Just heard back from Audi in regard to a deal they are trying to put together for me:

Basically they have an S4 Tip 05 plate fully loaded, every conceivable extra for £38k.
They have offered me £42k for my RRS which is more then acceptable for me, MB offered me £40k for it against a CLS, so anything is better then that.

I want an RS4 though, as thats the real toy, but as im a bit late to get on the list, i persuaded the sales guy to find me one. He has said i can take their dealer allocated RS4 demo on delivery in June (un driven). I said i want a price on paper for the S4 now, for buy back in June (agreed mileage)

He said not a problem, and came back with £32k.
Now not being familiar with Audi cars as much as Bmw, i don't know whether this is good or not.
One guy on an Audi forum said that this was excellent, as they are only good for retail at £32k at that time. But £6k loss in 6 months seems a bit much to me on a used car which should have already lost a chunk.

Sales guy said S4 depreciates £500 a month, then there is our margin to think of..
so £38k - 2500 = £35500, say they retail the S4 at £34995
if they give me £32 for it, £3k margin seems a bit much, considering they are making:
Margin on the S4 now,
Margin on the RS4 come June time.
Plus Margin on the S4 in June on resale.
I know they are in business, but someone doing a two car deal, maybe they should compromise somewhat. Am thinking of going back to them and saying give me £33500 for the S4 in June and we have a deal. As then they still have £1500 to play with in the S4. Not a lot of margin, but i have known Bmw have sold cars with this amount left to play with.

Any thoughts? The S4 is registered June 2005, so would be one year old exactly in June 06 when i return it. .

Hi Mr. X.

X passed me over your details yesterday and asked me to contact you to
finalise the details for the proposed deal, in the time before he comes back to
work on Tuesday.

-To summarise, we are looking at £42k trade in for my Range Rover Sport, against the S4 that you have priced at £38k currently.
-I will take the S4 until June when i will return it back to you at £32k (1k
miles max per month and in excellent all round condition) and take your dealer allocated RS4 at list price at that time.

I need to pay you £500 deposit for the RS4 at this time, and will possibly be required to pay another £1000 if requested by Audi to confirm my purchase before June.

I would like to thank you for the time you have taken to put together this deal for me, and would like to confirm my intent and interest to proceed with this deal.

However there is a but, one area of this deal which is paining me somewhat and is stopping me from putting a deposit down over the phone right now on the S4 is the buy back price you have offered me on the S4 for June. £6k loss in 6 months would be the most i have ever lost on any car, and im wondering whether it may be worth keeping my RRS until i can source an RS4 from you or from another dealer at a later date in the summer, as im almost guaranteed to not loose anywhere near £6k on the RRS before June seeing as the waiting lists at LR are actually getting longer, not shorter.

The way the deal stands right now, is you are making a margin on the S4 now, Another margin on the S4 come June time (on resale) & your margin on the RS4 in June. Which as you are a business makes perfect sense.

Sean explained that the S4 will depreciate at roughly £500 per month, and then there is your margin to think of on resale. Meaning that the true retail value of the S4 in June would be £38k - £2500 = £35,500. Take £34,995 to make it a round figure for retail in June. So by giving me £32k you will effectively have £3k in the car. The car will still be under warranty and any damage done to the car, including door dings etc will be rectified by me before handing back and the tyres should still be in good condition, so what i am asking is whether you can reduce your margin somewhat in the S4 for this time and make this deal slightly more attractive for me.

What i am proposing is for you to revalue the S4 at £33.5k buy back from me for June, and pretty much i will be good to go on the S4 and RS4 and we can proceed with this deal this coming week. I know this is a reduced margin on the S4 and it might be bordering on the minimum allowance you take on a used car, but please consider the overall margin you will be making from me in the three proposed transactions in the next 6 months? If you can find an extra £1500 on this deal i would appreciate it. I haven't asked for a pound discount on the S4 at this time, and appreciate i will have to pay list on the RS4 being a premium under demand model, so i feel its only fair to help me out at the time when i will need to pool a lot of resources to obtain the higher priced RS4.

It could be argued that the S4 at this time, is overpriced, as Dulwich Audi have an almost identical car for £1k less even same mileage, and i haven't even approached them yet, and don't have a need to as i feel X has looked after me very well and the deal that is being formulated is of mutual benefit for you and myself.

Thanks for your time,
Sorry for the long email, but i have been thinking about this since yesterday
and wanted to get all the info across.

Awaiting your reply.

