One Price

Ron Henson
Where do you stand on One Price and why?
Clint Jones
I have always been one price......if only I could get my customers to be one price as well!
Jason Stum
Great thought starter @Ron, the idea intrigues me on so many different levels. Would love to pick the brain of someone who operates a one price dealership. Any of 'em here?
Clint Jones
@Jason Stum I am not currently a "One Price" dealership, but do have some experience with it. My experiences come from competing with this type of store as well as working in this type of store. I have also had multiple One Price dealers in various 20 Groups. I know that there are very successful One Price stores. I compete with a couple of them. From my viewpoint, the One Price philosophy is not about the price. It is about the experience. These stores are promoting a buying experience from their marketing and advertising to the dealership visit to the finance office. These stores believe that their customers want a different experience and they offer it. Their prices (on used inventory) are not particularly aggressive. On any given day I can do a comparison of like make model and mileage range between my vehicles and my competitors, and find our prices to consistently be 7%-10% lower. The thing about it is that you either ARE or you ARE NOT a One Price store. As soon as someone offers you $200 less and you take their offer......you are no longer a One Price store. The price is the price, and that is the way it is. The customer either wants that buying experience or they don't. The customer may have to pay a little for that experience. Many customers will happily pay for it. For me, I would rather have the flexibility to work with every customer that comes through the door. If $400 in discount means that a customer gets the vehicle that they REALLY want vs. the vehicle that will work with their budget, I am going to invest the discount money in my customer for the purpose of referrals, reviews, repeat business, and because I believe it is the right thing to do.
Chris K Leslie
So we can dress it up however we want to but the reality is and to Clint's point is that we don't value the products we are selling well enough to warrant a one price operation. Reviews and business may come your way sure. But so does the reputation of being the guy that will take whatever he can get for a car. Our industry bleeds desperation and then we try to fancy it up by saying we may get a yelp review out of it. The reason It sounds completely ridiculous is because it is completely ridiculous. We create environments that churn people like a machine and expect them to act as the empowered team members who believe in what our company stands for. This is a completely ridiculous idea as well. We as an industry Have yet to fully understand and learn what it means to really offer anything of value in the customer experience realm. We sell cars its what we do. As much as we'd like to be Disneyland. We aren't Disneyland. So what, you threw a couple of TV's on the wall and think you're customers are stoked to be watching whatever the salesman turned the channel to. That's not really a customer experience thing as much as something that is expected. I don't mean to rant a bit on this thread but when I see the one price topic come up I always feel like "Yeah, just like an iPad is metal, glass and some electronics. So are cars. Why can't that be one price." The reality is, is that we are really a long way off from that. Our industry simply doesn't allow it to be an option and we don't need to dress it up like it's an investment. Because really, if it was you should really consider attaching some KPI's to that and making it a thing.
Frank Marshall
You can quote any resource or study you want that says that customers prefer a one-price model and I will immediately lose respect for you as a car guy/gal. Believing a customer when they say they want a one price model is the same as believing them when they say they are "just looking". A customer sometimes "lies" because they are complaining or avoiding or trying to convince themselves of something. What they actually do in a buying situation tells you what they really want... to feel like they have won a great car at a great price. There are two ways to obtain this perception 1) build value in the transaction, 2) lower the price. Always go for gross and then do what it takes to meet quotas within the parameters we're given by our superiors and owners. That's reality.

Featured Masters

No members found

Other Marketing Solutions Products

0%  Recommended Recom'd 0 Ratings
Company: DealerSuccess
0%  Recommended Recom'd 0 Ratings
Company: Outsell
0%  Recommended Recom'd 0 Ratings
Company: DealerSuccess
0%  Recommended Recom'd 0 Ratings

 Rate a Vendor Give feedback in three quick steps

Select a Vendor & Product
Can’t find what you're looking for?
Add a Vendor  or  Add a Product
  •  
  •  
  •