AAA or Costco Auto Purchasing Service

malakilaki · Jan 2, 2002

Has anyone had any experience purchasing a new vehicle through AAA or Costco Auto Purchasing Service? I need feedbacks to evaluate any financial gains. Thanks.

I'll be buying a new car soon for my daily work commute. I've narrowed my choice to either an '02 Toyota Corolla S Auto or '02 Honda Civic LX Sedan Auto. With the options that I want, the Corolla would cost $15,248 MSRP (includes $455 dest. charge) and the Civic would cost $16,600 MSRP (includes $440 dest. charge). What would be a realistic asking price to close the deal?

Steve Pert · Jan 2, 2002

The worst trap to fall into when buying a new car is to start at the MSRP. That's exactly what the sales people want you to do. Instead, start at the dealer invoice price and work up. They should be able to make some profit, so allow maybe 2-1/2% to 3% markup, and try to pay that amount.

You can find the dealer invoice prices on the Internet through sites like kbb.com and edmunds.com.

A very good way to get a good price on a new car is to use Autobytel (www.autobytel.com). You enter the details of what you want in their Web site. They have a dealership in your area that you will be referred to. That dealership will contact you with their best price. We arranged our last two Hondas through them and had no complaints.

Good luck.

------------------

2001 EX-NAVI, SS
1997 Accord EX-L, Forest Green
Previous Hondas:
1992 Accord EX, White
1982 Accord DX, Silver

starlight · Jan 2, 2002

I have used the COSTCO services in the past and liked it. It is hassle free and there is practically no haggling !!

However, I will not use it again as Costco does not help set the price. You probably get a worse deal than what you would get from a fleet sales.

For my last car, I researched using CarsDirect {that way, the dealers do not have your e-mail address to continue to send their "offers"} using multiple Zip codes.

That helped me get a ballpark figure from where to start from. Additionally, check for dealer incentives, rebates etc., and factor it in your price. {use kbb.com, edmunds.com and newspaper sites} Also check the forums and car clubs for prices paid.

I dealt with the Internet Sales Department of the dealership and found them to be more reasonable than some of the local sales reps.

Lastly, be prepared to negotiate. If you cannot deal on the price, ask for cheap options as dealmakers.

Hope this helps.

malakilaki · Jan 3, 2002

Thanks a lot for the replies.

I'll check out those websites. We've now decided to buy a Corolla instead of the Civic.

latichever · Jan 3, 2002

If you're going Toyota, have you checked out the Echo, cheaper than the Corolla with more interior size, great gas mileage, and nice handling--with some pep. Plus it has a definite weirdness factor.

Even though I love my Civic, the Echo is definitely on my list for my possible next commuter car.

Check out this amusing and informative review from click and clack of Cartalk fame:

http://cartalk.cars.com/Info/Testdrive/Reviews/toyota-echo-2000.html

malakilaki · Jan 3, 2002

The Toyota Echo was also on my list of choices, but it did not meet the WIFE SATISFACTION FACTOR. If it was up to me then I would definitely buy it.

My choices were Toyota Echo, Toyota Corolla, Honda Civic, Mitsubishi Lancer, and Mazda Protege. My considerations are reliability, fuel economy, safety, price, handling and roominess (not necessarily in that order). Factor in the wife and the list was down to Corolla and Civic. With the difference in price and insurance premium, we decided to buy a Corolla.

I have initiated my purchase request through autobytel.com for an '02 Red Corolla S Auto with only two options; side airbags and the extra value package which consists of AC, power windows, power locks and power mirrors.
Supposedly, the dealer will contact me within 24 hours for the price offer.

latichever · Jan 3, 2002

BTW, what is the AAA car purchasing service?

I'm a member and I checked out their web page and couldn't find anything about a car purchasing service.

Re internet car purchasing I tried Autobytel while I'm waiting for my Ody at a local dealer. I got an email from another local dealer about a "special internet" offer. Their special offer? MSRP and a 6 month wait. (I'm already in month two of my wait with the first dealer.) I emailed back and asked if their special offer was a joke. No response to that--so far.

[This message has been edited by latichever (edited 01-03-2002).]

malakilaki · Jan 4, 2002

Originally posted by latichever:
BTW, what is the AAA car purchasing service?

