Car Salesperson Salary and Dealership Profits: The Numbers

Here’s a breakdown of teh information about car salesperson earnings ⁢from the provided text:

* Highly variable: There’s no standard salary for car salespeople.Earnings depend on many factors, including the dealership, team size, and the types of cars sold.
*‌ New vs. Used Car Commissions:

* New Cars: Typically earn 2-3% commission of the sale price.
* Used ‍Cars: ⁢ Earn around ⁤15-20% of the gross profit from the sale.
* ‌ Sales Volume & ⁣Consistency: A few high-volume sales days can be offset by slower⁣ periods. Consistent, moderate sales are ​also a viable ‌path to earning.
* Additional ⁤Products (Important Earning Potential): ​ ⁢Commissions on add-ons like extended warranties, paint protection packages, and⁣ service plans can be substantial.⁤ A salesperson can⁤ earn hundreds of dollars from selling ⁤just a⁢ few ⁤of these extras. These are harder to sell, but pay out ⁢well.

In essence, a⁣ car salesperson’s income is a mix of car ‍sale commissions and commissions⁤ from ⁢selling additional products/services, with the latter perhaps being a ⁣significant source of income.