The Auto Channel
The Largest Independent Automotive Research Resource
The Largest Independent Automotive Research Resource
Official Website of the New Car Buyer

CNW Marketing Research:Local Dealers Give the Best Deal!

    BANDON, Ore., Feb. 22 Contrary to popular belief, buying a
vehicle through an on line buying service or from an on line "direct" seller
will mean paying more, not less, than simply visiting a conventional
dealership.

    In CNW Marketing Research's fourth such new-vehicle price analysis, actual
confirmed prices for various types of vehicles were 4.6 percent higher on line
than off line. In dollars, the difference between on line and conventional
dealer prices for identical cars and trucks averaged nearly $1,400. In three
of the four studies -- excluding 1995 -- conventional auto dealerships owned
and operated locally rather than being part of a large public or private chain
quoted the lowest prices.

    The study utilized mystery shoppers and looked at prices from public
superstores such as AutoNation, privately owned mega chains, conventional
single-owner small-to-medium sized dealerships, on-line buying services such
as CarPoint and online direct sellers such as CarsDirect.com. In all cases,
mystery shoppers negotiated the best possible price.

    The studies have been conducted every other year since 1995.
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