The outright answer for your inquiry on where to buy an unsold new car is from a dealership or a dealer auction. Cars are bought directly from the carmakers by dealers to sell at a profitable amount. When the number of ordered vehicles by these dealers is more than the people’s demand for them then there are the term “unsold new cars”.
In this phase, dealers may be willing to sell off cars at a reasonable discount rate. Sometimes, carmakers may give dealers rebates of some kind to cushion the loss from the low sales. However, dealers don’t just give off vehicles at huge losses to them. This is because they were initially selling at a relatively high price so, even when sales are slow and they yield to giving discounts, they still benefit. Also, in the long run, all unsold cars eventually.
Understanding Car Sales Procedure
There is a general rule. Carmakers don’t sell the cars they produce directly to the general public. It is against the rules of the car business. What they do is, supply the new cars to car dealers and car dealers sell the cars to the individual consumer. Hence, the dealership buys directly from manufacturers and the public buys from the dealers.
This means when there is an issue with selling the vehicles dealers bought from the manufacturers either as a result of slow sales or poor demand of vehicles, it is no longer the problem of the manufacturer but that of the dealer. Hence, dealers must sell the vehicles they ordered from the manufacturer one way or another.
Now, car dealers seek to sell unsold vehicles for two major reasons. First, unsold vehicles take up space especially when there are a new fast-selling, high-demand, and profitable vehicle that is currently on sale. Secondly, a sitting unsold car may be costing the dealer monetary losses. Sometimes, these car dealers acquire the vehicles on interest loans. Hence, the longer the cars are left unsold the more indebted they are.
Where Do Unsold New Cars Go?
Now you know that the car dealer wants the vehicle sold off his lot. This is because the unsold vehicle is taking up space and the unsold vehicle costs the car dealer money. So, what options do the car dealer have? How does the car dealer sell the vehicles? These are the few options available
The dealers may push for the sales of the unsold vehicles by giving their sales personnel mouth-watering rewards if they can get the lowly demanded vehicles off their lot. This fuels the salesperson’s zeal to sell the cars. The salesperson then finds a way of directing customer’s attention to the poorly demanded cars.
Car dealers during this phase may give the cars off at a discounted price further pooling the interest of customers to the cars. The carmakers also play their role in lessening the burden of the dealers. They may offer dealers some kind of rebate or low-interest deals or anything good.
Car dealers may draw the attention of customers to unsold new vehicles by giving them out like a conventional car for car service providers. Thereby changing the car’s status from a new car to a fairly used car that is easier to sell. Dealers may also use the vehicle as a sample ride further drawing the public attention to how pleasant the car is. So, as they say, the more attention a good or service gets the more it is likely to be sold.
The car dealer may sell to dealers in other countries or to companies who ship them to their region and sell there. By doing this dealers get to sell the unsold new vehicle at a good price and still make a profit.
Finally, a car dealer can have the unsold new vehicles sold via auctions, dealers’ auctions. Usually, these auctions are meant for car dealers on either new or old vehicles. Oftentimes, they get to sell the vehicles at a cheaper rate during auctions.
In the end, dealers get to sell their car one way or another even when sales of the vehicle are slow.
How to get good deals on unsold new vehicles
Every year dealers intend to sell off unsold vehicles for new vehicles to have space in the lot. So, you are at the advantage of getting a good deal on an unsold new vehicle before the arrival of its latest model. Here are a few on how you can get a good deal on your next purchase of an unsold new vehicle.
Tip One: Gather enough information on the vehicle before going to a car dealer. You need to know your onions to get a good deal on the unsold new vehicle. Gather knowledge on its horsepower, the accessories it comes with, why it is worth its price, and other facts about the vehicle.
The Kelly blue book is a good resource for knowing car value. There are other good resources too. Having prior knowledge is important because if you don’t, you may not get the good deal you want. Also, you should have a budget in mind before going to a dealership, if not you may submit to an impulse buying.
Tip Two: Visit the dealership on a weekday or ensure you book an appointment if you will be going on a weekend. This is because weekdays are generally business days. Both the dealers and the salesperson are focused on a good sale. Also, consider the dealership working hours before visiting. It is best to visit during the early hours of the work period.
Tip Three: Read the contract thoroughly before signing it. Ask questions about the contract and clarify your thoughts on the vehicle. Ask the salesperson to give a written document on any verbal offer you find interesting or it may not hold water.
Tip Four: Have your mechanic review the vehicle before finalizing the purchase. Get to know how the vehicle works and how its accessories work too. Well, an owner’s manual is usually helpful with this information though it is best to have an expert review the vehicle in person.
When is the Best Time to Getting Good Deals on New Cars?
As the year ends, car-makers and dealers are usually on the move to clearing off old vehicles for new models. This is better timing for a car purchase if you are not in a rush to buying a car. From the beginning of the ember month discount sales are using on so you are likely to get a good deal then.
Can I Buy a Brand New Car without Visiting a Car Dealer?
Yes, you can. There are a couple of websites where cars are sold. You can sit in the comfort of your home and make a car purchase over the internet. However, you may not get to test-drive or fully understand how the car works and ask questions as you may have when physically present.
You can buy unsold new vehicles only from the dealership. Also, dealers have alternatives to selling their unsold vehicles. So, all unsold vehicles eventually get sold.