GM 4,500 Dealers Strong, More Than Planned

GM announced today that it will conclude dealership closures and revamp nearly a third of its dealerships by the end of the year. 

Many Chevrolet, Buick-GMC and Cadillac storefronts are receiving substantial upgrades to align them better with each brand’s new marketing strategy. 

Major renovations include customer workstations with phones and power outlets for laptops, wireless internet and café areas for coffee and other refreshments. 

GM will also include new signs for all storefronts, which feature updated badge emblems and brand artwork. 

About 1,000 of the existing dealerships will receive substantial upgrades to their facilities, while another 300 have already completed the task. 

Since early 2009, GM has managed to reduce its dealership levels by 25%, eliminating or consolidation of 2,064 former dealerships. 

Despite the reduction, GM’s 4,500-dealership network remains the largest in America. Why is the 4,500 number so intriguing? It's the number of healthy dealers it planned to reduce by 900 during its structured bankruptcy last year. That didn't happen. It has, however, culled nearly 1,100 dealers that were under-performing along with hundreds of dealers of dead or sold brands including Hummer, Pontiac and Saab. 

As the photos (above and below) of a new Cadillac storefront show, the exterior and interior look thoroughly modern and upscale.

Comments

1000 dealerships per brand? Wow. Good luck.

Bad for business, good for consumers, but still bad for us (we are the biggest shareholders of Gov't Motors).

Maybe some of the dealerships need to be converted to some gov't centers (social security offices, immigration centers, health clinics).

I agree with Amuro Ray.

I could be wrong on this, but aren't GM dealerships independently owned?
So aren't the risks, etc. carried by small business owners not by GM itself?

Yes Dan you are so right. Each dealership caries the risk, not GM. its to bad the dealers are sucked into GM's problems.

In my area two Chevy dealers have closed down while Subaru and Lexus have built new dealerships. It think it all comes down to making quality cars that people want to buy.

I don't know, Peter. GM is selling an awful lot of cars these days. Fleet or not, they are selling a lot of cars. So, apparently, someone wants to buy them.

Why does that Caddy dealership look like a remodled KFC?