• Jan 4th 2010 at 2:01PM
  • 34
Coming out of bankruptcy with four fewer brands, General Motors wants to help its dealers present a fresh face to the public. So it's offering dealers a deal of its own: remodel your dealerships and GM will help pay for it. Ah, but just like a clever salesman, GM has a few conditions on its offer. For one, any dealer in the business of selling new cars other than GM models must separate them from The General's products. Also, while the renovations should take about three years, GM won't be sending dealers a check for something like five to 10 years. And when the money does come, the amount each dealer receives won't be based on their receipts for the renovations, but rather sales performance. Suddenly that new shiny showroom courtesy of the Mothership ain't looking so new and shiny.

While we don't know exactly what a remodeled GM dealership will look like, Automotive News reports that they will feature renovated entryways, new reception desks and – wait for it – free WiFi! Take that Starbucks.

[Source: Automotive News – sub. req. | Image: Scott Olson/Getty]


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    • 1 Second Ago
  • 34 Comments
      • 5 Years Ago
      GM should focus on making a better product. Recent GMC Terrain scored next to last in a "mini" SUV comparo in the new C&D. What finished first? The aging RAV4.
        • 5 Years Ago
        So the lowly GM made Buick and the Jag ranked better than Lexus and Toyota. hhhhmmmmmmm. Thanks Luis
        • 5 Years Ago
        Which issue,month?

        I want to read that article.
        • 5 Years Ago
        The newest one. Feb 2011. Japanese took the top three spots: RAV4, Forester and CRV.
      Ben
      • 5 Years Ago
      To be an American
      You drive American

      If you own a foreign car, it's not too late to save our country.
      Go and trade it in for An American Made Car and save our country.
      You can do it!
      How much money did one person send out of American hands, friends and family,

      15 to 40 thousand Dollars per car?

      You see them at every stop light on our streets.
      That's what has happened to our country.

      Unemployment at all time high.
      It's going to get worse,
      If they keep on buying non American products and autos.

      It's just not being Smart if you live in this country!

      How much can the country takes losing billions to other countries.
      Try to be an American.
      People like you and me should put a sign

      To be an American.
      You drive American.

      In their back window of their American made car or truck!
      Maybe one person can make a different.
      Support our country! Be an American!
      Buy American
      GO USA
      Posted by:
      American 10:28 PM


        • 5 Years Ago
        @Ben
        All of your drama and emotionalism aside....

        Build a better mouse trap and the world will beat a foot-path to your door.

        What happened to the American auto industry is not a bunch of traitorous consumers, but rather a bunch of complacent and lazy auto makers and unions. They handed their market share to the Japanese without a fight. Sorry.

        This all from an unashamed Ford-guy.
      • 5 Years Ago
      speaking of starbucks, will there be a pop up iPhone app. with dealer inventory and ability to purchase!? A GM Store app, haha.

      I continue to have high hopes and best wishes for GM's recovery; hope this refreshing helps them.
        • 5 Years Ago
        @John H.

        You're right, it is a great idea. This blog author seems to think GM is just going to drop wads of cash on anybody with no strings attached, as if that would be a good idea. Nope. Every manufacturer does this in one form or another. If GM didn't and just handed out money it would be reported as the biggest blunder ever. So basically we can learn that even when GM makes a smart move common amongst successful automakers, it will be reported in a negative light that makes them look shiesty.
        • 5 Years Ago
        Manufactures have been making deals like this with their dealer networks for years.
        I know Suzuki does, if you become a “red box” dealer or something like that, they compensate your remodel with every car you sell.
        • 5 Years Ago
        +1 on that move. Granted, making over dealers takes a big chunk of money, but GM has ignored the actual customer-facing element of their business for far, far too long.

        GM: "What do you mean you don't see Buick as a "real" luxury brand? Didn't you pay attention to the expensive new commercials? Do you realize how much we paid Howie Long to tell you why you're an idiot? Curse you, perception gap!"

        Customer: "Or it could be because I'm in a coffee-stained paperboard cubicle next to the Pontiac G3s sitting with a salesman named Tiny who wears plaid..."
        • 5 Years Ago
        It's pretty smart, actually. GM will pay for performance and results, rather than just dumping money in and hoping for a good result. I'm surprised GM hadn't moved to this model earlier.
      • 5 Years Ago
      Not a bad idea.
      • 5 Years Ago
      "The Cadillac dealer I go to just finally got free Wi-Fi."

      Does not compute. so the 15 minutes (every 5 years) that your sitting there listening to Joe Car Salesman prattle on about the latest synthetic leather knock off, you also need to be surfing por.....gamblig.....faceboo....

      Yo Captain ADHD, put down your phone. There's a great big world out there.
      • 5 Years Ago
      The Cadillac dealer I go to just finally got free Wi-Fi. I went in to complain and they said by chance they already had a guy there installing it (and it was true, the comms closet was open and had a guy in there).

      About time, the Audi dealer had it 4 years ago.
        • 5 Years Ago
        Around here just about every GM dealer has had it for years. I installed many of them.
      • 5 Years Ago
      If you take this "deal" you are an idiot.
        • 5 Years Ago
        Aside from the significantly delayed payment, this is the same deal that many manufacturers have offered many dealers for decades
      • 5 Years Ago
      Please kill the GMC brand already...it is redundant and a waste of ad dollars...
        invisiblepigeon3
        • 5 Years Ago
        LOL I love it when people talk like they own a bunch of GM stock; like they're interest is the profitability of the brands rather than the quality of the cars.
        • 5 Years Ago
        The added cost to engineer GMC models is low and they sell for several thousand dollars more than the equivalent Chevy models. It would be financial malfeasance to kill the GMC brand.
        • 5 Years Ago
        @ Map - your sales quote aren't apples to apples. Combine the Nov. GMC models to their Chevy cousins, then back out all of the aveos, cobalts, and every other model that Chevy doesn't have a counterpart with GMC - and you come out to about a 3:1 chevy:gmc sales ratio. I can't find solid numbers on how many dealerships there are for each brand - but I'd put money on the ration remaining about the same.

