GM to upgrade its cars more often rather than offering big rebates on aging vehicles

Article by Christian A., on February 17, 2012

General Motors will be moving away from its sales strategy to offer big rebates on aging vehicles and will instead be offering styling revisions and product improvements, according to the automaker’s current managers. They think that this is a better way to maintain sales. This strategy really isn’t new to GM.

From the 1930s to the 1970s, GM practiced “planned obsolescence," which changes the car’s styles annually so that customers will be enticed to buy the latest Chevrolet, Pontiac, Oldsmobile, Buick or Cadillac. According to Dave Lyon, executive director of GM global design, almost all of GM's vehicles will get styling enhancements about every three years.

These include restyled hoods and fenders, grilles, taillights, front and rear fascias, and interior trim. Lyon said that Rick Wagoner, the former CEO of GM, didn’t think that there was a significant value in midcycle enhancements, “and so we never did them."

He said instead of offering big incentives for dated models, GM will “take some of that money, put it back into the vehicle and get the appeal higher.” Furthermore, Lyon said that GM will add new technology and safety features at a quicker pace than it had under pre-bankruptcy management. [source: Autonews]

Topics: gm

If you liked the article, share on:

Pin It

Comments

Recommended

Lamborghini has disclosed that it is looking into the possibility of releasing electric vehicles. With the Volkswagen Group revealing that it will be releasing electric vehicles within several years, there...
by - March 25, 2017
Daimler AG, through its Smart division, has disclosed that its two electric models, the Smart ForTwo and the Smart ForFour are now open for orders in Germany. Official market launch...
by - March 25, 2017
Lamborghini has officially offered clear proof that the Huracán Performante was able to set a new record at the Nürburgring Nordschleife with a time of 6:52.01 It was in early...
by - March 25, 2017
Top Gear has revealed that for its “Stars in a Reasonably Fast Car” segment, it will now be using a slightly enhanced Toyota GT86, which in the U.S. market is...
by - March 24, 2017
Porsche is laying aside any plans of pushing another hybrid hypercar into their line-up -- at least not at this time. Oliver Blume, Porsche Global Chief confirmed in a recent...
by - March 24, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries