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Posted
No, it is just you. GMC is virtually the only time GM has succeeded at "brand management" marketing; research shows that consumers, particularly women, perceive GMC as premium to Chevrolet, and that not as many people cross-shop the two brands as one might think. Because GMC required virtually no development costs, its sales are nearly pure profit. Just like when GM shuttered Oldsmobile, and buyers didn't flock to other GM divisions, GM would be crazy to shutter its pure profit divisison.

ok so they succeeded in brand management with one brand...what about the rest??...and from my experience working at a gmc dealership a lot of people cross shopped the yukon with the suburban/tahoe or the escalade...some people saw the value of the "cheap escalade" aspect of the denali but a lot of people chose to jump up to the escalade simply b/c a gmc is not a cadillac...as for the non denali yukons people just didnt want them cuz a suburban/tahoe was supposedly cheaper and the same thing...we never had more than 1 or 2 SLT yukons on our lot and we NEVER had any SLE's because they just didnt sell

im thinking more along the lines of paring down GM to its core essentials with virtually no product overlap and rebadges...b/c i think in the long run thats whats gonna be successful for GM's future

Posted
Exactly: the 'new car departments' are the loss leaders that drive business for the service department. Any dealer that only sold new cars and had no service department would not last. I have seen stats that show nearly all dealers 'lose' money in the front end. It's service and used vehicles that keep the lights on.

You didn't think that paying '$500 over' was going to keep that 40,000 sq ft building operating, did you?

do people even pay $500 over anymore these days?? lol back when id mystery shop for my dealership sales people were dropping down to invoice right out of the gate b4 even starting to negotiate. It's a pretty bad tactic especially when you need every penny you can get just to keep the lights on

Posted
do people even pay $500 over anymore these days?? lol back when id mystery shop for my dealership sales people were dropping down to invoice right out of the gate b4 even starting to negotiate. It's a pretty bad tactic especially when you need every penny you can get just to keep the lights on

South of the border, the invoice price has become meaningless. Since the price is posted all over the internet, clearly the manufacturers have found another way around it. Who actually gets screwed are the salespeople, since most are paid as a percentage of 'profit.' If there is no profit, then the commission sucks. The dealer still gets money somewhere. :AH-HA_wink:

Posted
South of the border, the invoice price has become meaningless. Since the price is posted all over the internet, clearly the manufacturers have found another way around it. Who actually gets screwed are the salespeople, since most are paid as a percentage of 'profit.' If there is no profit, then the commission sucks. The dealer still gets money somewhere. :AH-HA_wink:

They get their money from the rebates and advertising money from the manufacturer, they do make money believe me. The only deals they really don't like are house deals, like employees, but they still make something. The margins are far, far better on used especially on certain models. We made a killing of Caterables for a few months. LOL Most salespeople get 25% of the profit, we pay ours 50%. We don't have near the turnaround as other dealers. My dealership is an enigma, we have more lifers than I think anybody else in all departments, and its also blackhole, we tease when people quit that they'll be back because not even light escapes. LOL

Posted

just a little addition to my previous posts...

in addition to whats going on with the new car departments and new car sales...the service experience at most GM dealerships leaves a lot to be desired especially when stacked up against honda/toyota/mercedes/bmw....from both sides of the fence ie. as an employee of the dealership and not as an employee...my experiences with getting my GM cars serviced has been horrible just about every single time...i constantly have to fight to get simple warranty repairs done...they've NEVER been done right the first time...resulting in multiple visits for the same problem and loaner cars are completely non-existant....when my mom had her honda (Despite the fact that it was a piece of crap and was always in the shop) the dealership was more than helpful in taking care of whatever was wrong no arguing no fighting no trips back and forth AND if you scheduled ahead of time you are guaranteed a loaner as soon as you arrive at the dealership...none of that sitting around for hours waiting for someone to look at ur car and determine if you qualify for a rental car or not....the same deal goes for my experience with my friend and his mercedes...just a hassle free easy service experience

Posted
I don't ever see it happening. For the majority of dealers, especially the smaller dealers, the service/parts departments are the bread and butter of the dealership. We're already beating sales this month, which isn't entirely unusual, and some dealers have such giant parts departments that they only have sales departments because they have to.