        GMC makes money. People want to buy GMC vehicles - you'd be an idiot to try "tellIng" the people what they need to buy.
        • 5 Years Ago
        Nobody actually knows how profitable GMC actually is... Lots of speculation, but no facts.

        They should fold the consumer portion of GMC and let it focus on commercial vehicles.

        Chevy can sell an upmarket Tahoe just as well as GMC.
        • 5 Years Ago
        GMC is the only almost literally rebadge brand that GM has left, and it is profitable. In fact, GMC is almost not even a rebadge anymore. Look at the sheet metal. GMC has a lot of unique skin these days. Even the full sized trucks share only a couple of door and roof panels. The rest is unique between the brands. Platform sharing is NOT rebadging.
        • 5 Years Ago
        GM doesn't handle R&D like that anymore. I believe the advertising expenditure of re-branding and fighting against yourself for market share, in conjunction with the costs to differentiate the product is all counterproductive.

        GMC sold 20k vehicles in Nov 09

        Chevy sold 100k vehicles in Nov 09

        And before that in September 09...GMC was down 50%...the only reason November was up is the GMC Terrain which is a Chevy Equinox...

        Divert those ad dollars to the Chevy...




        • 5 Years Ago
        GMC are for a very image conscious clientele that wouldn't mind having a Chevy product just as long as it's not badge a Chevy...I think I'm in the same boat when it comes to Buick I would never own one no matter how good it is, I have the 1989 Buick Century embedded in my mind.......
        • 5 Years Ago
        quote from mapoftazifosho:
        - "GMC sold 20k vehicles in Nov 09

        Chevy sold 100k vehicles in Nov 09

        And before that in September 09...GMC was down 50%...the only reason November was up is the GMC Terrain which is a Chevy Equinox..." -

        Umm, Chevy sells cars too, while GMC sells mostly vehicles classified as light trucks. So, those figures are generally meaningless. That's like comparing to Lexus's sales to Toyotas and wondering why Lexus sells far fewer vehicles.

        So, let's do some direct comparisons using the same Nov. '09 figures you did.

        GM makes it easy on us and seperates thier sales by light truck and car divisions making this a simple excercise. http://media.gm.com/content/media/us/en/news/news_detail.brand_gm.html/content/Pages/news/us/en/2009/Dec/1201_Nov_Sales

        GMC (light truck) sales Nov. '09 - 20,910
        Chevy (light truck) sales Nov. '09 - 61,032

        GMC (light truck) sales Nov. '08 - 19,402
        Chevy (light truck) sales Nov. '08 - 62,040

        GMC's sales make up a full 25% of all of GM's light truck sales, as the YTD figures show as well. That's a significant number of sales to potentially give up by hoping that those GMC buyers would turn to Chevy buyers if GMC were folded. Oldsmobile (and probably Saturn and Pontiac) proved that this isn't the case. This is compounded by the fact that Domestic truck buyers are even more brand loyal than your average car buyer. Secondly, as others have said, those GMC"s also tend to sell at higher prices than their competing Chevy models which brings in more profit for GM as a whole.
        • 5 Years Ago
        When i read free Wi-Fi,I almost jizzed myself!

        GMC is popular.Based on what I see in the streets,people do buy GMC products,even if they are the same platforms as other G.M products.The Lambda platform siblings are some of the best cars G.M has.Hell,I've seen it a couple of times,a Traverse and an Acadia parked right next to eachother.
      • 5 Years Ago
      Why would a dealer trust GM in the first place? They don't exactly have an honorable track record with their dealers. GM will probably pull their franchise instead of paying up or demand another upgrade in 5 to 10 years.

      Closing dealerships was never about making GM more profitable. It was about revenge and politics.
      • 5 Years Ago
      Umm, WiFi is nice to have while your sitting and waiting for the service department to work on your car, whether it's a simple oil change or something more. It allows people to be productive (or waste time) while the dealership takes care of your car.

      There's much more to car dealerships than just sales you know.
        • 5 Years Ago
        Disregard, reply error.
      • 5 Years Ago
      So they're learning from VW then huh? Love my WiFi and being pleasantly surprised by how quick an oil change can be.
      • 5 Years Ago
      something about 'lipstick on a pig" comment seems to come to mind with this. I mean yeah - it's because the drapes weren't blue that kept me from buying a new car.

      Here's a good idea GM - make them reliable, more fuel efficient, AND LOWER THE FREAKING PRICES!!!! While you are at it - bring in a 5 year warranty standard. I'm tired of being in the snow belt and having rust destroy a car after about 2-3 years.

      #1 - you have WAY TOO MANY MODELS! Honda has 2 - Honda and Acura, Toyota - Lexus/Toyota, Nissan - Nissan/Infinity. GM only after force of the government now has about 5 I think at last check.
        • 5 Years Ago
        Please do not listen to this person.

        GM has a 3 year warranty on most cars(Buick/Cadillac have 5 year warranty)

        They also have 100K mile powertrain warranty.

        GM cars are already priced well. Gm now has 4 models in US, if not including Saab which will most likely be dead soon.

        Toyota also has Scion, did you forget about that?
        • 5 Years Ago
        Actually he missed more. In Japan Toyota also has Daihatsu and Hino, others? Plus they have part of Subaru.
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