Another sign of GM's desperation

CNNMoney.com

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If you want to test drive a Toyota Camry or Honda Accord, starting next month you'll be able to do it at a Saturn dealership. General Motors is asking Saturn dealers to have one or more of the competing models in the showroom so customers can look at it, sit in it and drive it.

Of course, Saturn dealers can't sell you an Accord or Camry. But they hope that, when you see a Toyota or Honda sedan next to the Saturn Aura, you'll decide to buy the Aura...

Later this year, Chevrolet dealers will be doing the same thing as they introduce customers to the redesigned Chevrolet Malibu, which shares its engineering platform with the Aura.

In focus group research, GM has shown potential customers new GM models next to competing vehicles with all brand identifications removed and, said LaNeve, customers have reacted well to the GM products...

According to industry newspaper Automotive News, sales for the Saturn Aura

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which was voted Car of the Year by automotive journalists in January, 2007, have been disappointing for GM. Part of the reason GM is willing to take this step, said LaNeve, is because the company has little to lose. Midsized sedan shoppers often don't even consider GM products, he said, instead going straight to Honda and Toyota dealers.

The Toyota Camry and Honda Accord are now the two best-selling cars in America.

"Over the course of a few years that became the default choice," said LaNeve.

GM has sold about 48,400 of the current version of the Malibu so far this year. Meanwhile, Toyota has sold 145,000 Camrys...

Reply to
MPG
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"MPG" ...

I don't see the point of that. If the person walked into a GM dealership, weren't they intending to go with those to begin with?

Any car can be flashy with bells and whistles, but people buy Toyotas and Hondas for their quality/economy most of the time, not for extras. Hell, I'll be the first to admit domestic vehicles are usually more superficially attractive than my Echo, but I bought the brand, not the style.

Natalie

Reply to
Wickeddoll

Not necessarily.

Lots of people will go drive Brand X, then Brand Y, then Brand Z, then make a decision among those choices. Yes, some set out to buy a particular make and model, and don't test drive anything else. But it looks like GM is trying to cater to the XYZ- buyer by providing a X and Y to test drive, along side the Z that they are selling. They seem to think that when a buyer sits in (and drives) the X and Y, then they can close the sale on the Z right then and there. The salesman can compare the two or three cars side by side and show that his car is better than the other(s). If he lets you walk off the lot to go down the street to test drive the X or Y after you drove his Z, then he isn't in control anymore, and is at your mercy to return.

Personally, I think it is a good strategy ...

GM is banking that they can convince you (not YOU, perhaps) that they offer as much quality and reliability as the "other guys." (I don't know that they can or can't, but I certain they will claim that they do and they will want you to drive as many of the others as you can stand just so you see that they offer just as much as the other guys offer.) The deal is, they want you to NOT leave the car lot without a new car. If they can control the environment, the odds favor them handing over the keys as opposed to the next car lot down the block.

Reply to
Jeff Strickland

Or... you'll then decide to go over to the Honda or Toyota dealership instead, even if you originally didn't have one of them in mind... ;-)

Cathy

Reply to
Cathy F.

I will take the Camry any day over a Saturn...

Reply to
GO Mavs

I've seen lots of really nice interiors and radios in GM and Ford vehicles. Detroit really can get the inside, as well as the overall styling, right.

In fact, I really like the aesthetics of the Fusion, Charger, '07 Tahoe and Silverado, and current F150.

I always thought the perfect vehicle would be a Toyota drive train and a Detroit body, built @ NUMMI.

Reply to
Bonehenge (B A R R Y)

its not even really that pretty or a car.. i dont like the way the back end bows.. reminds me too much of a victoria on the top and then it is kind of squared in the back.. kind of a wanna be honda accord...

Reply to
GO Mavs

Camrys are comfortable cars...

Reply to
GO Mavs

I wonder how the GM sales people will address the difference in resale values between the two cars.

Reply to
Bob Bitchin

"Bonehenge (B A R R Y)" ... "Wickeddoll"

Exactly - match the quality with the extras.

It's like how I feel about Madonna and Whitney - if Whitney sang the songs Madonna did, I'd buy Whitney's records. I can't stand that whiney voice of Mad-Donna's.

Natalie

Reply to
Wickeddoll

Hard to say. IMO, the new Camry front end is ugly and for that reason I did not even consider buying one when I bought my car. I'd just not get caught owning one. The Accord exterior is nice, but the dash is rather blah looking. Seeing them together may be enough to persuade me to go with the Saturn.

Reply to
Edwin Pawlowski

I think it is an idea, not a sign of desperation. Lots of good points noted especially resale. My opinion is the following as I work in the industry (supplier to all makes) and own a Honda and a Buick and a Jeep, and a Dodge currently and drive about 50,000 miles a year as well as an enthusiast in the auto industry and offer the following..

- Without a doubt, resale is higher but this is only driven by demand.

- Honda, and other importers did, and in many cases now do have better quality. When new players arrive going back years for example Isuzu, they would bend over backwards to back up and repair and make good on the first years, even out of warranty.

- I will tell you with experience and dealing with many people in many OEM's that once the companies are established it is about market share and PROFITS, including the established imports.This is really been the message in the last 2 years.

- MANY components are from the same supplier(s) across all brands.

- Dealers and Service are only as good as the people, not the brand.

- All vehicles need to be evaluated on there own merits in real time (not reputation) and I do not believe there is a huge desparity between brands (price point, quality) at the moment for established players.There is however personal preference in a choice in a car but this is manipulated also, how?

- The number one occupation in 2007 with the highest increase in wages........... MARKETING. nothing wrong with this just a fact.

Reply to
TF

I agree about the look of the Camry. Really a dull-looking car, IMO. But there is no way I'd choose a Saturn over it - unless I financially had no choice. Even then, I'd look at a Yaris or something.

Natalie

Reply to
Wickeddoll

We already do know.

We do know

Anything at this point is good for GM and other car makers...

GM could have a guess how many cars are in the lot and win a free car contest and it would be better than what they were doing.

Reply to
GO Mavs

Maybe you didnt but a record number did.

The Accord exterior is nice, but the dash is rather blah

Reply to
GO Mavs

The Avalon is a nice looking car.

Reply to
GO Mavs

And a nice driver. I test drove one, but decided against it strictly because of price. I decided not to spend that much on any car, but I'd buy one if I decide to go to that price range. Limited stickers about 35k. I know a Lexus driver that prefers his wife's Avalon over his 330.

Reply to
Edwin Pawlowski

IMO, it's the back end of the new Camry that's ugly. (Up till now, they've been fine, IMO.) The Camry's dash & console, OTOH, I like a lot - at least (IIRC) on the higher end LE - its silvery-aqua with the light (pretend) wood is pretty: light & airy - visually appealing.

However, I've never bought a Camry & most likely never will, simply because it's a bigger car than what I need. Instead, the Corolla for me. If I ever spend more $ than a Corolla costs when buying a new car, it's going to be spent on a Prius!

Cathy

I'd just not get caught

Reply to
Cathy F.

And has great reviews & customer satisfaction. It's also huge. And pricey.

Cathy

Reply to
Cathy F.

Considering the IQ's of the average Loyal GM customer, they might think the dealership was one for Horses or Mailboxes.

I think this is a great move by GM, to capture their customer base of

80-90 IQ.
Reply to
Coffee Lover

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