GM Extends 60-Day Guarantee

While it appears very few new GM buyers are opting for its new 60-Day Satisfaction Guarantee, GM is extending the program through the end of 2009 and slightly beyond, ending Jan. 4. Buyers can opt for the guarantee which allows them to return a new vehicle after 30 days but before 60 — with restrictions — if the buyer isn’t happy with it. Recent reports have the take rate of the program at 10% of new car sales; the other 90% are opting instead for a $500 cash back rebate. Only a handful of the 10% have actually returned a car.
 
We’ve already wondered if this counts as a “success” but since the program doesn’t seem to cost GM much, the publicity and marketing value is likely making up for any loss. That’s why GM will continue touting its “May the Best Car Win” slogan in print, online and TV advertising through December. 

Comments

There have only been a handful of buyers returning care since the buyer would be out sales tax and other costs. Amazing how Cars.com never mentions this fact though multiple posts. Only the most affluent buyers can take such a hit to return a car under this program.

The proof of whether this incentive program or the
"May the best car win" slogan is really working will be in the sales numbers. We'll see next week. If the vehicles they tout the most (Equinox, Malibu, Cobalt and Traverse) crack the top ten or show sales of, say 20K or more, then I'd say it's a success.

This reminds me of how long GM extended their President's Sale.

Did they clear this move with Obama?