I'm saying that the existing dealers own and operate such franchises. Sales lots require substantial amount of real estate, but a Goodwrench service station wouldn't take up that amount of space. It's a way for GM to cut down on the number of dealers while still allowing for warranty service coverage nation wide.

Posted
just a little addition to my previous posts...

in addition to whats going on with the new car departments and new car sales...the service experience at most GM dealerships leaves a lot to be desired especially when stacked up against honda/toyota/mercedes/bmw....from both sides of the fence ie. as an employee of the dealership and not as an employee...my experiences with getting my GM cars serviced has been horrible just about every single time...i constantly have to fight to get simple warranty repairs done...they've NEVER been done right the first time...resulting in multiple visits for the same problem and loaner cars are completely non-existant....when my mom had her honda (Despite the fact that it was a piece of crap and was always in the shop) the dealership was more than helpful in taking care of whatever was wrong no arguing no fighting no trips back and forth AND if you scheduled ahead of time you are guaranteed a loaner as soon as you arrive at the dealership...none of that sitting around for hours waiting for someone to look at ur car and determine if you qualify for a rental car or not....the same deal goes for my experience with my friend and his mercedes...just a hassle free easy service experience

I must have found the lone excellent GM dealer. Bairel Cadillac in Wexford PA was always good to me. I'd place a phone call, they'd bring down a loaner Cadillac the next morning, pick up my car at my office and return it washed and vacuumed that afternoon. There was never a fight to get stuff done.

Posted

I agree about the need for better customer service i.e. loaners, etc. It makes me wonder if the imports get some financial help from their respective manufacturers in that regard. Our insurance company won't allow us to provide loaners due to a nasty accident in one years ago. The overhead in our shop is unbelievable!! The cost of the techs, and the equipment that regualar shops can't or don't have. Our heavyline alone is 6 bays and isn't enough. A goodwrench type service station would have to be enormous or there would have to be a ton of them. The problem right now is there are no new technicians and the older ones are retiring. It's REALLY bad. Kids aren't coming into the field even though it actually pays pretty well if you're good and work for a dealer. It would be tough, the next few years will be very trying for all the dealers regardless of make, worse even for the imports due to a lack of parts availibility, nobody wants to work for the imports because all their jobs just sit and they can't run any hours. There is sooooo much to it all. It's so much more complicated to run a dealer service department than a regular shop.

Posted
I must have found the lone excellent GM dealer. Bairel Cadillac in Wexford PA was always good to me. I'd place a phone call, they'd bring down a loaner Cadillac the next morning, pick up my car at my office and return it washed and vacuumed that afternoon. There was never a fight to get stuff done.

i consider cadillac to be an exception SOMETIMES because they are a more premium brand...however my grandmothers caddy dealer is horrendous as far as service is concerned

gmpartsgirl...i believe there are manufacturer programs to subsidize some of the cost of providing loaner cars and i can understand insurance companies not wanting to get invovled with loaner cars but if the imports can do it why cant the domestics??

Posted
just a little addition to my previous posts...

in addition to whats going on with the new car departments and new car sales...the service experience at most GM dealerships leaves a lot to be desired especially when stacked up against honda/toyota/mercedes/bmw....

....the same deal goes for my experience with my friend and his mercedes...just a hassle free easy service experience

I had my corvette (I have since given it to a son) in to the local Chevy dealership for maintenance and I got it back with an ugly scratch behind the gas cap near the back window. This was a 5 inch long scratch that looked like something was set on it then dragged across when taken off. Not only wouldnt they fix it they called me a liar saying it had to have been that way when I brought it in. I will never ever set foot on that lot again for anything and I never miss a chance to bad mouth them. And like your friend when i have been to the Mercedes dealership for my SLK I am treated like royalty. I work for a sales oriented company and realize that a business with a 40% profit margin can afford to be more generous to customers than a business with a 10% margin. But a lot of them seem to just assume they have a monopoly on the customers business and can treat us any way they want. Obviously, that is not the case.

Posted

Customer service is always a fine line. Remember: if you are getting marble floors, free gourmet coffee, brass rails, loaners and table dancers - someone is paying for it, and it's not the manufacturers. If the import stores have all these fancy things its because they are raping someone: their service customers, their used car customers, their new car customers - somebody is paying and paying.

