Car Buying Myth — Dealers Advertise Non-Existent Prices

Welcome to the final post in the auto consumer myth post series. This series is meant to help expose the truth behind a few myths that are prevalent among auto consumers. If you are shoping for a new Ford or Toyota in Bartlesville, or a Lincoln in Tulsa, or even a Jaguar in Dallas, its likely you’ve heard some of these rumors and may find the truth is not quite as you believe.

So read along and see if what you think is true is truly true. All five myth posts are available by following the first link above.

Do Dealer’s Advertise Non-Existent Car Deals?

The myth goes like this.

You see a dealer ad in your local newspaper for a car at a certain price. The price seems like a great deal. Excited about the opportunity to get a car at such a bargain, you hurry down to the dealership to get the advertised car. Upon arriving at the dealership, the car is nowhere to be found. The dealer then tells you, “Sorry, that car is gone, but we have this similar car for only a few thousand dollars more if you are interested,” or “That deal is over but we have this car (a lesser vehicle) for the same price.”

You were excited and ready to buy the advertised car and now the dealer is trying to sell you something else.

The Old Bait and Switch

Many people think this is an example of what is referred to as a bait and switch. In the bait and switch the consumer is baited, or their interest is peaked by the offer of a deal that the salesman has no intention of honoring, and then a switch takes place, or the salesman attempts to direct that interest towards another item.

But do auto dealers really employ this method? Well, the answer is, like most things in life, not so black and white.

Dealer Automobile Advertisements

If you own an auto dealership and are offering a car at a certain low price for people who meet certain criteria, say great credit or dealer or manufacturer loyalty, or on certain items, say five 2008 model cars at a particular trim level, then what do you advertise in your local newspaper ad? Do you advertise the best available deals, like the ones above, or do you advertise the highest possible price a customer with poor credit, no money down and no factory incentives will pay?

Of course, if you are a sound business man who desires to stay in business for any amount of time, you will always advertise you best deals. It is what all companies do in their advertising and auto dealers are no different.

The problem comes from the fact that many people may not qualify for that price or from the fact that those special deals on certain models often sell out quickly. Because of this consumers who don’t qualify or arrive too late often think that the dealer has been dishonest in attracting them to the dealership and them trying to sell them something else. Because of the already prevalent negative stigma attached to the car salesman, they do not consider the fact that these are just regular business practices and are in no way deceptive or dishonest.

The Car Deal is There, Go Get It

When dealers advertise a price on a car that price is available. It is illegal to advertise a deal they do not actually offer. Now, I’m not saying that it is always the most honorable type of advertising. many times the price will be in huge block print and the details for qualification, or the fact that supply is very limited is at the bottom of the page and could be mistaken for an ants footprints, but that is just advertising. It is in no way anything that is strictly the territory of auto dealers.

And once you are on the lot aq salesman will of course try and show you other options. Always remember you are under no obligation to look into other options or to remain on the lot for any amount of time once you learn that you aren’t able to get the advertised car. If the only reason you came to the lot was for that specific deal than the best would be to leave if its no longer available. There can never be a bait and switch if the customer doesn’t switch.

It may also be, though, that you do qualify for the advertised deal and that you get that great price you wanted. So, if you like what’s advertised, you have nothing to lose by looking into it.

More Questions? Ask Brad.

Well, that’s the last of the myths in this post series. If you have any questions about whether anything else you’ve heard about the way dealerships work is true or not either post a comment or use the ask Brad form to contact me directly. I’m also available to provide you with quotes on any new or used car you may be considering buying, or simply interested in.

I hope you’ve found this post series informative. Keep coming back for more car buying tips, reviews and auto news or subscribe to the RSS feed. As long as your reading, I’ll keep writing. See you tomorrow and have a great day!

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