Four Reasons Phone Stores And Car Dealers Are Similar

Yesterday I was in a mobile phone store for issues with my smart watch not syncing with my phone.  My issue was not resolved, and more time was spent in the store than I would prefer.

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They of course tried to upsell me on a phone upgrade and a new watch, and my current setup is only about a year old.  Most of my time there involved looking at speakers, playing on tablets, and generally being bored since they had my phone, and I couldn't use it.  The upsell attempt got me thinking, being there is like going to a car dealership, because that's where my brain goes when I'm killing time.

It Takes Forever At Car Dealerships Or Phone Stores

Thinking back to the last time that I bought a truck and the last time I bought a phone, it took forever.  Now, forever might be a stretch but it's never just going in and out to purchase something.  While that might be good as new vehicles and with the prices even phones can be considered major purchases, does it need to take so long?  The previous year when I purchased my phone and watch, it was too over two hours in the brick and mortar building to get everything traded in, transferred from the previous devices, and out the door.  Also, on my last vehicle purchase which was a simple drop off the old lease and pick up the new one, almost three hours was spent at the dealership.  The kicker with the truck was I had already been in there once and also communicated via text and email over the new one.

Car Dealerships And Phone Companies Love To Upsell

At a minimum they are always trying to push the next tier model, extra insurance, and really you name it.  It's even worse now than ever with the mobile phone stores.  Between television or cable services, one provider in particular is pushing extra insurance to cover possessions other than your phone or watch.  I wasn't even getting a new phone and the tech support individual on the other end of the phone told the in-store representative to make sure she offered the new insurance options, or he would handle it.  With my last truck lease, they attempted to get me into the next step-up package which I already had stated I didn't want.

It's Never The Price You Expect To Pay

Car and phone dealers like to throw the extras on the bill which generally isn't discussed until it's time to sign or pay.  With mobile phones it's the extra coverage for the devices, or one-time activation fees, and of course the tax.  The new one for me today was when a guy wanted to trade in his current phone for a new model which the representative said had a special promotion.  He said "Sounds good, and I'll just pay cash for the new phone".  The rep informed him the promotion was only good if you financed the new phone.  While there are workarounds to that, he would be wrapped up in at least a month of having to finance that new phone just to get a "deal" on it, which is ridiculous.  With vehicles, can you think of a time when you went to sign, and it was exactly what they told you the monthly payment would be?  For me, that's been never and it's always more, even if by just a few dollars.

It's First Come First Serve At Car Dealers And Phone Stores

Either type of establishment only has so many sales representatives, so it can quickly turn into a "get in line" type situation.  Even people today who had made appointments online for the phone store, still had to wait because the rep they were scheduled with was busy.  The same thing has happened to me at car dealerships.  If they are busy, be prepared to wait.

What am I getting at with all of this?  I just thought it was interesting how two incredibly different product types mirror each other so well in business practices.  Maybe that's just how sales works though, and it's no wonder now how many people buy phones and vehicles online.