Posted
Customer service is always a fine line. Remember: if you are getting marble floors, free gourmet coffee, brass rails, loaners and table dancers - someone is paying for it, and it's not the manufacturers. If the import stores have all these fancy things its because they are raping someone: their service customers, their used car customers, their new car customers - somebody is paying and paying.

You are correct. When i go to a dealership i dont expect table dancers, although they do have marble floors at the MB lot, but I do expect common courtesy and many dealerships have lost focus on serving us customers. They act more like the phone company or any given governmental agency than someone eager to have my business.

Posted

But as a customer, do you approach them with a chip on their shoulder, or do you give them the benefit of the doubt? I've worked in retail all my life and the customer who is equally nice back will have clerks doing cartwheels and backflips for them; the customer with attitude will get stuck on hold or be left to the back of the line - that's human nature.

When I owned my own business, I had customers make up total lies about an incident involving me (when they later called back and asked to speak to the owner.)

It takes two, but I understand that some of the rich 'older' dealers may have lost focus, or maybe they are sitting on real estate that is worth a fortune and are just waiting for a buy out offer.

Every business alive today knows that communication and service is of paramount importance; however, the lies and games customers play can be exasperating, to say the least.

I know one battle I see a lot is when a customer demands a 'better deal,' then gets bitchy because we won't give in. One thing they lose sight of is that although they may be spending $20k, if it's only $500 profit to the dealer (which with overhead, carrying costs, etc. is really a loss), then maybe the deal isn't worth doing. I just don't see the same degree of nasty fights at the import stores because the ones I've dealt with are firmer with their price and are not fighting for the deals because they don't have to.

Posted

I miss the old Dodge dealership where I had my car serviced because of their excellent service, friendly demeanor, and when you would chat with someone at the dealership they actually seemed interested to talk. At the Chrysler dealership here I sometimes go now, they don't seem interested in casual conversation even though they clearly have nothing else to do in a quiet showroom, and whatever friendliness the present feels forced.

I would gladly trade the fancy showroom for good service, which is how it was at the Dodge dealer. Their building was older, nothing fancy and pretty small. The Chrysler dealer is newer, more modern, and nicer...but I go there far less often than I would the Dodge dealer. You can can keep your cookies and free coffee.

Posted

My local dealer has always been Chevy-Pontiac-Buick-GMC-Cadillac. They just finished a remodel and building a new "grand" entryway...it actually looks pretty nice.

Posted (edited)
I would have to disagree here, I have ordered parts directly from GMSPO and had them delivered to my house or have directly picked them up at the SPO myself.

The way we have to do it where I work to get performance parts from GM we have to order them though a dealer we have an arrangement with.

As for Ford Motor sports and Direct Connection we are a direct vendor.

We have even considered buying a small GM dealer to just be able to buy direct. Yes we sell that many parts.

GM will not sell direct to us never has.

About all GM parts web sites have a Dealer connection somwhere.

Edited by hyperv6
Posted

I just got this e-mail from my local GMC dealer, which acquired Pontiac a few years ago and also had 2 Saturn stores (both closed). I just got an oil change there a few weeks ago!

December 19, 2008

To Our Valued Customers:

We regret to inform you that on December 19, 2008, Tony March Buick, Inc., dba Tony March Buick-Pontiac-GMC AND Saturn of Hartford closed their doors.

These dealerships have proudly served the community for many years, and the decision to close was not an easy one. We deeply value the relationship we have with all of our customers, and we realize this may be an inconvenience for some of you. Please accept our apologies for having to make this difficult decision that affects you.

In an effort to ensure you receive the service and support you deserve as a valuable member of the GM family, please check out www.gm.com for a list of all the dealerships in the area that may able to serve you. Click on “GM Vehicles” and type in your zip code. Each one on the list is fully staffed with factory trained GM Goodwrench technicians and service personnel who are eager to start a new relationship with you and provide the same great service you have come to expect from your General Motors dealer.

In addition, these dealers can also provide assistance if you are in the market for a new car or truck. Buick, Pontiac, GMC and Saturn all have some of the finest vehicles on the road, and they are currently providing some outstanding purchase and lease incentives.

Please feel free to contact any of the dealers on the GM website for your sales and service needs. Hopefully you will feel right at home!

Again, please accept our sincere apologies for this inconvenience. Your satisfaction is always of the utmost importance to us.

Yours truly,

Tony March,

President

Tony March Buick, Inc.