I'm a member and I checked out their web page and couldn't find anything about a car purchasing service.

I contacted AAA today and their service provides that all new cars arranged for sale are subject to availability and a price prearranged with the selling franchised new car dealer. I was hoping if someone in Odyclub had an experience with their service.

You have to register at www.aaa-calif.com, then click on 'member services' icon on the top of the member's page, then click on 'Auto Pricing and Purchasing'. Their site offers a vehicle configurator similar to edmunds. Frankly, I prefer Edmunds. To apply for their purchasing service, you have to fill in an online form and a dealer will call you or contact AAA and they will refer you to a dealer.

Well, it's been 24 hours and I haven't been contacted by the dealer accredited by autobytel. I'll give it another 24 hours then I'll just do the price haggling myself this weekend as much as I hate it.

malakilaki · Jan 5, 2002

It's been 48 hours and Autobytel's accredited Toyota dealer in Alhambra, CA never called me regarding my purchase request.

So much for that one.

Just got home from the Barry Manilow concert and I had a chat with a Toyota Prius owner before the show. He parked next to me and didn't even hear the engine. He is very happy with it and highly recommends it to anyone considering a commuter car. He gets an average of 50 mph. Very minimal maintenance and changes oil every 10,000 miles. Bought it for $20k and got a $2k tax rebate. I didn't know about that incentive.

I'll be at the L.A. Auto Show tomorrow and will be inquiring about the Prius. It sounds like a good choice.

malakilaki · Jan 7, 2002

UPDATE: The '02 Corollas are all gone except for the CE (base) models.

We visited a honda dealer today and got home with an '02 Accord Sedan (Value Package model). Eternal Blue Pearl in color. I got it for $16600 which includes full nose mask, lifetime oil change, and destination charge. I also got the 5 year/100,000 miles service contract through Honda Care for $300. I thought it was a great deal.

Now, I have to search for an Accord Club. Know a website?

latichever · Jan 7, 2002

Originally posted by malakilaki:
Just got home from the Barry Manilow concert and I had a chat with a Toyota Prius owner before the show I'll be at the L.A. Auto Show tomorrow and will be inquiring about the Prius. It sounds like a good choice.

True, but Honda will be bringing to market, I believe for the 2003 model year, a Civic hybrid.

honda4 · Jan 7, 2002

What do you mean 02 corollas are gone? 02 has just started. Are they being replaced by the Matrix...
Just curious

Originally posted by malakilaki:
UPDATE: The '02 Corollas are all gone except for the CE (base) models.

We visited a honda dealer today and got home with an '02 Accord Sedan (Value Package model). Eternal Blue Pearl in color. I got it for $16600 which includes full nose mask, lifetime oil change, and destination charge. I also got the 5 year/100,000 miles service contract through Honda Care for $300. I thought it was a great deal.

Now, I have to search for an Accord Club. Know a website?

[This message has been edited by honda4 (edited 01-07-2002).]

malakilaki · Jan 7, 2002

Originally posted by honda4:
What do you mean 02 corollas are gone? 02 has just started. Are they being replaced by the Matrix...

Yup, the dealers are no longer receving shipments on 02 corollas. All southern california toyota dealers have sold all 02 corollas, except for the CE models.

The revamped 03 corollas are now posted on toyota's website: www.toyota.com

Steve Pert · Jan 7, 2002

I thought that only Ford played tricks with model years by coming out with 2003s barely into January 2002. What is with these marketing departments?!?

markeevee · Jan 9, 2002

My experience witht he Costco auto service: The Odyssey cannot be purchased through this program. At least that is what I heard. i live in North Carolina and the closest dealer that even participates in this program was in Washington DC.

Originally posted by malakilaki:
Has anyone had any experience purchasing a new vehicle through AAA or Costco Auto Purchasing Service? I need feedbacks to evaluate any financial gains. Thanks.

I'll be buying a new car soon for my daily work commute. I've narrowed my choice to either an '02 Toyota Corolla S Auto or '02 Honda Civic LX Sedan Auto. With the options that I want, the Corolla would cost $15,248 MSRP (includes $455 dest. charge) and the Civic would cost $16,600 MSRP (includes $440 dest. charge). What would be a realistic asking price to close the deal?

AAA or Costco Auto Purchasing Service

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