GM Reports 530,027 Deliveries in July, Up 20 Percent
Re: GM Reports 530,027 Deliveries in July, Up 20 Percent
dave305z: Kudos. excellent post and assessment of the current situation at GM.
The GMS pricing for all was brilliant. This campaign has been simple, consise and showed excellent results. GM is back at 27.4% market share and has created excellent momentum for itself and the industry. GM ytd sales are up and has sold more vehicles in a larger market. This has been a problem at GM.
There are warning signs though, not just for GM but for the industry.
Looking at the sales data, the current industry ytd sales rate projected for the year show the industry is on pace to sell 17.8 million vehicles. They are on pace for a potential record year.
The sales rate for the months projected out for the year was 21.7 million vehicles. By comparison the sales rate for July 2004 was 18.6%. This infers a huge pull ahead of buyers that otherwise would have defered their sales decision. Add to that robust June sales.
The question remains can the industry sustain this sales pace?
The GMS pricing for all was brilliant. This campaign has been simple, consise and showed excellent results. GM is back at 27.4% market share and has created excellent momentum for itself and the industry. GM ytd sales are up and has sold more vehicles in a larger market. This has been a problem at GM.
There are warning signs though, not just for GM but for the industry.
Looking at the sales data, the current industry ytd sales rate projected for the year show the industry is on pace to sell 17.8 million vehicles. They are on pace for a potential record year.
The sales rate for the months projected out for the year was 21.7 million vehicles. By comparison the sales rate for July 2004 was 18.6%. This infers a huge pull ahead of buyers that otherwise would have defered their sales decision. Add to that robust June sales.
The question remains can the industry sustain this sales pace?
Last edited by evok; Aug 3, 2005 at 11:05 AM.
Re: GM Reports 530,027 Deliveries in July, Up 20 Percent
Originally Posted by Buickman
There is a big difference between selling a car to an actual employee vs. giving them away to the general public. Most apparently will not understand the failure of this strategy until 3rd and 4th quarter financials are released, some never will.
Prior to GMS for all, GM sold a "Significant" majority of their vehicles to people eligible for GMS pricing. Let me spell this out, GM for the most part prior to this campaign only sold vehicles to their employees, retirees, suppliers and people that can get their hands onto "Friends and Family" discounts. This program has cost GM nothing because for the most part the real transaction price was already GMS pricing.
Therefore this program made GM relevant and an option to people that would not have otherwise considered a GM product at a price that reflects what they are selling the vehicles at anyway. That is the beauty of this program.
Re: GM Reports 530,027 Deliveries in July, Up 20 Percent
Originally Posted by Gloveperson
Anyone have an explanation to why the 'vette did so poorly..in the summer months?
Re: GM Reports 530,027 Deliveries in July, Up 20 Percent
Originally Posted by Buickman
There is a big difference between selling a car to an actual employee vs. giving them away to the general public. Most apparently will not understand the failure of this strategy until 3rd and 4th quarter financials are released, some never will.
Upon a cursory reading of this post, it appears Buickman has answered my question. In fact, he has just rephrased my query in the form of a statement and then subtely redirected the discussion away from something he did not want to talk about.
My basic question was, "What is the difference between dealers selling cars nationally at GMS and your dealer selling cars to employees at Employee prices?" His anwer: "There is a big difference between selling a car to an actual employee vs. giving them away to the general public. Okay, but what is the difference? Note of course the wording - he "sells" cars while others "give them away." You'd almost forget that the transaction price in the two cases would be exactly the same - GM employee price. In fact, Buickman's transaction prices might be lower, as I've heard that real GM employees pay less on some models (could be wrong about this one though).
Then he talks about the implications to the 3rd and 4th quarter results.Of course, I didn't ask him about how it would affect GM as a whole - he has no idea so why would I ask him? I asked him about him and his dealer. This subject was very uncomfortable for him, and he knew that if more people started asking him about it, it would soon be exposed that he's essentially full of crap. He's criticizing dealers getting GM Employee Discount when in fact this program is one of the big reasons he gets to tell people he's the greatest GM salesman to ever walk the face of the earth. Mr. Buickman's biggest problem with GM Employee discount is that it's not part of his plan and he's thus not getting a percentage of GM profit from it.
Last edited by dav305z; Aug 3, 2005 at 10:44 AM.
Re: GM Reports 530,027 Deliveries in July, Up 20 Percent
@ dav305z
Originally Posted by dav305z
He's criticizing dealers getting GM Employee Discount when in fact this program is one of the big reasons he gets to tell people he's the greatest GM salesman to ever walk the face of the earth. Mr. Buickman's biggest problem with GM Employee discount is that it's not part of his plan and he's thus not getting a percentage of GM profit from it.
Last edited by Z28Wilson; Aug 3, 2005 at 12:01 PM.
Re: GM Reports 530,027 Deliveries in July, Up 20 Percent
dav305z has totally nailed it! Buickman is running around in circles trying to avoid a very valid point. forget the plan, forget all the other discussions. why has he had such a prosperous career of doing the same thing every other dealer in the country had the chance to do over the last few months, but yet still criticizes it as a bad move for GM? well Buickman? i think everyone is waiting for an awnser...
Re: GM Reports 530,027 Deliveries in July, Up 20 Percent
Originally Posted by 91_z28_4me
Dave305z are you a lawyer or did you like head the debate team in college? A better way to ask is are the Da Masta Bater?
. I am in a journalism program, and have had to learn how to analyze what people write to figure out what they're really saying.As for the second part of your question. I'd say anyone can become Da Mater Bater, it just takes lots of practice
:lmao:.BTW, someone tell Pacer that it's safe to come back in this thread, as it seems the BM issue is now under control.
Re: GM Reports 530,027 Deliveries in July, Up 20 Percent
Originally Posted by dav305z
BTW, someone tell Pacer that it's safe to come back in this thread, as it seems the BM issue is now under control.
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