GM brings back employee pricing to sell remaining 2008 models
It is no secret that the automotive industry is hurting for sales to close out 2008. Over the past few months incentives have been thrown out left and right to draw in more buyers. The deals have not done enough to bring folks into the showroom, though. With all the media talk of bleeding Detroit, consumers know that the domestic manufacturers have been holding out on their best offers. Perhaps the memory of 2005's employee pricing incentives has kept many waiting on the fence. With 2009 models heading to dealerships as we speak, General Motors is hoping to end the stalemate. It will be testing the waters of employee pricing yet again beginning Wednesday, August 20th and running through September 2nd. The employee discount program will apply across all 8 GM brands. Buick, Pontiac and GMC dealers will mark down 91 percent of their inventory on all 2008 models, along with the 2009 Pontiac Vibe and G5, Chevy Cobalt and HHR and, surprisingly, the Cadillac CTS. Chevrolet dealers can unload 90 percent of their 2008 inventory with all 2008 models eligible for the employee price. Cadillac, Saturn, SAAB, Hummer will each have their own stipulations as well, but it is certain that the discount will be widespread. The price reduction varies from vehicle to vehicle, but is typically on order of a few thousand dollars. Additional incentives will also still be offered on some slower selling items, such as, you guessed it, trucks and SUVs. So the question is, will employee pricing get you off the fence and into a dealership?
[Source: GM]
PRESS RELEASE
Celebrating GM's 100th Anniversary: The Employee Discount For Everyone
"The price you pay is the price we pay - not a cent more."
DETROIT - GM today announced the GM 100th Anniversary Sales Event, on virtually its entire lineup of 2008MY Chevrolet, Pontiac, Buick, GMC, Saturn, Cadillac, Saab and HUMMER vehicles from August 20 through September 2, 2008. The event features employee pricing on nearly all 2008MY vehicles, and select 2009MY vehicles in stock.
This program is designed to celebrate the company's 100th anniversary by providing employee pricing to the public for a very limited time. GM's combination of offering terrific MSRPs, and great incentives, offers customers a unique value opportunity as the company celebrates its centennial year and looks toward the future.
"We have 100 years of innovation behind us, but what's ahead is even more exciting," said Mark LaNeve, vice president, GM North America Vehicle Sales, Service and Marketing. "We brought the world electric starters, the fully automatic transmission, OnStar and fuel cell vehicles. It's been a long history of technological leadership, and the result of that innovative spirit is on GM dealer's lots today. To celebrate, we're offering the employee discount to everyone on our 2008 and some of our 2009 models. This is a phenomenal offer for consumers."
Here are the details:
Customers can get employee (GMS) pricing at participating dealers on virtually all remaining 2008MY GM vehicles in stock. 2009MY vehicles eligible for employee pricing are the Chevrolet Cobalt and HHR, Pontiac Vibe and G5 and Cadillac CTS.
Special stickers will be in vehicle windows at participating dealerships that show the bottom-line price customers will pay, taking into account the employee (GMS) price and all applicable incentives and rebate offers.
Excludes: 2008MY medium-duty trucks and most 2009 MY vehicles.
Customers should visit their neighborhood GM dealer for complete details and offer restrictions. For more information about GM's current offers, visit: http://www.gm.com/vehicles/currentoffers/
Reader Comments (Page 1 of 3)
TJ 10:35AM (8/19/2008)
"2009MY vehicles eligible for employee pricing are the Chevrolet Cobalt and HHR, Pontiac Vibe and G5 and Cadillac CTS."
Strange the CTS and Vibe are on the list....
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Pete 10:50AM (8/19/2008)
The 09MY Vibe has been out for the majority of 2008.
tim 10:46AM (8/19/2008)
Shows how dire things have become. There goes the resale value for all those Cadillac buyers. Hope they didn't pay full sticker for those things.
GM was never able to wean itself off incentives and we see the same old song and dance.
