Actually, the wear and tear of test drives has nothing to do with it. (For example, BMW NA required each dealer to keep at least one demo M3 in stock for test drives, even as they sold all they could build.)

BMW was paying for that wear and tear, as well as covering the lost profit on that car. Most manufacturers do not.

It's that many/most dealers are customer-despising jackasses.

Guess what? In the US at least (can't speak for the Brittish, I live for Brittish customers) the customer created most of this attitude.

All standards of common decency often get checked at the door.

How many othjer stores do you walk into and speak to the sales help as if they're something unpleasant stuck to the bottom of your shoe? If the drug store closes at 9, do you get pissed at the pharmacist for not filling your prescription at 9:15 when you walked into a store with the lights off? People do this [censored] in dealerships all the time. And then get pissed off when we politely tell them we're closed. Aparently, we're not entitled to have lives.

Do people tell you every day how much money you're entitled to make? Half the people I deal with in a day have determined I'm entitled to no more than 1-3% gross markup on my product, no matter what the demand for it. We can make it up in volume. There 's a limitless number of people buying a new car in any given month. And our rent, electric, and labor is free.
Try telling this to any other merchant. Oh wait, I forgot, places like jewelers, clothing stores and optometrists are entitled to 200-400% markup on their product without argument.

"This guy's a moron but he's cheaper than you. I expect your level of service but at his price." I should be allowed to spit in your face for this kind of insult, but it's aparently OK when you sell cars. You do your job well, but should be paid the same as the asshole who really doesn't care. If you feel this is OK, you deserve to buy your car for someone like that. You want a professional? Pay for one.

If I have something expensive, people need to comment on it as if I got it by stealing. Do you interrogate anyone else you deal with for wearing an expensive watch? I didn't think so.

I should make less of a profit because you can't afford what you want. I should sell you the $29,000 car for $25,000 because you can't afford what you want. Get this all the time too. People need to learn LEATHER INTERIORS AND SUNROOFS ARE NOT NEEDS THEY ARE WANTS. SEPARATE THE TWO.

Don't even get me started on people bringing their kids into the showroom and letting them run all over the place like it's a damn daycare center. But this isn't limited to dealerships, lately people seem to have forgotten that there are all kinds of places where children aren't wanted or welcome. Never mind the fact that these people often have obnoxious little howler moneys for kids.

I could go on, but I need my sleep so I can go deal with my window licking sales staff and the arrogant prick customers (who are probably decent people before and after they walk through the door) tomorrow.

I will make salespeople out of them if it kills me. They may be tards, but they're tards with potential.