Price negotiation

[FROSTY:Me]

most shops THAT DONT STAY IN BUISINESS VERY LONG work on a floor plan by which the importer supplys the new stock with financing through there own company eg YMF for Yamahas others use a third party what this means the shops are loaned the capital to carry the stock with a interest free period of 60-90 days after which you pay interest on the moneys. In real terms once outside the interest free period your profits are being eaten away each month by the interest charges . the same applys to car yards most hold stock for only 60 days then its time to get rid off them.
most shops run on a skeleton crew with the added costs of opening Sundays just not there, there's always the net that never closes and most large shops have a internet aspect to there retail business.

There you go I edited that for you. If a bike shop/car dealership wants to go into receivership floorplan is a pretty good way to get there.
The dealerships that last own their own stock

[Crasherfromwayback]

There you go I edited that for you. If a bike shop/car dealership wants to go into receivership floorplan is a pretty good way to get there.
The dealerships that last own their own stock

Yeah we own all of ours unless there's a model the distributor wants us to stock that we don't really want. That and the odd on behalf sale we do for peeps.

[FROSTY:Me]

Would i be correct to say that the increased savings on a run out model due to the next years version coming out would be because the shop has received a rebate from the NZ supplier to move the stock quickly so they can stock the latest model into the shops?

Thats one reason --the other is that they know that the New model will be pretty much the same price as the old model so they need to get the stock gone before they drop their prices like stone

[FROSTY:Me]

And mine...

And mine.......

[FROSTY:Me]

Yeah we own all of ours unless there's a model the distributor wants us to stock that we don't really want. That and the odd on behalf sale we do for peeps.

Yep thats exactly how I run my company. Only time I might have "consighnment" stock is if the yen looks like heading back up in a few days-then I'll hold out on paying a few days-a couple of weeks on cars that have arrived.

[Coldrider]

The only time a salesman walks away crying is when he is liquidating his stock into any form of cashflow to feed the kids. At this stage he is already broke and knows it. That is the difference between a ordinary sale and the beliefs (anyone can publish on the interenet) viewed here.
The rest is the 'frogs in the pond' theory.

[Maha]

It sounds like the salesman could have made better word choices and been more diplomatic perhaps? And to the effect ''if we dont have to trade your bike we can sharpen the pencil a little on the new one''. Thats a good price you got for the bike you otherwise would have traded and perhaps this happened in a market that is way more ''fluid'' than it is now? But conversely many times erstwhile purchasers have gone off to try and privately sell their motorcycles to find that it isnt so easy to get the price they expected, or to even get any solid interest beyond ''tyre kickers''.
The part I really like is you ended up buying off your local.

I will add also that, the Ohlins fitted to the front and rear was a selling point on TM, not so as a trade.

[nzspokes]

I will add also that, the Ohlins fitted to the front and rear was a selling point on TM, not so as a trade.

Hows ya rebound?

[Oscar]

Some actual negotiating tips.

1. Do some research. Check on prices for similar things elsewhere. What sort of margin is typically in play? Did he trade the bike that you're trying to buy? Is the bike of the same franchise (a Honda shop won't like having a Suzuki hanging about for too long)?
2. Start low (you can go up, but you can't go down), but don't be insulting or silly (offering half the asking price is just gonna piss them off).
3. Remind them of previous business and/or future patronage. Maybe say that when you've bought this bike, you'd like to talk accessories or helmets.
4. If you have a trade, argue about the difference, not the new bike price and your trade.
5. If you have a trade, research its value. Allow a reasonable margin off retail.
6. Non-monetary items. If you get stuck on the cash price, ask for a discount on some gear or to have the first service thrown in (some dealers hate the thought of the workshop being idle, so suggest that if he gives you a free service you'll be happy to bring it on a slack day).
7. Try to think of something that is important to you, but not to the dealer. Maybe ask to swap accessories off of the old bike.
8. Important: be prepared to walk away. Maybe you come back later. but there's not much point in trying to negotiate on something that it's obvious you couldn't live without.
9. Most important: For any negotiation, the first person to name a price usually loses. Car dealers always say "..what do you think your trade is worth?". If you say 10k and he was thinking 11k, I doubt he going to skin up the extra grand. Just say: "You're the dealer, whaddya you reckon it's worth?" I used this line selling a V Strom that I was prepared to take $8,500 for and got $9,400.

