A very common obstacle I have to over come is “why is your “_____” more expensive than the one I saw at “XYZ Motors” around the corner?”  Let me start with the fact that the average price gap is somewhere between $3000 – $5000.  Not a huge gap to try to overcome, but most buyers are price conscious in today’s economy.

Well here are some differences of the value of CPO…

First off, as a Mercedes-Benz dealer, we get first right to purchase any vehicle turned in to us off lease.  If we pass on the vehicle it then goes to a closed Mercedes-Benz auction so any other Mercedes-Benz dealer has the opportunity to purchase it.  If it is not sold at that time, it goes to an open auction that will allow any dealer with access the option to purchase.  Lastly if it does not sell then it is taken to a general auto auction and offered up for sale.

What that means to you as the buyer is the cars at “XYZ Motors” are 3rd or 4th tier cars that all MB dealers had the chance to purchase and passed on for one reason or another.

Still not convinced?  Our CPO vehicles go through a 162 point inspection process.  The process includes a Road Test, undercarriage and drivetrain, a general inspection, engine compartment, engine component, chassis and body inspection, post-road test, and lastly an electrical inspection.  Typical items replaced are tires, brakes (if they are 50% or less), fluids, filters, belts, and hoses.  Once it has passed inspection it goes through a cosmetic reconditioning process which includes a full detail of the vehicle.  On average we spend between $2000-$4000 during the CPO process so you won’t have to later.  “XYZ Motors” simply doesn’t spend the money to replace non-warranty items.  Most independent dealers don’t even have a service facility.  They will give a good detail to make the car show well.

Need more?  How about a warranty?  Once the vehicle has passed CPO inspection Mercedes-Benz adds a 12 month or 50,000 mile warranty to the vehicle.  That puts a total warranty of 5 years from in service date (original selling date) or 100,000 miles on the vehicle.  This is a MB backed warranty good at any MB dealer in the USA with a zero deductible.  To add a third party warranty from “XYZ Motors” you would expect to spend between $2000-$4000.  This varies based on the deductible level, number of miles, and time you are looking for.

Lastly, Mercedes-Benz offers special CPO finance rates that you won’t find at XYZ Motors.

Again, we spend the money on the vehicle so you won’t have to.  You will find the cost of ownership over 3-5 year period to be less with a CPO vehicle than a vehicle purchased at “XYZ Motors”.

So are all pre-owned vehicles equal?  I don’t think so.  Does it pay to purchase a CPO vehicle?  I believe it does.

For a copy of the inspection process click CPO Inspection.

Adam Denault

www.mybenzguy.com