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Auto Dealers Whine That Tesla Stores Are Illegal

wired.com

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Re: Auto Dealers Whine That Tesla Stores Are Illegal

#111

Post by freehunter »

w1ntermute wrote: post #67
freehunter wrote: post #22

Earlier quoted context omitted.

Radio Shack made themselves obsolete. I don't think Best Buy is obsolete, but merely needs a restructuring. Radio Shack used to be great when you were working on a project and just needed one more part; a capacitor, a motor/servo, a PIC, etc. I don't need another phone reseller, I don't need useless RC cars, I don't need odd TV remotes. I need an electronics store that sells electronic parts. Best Buy is great for re…

> Best Buy is great for researching your purchases. I can read reviews of a laptop online, but I can't feel it, feel the build quality or the keyboard, I can't test the viewing angle. I can read reviews of TVs, but I can't see the picture quality, I can't hear the speakers. I can't ask questions and get answer immediately. Best Buy is great for this. Sounds like you just need an Amazon showroom. A hell of a lot cheap…

I've thought long about this issue, as I did a paper in marketing class about the threat of Amazon to brick and mortar stores. I don't think an Amazon showroom is really the best answer. Sears tried that (and still has some of these stores). Volume is very low. It works best for catalog items, and catalogs are fairly rare.

The ability to touch and feel is a value-add, but just one of many. The pimply teenagers you mention are something I feel needs to change. The biggest value-add these stores can have is information and strong recommendations. Basically, if someone who knows what they are doing cannot recommend this product over that product, don't stock this product. That way when people walk into the store, the salesman can ask what they are looking for and recommend the best product they can buy for their needs. This keeps cost down and having a knowledgeable sales staff is a huge win for everyone.

Right now in Best Buy, all I can really do is look at what is available and then research it online for more specs and reviews, combining the best of both worlds. This is time consuming and unproductive in the long run. Asking a sales member for advice is worthless currently. This is what needs to change for Best Buy, in my opinion. The best product for my needs, recommended by a salesman who knows what he is doing, available instantly.

Re: Auto Dealers Whine That Tesla Stores Are Illegal

#112

Post by bmelton »

pi18n wrote: post #40
jakubp wrote: post #6

I'm confused. Is this article saying that in the US it's illegal for a maker of the product to sell the product to whomever he wants? How is that helping anyone but the dealerships?

I heard there's one state where you need a license to do interior design, how is that for bullshit legislation?

Interior design are like contractors -- they can make structural changes to physical structures as part of their course. I don't see it as at all ridiculous that they need a license any more than for general contractors. I frankly want to know that they've done some studying before they cut into my walls.

It would be bullshit if you were referring to interior decorators, but I don't think there's any certification or licensing to become an interior decorator unless you join an association or club that requires it.

Re: Auto Dealers Whine That Tesla Stores Are Illegal

#113

Post by njharman »

jimm wrote: post #18
jellicle wrote: post #7

Earlier quoted context omitted.

They do.

Actually, we do. If you look closely you'll often see a line item on the final invoice for something like "advertising" or "promotion". Yup --- they make you pay for the advertising. I learned this years ago from a site that walked through car purchase negotiation techniques. Sorry, I don't remember which site.

We (consumers) pay for all advertising.

Re: Auto Dealers Whine That Tesla Stores Are Illegal

#114

Post by gfosco »

jetti wrote: post #58
techdmn wrote: post #52

Earlier quoted context omitted.

It does seem a little odd, but as a resident of one of those states I think it's awesome. I can peruse the lot with zero chance of being approached by a salesperson. IMHO it actually facilitates car sales, because one day a week people can look at new cars without immediately feeling like prey.

You can do that online any time. What you see in the lot on Sunday is the same as what you would see online. But as a resident of one of those states as well, I hate it. Not because I want to buy a car on Sunday but because if the dealership is open the service section of the dealership would also be open.

There's a huge difference between looking at pictures online and seeing the cars in person.

Re: Auto Dealers Whine That Tesla Stores Are Illegal

#115

Post by jbigelow76 »

kamaal wrote: post #98
jbigelow76 wrote: post #21

Earlier quoted context omitted.

> Why can't cars be sold just like any other product? Because then they run the risk of getting Amazon'd or Wal-Mart'd.

>>Because then they run the risk of getting Amazon'd or Wal-Mart'd. Your post sounds like Amazon and Wall-Mart are doing some thing wrong in the way they are running things. And what is the risk you are talking about. Do you mean to imply Amazon and Wall-Mart are evil and have some caused damage to their consumers/customers?

