Ive recently looked at a couple of S3's as two came up over here at once (in Jersey that is). They were both from big garages (one being the Audi dealer and the other being the Honda dealer).
There was a 2000 model S3 for 16k at Audi. I asked them what they could go down to saying 14k was my limit, they said they could go to 15k, pay for the cost of swapping my number plate and give me a years warranty. They said they definitely can't go any lower then this...
Then this one at Honda came up. It was a 2002 model S3 for 17k. They said they could go down to 16k. This obviously seemed like the better deal to me.
I went back to Audi and told them about this deal, they then, (after a bit of persuasion) said they could go down to 14k!
I went back to Honda and said if they could knock a bit more off then I would go for them being it was a newer car with less then half the miles of the other one (11,000). They gave me another couple of hundred quid off.
Either way I was onto a winner with both places as they both wanted to sell me the car.
Ended up going for the 2002 one for £15,800.
Not sure if this helps at all, but it just goes to show you can always knock them down a bit!