Posted

Someone I know who works as Service Advisor at a Saturn dealer says 'We are up for sale" and is looking to get out of the biz.

I'd be willing to bet that one of the Chinese or [Asian] Indian car companies will buy the Saturn name and sell their cars through the dealers.

Posted
I'd be willing to bet that one of the Chinese or [Asian] Indian car companies will buy the Saturn name and sell their cars through the dealers.

A brand name with a dealer network waiting to be fed with product could be an interesting buy for a car maker wanting to enter or return to the US. The moment is bad, but it may be a strategic investment for someone and it sure seems it may be a strategic divestment for GM.

Posted (edited)
A brand name with a dealer network waiting to be fed with product could be an interesting buy for a car maker wanting to enter or return to the US. The moment is bad, but it may be a strategic investment for someone and it sure seems it may be a strategic divestment for GM.

That's a good point, which then raises another: letting yet more competition into our markets at a very vulnerable time is suicide.

Many of you wouldn't know this south of the border, but when K-Mart went under it sold its Canadian assets to Wal-Mart, which at the time was virtually non-existent in our market. I'll bet Eatons (now bankrupt) and Zellers/The Bay (sold to an American investor and now floundering) wish they had split the purchase to keep Wal-Mart out. Wal-Mart got instant access to many older, established locations and got them for pennies on the dollar. They went from a dozen to 120 locations over night.

As we discussed earlier, if there were any way for Ford or GM to absorb Chrysler or to let Saturn or Hummer simply die, it would be better for the entire industry. Letting a future foe into the market cheap just to live to fight another day is not a long term solution.

Why are automakers fighting to get into China? Answer: because it is the fastest growing market and will likely soon be the largest market. Why is China allowing this? Answer: because they are getting 100 years of manufacturing experience and technology for FREE (remember, these are 'partnerships' in China, not wholly owned subsidiaries). The obvious question is: why would we allow Chinese automakers to set up shop here? What's in it for us? Our markets are mature, slow growing. We certainly don't need their technical prowess. Do we need their competition to bring down prices? Well, we are seeing the results of over saturation already, in the decline or Detroit.

I fear that we deserve everything we about to get over the next few years.

Edited by CARBIZ
Posted
Yes and No, www.gmpartshouse.com will be happy to sell you whatever gm parts you desire.

Yes, there are shady dealers selling parts at cost on the internet but it is a GM dealer selling those parts and making money off of shipping and return reserve. We just love them. :) And GM employees can order directly from the SPO's, but not just anybody as far as I know.

Posted
I would have to disagree here, I have ordered parts directly from GMSPO and had them delivered to my house or have directly picked them up at the SPO myself.

Do you not work for GM in some capacity?

Posted
I would have to disagree here, I have ordered parts directly from GMSPO and had them delivered to my house or have directly picked them up at the SPO myself.

Whats the part number for a 2009 Pontiac G8 GXP?

I hate walking into dealerships... parts dept or showroom. It makes me feel dirty.

Posted
Whats the part number for a 2009 Pontiac G8 GXP?

I hate walking into dealerships... parts dept or showroom. It makes me feel dirty.

Maybe you should shower more than once a week.

Posted (edited)

Interesting article about this in the paper and the dealer's relationship to GM. Also that 30 dealerships had closed their doors this year.

Article

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I just got this e-mail from my local GMC dealer, which acquired Pontiac a few years ago and also had 2 Saturn stores (both closed). I just got an oil change there a few weeks ago!

December 19, 2008

To Our Valued Customers:

We regret to inform you that on December 19, 2008, Tony March Buick, Inc., dba Tony March Buick-Pontiac-GMC AND Saturn of Hartford closed their doors.

These dealerships have proudly served the community for many years, and the decision to close was not an easy one. We deeply value the relationship we have with all of our customers, and we realize this may be an inconvenience for some of you. Please accept our apologies for having to make this difficult decision that affects you.

In an effort to ensure you receive the service and support you deserve as a valuable member of the GM family, please check out www.gm.com for a list of all the dealerships in the area that may able to serve you. Click on “GM Vehicles” and type in your zip code. Each one on the list is fully staffed with factory trained GM Goodwrench technicians and service personnel who are eager to start a new relationship with you and provide the same great service you have come to expect from your General Motors dealer.

In addition, these dealers can also provide assistance if you are in the market for a new car or truck. