MADISON, WI – “The most obvious thing anyone should consider before buying a new car is what kind of safety features does the vehicle offer,” says Justin Jackson, Sales Director at Smart Motors in Madison.
“But since most, if not all, new vehicles are substantially safer than those made just five years ago, let’s take that one off the table. Chances are the new vehicle you’re looking at already has a bunch of safety features standard.”
Jackson says that when he works with guests and potential new vehicle owners he likes to show them the array of safety features right away. “That way they can rest assured the vehicle has been outfitted with sensors, cameras, various warning bells and whistles, and other advancements designed to keep people inside and outside of the car safe.”
He says he likes to get that part of the vehicle-buying experience out of the way so people can concentrate on other considerations. With this in mind, he then proceeds to ask the buyer a set of key questions.
“Essentially I’ve got it down to four major questions every potential new car buyer should ask him or herself,” he says. “I also like to include a statement, but worded a little differently I suppose it could be a question. In fact, it might be one of the most important decision-making points drivers need to think about.”
The statement, which could also be a question, is at the top of his list of considerations for new car buyers to answer or have answered for them. It is simply this:
- “Are you buying a new vehicle from a reputable dealership that will stand behind you and the products they have to offer?”
Instead of asking clients this question, Jackson says he tells potential buyers up front that they are in fact putting themselves in good hands when it comes to Smart Motors. With over 100 years of sales experience under their belt, they are not only reputable, but they are considered one of the most qualified and knowledgeable dealerships in the country.
“Again, this puts the guests’ mind at ease,” Jackson says. “I’ve answered the question for them. Now we can cross off the quality reputation of the dealership as well as safety features. Now it’s time to really find out more about the customer and what their expectations are.”
He usually follows up with the next question:
- “What is your overall budget, including insuring the vehicle?”
Jackson says that it’s very common for people to think they have more wiggle room when it comes to their finances than they actually do. People will come in to the dealership looking for something fairly inexpensive, but many times it doesn’t take long for them to gravitate toward a much more expensive vehicle than they originally budgeted for.
“We have a lot of vehicles to choose from,” he says. “And sometimes one catches your eye that is way beyond what you anticipated paying. It’s my job to keep them focused on what they can actually afford comfortably.”
He says during this stage in the car-buying process, he’s not only a sales manager, but he also puts himself in the role of loan officer and quite often psychologist. He has to tactfully get the buyer to divulge their personal financial situation while also being compassionate about the fact that it may not be feasible for them to get their desired vehicle.
He makes it quite clear that leading a buyer into believing they can afford something they can’t is not good for the client or for the business. He says he might also mention interest rates and how and where they’re expecting to get a loan.
“It’s a tricky situation to be in,” he says. “But sometimes you can talk someone into taking a different point of view if you ask the next question.”
- “How much vehicle do you need?”
Jackson says this question often comes as a surprise to many buyers simply because they have never really thought about it before. He says that a large percentage of the time when people begin to think they can exceed the budget they had initially set for a new vehicle it’s because they see something they think is “bigger and better.” But when you ask them what they really need the vehicle for, they usually snap back to reality.
“If you’re a single person who lives and works in Madison, chances are you don’t need a big truck or SUV,” he says. “Be practical. Your best bet and best buying decision is probably more in line with a Toyota Crown, Corolla or Prius. This question helps guide people out of the fantasy world and back to reality.”
Of course part of the reason Smart offers so many types of vehicles is precisely because no two people are the same. A family of five is going to have different needs than a retired couple, and people who enjoy taking off for a weekend of camping, boating, or skiing is not going to have the same needs as a single homebody who basically drives to work and the grocery store.
“In this respect, it’s nice when you can get the client to paint a pretty vivid picture of their day-to-day,” Jackson says. “And this leads to the next question!”
- “What type of engine suits your lifestyle best?”
This is a fairly new question that got added to the list when the Toyota Prius was introduced to the Madison marketplace in 2000. Smart Motors has been the Midwest’s number-one seller of hybrid vehicles for 15 years running.
“We order and sell more hybrids than any other type of powered vehicles,” says Jackson. “Today, Smart Motors offers 14 different models of hybrid and electric vehicles, including crossovers, SUVs and even pickups.”
In fact, 75 percent of Toyota’s inventory is available as hybrids or electric. Jackson says he predicts that nearly all models will eventually be made available as hybrid or electric or both.
“Of course we also carry and sell vehicles that run on a traditional gasoline-fueled combustion engine,” he says. “And the emission they put out today are so much less than they used to. You really don’t need to feel guilty about owning one.”
So today you will be faced with the decision between a combustion engine, hybrid, or electric vehicles that plug-in (PHEV) or run on battery (BEV). A few years ago, Toyota unveiled a new Hydrogen Fuel Cell engine, but they are just now slowly being made available to consumers.
“Especially in the Madison area, people are attracted to hybrids and electric vehicles,” says Jackson. “They care about the environment and their own carbon footprint. It’s our job to help these people understand the difference between the different available engines and what will truly work best for them.”
When all the above considerations have been ironed out, Jackson says it’s time to ask the question everyone hates.
- “Buy or lease?”
The choice between buying and leasing a car is often a tough call. On the one hand, buying involves higher monthly costs, but you own an asset—your vehicle—in the end. On the other hand, a lease has lower monthly payments and lets you drive a vehicle that may be more expensive than you could afford to buy, but you get into a cycle in which you never stop paying for the vehicle. According to Jackson, there are pros and cons to both.
The pros of leasing include that you drive the car during its most trouble-free years, and since it’s a late-model vehicle, it’s usually covered by the manufacturer’s new-car warranty. The lease may even include free oil changes and other scheduled maintenance, and you can drive a higher-priced, better-equipped vehicle with the latest safety features. You also don’t have to worry about fluctuations in the car’s trade-in value or go through the hassle of selling it when it’s time to move on.
The cons on leasing include the fact that it usually costs you more than an equivalent loan because you’re paying for the car during the time when it is most rapidly depreciating. Lease contracts also specify a limited number of miles. If you go over that limit, you’ll have to pay an excess mileage penalty. That can range from 10 cents to as much as 50 cents for every additional mile. If you decide that you don’t like the car or if you can’t afford the payments, you will probably be stuck with thousands of dollars in early termination fees and penalties if you get out of a lease early. And in the end, you need to bring the car back showroom condition, minus usual wear and tear.
“Personally, I think buying is a much more straight forward way to get yourself into a new vehicle,” says Jackson. “Yes, interest rates are high right now, but that’s probably the biggest ‘con.’ We’ll go over all of the buying vs. leasing options with each new vehicle shopper. In the end, all final decisions are theirs.”
