First Time Car Purchase: A Millennial’s Guide to Negotiation
Updated: Sep 19, 2020
The art of negotiation has been studied for centuries. People want to know how to walk away from every situation as a winner. A negotiation means that each party leaves the feeling like they got what they wanted. The Millennial generation has altered the way that negotiation occurs. The days of the typical used car salesman interaction are gone. Welcome to the world of internet negotiation for many things, including a first time car purchase.
Negotiation is a difficult skill to master, but it is absolutely essential for a first time car purchase. Negotiation is obviously altered when taken to an online platform. It requires both parties to express themselves clearly and assess the other’s words correctly. Of course, this is a challenge we face every day with tone via text messages and emails.
Therefore, you must say explicitly what you want. In addition, clearly communicate what you are capable of paying. Remember to keep your budget in mind, along with necessities on the vehicle. Millennials often purchase used cars on Craigslist, Shift, or TrueCar. These sites allow communication with private sellers, as well as, 3rd party salesmen. However, these negotiations can be tricky for a few reasons. Read on to learn more.
Online Negotiation Obstacles
One of the differences of negotiating a used car purchase in person versus online is the amount of time you have to calculate a response. When you are face to face, there is less time to articulate a response. Consequently, negotiation in person can be fast and to the point. Sometimes, this can be preferable. You can read nonverbal cues and rely on charisma and persuasion. You can develop a rapport with a salesman that you would not have online. Of course, you also have less time to react, which can cause you to possibly miss a key point on your wishlist.
Additionally, a key difference is the competition facing the buyer. When you are buying a car in person, you are usually the only person there negotiating. If there are other people interested, you can usually see who you are up against. Online platforms allow for other potential buyers to outbid your offer anonymously. You may ever see it coming. In conclusion, make sure to have multiple options for your first time car purchase. Choices give you leverage in negotiation. Also, speedy and open responses with the seller will be more effective. Honest and quick replies are received positively in negotiations.
The Best Tactics
Millennials are best known for their online savvy. This is where you can put it to good use and do your research. Take the time to search for the car you want to buy. Next, compare prices according to years, miles, condition and other recently sold cars for a reference of pricing. And, of course, adhere to your budget.
Lastly, if all else fails and it seems your negotiation is not effective, you can try the walking out tactic. You can call the seller’s bluff and see if you can make a final convincing argument for your side. In conclusion, hold true to your checklist and your budget. Focus on your end goals and do your research. And make sure to consider the future costs of insuring the used car. Check out our article on mistakes to avoid when buying a used car. Also, check into car insurance quotes once you have your new ride.