General Motors will launch a new vehicle pricing strategy at the Detroit Auto Show, aiming to focus on sticker prices
instead of rebates and special deals.
According to the Detroit News,
GM is trying to refocus car buyers on the value and quality of its cars and trucks, using lower sticker prices to
attract customers addicted to rebates and promotions.
After faltering sales in late 2005, GM needs to
jumpstart sales for 2006 – a critical year for the automaker as it begins a painful restructuring to cut costs, while
rolling out key new models.
The new initiative will be fleshed out by Mark LaNeve, GM’s vice president of
North American sales, service and marketing in an announcement Tuesday at NAIAS, under the umbrella of its Total Value
Promise program. Likely early beneficiaries of the pricing program will be GM’s new SUVs, which reach dealers next
week. Expect prices to be cut on some existing models, too.