

| Subject: | Re: NVC Re: Stevens Creek Volkswagen in Santa Clara |
| From: | Mark Tuovinen |
| Date: | Wed, 30 Jan 2008 12:37:21 -0900 |
Well put Loren. FYI many service writers are on commission, in some places it is illegal, I think California is or was this way. Mark in AK ----- Original Message ----- From: Loren Busch <starwagen@GMAIL.COM> Date: Wednesday, January 30, 2008 11:45 am Subject: Re: NVC Re: Stevens Creek Volkswagen in Santa Clara To: vanagon@GERRY.VANAGON.COM > RE: Dealing with new car dealerships and factory warranties. > > Been following this thread and will add a couple of comments that > might help > put things into perspective. > First, the factory warranty. For a brief time (eight months) > about 40 years > ago I sold new and used cars at a local family owned, long standing > dealership. Our line was Chrysler-Plymouth. When I left I cam > away with > several lessons learned. > First, on the factory warranty. The first of the five year 50,000 > milewarranties had started just a year or so before, started by > Chrysler and > followed a year or two later by Ford and GM. Within a couple of > years GM > was in deep do-do with their warranties and so was Ford. Chrysler > was doing > okay but did start to limit the warranty to first owner, fees to > transfer to > second owner. And ALL the dealers were madder than hell. It was > not just > the wild expectations of the buyers that they had to deal with > (expectingfree oil changes, free tires, and the ultimate, buyer > that actually expected > free gas) but dealing with the factory. All of the big three were > beatingup their dealers over warranty claims. Perfectly legit > claims for failed > parts covered under warranty were (and probably still are) > scrutinized a d > picked apart by the regional offices. And when approved for > reimbursementthe amount allowed to the dealer for replacing a > failed part was usually way > below their normal shop rates. So dealers started dragging their > feet on > warranty service because they knew it was a losing proposition for > them.And many dealers brought it on themselves. One classic > example was at a > local Ford dealer. Get up to about 45,000 miles, slip the service > manager$100 and shazam, new engine and tranny, under warranty. So > very quickly > there was direct oversite on such claims by the factory reps, required > inspection and teardown before approval. And that meant weeks if > not months > of delay for the buyer. My understanding is that even in 40 years the > situation has not changed. Even the best, most honest dealers (and > they are > out there) are lumped into the same boat as far as the factory > rules are > concerned on warranty claims. So you can blame three groups for > the warraty > problem: The new car buyer with unreal expectations (never bother > to read > the paper work that comes with the car), the dealers that are > being squeezed > from both side, and the factory for trying to keep from losing > their arss > over things they never promised to provide. > The second point I'd like to make is don't judge an overall > dealership by > the first person you meet. The parts counter guy (or gal in my > case at the > local VW dealer, one sharp lady) is a tech, not a PR man. Not > likely to > have a lot of people skills and bound by the company policy. The > servicewriter (BTW, I've never heard of a service writer working > on commission. > May be so but those I've met were usually mechanics with better > than average > skills for meeting people, that's why they ended up a service > writer instead > of being in the work bay) again is just following the rules for > that shop. > And when you are dealing with a car salesman it's a crapshoot. > When I was > selling it was for what was called a 'straight house'. We met the > customerat the curb and did all, all mean all, the presentation, > demonstration,selling, closing, and delivery. No handing off to a > 'closer', Insurance > man', etc. Such dealerships were rare at that time and probably > more rare > today. And the commission schedule was good, the benefits very good > including a 'demo' car to drive and a gas allowance. Today I > understandthat car salesmen have a very thin commision schedule, > no 'demo' car to > drive and little or no benefits at most dealerships. So the > people that are > drawn to that occupation become a very varied lot. > My advice would be this. If trying to buy new see if you can find a > dealership that has been handling the same marque for years, > probably family > owned and in the same location for many years. Call and ask for > the manager > or sales manager. Explain that you are an experienced and > knowledgeablebuyer. Tell him you would like to deal with his most > experienced and > knowledgeable sales man and ask for his/her name. Then contact that > salesman and make an appointment. Tell him what models you are > interestedin so he can update himself on current inventory before > you get there. > Keep the appointment and see what happens. When you approach a good, > experienced salesman in a business like manner you'd be surprised > what a > response you can get. Also keep this in mind. It used to be and > I assume > still is that dealers of the same make can get a vehicle from another > dealer. If you find the exact car you want but don't like the > dealership,go to another dealership, tell them what you want. If > they don't have it > tell them where it is. Might not always work but worth a try. > And as always, YMMV..... >
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