Friday, September 11, 2009

GM Offers Money Back Deal On New Cars

GM has survived via a government sponsored bankruptcy...with the government pouring over $50 billion dollars into the automobile giant. GM has accumulated a negative perception with the public that their cars are unreliable, poorly designed and built. Much of that reputation has been earned over the last several decades.

That is not true of the latest models that GM has introduced. In fact, they are highly competitive, well built vehicles and with good gas mileage. Since the public perceptions persist....GM has decided on a trial basis to offer a 60 day money back guarantee. The money back guarantee is a marketing method to get people to try GM vehicles.
  • Applies to 2009 and 2010 Chevrolet, Buick, Cadillac or GMC vehicles purchased between September 14 and November 30th
  • Excludes Pontiac, Hummer and Saturn brands
  • Vehicles can be returned after 31 days up to 60 days after purchase
  • Buyers must be current on financing
  • Buyers will be reimbursed the cost of the vehicle less any dealer-installed items
  • Buyer who are upside down on the trade in will have that amount deducted from the refund
  • Trades will not be returned
GM is planning a media blitz....including ads with Ed Whitacre, Jr. the new chairman of GM. Whiteacre was responsible for rebuilding AT&T after it's fall from telephone supremacy.


GM has done this before with the introduction of the Saturn brand in 1990. Saturn would allow buyers to return the vehicle within the first 30 days. The buyer could return the car to exchange for another car or a refund. The 30 day refund policy was discontinued after a few years as the Saturn line aged and became less competitive with foreign brands.
This shows that the
NEW GM is going to pull out all the stops to rebuild their business back to profitability.


  1. Hi Pete .. it will be interesting to see what happens, but if they have already had a trial run .. I guess they'll have worked out the best route.

    Lots of interesting things happening over here - but it slightly washes over my head .. as my uncle is now not well ... and I'll probably end up over living at his house .. life is interesting!

    Bye - talk anon .. all the best
    Hilary Melton-Butcher
    Positive Letters Inspirational Stories

  2. Hello Peter,

    We will wait and see if this overcomes the public displeasure over the bailout stuff and well as the cars themselves. Hope the best for them as a company. We will stay away from then for a long time. They hurt a lot off people, we are not going to forget that very soon. All the companies that got bailout. We are already paying for them, don't think we will help them out more than that.

    Dan and Deanna "Marketing Unscrambled"

  3. Hi Hilary,

    GM appears to be taking some risks to get back in the game! I am impressed with some of the changes that they are making! Hopefully, they are successful and change the company culture.

    Sorry to hear about your uncle....hope the best! It is difficult in the latter is such a major issue!

    Best Regards

    Pete Baca
    The Car Enthusiast Online

  4. Hi Dan & Deanna,

    GM has actually earned a lot of distrust over the years. It is actually well earned! I hope they do the employees can have a good job.

    Hopefully, they change the corporate culture so the new GM is highly competitive! It would be good for them to do the right thing for a change!

    Thanks for the comment!

    Pete Baca
    The Car Enthusiast Online