Thursday, October 15, 2015

The New Modern Car Buying System


The internet killed the car business. Then, it built it right back up. We live in a world of retail transparency, shopping from the couch, and uber-competitiveness. Shoppers have the ability to get great deals every time they shop for a car and that has translated into a major shift in the way they're sold.

That's not to say that there are no dealers or salespeople out there who still try to mislead people into paying too much or buying the wrong car, but the paradigm that gave the car business a bad name in the 70s and 80s has been shifted to one where the majority of dealers believe in creating an incredible buying experience rather than an aggressive one.

The modern sales process at car dealerships has evolved to assume that the customers are well-prepared with information about the vehicles, their pricing, and the values of their trades. They often come in with an idea of what rate to expect, what discounts are available, and how hot a particular vehicle is. This is important to both the consumer and the dealership because it can streamline the process and make it easier for the transaction itself to go more smoothly.

It isn't just the abundance of information that has shifted the way that cars are sold. Word of mouth has always been important in the industry, but the rise of review sites, social media, and the ability that people have to communicate with the local masses has allowed car dealers to adopt a more favorable stance. They don't just want to sell more cars. They want their customers to be happy with their purchase. The manufacturers are paying more attention to customer satisfaction and they often use these statistics to grade the dealership as a whole. These grades can determine a dealership's standing in their market and can have an effect on their bottom line through favorable allocations and increased profit potential on the back end.

If anyone is getting a "raw deal" in the can business, it's usually the dealership itself. As consumers, we don't blink an eye when buying a couch or a shirt that brings in 50% or more profit to the retailer, but car dealers often struggle to make 4% off of a vehicle sold. I'm not suggesting that they don't make money, but it's not the easiest business to operate in America today.

When you're in the market for a car and you want to put up your defenses, remember that your best defense is information. They aren't out to get you. They just want to do business with you. It's better to go in armed with information and a good attitude rather than falling into the old style of being adversarial and skeptical. They aren't your enemy. You want to buy a vehicle and they want to sell one. Your goals are aligned.

Tuesday, October 13, 2015

Best Family Car Tires

After a year of testing and analysis, Consumer Reports has released new car tire ratings on 47 all-season and performance all-season tires models and 21 snow tires. The results? Michelin, Continental, and Pirelli claim top honors for all-season tires, and Michelin and Nokian lead with top-scoring winter/snow tires.
To identify the best tires for your vehicle, consider more than just how the tires rank, but how they perform in the specific areas that matter most to you. Consult our tire buying guide and check the complete tire Ratings.
Michelin Defender tire
Michelin Defender

All-Season Tires

Popular on many cars and minivans, standard all-season tires typically carry a T-speed rating (118 mph). They are designed to provide good grip on dry, wet, and snow covered roads, along with long wear and a smooth quiet ride.
The Michelin Defender is the top-rated all-season tire, with impressive all-weather grip, crisp handling, and very long treadwear. In fact, Consumer Report’s extensive vehicle treadwear test confirms Michelin’s 90,000-mile warranty. However, the Pirelli P4 Four Seasons Plus with the same warranty achieved the highest mileage of any all-season tire tested with a staggering 100,000-mile wear projection. The Pirelli ranked fourth behind the Continental TrueContact and the General Altimax RT43, with all three offering mostly strong all-weather grip. Despite the impressive showing, the Continental and General do have lower estimated tread lifespans.

Performance All-Season Tires

There is a three-way tie for top score between the Continental PureContact, Michelin Premier A/S, and the Pirelli Cinturato P7 All Season Plus. Continental gets to the top of the heap for its strong performance in dry and wet grip, handling, snow traction and a quiet, comfortable ride. Both the Michelin and Pirelli models share many of the same qualities, along with longer tread life. Performance all-season tires come on many newer cars with speed ratings of H (130) and V (149) mph.

All-Season or Performance All-Season Tires?

Consumer Reports test results show there is a lot of overlap in price and performance between T-, H-, and V-speed rated tires. For example, performance all-season tires generally have better handling than standard all-season tires, but the Michelin Defender all-season tire had the best handling agility of all tires tested. Whether your car takes all-season or performance all-season tires, the good news is there are plenty of choices offering long wear, comfort, and all-weather grip.

Winter Tires

A mountain and snowflake symbol signify that snow tires are designed for severe winter weather and that they meet an industry standard for snow traction. This year we tested a record number for Consumer Reports. The sheer volume of cold-weather models highlights consumers are very interested in the added peace of mind, and traction, that winter tires can deliver over all-season and summer tires. The Michelin X-Ice XI3 and Nokian Hakkapeliitta R2 are top rated, but the Bridgestone Blizzak WS80 is a strong performer that offers excellent winter traction.
In all categories, it pays to check the detail ratings to see how tires compare in the performance areas that matter most to you.
You'll find Ratings for these tires, plus those designed for trucks and sports cars, atConsumerReports.org/tires.