With Kind Regards

Kam

Kam, you seem to have answered your own question, why swap out the RRS now for a car other than an RS4. I'd keep the RRS till the RS4 is ready, you'll lose less money and who knows, the bad winter thing may yet still happen and I'd rather be in a RRS if it did than an S4. My experience of S4's is that they are very effective but still lack soul. The RS4 has all the performance needed to say "sod the lack of soul".

Kam - keep the RRS you know it makes sense! If you don't I'll break your legs.  2005 Zambezi TDV6 - Gone but not forgotten
2009 Alaska TDV8 - Gone and much missed.



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Very annoyed wrote:

Kam - keep the RRS you know it makes sense! If you don't I'll break your legs.

So will I  Like this site? Buy some RRSPORT goodies to show your support!

Agreed, I would keep the RRS until the RS4 arrives. You'll not lose £6k on it. EVERYONE wants a RRS!

Why put food in their mouths when you don't have to... L319 D4 HSE

1998 110 TUM HS FFR Hard Top XD WOLF

1982 Series 3 SWB

At the risk of sounding like a broken record, the new spin on the deal makes it sound less attractive since the last I heard of it on Friday I think this is typical dealership moneymaking with no regard for the softer-side of customer focus. They could do well out of you here but as usual the £ signs are getting in the way. Estate agents, traffic wardens, lawyers and car salesmen - all scum. Death to them all!  

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Quote:

Estate agents, traffic wardens, lawyers and car salesmen - all scum. Death to them all!

That's far too good for them!  2005 Zambezi TDV6 - Gone but not forgotten
2009 Alaska TDV8 - Gone and much missed.



WINNER - 2009 �Idler Of The Year� Award
Runner Up - 2009 �Just Doing What It�s Designed To Do� Award


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Hi Kam - again,

On reflection and reading the latest. Keep the RRS - and do the deal in june when the RS4 arrives. But at £50k ish for the RS4 - why not get yourself a RRS Supercharged ( even a late used one ) I have seen a few for sale now around that price. Plus your Insurance will be a lot less for the RRS Supercharged than the RS4..... believe me. 
" WITH MORE EXTRAS THAN A HOLLYWOOD EPIC "

MDP is right. Come June there will be plenty of 1 year old superchargeds about. (but I shouldn't be telling you this because you have something I want ) Remember the biggest loss on any car is the second you drive it from the dealer on to the road! 2005 Zambezi TDV6 - Gone but not forgotten
2009 Alaska TDV8 - Gone and much missed.



WINNER - 2009 �Idler Of The Year� Award
Runner Up - 2009 �Just Doing What It�s Designed To Do� Award


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Guys, have been working through the figures this morning, and the more i analyse, the more it looks like i will loose a shed load of money on the S4, the dealer, manager, person guy that i wrote the email to hasn't responded yet, so i hope no news is good news. My finance broker is poised ready to pounce on this deal and has me a cracking finance package sorted for the S4, and i can walk in without having to spend a penny, i.e the RRS has held its value well so i can cover all expenses and deposit from the proceeds. However it will be a different story come RS4 time.

One thing i need to clarify is that the RS4 allocation to me, may only be available dependant on whether i pick up the S4 from them... im not going to ring the guy, will wait for the salesman to return tommorow..

MDP wrote:

Hi Kam - again,

On reflection and reading the latest. Keep the RRS - and do the deal in june when the RS4 arrives. But at £50k ish for the RS4 - why not get yourself a RRS Supercharged ( even a late used one ) I have seen a few for sale now around that price. Plus your Insurance will be a lot less for the RRS Supercharged than the RS4..... believe me.

kam100 wrote:

One thing i need to clarify is that the RS4 allocation to me, may only be available dependant on whether i pick up the S4 from them... im not going to ring the guy, will wait for the salesman to return tommorow..

That's the right approach, I'd say. Make the ba****ds sweat a bit. 

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No reply today..
everyone is telling me to skip the S4 and just wait for the RS4, as it will be a very expensive stop gap.. im hoping they let me still have the RS4 as im likely to upset them when i say no to the S4..

Oh well, at least im still in the RRS until then..!! plus can come to more meets and actually go offroading while i have the chance!

You're taliking yourself into keeping the RRS.  2005 Zambezi TDV6 - Gone but not forgotten
2009 Alaska TDV8 - Gone and much missed.



WINNER - 2009 �Idler Of The Year� Award
Runner Up - 2009 �Just Doing What It�s Designed To Do� Award


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