Car Sales Foundations

Establish what a new salesperson may and may not do, who regulates vehicle selling, and the few legal principles that sit underneath every conversation with a customer.

• Explain that vehicle dealing is licensed, and that individual salesperson licensing or registration depends on the state or territory.
• Identify the national law (Australian Consumer Law) and the national regulators that apply to every vehicle sale.
• Distinguish a legal requirement from dealership policy and from recommended professional practice.
• Describe the personal consequences of breaking the law, including penalties and loss of the right to work in the industry.

Give the new salesperson a structured, honest way to greet customers, find out what they need, record information properly and recognise customers who need extra care.

• Conduct a professional greeting and needs discussion that establishes the customer's purpose, budget range, timing and trade-in situation.
• Recommend vehicles based on the customer's stated needs without misrepresenting a vehicle's suitability.
• Recognise signs that a customer may be vulnerable and adjust the sales process accordingly.
• Collect and record customer information only for a clear purpose and in line with dealership privacy procedures.

Teach the new salesperson to present vehicles accurately, avoid misrepresenting features, history or condition, and run a safe, well-documented test drive.

• Use reliable sources to confirm vehicle specifications, features and history before making claims to a customer.
• Disclose known defects and relevant history accurately, and never alter or misstate an odometer reading.
• Conduct a test drive that follows a safe, documented process, including driver licence verification.
• Handle customer identity documents in line with privacy obligations.

Ensure the new salesperson quotes and advertises prices lawfully and avoids misleading claims in conversation, listings and social media.

• Apply the single-price (total price) rule when quoting or advertising a vehicle.
• Identify misleading pricing and advertising practices, including bait advertising, false savings claims and conditional "free" offers.
• Recognise that a salesperson's own online posts and listings are advertising for which the dealership is responsible.
• Recognise that states impose additional advertising requirements, and follow the dealership's compliant templates.

Teach the new salesperson to handle trade-ins and used-vehicle history checks so the dealership never buys a vehicle it cannot legally own or resell, and never misrepresents a vehicle's past.

• Follow a documented trade-in process, including identity and ownership checks and manager approval of the value.
• Explain what a PPSR search shows (security interests, and where available written-off and stolen status) and its limitations.
• Handle a trade-in that has money owing on it correctly, including the customer's disclosure and payout.
• Record and communicate a trade-in value accurately and in writing.

Teach the new salesperson to write up a vehicle sale correctly on the dealership's approved documents, handle deposits and cooling-off rights accurately, and stay inside the legal boundary on finance and add-on insurance.

• Complete a sale on the dealership's approved contract without altering prescribed terms, and record special conditions precisely.
• Explain how a contract becomes binding, and that cooling-off rights and deposit rules vary by state.
• Stay within the finance boundary by referring credit matters to the authorised business manager and never predicting approval or recommending credit products.
• Explain that add-on insurance sold with a vehicle is subject to a legislated deferral period and that extended warranties do not replace consumer guarantees.

Prepare the new salesperson to deliver vehicles properly, respond correctly when something goes wrong after the sale, and protect customer information.

• Complete a vehicle delivery that confirms the vehicle, the paperwork and the customer's understanding.
• Apply the consumer guarantees to after-sale problems, including the difference between major and minor failures and who chooses the remedy.
• Explain that some states add statutory warranties on used vehicles that operate alongside the consumer guarantees.
• Respond to a customer complaint in a way that does not misstate the customer's rights, and escalate appropriately.
• Handle customer personal information securely, and report a suspected privacy breach internally without delay.