The original Wired story is addressing concerns about storefront distribution channels instead of traditional dealerships and how this impacts existing dealers. So my statement about potential negative impact if Amazon or Wal-Mart could become a distribution channel is from from the perspective of existing dealerships, not from the perspective of the consumer, many of which would jump at the chance to buy a car from Amazon or Wal-Mart.

Re: Auto Dealers Whine That Tesla Stores Are Illegal

#116

Post by acheron »

talmand wrote: post #11

"Oh no! It's a new business model that is different than our old business model! We must use legal means to stop it immediately because we don't know yet if we can compete with it!" Plus, customers may like it better since the current method is usually despised...

Standard tactic in many areas. If you can't compete with someone, just petition the government to hinder them. Diana Moon Glampers will be along to help shortly.

Re: Auto Dealers Whine That Tesla Stores Are Illegal

#117

Post by Osiris »

cs702 wrote: post #3

Anyone who's ever bought a car knows firsthand how unpleasant it is to deal with traditional car dealers. The price of every vehicle is fully negotiable but the negotiating room is opaque.[1] Key car features and options are bundled in arbitrary packages and priced in ways that make pricing even more opaque. Car salesmen (they're typically men) almost always have a fake smile on their face and come across as smooth-t…

I've never bought a car from a dealer and one the primary reasons is that I don't want to deal with a salesman. I'd rather get a used car where there's a significant price discount and there are well-established guides (KBB, Edmunds) that wil tell you basically what you should expect to pay. Buying a used car is much more price transparent than buying new. (The other reason is that I refuse to go into debt for something I use for an hour a day and hate every minute of it).

Re: Auto Dealers Whine That Tesla Stores Are Illegal

#118

Post by dwj »

astral303 wrote: post #89
cynicalkane wrote: post #85

Earlier quoted context omitted.

For new cars, there's always YC-backed CarWoo, a no-hassle car buying website: http://carwoo.com/ I haven't tried it, but heard good things. For a lot of brands (especially non-luxury Japanese) new cars are cost-effective right now.

Dealers generally hate sites like CarWoo and TrueCar: http://forum.dealerrefresh.com/f46/carwoo-anyone-2746.html Search that forum for lots of lovely language from the dealers about those two. TrueCar is particularly despised. There is some positive feedback from dealers about CarWoo though, more so than TrueCar, so perhaps they figured out a thing or two better.

I think it's only the small-time dealers that hate carwoo. Have a look at the comment by Scott Salzman on that forum, which fits with my own experience. I bought my car through carcostcanada.com, and my local dealer couldn't even match the no-haggle quote I got through the site (their best offer was 1k more).

The dealer I went with was a high-volume dealership in the city. Not only was their price low, but they also were very friendly and helpful. It makes sense to use sites such as this - it's a huge time saving for both the customer and the dealer.

Re: Auto Dealers Whine That Tesla Stores Are Illegal

#119

Post by graywh »

creamyhorror wrote: post #69
camiller wrote: post #31

Earlier quoted context omitted.

Say for example there are five Chevy dealerships in the greater Omaha area. If General Motors were allowed to own one itself it could give itself discounts internally such that it could undersell the other dealers and put them out of business. Once the competition was gone it could then raise prices harming consumers. Competition is good for consumers and the laws in question are aimed at protecting consumers. Yes I…

"If Apple were allowed to sell its own products itself, it could undersell other dealers and put them out of business... Yes I know they are also competing with other brands, but some people are brand loyal enough that they would not switch to Android or Windows Phone."

In regards to your edited quote: http://www.coolsprings.com/news/macauthority-closing-for-app...

Re: Auto Dealers Whine That Tesla Stores Are Illegal

#120

Post by damoncali »

travisp wrote: post #44
jwr wrote: post #20

Today I found out that USA (arguably the most libertarian country on earth, as far as business is concerned) has strict laws governing the sale of vehicles, said laws actually preventing companies from selling vehicles. I find that quite amazing.

Under most rankings of economic freedom, the United States barely manages to be in the top 10. The Heritage Foundation places Hong Kong, Singapore, Australia, New Zealand, Switzerland, Canada, Chile, Mauritius, and Ireland all above the United States on their Index of Economic Freedom. Source: http://en.wikipedia.org/wiki/Index_of_Economic_Freedom

Singapore? You are free in Singapore to the degree that their benevolent dictatorship wishes you to be.
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