dealer/salesperson salaries
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dealer/salesperson salaries
Purely out of curiousity, does anyone have any idea how much a typical salesperson at an acura dealership makes? I know some dealers pay their sales people a commission - any guess as to what % is typical?
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I would be very suprised to see more than 3%, probably more like 1.5% of the profit, probably not the entire deal.
Well, then again, if its only on the profit, then its probably more like 10 percent. Probably get a really low base salary like 15/yr.
However, I would LOVE to know. Makes negotiating soo much more fun.
Well, then again, if its only on the profit, then its probably more like 10 percent. Probably get a really low base salary like 15/yr.
However, I would LOVE to know. Makes negotiating soo much more fun.
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A salesperson typically makes 20%-25% of net profit.This net number is typically selling price minus invoice minus a dealer charge related to sell the car, called PAC. PAC can run from 200-600 depending on the dealer.
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Some dealers have a minimum payout in the event that there is little or no profit on a deal called a "mini" this can be anywhere from 50-200 dollars. However, some dealers will run the reverse when there is a hot car and cars are sold over sticker. When the Honda Del Sol came out, I know of a dealer that paid out a max of 500 dollar commision regardless of profit.
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Wow, that's really good! How long ago was that? Does it stand to reason that an Acura dealer would make as much or more? It might be time to quit my job and do that!
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Straight commission sales people get basically no base salary but a weekly draw that is around minimum wage. This draw is subtracted from the total commission earned for the month. If you don't cover your draw that's what you make. This is because they're required to pay you minimum wage. Some dealers will pay a base salary w/ a flat amount per vehicle sold. This is the way Saturn paid when they started.
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Remember that this is like any other type of sales job. You may have a guy who makes 1,000 a month and a guy who makes 12,000 a month. Part of it depends on your ability to sell and another part depends on dealers ability to get customers in the door. In general, the higher the volume, the more chance to earn more.
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Originally posted by AirlineMuseum.c
Wow, that's really good! How long ago was that? Does it stand to reason that an Acura dealer would make as much or more? It might be time to quit my job and do that!
Wow, that's really good! How long ago was that? Does it stand to reason that an Acura dealer would make as much or more? It might be time to quit my job and do that!
#12
Whatever they make, it’s TOO much for the s**h you have to go through to get a car. Being dishonest = about 80-90K a year. That’s terrible.
I work with salesmen in the computer networking field (as an end customer), and even though they also have to hassle with customers (and perhaps dealing with a companies reluctance to lay out large dollar amounts for network upgrades they need), I've never felt that any of them were dishonest.
In fact I go out of my way to allow them to bring potential customers into my workplace to show off equipment and a working relationship with the installer(s).
In this case, I nave no problem reciprocating with these people. However I don’t think I've ever met a car salesmen who was not a a*shole.
I realize that these people have families and need to make a buck too, but I don’t appreciate the way they go about it. I also realize that it’s the (car sales) industry that creates and fosters this type of cut throat industry. I guess it will never change.
I work with salesmen in the computer networking field (as an end customer), and even though they also have to hassle with customers (and perhaps dealing with a companies reluctance to lay out large dollar amounts for network upgrades they need), I've never felt that any of them were dishonest.
In fact I go out of my way to allow them to bring potential customers into my workplace to show off equipment and a working relationship with the installer(s).
In this case, I nave no problem reciprocating with these people. However I don’t think I've ever met a car salesmen who was not a a*shole.
I realize that these people have families and need to make a buck too, but I don’t appreciate the way they go about it. I also realize that it’s the (car sales) industry that creates and fosters this type of cut throat industry. I guess it will never change.
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I believe being friendly, honest yet assertative is the best way. I don't like "greedy" salesmen but if you do your job right the money comes along with it.
#14
Originally posted by Ken1997TL
I found being friendly, honest yet assertative was the best way. I don't like "greedy" salesmen but if you do your job right the money comes along with it.
I found being friendly, honest yet assertative was the best way. I don't like "greedy" salesmen but if you do your job right the money comes along with it.
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#16
I can understand that. Which is probably the reason why I dont have a salesman now with Acura. Apparently he left about two weeks after I ordered my TL. He indicated that (during our dealings) he was not happy, but didnt elaborate.
#17
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I doubt the average new car salesman makes $80-90k a year consistently. Not even at high-end dealers like Acura, Lexus, etc. I'm sure a minority do make that much, and I'm sure a majority have an occasional really great year. But to make that much consistently? Year after year? A car salesman? I highly doubt it. If that were true, there wouldn't be nearly so much turnover in that profession. I would guess $40-60k is probably a more realistic average across all comers.
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I'd say 45 to 60 K is the average for a salesman that lasts over a year.
Some DO make 80K or more but they usually become managers pretty quickly.
Some DO make 80K or more but they usually become managers pretty quickly.
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I had one saleman that I bumped into in CurcuitCity selling TVs. I asked what happened and he said there was a lot less paperowrk and hassles selling TVs compared to cars. I've bought 14 cars in my lifetime and only a handful of those was from the same salesguy because they had moved on whe I came back.
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I have no problem w/a salesman making $100k in my neighborhood, DC metro area...expensive to live here. If they don't make good money, we're left dealing w/low life types and then buying becomes even more distasteful.
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I may be naive, but I don't understand the need for sales people and/or managers to be arrogant or sneaky in their dealings. IT seems to me that Acuras sell themselves and so having someone who is excellent at making their customers feel good might be a better way to go. I am currently dealing with a dealership that is not making me feel good about my purchase and I think it sucks. I'm paying full price, not getting a great deal for my trade, and being treated poorly. If I do end up buying from this dealer, I will definately not buy my next car there.
#22
Having worked at an Audi, VW, Porsche dealership the salesmen make about 22 - 26% of profit on the cars. Average salesmen make between 35k and 50k. The top salesmen at that dealership makes about 120k a year.
The reason dealership and salesmen are dishonest is because they are looking to maximize their profit. This particular dealer prefers to try and gross every person instead of building lifetime relationships with customers.
Don't think that being a car salesmen is a fun job - the hours suck, typically the managers suck and if the weather is bad you can starve that month.
The reason dealership and salesmen are dishonest is because they are looking to maximize their profit. This particular dealer prefers to try and gross every person instead of building lifetime relationships with customers.
Don't think that being a car salesmen is a fun job - the hours suck, typically the managers suck and if the weather is bad you can starve that month.
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Originally posted by chadr
Having worked at an Audi, VW, Porsche dealership the salesmen make about 22 - 26% of profit on the cars. Average salesmen make between 35k and 50k. The top salesmen at that dealership makes about 120k a year.
The reason dealership and salesmen are dishonest is because they are looking to maximize their profit. This particular dealer prefers to try and gross every person instead of building lifetime relationships with customers.
Don't think that being a car salesmen is a fun job - the hours suck, typically the managers suck and if the weather is bad you can starve that month.
Having worked at an Audi, VW, Porsche dealership the salesmen make about 22 - 26% of profit on the cars. Average salesmen make between 35k and 50k. The top salesmen at that dealership makes about 120k a year.
The reason dealership and salesmen are dishonest is because they are looking to maximize their profit. This particular dealer prefers to try and gross every person instead of building lifetime relationships with customers.
Don't think that being a car salesmen is a fun job - the hours suck, typically the managers suck and if the weather is bad you can starve that month.