First pencil

When a car salesperson offers us their first set of figures when negotiating, it is known as their “first pencil’ (a.k.a. first pass).

A first pencil price is also known as an anchor price. For example, a $75 dinner does not seem expensive when “anchored” next to a $200.00 dinner. Similarly, the best way to sell a $2,000 hotel suite is to put it next to an $11,000 penthouse suite.

With car selling, an anchor price is pure psychological manipulation. Most car salespeople artificially inflate a first pencil price to make the car seem more valuable…

But:

The good news is there is a way to cut through this nonsense. I created a car-leasing system that gets us the best price via email. I offer my list of local dealerships that send us their best price… in writing – usually within 6 hours. You can get my KTL Leasing System here.