GM Combo Dealers Gaining Ground

Buickenclave

We’re a bit shocked whenever we hear pundits suggest GM should shutter rebounding brands like Pontiac and Buick. That move wouldn’t make much sense since Pontiac’s sales are stronger than last year and Buick finally has interesting products in the pipeline like the upcoming Enclave Crossover.

One solution that’s gaining traction among dealers is to combine dealerships, putting Pontiac, Buick and GMC vehicles under one roof. A Detroit Free Press column actually took a look at a Chicagoland dealer who went from selling just Buicks to the new combo. The result is a busier and more profitable dealership.

We don’t expect to see any of the three brands disappear, though, and a lot more of these combination dealerships are probably on the way. The trend is gaining ground fast. Last year 56% of Pontiac, Buick and GMC sales went through these types of dealerships. This year, the number is likely to be 70%.

Buyers should be prepared to see fewer models for each brand. Buick is trimming its lineup to just three vehicles, the Lucerne and LaCrosse sedans and the upcoming Enclave. You won’t see a Rainier or Rendezvous SUV or the Terraza minivan again. Pontiac has also shelved its SV6 minivan and the GTO sports car has also seen its last year of production. GMC has a new full-size Yukon SUV and all-new Acadia crossover and Sierra pickup on the way this year.

[Combo GM Dealer Thrives on New Variety, Detroit Free Press]

By David Thomas | August 28, 2006 | Comments (0)

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