Sales rant

[m325i 705]

As someone who has worked in 'sales' in the past it's pretty common phenomenon that people think their own (car / house / business) is far superior and worth more than an identical version that has recently sold. It's like that self-delusion you see on talent shows where people genuinely believe they are awesome. People are entitled to their own opinions, but it irritates me when they start blaming outside factors for why they can't sell their item.

It's simple - price. There is nothing else to it. Your price is too high.

Also people that post for sale listings but add "I’m in no hurry to sell, if I don't get what I am after I won’t sell it.†Some advice – even if that is your position – don’t say that, you come across as an unmotivated seller.

There seems to be a lot of threads lately with people accusing people of ‘dreaming’; rightly or wrongly remember this….

[westy 614]

Is it just me, or does the chart not make a lot of sense?

[Guest Simon*]

Is it just me, or does the chart not make a lot of sense?

It's a dumb example but yes, probably still you

[Docile 64]

economics 101. if demand for goods go up, prices and equilibrium SHOULD go up. vice versa when demand goes down.

oh and chart does make sense

have seen so many car listings on trademe "in a hurry to sell" with listing price similar to those not in a hurry to sell and when you ask them a question on what their bottom price is, its only a few hundred hundred of listed price $:|

Edited February 29, 2012 by Docile

[westy 614]

economics 101. if demand for goods go up, prices and equilibrium SHOULD go up.

Exactly!(?)

[Gotheschu 1]

Yea. Chart is 100% correct. AS business studies coming into play haha

[hybrid 1039]

There are ways you can take that graph.

It shouldn't read quantity is this example, it should read competition on the X axis

[M3_Power 636]

It's simple - price. There is nothing else to it. Your price is too high.

My wife who has been in sales for numerous years and holds various car sales records would completely disagree with that.

[she holds the record for most cars sold in a week, most cars sold without discounts and highest closing ratios]

[Apex 693]

Anything that is too expensive is something I can’t afford.

[E30 325i Rag-Top 2920]

My wife who has been in sales for numerous years and holds various car sales records would completely disagree with that.

So very true in a business world, the number of sales reps that can only sell on price (particularly in NZ - what does that say about Kiwis??) rather than on benefits / strengths of a product.

In this instance though I think the OP is referring to the "For Sale" section of Bimmersport and Trademe, where selling skills and marketing are pretty much a level playing field. I think there is a latin saying for "providing everything else is equal" which should be used as a caveat with the graph. Good old price elasticity of demand....

[m325i 705]

where selling skills and marketing are pretty much a level playing field

Pretty much.

Why has (*insert 'bumped' thread*) not sold?

In your wife's case you could argue that they are uninformed purchasers I guess. I would be keen to hear the reasons behind this though, because I feel it still comes back to price. (e.g. 2 identical cars for the same price but her 'service' seals the deal still = the purchaser getting more for the same cost, so price is still the driver)

[M3_Power 636]

In this instance though I think the OP is referring to the "For Sale" section of Bimmersport and Trademe, where selling skills and marketing are pretty much a level playing field.

Agreed!

In your wife's case you could argue that they are uninformed purchasers I guess. I would be keen to hear the reasons behind this though, because I feel it still comes back to price. (e.g. 2 identical cars for the same price but her 'service' seals the deal still = the purchaser getting more for the same cost, so price is still the driver)

Honestly I don't know, as according to her I suck at selling and I am just a gullible consumer LOL ...

But she always says it's about matching the product with the right purchaser - price is just a by product of the deal.

I wouldn't lump car buyers as uninformed purchasers though - according to her most are pretty switched on. According to her also the skill isn't in upselling or added service value as most consumers see through those anyway ... And no she doesn't use sex appeal either (so she says haha)

Edited February 29, 2012 by M3_Power

[Docile 64]

^ as above, that graph is basic at most giving a picture of a scenario where everything else is held equal (ceteris paribus), market forces will determine demand, supply, price, quantity and equilibrium.

it does not account for external factors that could directly affect supply and demand. i.e. marketing, sales rep etc...

LOL i just remember this was an exam question at Auckland Uni economics 101.

Edited February 29, 2012 by Docile

[Guest Ari Gold]

I saw Glengarry Glen Ross once?

