tell me "I've been looking for this color my whole life".
I was lmfaoHe was one of the first salespeople to tell me he really doesn't have to sell anything. The brand/car sells iteself and most people have the money/credit to buy them. He literally just fills out some paperwork.
Taking to Lexus/Benz people, its more of the same. People for the most part already have in their mind they want a car. The salesman's job is NOT to screw it up acting arrogant etc. Sometimes they get to show a feature they are unaware about that helps convince the buyer. Then you show features and benefits.
That is the majority of buyers. There are a few like us in here that know very well not just about the car we want but the competition. That said don't we usually know what we already want
I find it VERY VERY rare for people to literally have 3-5 luxury cars in mind and the test-drives etc convince them. Usually what does in that case is PRICE/Payment.
Surely though kalvano knows more than me. I'm just sharing what I know.
Last edited by LexFather; 04-21-09 at 07:52 AM.
04-21-09, 07:50 AM
#54
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with internet sales, research, and stiff competition I beg to differ. I usually deal with internet sales generally to avoid guys who think they are in " control ". A salesman in control????.... LMAO.. you guys are there to answer questions like , "how do I open the trunk" , and" do you have a brochure". LOL
They are the dealerships you guys ***** about ceaselessly.
04-22-09, 09:37 AM
#56
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The way I see it, there are sales people who cater to those who know little about cars, which is the majority of the people, and then there are those who deal with car enthusiast who know way more about about a particular car and its competition. These well informed buyers also already know the approximate invoice, current incenetives, amount of dealer holdback, current Manheim and KBB values on trade-ins. From my past experiences, the internet sales department is tailored for the enthusiasts. Great pricing, very little hassle, rather quick and seamless transaction. The internet sales folks though have to push volume for their livelihood.
Kalvano caters to the general public, where he can "sell" the Lexus experience, service, etc... When I bought my wife's '03 RX years ago, all I needed the internet sales team to tell me was their price, and if they had my first color choice and build package in stock. The internet manager then pulled the car aside and coordinated with another internet sales rep to pull it out for my wife and I when we came to check it out and take a quick test drive. We signed the papers and left happy.
Kalvano caters to the general public, where he can "sell" the Lexus experience, service, etc... When I bought my wife's '03 RX years ago, all I needed the internet sales team to tell me was their price, and if they had my first color choice and build package in stock. The internet manager then pulled the car aside and coordinated with another internet sales rep to pull it out for my wife and I when we came to check it out and take a quick test drive. We signed the papers and left happy.
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