WSJ: GM Offers 0% Loans To Boost Truck Sales [Archive] - Ford Inside News Community

: WSJ: GM Offers 0% Loans To Boost Truck Sales



SobeSVT
05-09-2007, 04:18 AM
http://online.wsj.com/img/wsj_header_408_62.gif (http://online.wsj.com/article/SB117862733083595748.html?mod=yahoo_hs&ru=yahoo)

GM Offers 0% Loans To Boost Truck Sales
By JOHN D. STOLL
May 9, 2007; Page D3

http://online.wsj.com/public/resources/images/PJ-AK193_GM1_20070508204836.jpg

General Motors Corp. rolled out a new round of sales incentives for its redesigned lineup of full-size pickups, with the Detroit auto maker saying it needs to keep up with deals being offered by competitors.

GM is offering 0% financing on 36-month loans for certain versions of the 2007 Chevrolet Silverado and GMC Sierra. It is offering reduced-rate financing on 60-month loans for the trucks, which are among the most profitable products in GM's global lineup.

Depending on the model, customers can choose to take between $1,250 and $1,500 cash back in lieu of the financing offers. The deals were kicked off Friday and run through July 9. GM, as of April 30, carried 281,480 Silverados and Sierras in its inventory, representing more than 25% of the company's overall stock, according to Autodata Corp.

The supply of the Silverado and Sierra sits at 101 days and 129 days, respectively, far more than top competitors in the large-pickup class, according to Autodata. Ford Motor Co. has a 75-day supply of F-Series trucks, while DaimlerChrysler AG's Chrysler Group carries a 73-day supply of the Dodge Ram.

for more CLICK HERE (http://online.wsj.com/article/SB117862733083595748.html?mod=yahoo_hs&ru=yahoo).

B.R.
05-09-2007, 05:06 AM
This is really surprising. The GM trucks are on the lot longer than Ford or Dodges?? They just came out! Or is this because they havent offered incentives up until now?

SobeSVT
05-09-2007, 07:14 AM
This is really surprising. The GM trucks are on the lot longer than Ford or Dodges?? They just came out! Or is this because they havent offered incentives up until now?

Actually Ford and (finally AND surprisingly) Chrysler have taken a much relistic approach to the truck problem and have decreased production while GM keeps on building these trucks has if they were selling as good as a few years back. They, I guess, counted on the strength that you get when you have the newest product and understimated the market's cool down. These are the consequences.