Why December is a Great Month to Purchase a Car
You have probably noticed that during the holidays there is an increase in the number of car commercials, with dealers promising the best deals of the year. This is more than holiday hype; December is truly the best month to purchase a new or used vehicle.
Excess Inventory and Discontinued Models
Each year during the month of October, the new-model cars arrive and are placed on the lot along with the previous-year’s models. This results in a larger than desired inventory, and as autumn progresses, the prices on the older models continue to drop and the incentives offered to buyers continue to rise.
Discontinued models are also offered at reduced prices. When a manufacturer announces that a particular model will be discontinued, the market for these cars quickly dries up. Therefore, car dealers are highly motivated to eliminate these vehicles from their inventory. December is also the time for the best deals on discontinued vehicles.
Car dealerships almost always pay their staff on a commission basis. The more cars sold – the more money earned. However, most dealerships offer added incentive in the form of year-end bonuses. Often, dealers provide bonuses based on how much inventory is moved during the month of December and whether the annual targets for the dealership have been met.
At other times during the year, car dealerships compete with other dealers – but during the holiday season, they must compete with all retailers. This causes them to offer better deals, sales, and incentives in order to sway consumers to spend their hard-earned money with them.
Looking for a New or Used Cadillac?
Minooka residents will always find the best deals on new and used Cadillacs at Hawk Cadillac – but December could be the best time of year to make that purchase. Stop in today.