Why Reverse Dealer and not the old school dealership method?Jun 3rd, 2016
To answer this question we have look at the incentives of each dealer.
Incentive of “old school dealership”: To buy low and sell high as many vehicles as possible in any given period of time. Paid off commission, the less a dealer pays you for a trade-in and the more they sell it for the MORE money they make. So their incentive is to MAXIMIZE profit from buying LOW from 1 client then selling HIGH to another..
Note: Buyer and seller have NO idea how much the dealership made off of them
Possible REAL LIFE comparison
Which of these would you choose for the next time you need to buy or sell a vehicle and why?
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