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      01-13-2019, 03:16 AM   #23

Drives: 1M, GT4, M2 M140i 335d Touring
Join Date: Mar 2011
Location: .UK

iTrader: (0)

When buying you also need to look at the ownership of the dealer. Why is this an issue ?

Well my understanding is that as an example BMW pays a very large annual bonus to dealers if they meet 105% of their annual sales target

If you belong to a Group owned by a PLC they report their results publicly each quarter so they prefer a business model that takes profit out of every single deal on top of the substantial commission for selling finance They know the targets set by BMW are so high that it is unlikely they will trigger the annual bonus so they are more conservative and take profit throughout the year

If you belong to a privately owned group you may take more risk. Sell a car at cost so a better deal for the customer and just take profit from any finance commission. They then go full steam for volume and take the risk of hitting the 105% annual volume bonus so their profit is back end loaded.

So good case for getting a quote from a privately owner dealer at least as a comparison to the big plc groups or approach a plc just before a quarter end