Are you ready for a new car?

Please read this first.

A majority of new car buyers rush straight from TV or newspaper ads to the dealership showroom without effective research.

These folks walk onto a car lot at a huge disadvantage to the professionals waiting to steer them through a "deal" process long standardized in the automotive retail industry.

The car sales pitch always ends with "a call to action", an admonition to HURRY! What can I do to get you into this car TODAY? They're selling like hotcakes, these deals can't last.

Yeah, it's the Texas Summer Stampede, Pawdnuh!

Huh?

Hurry? We are in the middle of the greatest buyer's market in the 100 year history of mass produced cars. A tidal wave of change has overtaken the American retail auto market.

Global overcapacity has the US big 3 (Ford, GM, and the "new" Chrysler), as well as many foreign competitors, struggling for survival.

Despite the glut of new cars being produced, China and India are investing heavily in auto production infrastructure.

In fact, the distinction between US and foreign cars is getting harder to discern with every model year. Consumers should not be fooled by "badge engineering."

Every car maker has at least one skeleton in the closet. Trapped buyers often mistakenly believed they were well educated. Honda, BMW, and Toyota, the world's leading manufacturers, are not exceptions.

Every day I read forum posts from folks who got burned; BMW run flat tires, Honda odometer over-clocking, Toyota and Chrysler oil sludge.

Lesser brands have even more issues.

And despite the large US surplus of dealers, consolidation of the domestic brand networks is moving slowly. Many dealers are slowly starving.

This produces a wide range in dealership quality.

While it is not possible to screen every dealer, those with visibly bad records will not be listed here.

This site is not about bad-mouthing hard working dealers, it is about finding the best available dealer, not just the lowest advertised price.

A Changing Marketplace

Most builders have massive inventories of unsold vehicles. Many models are not selling well enough to remain in production.

Even Toyota has announced plant shutdowns, with pickup plants expected to be shuttered for the entire summer.

Analysts predict a dismal 2009 for the auto industry, with predicted annual US sales possibly under 11 million.

Yikes! That's down from 16.15 million in 2007.

The U.S. industry's ten year average is 16,400,000 cars annually. Right now (11/19/08) the extrapolated annual rate would be around 10,900,000.

The car industry crisis presents consumers with both danger and opportunity.

Most people know that the traditional, Detroit-based, American auto business is in big trouble.

News of production cuts by Detroit, due to dealership inventory backlogs, floods the media.

But many "foreign" brands are also reeling, while a few gain market share.

In the next decade, a serious decline in sales, dealership numbers, and makes/models will continue.

Will your next car be discontinued the year after the "great deal?"

Will the dealer be around to service it or honor dealer-specific extended warranties?

"The bitterness of a broken promise
lingers long after the
sweetness of a low price is forgotten"

How would the "B-word"(manufacturer bankruptcy) affect residual values, dealer survival, and parts/service availability?

Today, 11/19/08, with Ford (NYSE:F) shares ticking by at $1.65, oops, $1.48, Uh, I really meant $1.29, and GM shares priced about the same as a gallon of 93 octane gas, it's either looming bankruptcy or the greatest auto stock buying opportunity ever.

With uncertainty about future fuel costs, even a few mpg difference must be factored into the auto purchase price decision. The "subprime credit crisis" extends beyond housing to overvalued and over-leveraged gas guzzlers.

Cars on the Internet

Increasingly, consumers are researching vehicles and dealerships online prior to stepping out on the tarmac.

Approximately 70% use the internet, but even here there are hazards.

On a majority of automotive websites, the first thing you see is a third party lead generator masquerading as a free quote. Everywhere forms prompt you to begin the sales process.

Only a few sites offer any real information beyond a marketing brochure.

The purchase of an auto is one of the biggest financial decisions we make over a lifetime.

Average deferred payment (financing costs included) prices are above $30K, and represent a large fraction of take-home-pay.

Total long-term costs of ownership are often hidden.

Heavy depreciation, finance, insurance, gasoline, maintenance and registration costs add up to big money over the years.

Unbiased Online Auto Resource

Consumers are prompted by advertising to view their automobiles as casual accessories, to be selected on a whim.

This website is dedicated to those who want to come to the car purchase arena armed with knowledge.

texas-cars-and-dealerships.com helps internet shoppers to focus on getting the right vehicle, from the right dealer, with an acceptable total cost of ownership, rather than getting the "best deal."

General automotive info, manufacturer background, local dealer profiles, and detailed model reviews will provide that knowledge.

A long term strategy is suggested: invest in knowledge today, rather than hurrying to be a buyer. Make your decisions based on fact, not the emotions stirred by ads.

Let's look beyond rebates, incentives,"free" gas, and zero down, to the long-term costs and benefits.

texas-cars-and-dealerships

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