Most Canadian new car buyers know exactly what they want and they go looking for it until they find it. In fact, even if a particular make and model seems a good fit, buyers won't take the plunge until they are absolutely certain.
So Canadians are a tough sell. The trick for car salespeople who want to be successful, is to figure out what the customer needs and showcase vehicles in ways that demonstrate that a particular make and model precisely fits the customer.
Research from J.D. Power and Associates has found that the majority of new car shoppers who reject a vehicle in one dealership because it "didn't fit their needs" walk into another dealership and buy a vehicle in the same segment that might seem equally suitable.
"For instance," notes J.D. Power and Associates in a recent note to clients, "of those who rejected a compact car due to a perceived gap in needs, 66 per cent ultimately purchased another compact car. A similarly significant percentage of rejecters of small CUVs (47 per cent) and mid-size sedans (51 per cent) also stayed within the respective segment for their eventual purchase."
In other words, the typical compact car buyer might not think a particular compact is the right fit, in which case they keep shopping until the right compact comes along. J.D. Power suggests that salespeople who do the best job of interviewing customers and matching their needs to the product in the showroom will be more successful.
"A vehicle may well suit a customer's needs, but if you (the salesperson) don't know what those needs are, you're never going to convince them (the customer) it will," says J.D. Power and Associates. New vehicle shoppers, then, should be on the lookout for salespeople who ask questions, rather than assume answers and push products that don't meet the customer need.
What's interesting about the deals this week is the richness of what's on offer. Infiniti, for instance, has a $10,000 factory discount on the M37 sedan with all-wheel drive. Volvo, too, has a $10,000 factory offer on the XC90 sport-utility vehicle. Dealer discounts and other sales sweeteners add further value to the deals.
Deals of the Week also noticed $5,000 and $4,000 factory incentives on the Cadillac CTS coupe and the Audi A4 sedan. Again, both factory offers might be enriched by dealers anxious to move along outgoing 2013 models, to make way for the 2014s.
Deals of the Week consulted with unhaggle.com, carcostcanada.com, and other sources on these offers. As usual, pricing information here is subject to change and dealer discounts vary, so consult your dealer for all the final details, including expiry dates for all offers.
2013 Infiniti M37 AWD
- MSRP: $55,200
- Freight, dealer prep, air conditioning tax: $2,095
- Dealer discount (estimated): $2,300
- Factory discount: $10,000 (Infiniti Non-stackable Merchandising Dollars factory-to-dealer rebate on cash purchases only)
- Taxable subtotal: $44,995
- Total price with 13 per cent HST: $50,844.35
- 2.90 per cent financing or 1.90 per cent lease rate can be combined with a $2,500 cash incentive
2013 Volvo XC90 3.2 R-Design AWD
- MSRP: $57,450
- Freight, dealer prep and air conditioning tax: $1,815
- Dealer discount (estimated): $2,000
- Factory discount: $10,000 (Volvo Alternative Cash factory-to-customer rebate for cash purchases only)
- Taxable subtotal: $47,265
- Total price with 13 per cent HST: $53,409.45
- A $2,500 incentive can be combined with 0.00 per cent financing for five years; also, Volvo is offering the Volvo Carefree Maintenance Program to cover maintenance and other items.
2013 Cadillac CTS Performance AWD coupe
- MSRP: $45,490
- Freight, dealer prep, AC tax: $1,750
- Dealer discount (estimated): $1,750
- Factory discount: $5,000 (GM Stackable Cash Delivery Allowance factory-to-dealer rebate available for cash, finance or lease customers)
- Taxable subtotal: $40,490
- Total price with 13 per cent HST: $45,753.70
- 0.0 per cent financing for 60 months or 2.90 per cent lease rate for 36 months
2013 Audi A4 Auto Premium Plus quattro
- MSRP: $47,400
- Freight, PDI, AC tax: $2,095
- Dealer discount (estimated): $1,900
- Factory discount: $4,000 (Audi Alternative Cash program factory-to-dealer rebate for cash purchases only)
- Taxable subtotal: $43,595
- Total price with 13 per cent HST: $49,262.35
- Factory discount: $1,000 (Audi Loyalty Cash factory-to-dealer rebate for eligible Audi owners only)
- Final price: $48,262.35
- 0.9 per cent financing for 60 months cannot be combined with Audi Alternative Cash
Pricing information source: unhaggle.com, carcostcanada.com. Calculations based on Ontario customers. Please note that while the information above is accurate at the time of publication, incentives are given at the discretion of individual dealers, and may be changed or discontinued at any time. Where noted, "dealer discounts" are negotiated with the customer on a case-by-case basis. Unhaggle Savings are actual discounts received by Unhaggle customers.