[_ethrty-Andy_ 2122]

ill try keep it simple!

everyone wanted, lets just say, a brand new E30 when they came out and was the car to be seen in = demand is high. thats why they got away with charging $60,000 for a 320i (numbers might be off but irrelevant). however, despite the the vast majority are still on the road, no way near as many people want them. low demand, demand curve shifts to the left, price falls. give it 20 years time and demand has gone back the opposite way as they are classics, but ever since 1993 supply has been falling (moving to the left) while since now demand is moving to the right. price goes up, and is why a 2002 (based on the mechanical ability/reliability etc) which is an inferior car is more expencive in the same condition.

got that?

[hybrid 1039]

Luxary car brands in NZ get a talking too from HQ to align their prices with global pricing. NZ HQ of said luxary doesnt want too because they can hold a higher margin and keep the brand exlusive.

So I was told last week about a couple in particular.

We just dont have the population to really drive demand on some things.

It can work in our favour however, high qaulity low production runs for manufacturing for example is entirely a reality in this country where it is not in larger populous countries.

[westy 614]

So in other words, the graph is rubbish.

I knew I was right. I knew it.

[kwhelan 233]

It's simple - price. There is nothing else to it. Your price is too high

disagree

theres an element of luck and patience involved,your ad could sell in hours(price to low) maybe, maybe you got lucky and it was seen by the right person

If you turn down the offer and wait for a better price you may wait 6 months for a new buyer.

some things people have re-advertised many times because the the right person never saw the ad.

why drop the price because your watchlist or views count was low,try closing the auction on a different day or different time or maybe even a different month,

eg:(try selling a car over xmas new year week) not very likely!

theres also some skill involved,not all realestates agents/firms are equal by any stretch so price is not the only factor

[Smac01 12]

What also influences purchase behaviour/'willingness to spend' is people's needs and creating value for them.

To you, an E46 M3 might be the only E46 you'd own, because it's the quickest.

To others, a 318i might be the only E46 they'd own because it balances a quality car with fuel economy, cheap insurance etc.

You wouldn't pay as much for a 318i as they would.

They wouldn't pay as much for an M3 as you would, simple.

It's never a clear black/white scenario as to the value of a car.

It's value depends on the person's perceptions, which is where a seller can influence above and beyond the simple specs of a car.

Unfortunately you still need the demand to justify the price you're commanding (which is where the other thread will fall flat).

On top of this, Bimmersport is full of people with an immense knowledge on cars - don't forget that you know more about cars than most buyers on TradeMe, especially when it's a BMW up for grabs.

[kwhelan 233]

yes and the japanese car importers tend to look at year and mileage and a rough grade of 1-5,

theyre not haggling value over certain types of mag wheels leather,sunroofs or whatever to them its just a car,and there markup is blah so they can afford to haggle blah

private sales try sometimes wrongly to upsell price on these things

Edited February 29, 2012 by kwhelan

[Driftit 1964]

I never base anything I want to sell off prices of similar wares that are listed om Trademe. Unless it is something that will only sell on Trademe. High userbase etc..

[m325i 705]

theres an element of luck and patience involved....

By waiting I would argue the market has shifted, (which can go both ways).

Market value can be defined as:

"the amount 'it' should exchange for between a willing buyer and a willing seller in an arm’s-length transaction after proper marketing wherein the parties had each acted knowledgeably, prudently, and without compulsion"

Great chat boys

[kwhelan 233]

By waiting I would argue the market has shifted, (which can go both ways).

Market value can be defined as:

"the amount 'it' should exchange for between a willing buyer and a willing seller in an arm’s-length transaction after proper marketing wherein the parties had each acted knowledgeably, prudently, and without compulsion"

Great chat boys

HAH straight from a text book

so are you saying theres no such thing as a bargain because everything is sold at its true market value because the market has set the price.

luckily trademe is full of people who cant spell prudently let alone know what it means

I think people forget the profit is made when you purchase,

[Smac01 12]

I think people forget the profit is made when you purchase,

Couldn't agree more.

[huff3r 347]

Sometimes people just dont want what you are selling, i.e demand is rediculously low. However if supply is also low, then its just a case of waiting for the demand to jump from 0 to 1 surely?

(eg. Racecars nobody wants right now )