http://www.detnews.com/2004/autosins.../A01-22222.htm


Bottom line:

You can put thousands of dollars worth of incentives on the hood, but if consumers don't like the product, they won't buy it.

 

Why the surprise? What else was available to buyers in November other than incentive laden 2004 models?

 

It seems that car sales in general are down a whole lot. Its not that somebody stole sales away really. Either way...pretty sad to see GMs new line-up not doing too swell
Thats why they judge sales the way they do, same month to same month (Nov. of '03 to Nov. '04). Sales should be close to where they were at the same time last year.

 

Take a look at all of GM's new cars....like the Malibu, LaCrosse, STS, and G6.....all sales are off to a great start, or still very high.
After you take away the sales of cars that are on there way out...it actualy looks pretty good. Only down side is the trucks, which is no fing suprise.

 

How many of those incentives apply to new 2005 models? None?

I'm fairly sure, at least in GM's case, that most if not all of the incentives out there, including "lock 'n' roll", can only be used for the purchase of overstock 2004 models.

Who wants to buy those when the '05's are either here or on the way?

Lastly, of the '05's that are available on dealer's lots; how many don't have MARKET DEMAND mark-ups on top of MSRP and Dealer Prep?

It really should be no surprise to anyone.

 

Linky?

Again....the same thing can be said about last year.

 

Yet Chrysler is up, im guessing mainly due to the 300. Nissan up 25% wow what are they selling?

I kind of surprised Ford is down with the launch of the new stang and the 500, maybe its too soon for them yet.

 

Yeah, but are they available on dealer's lots? My local Ford dealer has tons of incentives on '04's... but who wants those now that the '05's are out?

 

Armada, the Infinity version of it (Q56?) New Maxima, 350Z, G35 are all entering their second years so now more of the market knows about them and are jumping all over it. I saw this happening last year. Nissan has one of the best over-all line-ups on the market right now IMHO, and with only like 3 platforms total

 

My local dealer has at least 10 new 500s. Mustangs are in short supply (no surprise), but other new models are all over, including Freestyle.

I just read the same article in the Wall Street Journal a few minutes ago...with Chrysler, Nissan and Toyota up WITHOUT huge incentives, it appears GM may need to keep pumping new models out and play the waiting game. They either have to keep the incentives rolling or un-train the incentive-hogging consumer.

Being one of those hogs myself, I hope personally they keep them up through '05...I really want to afford something new

 

GM's sales should increase alot during the next year. after like 80 years of business they finally learned their lesson...just because a car is cheap, doesn't mean you have to build it to be ugly. if you think people will buy a more expensive good looking car just for the looks, your wrong. they will just buy used...or a honda

 

Ford's sales drop is no surprise. It can't keep Mustangs on the lots, but what other cars does Ford have? Focus & Taurus are still selling strongly, but compared to the insane numbers they used to sell at (pushing 250-300,000 per year!) current figures look dismal. The 500 is no treat either. It's the same size and out the door price as a 300 Touring. Guess what the public is going for.

As for GM, I've been saying this for some time. GM simply can't compete in TODAY's market.

First of all, GM has screwed themselves over royally in the incentive game. You can't do what GM's been doing with rebates & incentives, and then expect people to look at you and not equate you with K-Mart, regardless as to how good your stuff is. Even when your better stuff hits the showroom, customers not only see cars right next to it on the showroom with heavy discounts, they also have gotten so used to incentives & discounts that they will wait till it's offered.

Secondly, although GM has great things coming, GM is simply unable to keep up with the marketplace. GM's management simply isn't structured to react quickly to todays market. Despite leading edge technology in design & engineering, international hyperspace connection between all GM operations in the world, and a streamlined approval process that is capable of bringing a car from idea to production in just 18 months, GM still is unable to get a car developed in less than 4 years, just like the 60s and 70s!

The Solstice is a example. It was on display the same year as the Ford GT. Both cars were pushed hard by key people in the company, and represented the fastest each company could produce a new car. Ford GT came out a year ago. Solstice is still nearly a year away. While GM went through endless committee meetings, analysis, approval processes, and had numerous restarts, Ford simply crunched the numbers to find a way to make it work out, and put the thing together! GM's Holden division works this way too.

Chrysler right now is leading the domestic market in growth. It's actually gaining not just sales, but market share.... without incentives!!

Since I really don't see people trading in Toyotas, Nissans, or Kias for Chryslers, it's safe to say GM and Ford is giving their market share to Chrysler.

Just look for domestic alternatives to the 300. I think so.

 

This is pretty straight forward.

It's amazing to me that they can't simply cut a lot of the fat from the process... they'd probably save a lot of cash along the way as well.

 

Guion, are there ANY plans for GM to change its slow and always behind ways to actually compete and get things out when they should?

 

Chrysler has no incentives? What? Somebody better call Chrysler advertising and notify them about it