Things are bad and will get worse. Bankruptcy by November unless the govt steps in... I'll wait for the going out of business sale.
why not the LS2LS7? 11:45AM (8/19/2008)
It's on the list, but that doesn't mean it's on the lot.
This is only for 2008 cars on the lot. If any dealer has a CTS they ordered in a funky color or with a strange options config and so it didn't sell, this will help them sell it.
mike 1:44PM (8/19/2008)
My question is this, why offer discounts?
This is how i see it, first of all GM should cut the MSRP on the website, so people KNOW that the price is down, otherwise dealer may fool costumers into paying more.
Second, why offer discounts? Why not just lure a buyer in with some LUXURY freebie. Example, why not advertise on TV (nationally) that if you buy a Cobalt you have a chose of a free navigation system or a free Power sun Roof or a free 6 CD premium audio. Or no charge for Automatic Tranny.
I think free LUXURY options will work better at attracting costumers that cash back or price off.
Rboyett 10:39AM (8/19/2008)
I already get the GMS discount. The prices are totally outstanding. Last month I got a $5000 discount on a new HHR for my Mom.
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Shadooky 10:39AM (8/19/2008)
Will I be able to use my GM Card earnings with the employee pricing? In the past I worked for a GM supplier and as such I was able to receive employee pricing year round. However, when I went to purchase a new vehicle I was told I could use the employee discount or my GM Card earnings.
STOP THE GAMES!
Also, you can not use more than 1000 dollars in GM Card earnings toward the purchase of the new Malibu.
ONCE AGAIN, STOP THE GAMES!
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zamafir 1:07PM (8/19/2008)
I'm not sure they're playing games, GM desperately needs to stop loosing more then they're worth like last quarter. If the Malibu is profitable, then they're going to do everything they can to keep as much profit as possible to offset their tremendous hemorrhaging losses everywhere else. It's basic business.
Jon 6:59PM (8/21/2008)
Yes shadoky. GM card earnings ARE compatible with the employee (GMS) pricing.
The Other Bob 11:30AM (8/19/2008)
What does this add up to? Toyota just announced 25% off the Tundra and Sequoia
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Kimura 10:49AM (8/19/2008)
The CTS is a good seller on it's own, as is the Malibu, they should be spared the Employee Pricing.
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tim 10:57AM (8/19/2008)
Obviously they are not meeting expectations. How long until FORD and CHRysler answer with their own anniversary sale bonanza?
2007RC46SP2 10:41AM (8/19/2008)
next months special...
they pay us to buy their vehicles.
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Tim 10:46AM (8/19/2008)
Tax breaks to buy american are coming IMO
zamafir 10:54AM (8/19/2008)
yup, best of luck GM, it's not just pricing that keeping people from buying your cars. Also, anyone have a solid idea of what this will do to their earnings this quarter? Hopefully not another quarter of losses exceeding market capitalization.
And where's that damn 300hp V6 Camaro already?
Rboyett 10:45AM (8/19/2008)
BTW, does anyone know if they are keeping the current rebates on the cars with employee pricing?
If they are, you can get a Hummer H3 for $10200 under sticker. Gas prices are meaningless when you get that kind of discounts.
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nataku83 10:47AM (8/19/2008)
Damn, wish I hadn't bought a used car recently :( GM card is currently doing no-limit earnings redemption until September 1st or something - combine that with employee pricing and any incentives, and I could have gotten a vibe or cobalt for pretty cheap.
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The Man 10:52AM (8/19/2008)
They're doing it on the 2009 CTS because there is already a glut of them on dealer lots. Since they made no big changes for MY2009, they were produced much earlier than many were thinking, so GM is simply standing by their Cadillac dealers and giving them a way to clear out everything so everyone will order more cars.
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sold2early 10:53AM (8/19/2008)
GM's only hope is to hire the guy who prayed for lower gas prices to pray for people to buy their products.
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2007RC46SP2 11:35AM (8/19/2008)
LOL!