Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: FRIDAY, November 18, 1994 TAG: 9412080008
SECTION: HOLIDAY GIFT GUIDE PAGE: HGG EDITION: METRO
SOURCE: SARAH COX
DATELINE: LENGTH: Medium
''The big time is directly after Christmas," said Carlos Hart, president of Hart Motor Company and Saturn of Roanoke Valley. ''There are people who buy cars for Christmas - we put bows on them. I've driven a car several times to a person's house for Christmas, and I had to drive real slowly so the bow wouldn't blow off."
Hart said, however, that right before Christmas sales are generally slow. "We joke about it, and say Santa Claus is a big competitor," he said.
Hart said he believes increased car sales the last week of the year are due to several factors. People may not be thinking about buying a car for themselves while they're buying presents for others. And then again, they may receive money or bonuses for Christmas and believe they owe themselves a treat. Finally, people may receive an automobile as a Christmas present. "I've never had anybody that's not as happy as all get-out with whatever they got," said Hart.
Doug West, general manager of Vinton Motors, said he agrees with Hart.
"Traditionally the week between Christmas and New Year's Eve is still the biggest week of the year. People have gotten Christmas behind them, people are off that week and get caught in the holiday spirit. A lot decide that this is the time to be good to themselves," he said.
David Hagan of Shelor Automotive Group in Christiansburg said his business stays open a half-day on Christmas Eve simply to deliver cars.
"I think everyone has the outlook that they're going to have a fresh start," he said, adding that most people who receive cars as gifts are "humble and appreciative of the fact that someone is doing that for them. We're probably different because we've literally got thousands of cars to choose from," he said.
According to Hagan, many automotive factories pay a close-out allowance to dealers, so this is a good time to buy cars as far as cost is concerned. However, the pick isn't prime.
"The last of September and into October and November is an excellent time to buy. Later in January, the selection isn't so good," he said.
Hart said he tells people that the best time to buy is when you want a car. He also said there isn't one particular kind of car that's purchased around the holidays, but West said that it's a big time of year for new rather than used cars.
"I think the impulse buyer is the happiest buyer, in the long run," said West. "How can a person get emotional about a shoddy car? The feeling at that time of year is more emotional."
West said the important thing is to buy a car from a reputable dealer who has a good service department. Find a dealer that has repeat business. One that you've heard about from friends.
"Repeat business is the key to Vinton Motors' success. I see more repeat business here. My No. 1 rule is `the customer is always right.' My No. 2 rule is to go back to rule number one."
Hart said there have been times when consultive selling is called for. A person is buying a car for another person, and the recipient is along to help pick out the present.
"I've had circumstances where it was a child, and the parents didn't want the child to have a sports car with too much power. The best thing for us to do is remain neutral, and explain what each car will do for them and where its niche is," he said.
Hope Player, a Roanoke certified public accountant, said the entire Commonwealth of Virginia is now prorating car taxes, so if you buy a car on December 31, you're not liable for the entire year's taxes. For write-off purposes, the circumstances often dictate the best time to buy and the best item to buy, but a person will have more business deductions if they purchase a car at the beginning of the year.
Player said it depended upon a business's corporate year, but when negotiating a car sale, "I think we all understand that when the new models come out, they've got to get rid of the old ones."
The most important thing, she said, is to do your homework and be well-advised. Look at Consumer Report ratings, and specifically the safety and maintenance records, gas mileage and resale value of cars. She added that discussing the issue with your accountant or banker is often helpful. She cautioned that there is now a limit to business deductions, so after a certain amount the depreciation stops.
Player also advised to examine what you can afford, and what car suits your lifestyle. Is safety and cost efficiency more important than speed and power? "You have to understand what you want. This is a very large financial obligation," she said.
by CNB