Why Tread Life Tire Warranties are next to useless

In making a tire purchase, long tread life is among the most important features sought after by many consumers, yet our real-life treadwear tests have found so much variation between the promise and the reality that it’s impossible to use the stated tread-life to accurately comparison-shop between brands.
For that reason and others, Consumer Reports painstakingly performs vehicle treadwear testing and rates tires for tread-life. And now, we are introducing comparative mileage projections. (See the complete tire Ratings.) Of course, your actual mileage will vary by what, where, and how you drive among many other factors.
Many car tires come with a prorated mileage warranty, also called a tread-life warranty, that is often used as a selling point. Think of that mileage limit, generally somewhere between 30,000 and 100,000 miles, as a figure highly influenced by a marketing department. It may be close to what you get, but in the comparisons we’ve made, it may be way under.
Moreover, if the tire doesn’t live up to the wear promise, you may find that the so-called warranty imposes so many restrictions and conditions that it’s nearly impossible to collect on. It may even be pointless to try, although a diligent and truly determined consumer can sometimes manage it.
Car tires on rack

How It Works

A tread-life warranty is not a money-back guarantee. As with other prorated warranties, what you can collect is only a partial credit. With tires, that credit is usually good only toward the purchase of an` essentially identical tire from the same manufacturer. If you didn’t especially like those tires, and maybe wanted to upgrade to something better, tough luck. Then you get nothing.
The credit for premature wear is calculated as a percentage representing tire life you didn’t get. Let’s say you bought a set of 80,000-mile tires but they were worn out at 60,000 miles. That 20,000-mile shortfall would qualify you for a 25 percent credit off the standard retail price for the replacement. Your credit, though, is applied to the standard retail price, not any discounted price you may find. And tire discounts are very, very common. So, as a practical matter, your credit may be worth nothing.

The Fine Print

Before a retailer will even consider granting a mileage-warranty credit, you have to fulfill some pretty exacting requirements. These may vary, so read the fine print.
  • You have to have kept your original receipt, with your car’s odometer reading at the time of purchase, and whatever warranty papers came with the tires.
  • If there was a recommended tire-rotation interval, say every 5,000 miles, be ready to supply written documentation for each of those services.
  • The wear must also be absolutely even across the tread. If your tires ever got misaligned, or were under- or over-inflated so the wear isn’t quite uniform, there goes the warranty.
  • All this has to happen within a specified time frame, say four or five years.  

The Final Gotcha

You can only recoup something on a prematurely worn-out tire if the tire is truly worn out, with the tread’s wear bars level with the top of the tread. That indicates that you have only 2/32nds of an inch of tread, the legal minimum in most places. The danger is that a tire with that little tread will probably already have lost much of its hydroplaning resistance and snow traction.
We don’t think it’s very smart to drive around on barely-legal tires, especially to save just a few bucks. In fact, we recommend that you shop for tires when you still have 1/8 inch (4/32nds) of tread left. You can measure that with a quarter. Position a quarter in the tread grooves with George’s head pointing down. When you can just see the top of Mr. Washington’s head, that’s 1/8 inch.

BEST NEW CAR DEALS OCT 2015

Best new car deals

Save money on Consumer Reports' recommended cars

Last updated: October 2015

A great price isn't necessarily a good deal if the vehicle doesn't measure up, so we help you choose a good car at a good price with monthly list of best new car deals. The featured vehicle highlighted below has an attractive incentive that can save you extra money, and it is recommended by Consumer Reports, as are all models detailed below.
Other trims on the vehicles listed may also present good deals. Although incentives all eventually expire, they are often renewed. Research ratings, reliability, owner satisfaction, and the latest dealer pricing on our car model pages
See our full list of this month's best new car deals below. 
Click here to receive an RSS feed with the latest car news and deals.

2016 Chevrolet Impala

One of our top-rated sedans, the Impala is roomy, comfortable, quiet, and enjoyable to drive. It even rides like a luxury sedan, feeling cushy and controlled. Engine choices include a punchy 3.6-liter V6 and an adequate 2.5-liter four-cylinder, both paired with a six-speed automatic. The V6 accelerates and brakes capably, with secure and responsive handling. The full-featured cabin stays very quiet, with a sumptuous backseat and a huge trunk. Controls are intuitive and easy to use, but rear visibility is restricted. Advanced electronic safety features are readily available.  
ModelMSRPInvoice priceIncentive expiration datePotential savings below MSRP
2016 Chevrolet Impala 2LTZ$36,365$35,12111/2/20155%+