Photo: Flickr / geralds_1311/
Women hate haggling.The very thought of car buying makes most of us cringe because we loathe confrontation with slimy car salesmen who see us as prey as soon as we step on to the dealership lot.
We also don’t know how to stand up for ourselves when discussing salary and promotions with our superiors. After all we’d rather be liked than paid what we’re worth.
So How Do Women Make Smarter Financial Decisions?
Women Don’t Ask, a fabulous read about the inner turmoil and consequences women face due to their disdain for haggling, tells us that women can end up paying up to an extra $1,300 because the pain of haggling is just too much.
Still, this doesn’t mean we’re completely clueless about major financial decisions like buying a car. In fact, it couldn’t be further from the truth. I should know because I had my husband negotiate the sale of our last car purchase armed with a pre-approved auto loan from our credit union, model research and other safety-based criteria.
According to Kelley Blue Book, women do more research prior to walking onto the dealership lot, and issues that top our list of concerns are driving and engine performance, safety ratings, accident history and functionality. For this reason, women tend to get better deals, especially after comparison shopping on the internet.
The prevailing thought behind this is that the internet affords us the ability to shop multiple dealerships at one time and it removes the face-to-face haggling that we hate. However, the research performed beforehand gives us the upper hand in the end.
Think of it has doing research on your opponent before going to war. And, if you’ve graced the presence of a car salesman, then you understand the feeling.
Financial Decisions Based on Risk Aversion
Leasetrader recently conducted a survey which indicated that women are better in most decision-making processes. The data seems to speak to our dislike of haggling, but women are clearly risk-averse since we tend to do more research in these situations (investing, car buying) than men. We will not lose!
Thus, we ask all the right questions before engaging in the transaction to ensure that we come out on top in the end. Nothing is worse than walking off the dealership lot with a lemon that costs you more in repair than the purchase price. And if you’ve spent any time watching People’s Court or Judge Mathis, then you know this happens quite frequently.
Check out these facts from the book Trends — recognise, analyse, capitalise by Tom Peters and Martha Barletta:
Women influence over 80 per cent of all car sales.
Women buy more than 60 per cent of all new cars.
Women purchase 53 per cent of all used cars.
Women’s incomes are rising faster than men’s.
Women are the Chief Purchasing Officers of most households.
Women spend their own money, not necessarily men’s money.
Women are the primary purchasers of nearly EVERYTHING!
As you can see, we rule the roost as it relates to household purchasing power. For this reason, women are becoming more empowered in day-to-day purchases that impact their families’ well being. While we hate haggling, we buckle down and do the research needed to ensure a successful purchase.