One of the biggest problems in the new-car market is that buyers know discounts exist, but have little idea how far pricing can realistically move – or how to secure the best saving.

Buyers generally expect a bit of movement, and a reasonable-looking discount or manufacturer incentive is often enough to make people feel they’ve achieved what’s expected when buying a new car. Many also assume that if a car is popular – or relatively new – there isn’t much room to negotiate. Our data suggests otherwise.

When we look across the market, the gap between list price and what cars actually sell for is often much wider than people expect. And crucially, that gap isn’t limited to slow-selling or obscure models.

Why advertised prices are only the starting point

Most buyers encounter new-car pricing through:

• automotive media / car review sites

• headline PCP deals

• dealer quotes that focus on monthly payments

Those prices aren’t “wrong”, but they are often incomplete. They tend to reflect what dealers want to sell cars for, rather than what they are ultimately able to sell them for. That’s understandable – but buyers also need to be aware that many supposedly independent sources have commercial relationships with dealers. As a result, the pricing signals buyers see online aren’t always as neutral as they appear.

Dealer discounts, manufacturer support and finance incentives all interact, and not all of that is visible at first glance. Some of the biggest savings only become apparent when you step back and look at the market as a whole and see where it is possible to push for greater savings.

Popular cars don’t mean fixed prices

A common assumption is that top-selling cars carry less discount. In some cases that can be true. When a newly launched model hits the sweet spot of style, desirability and affordability, dealers usually enjoy a short “halo period” where little or no discount is needed.

Those halo periods rarely last long, though – often no more than six months. Once early demand has been satisfied, discounts usually start to return, particularly if buyers are prepared to bide their time.

More often, popular cars need a steady flow of sales to remain popular. That creates volume targets, sales pressure and a greater degree of pricing flexibility than many buyers realise. It’s one of the reasons some of the biggest absolute savings are found on mainstream, high-volume models rather than niche ones.

Of course, if dealers can rely on a car’s popularity to close sales without giving away those bigger discounts, they will. That’s why buyers need to know roughly where the market actually sits — not just what they’re shown – if they want to secure the best deal.

Why many buyers underestimate what’s achievable

Most people buy a new car infrequently. They don’t have the time – or inclination – to speak to multiple dealers, track pricing over weeks, or work out how today’s offers compare with the wider market.

As a result, expectations tend to be anchored to the first price they see, or what they perceive as the “online’ consensus” on discounts.

When buyers later discover how much movement was actually available, it often comes as a surprise – sometimes after the deal has already been done.

What this means if you’re planning a purchase

The key point isn’t that every buyer should continually chase the absolute maximum discount.

It’s that understanding what’s realistically achievable changes the whole process:

• expectations are properly set

• confidence improves

• decisions are made earlier and with less doubt

Some buyers use this insight to benchmark the prices they’re shown. Others simply feel more comfortable pushing back with dealers, knowing they’re not being unreasonable. Either way, they tend to save more than they expected — and spend far less time second-guessing themselves.

(Our analysis of current pricing was recently referenced by the Daily Mail, which gives a useful snapshot of just how wide these gaps can be.)