Controlling costs is a huge part of keeping a business sustainable; one of the biggest bugbears involved in cost mitigation comes up when buying vehicles for a company fleet. Fortunately, there is at least one way you can save some coin when buying vehicles for the company: order from the factory instead of from the dealer.
Ordering direct means you will get the exact vehicle you need and I do mean exact. You do not have to worry about being saddled with hidden costs or being handed vehicles that are lacking some specific feature because the vehicle you wanted comes in multiple classes. It is extremely rare to encounter a dealer who can pull off this very feat. The main reason why this is so is that dealers order vehicles with all sorts of bells and whistles with the hope to make a profit on the sale.
When dealing with dealers, you may run into situations where the only pertinent vehicle on the lot has a lot of options you are not interested in, but will have to endure the higher cost just to get the vehicle. This scenario is nonexistent when dealing directly with the factory, your money will only go to what you want the fleet’s vehicles to have,
Furthermore, any business seeking pickup trucks or white-colored vehicles will likely enjoy the buyer’s market for those particular items. Summer is a transitional period for different vehicle years, meaning stocks will not reach a lower point until fall. Lastly, if you order direct, you can have the vehicles delivered at a time when you will need them.
“How Does This Lower The Cost of Doing Business?”
- Ordering directly from the factory means you can better plan out your inventory, especially your company’s fleet. Once you know when your new vehicles will show up, you can better plan around that date to sell off the old merchandise, maximizing your return on investment while trimming your inventory.
- There is also the benefit of giving your employees access to the same sort of vehicle. Having a singular type of work vehicle helps operations when one needs to be taken into the shop. The fact that all of your fleet’s vehicles are exactly the same will also remove any issues where employees favor one particular ride over the others; drivers who are happy with their work are more invested in the company and more productive to its welfare.
- Yet another benefit to ordering direct is that you can have the vehicles delivered straight to the business without paying a fee. Conversely, a dealer will charge you fees to transport and business fees.
- Pricing does not fluctuate when buying direct. The price of a dealer-sold vehicle is dictated by the current price of the model.
- You cut through dealers’ markup. Dealers charge more in order to absorb the costs incurred from advertising and interest rates. These issues are not relevant with factory-direct purchases.
- Ordering from the factory means never having to pay a dealer fee.
- On average, a dealer-sold vehicle will run anywhere from $750 to $1,000 above the cost of the same vehicle ordered from the manufacturer.
Is It Ever Smart to Buy From Dealers?
In short, yes.
- When a vehicle is considered a total loss due to mechanical issues.
- When you have to get a new employee on the road immediately.
Considering these two reasons, it makes sense that you should only make purchases for your company through a dealer when time is a serious concern.
To read more on topics like this, check out the business category.