Bob Cosby

FYI....I'm sure the others will follow suit....

August 25, 2005

GM extends employee discount program to Sept. 30
DETROIT (Reuters) -- General Motors on Thursday said it was extending through Sept. 30 the discount program under which it is selling anybody a new car or truck at the same low price a GM employee would pay. The wildly successful program, which GM introduced on June 1, had been set to expire on Sept. 6.

But GM spokeswoman Brenda Rios said it would continue through the end of next month. She added that it would now include some large pickups and SUVs from the 2006 model year. The program had previously been limited to 2005 model vehicles.

Darth Xed

I'm not surprised it was extended... in fact, I'd expect it to pretty much stay around until most of the 2005's are gone... but, I am rather surprised that they are adding in some 2006 large truck and SUV's...

Will be interesting to see which exact ones are added to the program.

Now I just need them to extend the Lease Pull Ahead date out to Sept 06 from the current Feb 06.

unvc92camarors

Sigh...

Jason E

And the cancer spreads...

Z28Wilson

My guess is, they're looking to move the last of the GMT-800's before everyone can see the 900s.

Buickman (wherever he is) must be tearing his hair out. I'm a little surprised they have extended it again but I have to think GM has already worked on the numbers and found it isn't hurting to extend it. Guess we'll see when the next quarter's report comes out.

Chrome383Z

Well, GM is coming out with a SLEW of new vehicles here soon. It would be catastrophic to have dealers full of old models not representagous of the "New GM" sitting on the lots with 06 models sitting besides them. Who would buy the "old" ones???

I think it's a good idea to empty the lot for the much improved IMO 06 and future models...

Darth Xed

That's a good point.... actually, very good... since the GMT-900 SUVs are only about 4 months away....

smackkk

Not to mention high gas prices have probably put a damper on sales of the big SUV's.

graham

But dont you tihnk that if it were really hurintg GM at the bank, they wouldnt extend it anymore??

It kinda speaks for itself (the profitability of GM vehicles)

Jason E

It is hurting GM at the bank. But what is more important? Profitability or inventory turnover? At this point, probably inventory turn is more important in order to get the '05s gone. But still...this is August. Typically, dealers have cars into NOVEMBER that people are still trying to gobble up.

I love the Employee Discount thing. It helped me sell quite a few cars. I love the one price idea as well, even though they can't (and won't) keep it forever. However, WHEN do you stop the continual discounting? WHEN do you sell your cars more on merit than price?

That is the question I cannot answer...nor can GM right now.

30thZ286speed

I'd say sales of large SUVs are suffering right now with gas approaching $3.00+ gal. I know some people will buy them no matter what the gas price is, and keep on buying them. But the majority of large SUV owners on a monthly budget will start looking to down size.

I hope the gas prices don't ruin the launch of the GMT-900s because GM has a lot riding on there sucess.

Buickman

Zero credibility, no concern for dealers or salespeople. Incomptency is bringing bankruptcy. GM is finished, wait and see the effects of foolish self-destruction.

Chrome383Z

LOL, Keep going - just a little more and your head might explode.

I see this as a good thing.

In a few months they are going to have the the GMT900's on the lots. Compared to a GMT900 a GMT800 will look cheap and outdated and with the Value pricing will be comparable in price. Hmmmm... Which one would I buy? So all these *New-Old* GMT800s will be sitting in the lots and you know they ONLY way they can move them? By BIG INCENTIVES which they are trying to get away from. So adding them to the GM Employee discount program is a very smart desicion IMO actually so that they can move the GMT800's off the lots before the GMT900's roll in without having to play the Huge Rebate (Incentive) game.

Also helps the lagging Truck/SUV sales because of the *Temporary* high gas prices...

And the public perception of "Employee Pricing" has been VERY good so why not continue when the public see's large rebates as VERY bad?

Darth Xed

I'll bet you $100 that GM will still be around at the end of the year.

Or the end of the decade....

Heck... I'd go as far as you want, but I'd not get any return on my bet.

Darth Xed

Here's another reason for GM to add in the 06's big trucks and SUVs...

I didn't realize Ford was already doing this!.