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November 12, 2009

Tales of our Volkswagen GTI - Car buying made easy

2010-VW-GTI-studio We are often asked about how we go about the business of anonymously buying more than 70 cars, trucks, and SUVs every year. (Learn how we test cars.) Most of our test vehicles are bought by the engineers and support staff who work at our Connecticut test track. Though I’m with the headquarters staff in New York, I recently volunteered to act as a secret shopper for the test program, partly out of curiosity, partly because it takes a lot of buyers to anonymously buy so many cars, and partly just to have better answers at neighborhood barbecues. 

My two-pronged plan: First, try to follow our own buying advice and second, try to make the process as painless as possible. Unlike a typical new-car buyer, I didn’t need to read up on what my car was worth in trade or get financing advice, because I wasn’t trading and I’d be paying by check. Nor did I have to determine the right car for my needs, or what options to choose – all I had to do was buy the assigned car.
The good news was that the car in question has long been a personal favorite--the Volkswagen GTI, recently freshened for 2010.

I started by doing what we recommend all car buyers do and determined the list price of the car and options, and the dealer cost for each. That information was readily available through our recently enhanced Cars Best Deals Plus services. (Learn about Consumer Reports Cars Best Deals Plus.) 

While online, I sent an e-mail from my personal account to three dealers in my area. I was very exact, listing the specific model year, trim line, options packages, and first and second color choices. You should do the same if you choose this contact method, because it saves lots of time, phone calls, and extra e-mails.

Two of the three dealers sent an automated e-mail within minutes, thanking me and saying someone would follow up shortly. A sales consultant at the first of those wrote within an hour to introduce herself and confirm the car, options, and color. She also said she’d get back to me shortly with a price and did so an hour later. The price, a bit below sticker, was acceptable. Dealer number two responded several hours later, with a quote on a 2009 GTI instead of a 2010. It took number two another full day to respond to my follow-up e-mail where I reiterated that I wanted a 2010 GTI. A day later, he wrote back saying GTIs were hard to find, and would I please say exactly what I wanted.

Another e-mail or two with dealer number one and a car was located and on its way from another dealer. It was ready and waiting at the appointed time. No fuss, no muss. And the price she had quoted was what I paid. I did have to confess the day of the pickup that the car was actually being purchased by Consumer Reports as a test car, making her re-do some of the paperwork, but she took it well. All in a day’s work.

Admittedly, your own car buying experience is likely to be more complicated than mine was. Most buyers have a trade-in and must finance at least a part of the new car. I could also didn’t need to test drive several contenders to help make my choice, but any car buyer should plan to spend at least 30 minutes behind the wheel of any car you buy—and a few other considered models for comparison.

On the other hand, as a private buyer you can take advantage of some tools not always available to us. We often need to buy brand new models within days of their first arrival at dealerships, in order to start testing right away. That often minimizes a dealer’s willingness to grant a big discount, although our shoppers always try to grab the best deal they can. If you can wait a few months, you’re better off. And if you can wait until the end of the month you’ve chosen, dealers will often be more willing to negotiate because they have quotas to fill. We also have to buy many cars generously equipped, so we can see if the latest gadgets are worth the money. You might be able to meet your needs while passing up the leather upholstery, rear DVD player, fancy sound system, or other extras.

One thing I learned from my experience is that if I ever buy a new car again, I’ll at least get the process started using the Internet. It’s a real time saver. Shopping online is much more convenient than driving from dealer to dealer, and it can help determine which dealers you might want to work with, and which aren’t worth your time.

I still haven’t heard from dealer number three.

Jim Travers  

Read our car-buying advice and get the bottom line price on new cars.

Comments

Fun and useful reading.

Do you know if the GTI R (aka R20) will be coming to the U.S.?

Jim, either you live in a better area for internet negotiating than I do (Twin Cities, MN) or were just plain lucky. I've tried using the internet inquiry route for two cars now (an Acura MDX and an Infinit G) and despite being precise in my requests have suffered everything from "I'm sure we have what you want, so you'd better make an appointment right away!" to "Does your mom know you're using her computer? (I'm in my fifties)." Needless to say, I didn't end up buying from either dealership.

Even in my best experience with an Infiniti salesguy, I became so annoyed after two weeks of glacial negotiations that I finally gave up, walked into the competing Infiniti dealership and got the car and the deal I wanted in 20 minutes. Out here, at least, face-to-face car buying still works better.

We bought our 2000 Subaru over the Internet. It was a great price and there was no hassle from the dealer. Our 2002 Accord was purchased at a dealer, but we arrived armed with price quotes from other dealers. We chose that particular dealer location because that was where we had test-driven the car and we figured that we owed them the first shot. They matched the price (after a little grumbling... but they still made a profit).

What do you do with the cars when you are done with them?

Wow, you guys bought a GTI!

When you're free sometime, maybe we can have an email discussion to really connect on your experience.

(Heavy sarcasm here, in case you hadn't already guessed.)

My wife narrowed her choices to a Lincoln or a Maxima, depending on the driving impression. At a Long Island dealership I told the salesman she'd like to test drive a Lincoln. He said, "Do you have an appointment?" We didn't, so no tester was available.

A phone-call later, a Maxima salesperson immediately brought a new one to the house, which she drove and bought on the spot.

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