Now I know most of these are pretty obvious, but it's about preparation and strategy.
Walk into a buying or selling situation without having given it some thought and you'll get screwed.

[Robert Taylor]

Some actual negotiating tips.

1. Do some research. Check on prices for similar things elsewhere. What sort of margin is typically in play? Did he trade the bike that you're trying to buy? Is the bike of the same franchise (a Honda shop won't like having a Suzuki hanging about for too long)?
2. Start low (you can go up, but you can't go down), but don't be insulting or silly (offering half the asking price is just gonna piss them off).
3. Remind them of previous business and/or future patronage. Maybe say that when you've bought this bike, you'd like to talk accessories or helmets.
4. If you have a trade, argue about the difference, not the new bike price and your trade.
5. If you have a trade, research its value. Allow a reasonable margin off retail.
6. Non-monetary items. If you get stuck on the cash price, ask for a discount on some gear or to have the first service thrown in (some dealers hate the thought of the workshop being idle, so suggest that if he gives you a free service you'll be happy to bring it on a slack day).
7. Try to think of something that is important to you, but not to the dealer. Maybe ask to swap accessories off of the old bike.
8. Important: be prepared to walk away. Maybe you come back later. but there's not much point in trying to negotiate on something that it's obvious you couldn't live without.
9. Most important: For any negotiation, the first person to name a price usually loses. Car dealers always say "..what do you think your trade is worth?". If you say 10k and he was thinking 11k, I doubt he going to skin up the extra grand. Just say: "You're the dealer, whaddya you reckon it's worth?" I used this line selling a V Strom that I was prepared to take $8,500 for and got $9,400.

Now I know most of these are pretty obvious, but it's about preparation and strategy.
Walk into a buying or selling situation without having given it some thought and you'll get screwed.

And if there are issues with the bike be honest, after all you expect complete honesty from the salesman, so it should work both ways.

[Robert Taylor]

I will add also that, the Ohlins fitted to the front and rear was a selling point on TM, not so as a trade.

Actually you raise a very valid point. With very few exceptions most aftermarket accessories will not add value to the bike when trading in. In your case you may have effected a faster private sale because it had high end aftermarket suspension fitted, you may also have got a slightly higher price.
With respect to suspension not everyone realises the value of excellent suspension, yet.
What we always advise is to remove the suspension units and replace with stock prior to trade in time, you will always realise greater value by either ;

1) If feasible having it re-spec'd to suit your new bike

or 2 ) trading used ( Ohlins ) for new ( Ohlins )

or 3) Onselling via Trade Me / KB etc.

[FROSTY:Me]

And if there are issues with the bike be honest, after all you expect complete honesty from the salesman, so it should work both ways.

ROTFLMAO -omg Rob you have got to be kidding. -Tell the truth-The publec tell the truth??
Thats the funniest thing I heard all week.
-I just walked in from a customer who told me no his car did not have a blown head gasket.
"hmm the oil cap is full of grey sludge,Theres grey sludge on the dipstick theres whits sludge in the water and its running on 3.5 cylinders-but no it hasn't got a blown head gasket??"

[FROSTY:Me]

I will add also that, the Ohlins fitted to the front and rear was a selling point on TM, not so as a trade.

What would you have sold the Ohlins stuff for if you had refitted the factory stuff?

[Maha]

What would you have sold the Ohlins stuff for if you had refitted the factory stuff?

The old stuff got chucked, why would anyone want to hang onto crap.
The rear shock and front internals cost $2.5K all up from memory.
But this was back in 07'.