GM Announces 'GM Total Confidence' Incentive Program
Not to be outdone by government-intervention-free rival Ford, GM today unveiled a new incentive plan today that it’s calling the “GM Total Confidence,” a suite of four programs designed to inspire consumer confidence – and spur sales.
“Vehicle Value Protection” “helps protect customers against uncertainty in the future used car market.” According to the release, GM will provide negative equity assistance if a consumer’s outstanding principal loan balance is more than NADA Clean Retail Value.
“Payment Protection” provides up to 9 months of payments for consumers who lose their jobs, similar to the plan Ford unveiled earlier today. Both “Vehicle Value Protection” and “Payment Protection” are sponsored by cynoSure Financial and ServicePlan.
In addition, GM offers a 5-year/100,000 mile transferable limited powetrain warranty with roadside assistance and courtesy transportation, and one year of OnStar’s “Safety and Security Package”.
At this point, all one can do is speculate about whether these incentives will have any effect at all on GM’s sales. With its CEO forced out and the threat of bankruptcy looming, consumers may bolt from the ailing American automaker regardless of its efforts to lure buyers back. On the other hand, with some great products like the Chevrolet Malibu and Cadillac CTS, they may flock back to take advantage of these enticing incentives.
GM points to (currently non-existent) gmconfidence.com for more details.