GM Promises Consumers Outstanding Value in Their Purchase
| GM 02 Aug 2005 14:04 GMT | Page rating:  |
With the introduction of its 2006 models, GM is lowering prices, redesigning vehicles, improving warranties or adding standard equipment to more than 50 models.
This "Total Value Promise" is a cornerstone of GM's strategy, which began with mid-model-year price repositioning of select 2005 mid-size sport utility vehicles and the announcement that a year of OnStar service and StabiliTrak will be standard on most retail GM vehicles sold in the U.S. and Canada by 2010.
The Total Value Promise includes a number of steps that, according to GM, will improve the value that consumers realize when they purchase a GM car or truck. It starts with sticker prices that demonstrate clear value to consumers.
GM is repositioning prices on some vehicles for 30 of its 76 models, including some of its best-selling vehicles. The base price of the Saturn Ion.2 sedan, for example, was reduced $2,455, positioning it almost $1,335 below a base 2005 Honda Civic DX. The Pontiac G6 V6 sedan is priced $645 below the 2005 MSRP. GM also introduced the G6 1SV value leader at $17,990. For 2006, the base Chevrolet Malibu is $1,835 below the 2005 version, placing it about $2,600 below the 2005 Toyota Camry.
Additionally, each GM division is offering vehicles priced specifically to create affordable alternatives for price sensitive customers. Details on these value leaders will be available on GM's web site. Pontiac Solstice is now priced at $19,995, Chevrolet HHR is starting at $15,990 and HUMMER H3 is starting at $29,500. Please note that Pontiac Solstice has limited availability.
The Total Value Promise also includes a number of vehicles with new standard features and enhanced warranties that add to the outstanding value of 2006 GM products. GM has made significant moves in 2006, including a 4 year/50,000 mile bumper-to-bumper limited warranty on all 2006 HUMMER and Buick models.
Standard equipment has been added to many 2006 GM models. For example, Buick has added as standard a Quiet Tuning package, a year of OnStar service, Rear Park Assist and Theft Deterrent system on Rendezvous, along with the 4 year/50,000 mile warranty, without raising the base price. This represents a $1,500 value to the consumer. GMC Canyon now has tilt wheel with cruise control standard on all models. Chevrolet Silverado's and GMC Sierra's uplevel Performance Edition Package is reduced by $500. XM Satellite Radio, including three months of service, is standard on Cadillac CTS, SRX, STS, Escalade and XLR, a $325 value. The new Saab 9-3 Sport Sedan 2.0T, which combines features of the former Linear and Arc into a single-entry-level model, includes a 2.0L 210-hp, 4-cylinder turbo engine, power driver's seat, automatic climate control and LCD-screen infotainment/audio head unit as standard equipment. The 2006 9-3 2.0T's base MSRP is $950 less than that of the 2005 9-3 Linear Sport Sedan.
The final point in the Total Value Promise is a more targeted approach to incentives and financing tools. Given the intensely competitive automotive market, incentives will continue to play a role in GM's marketing strategy, however, the focus will be on the vehicle and the value it offers to consumers. GM will continue to provide its dealers with the tools necessary to keep them competitive.
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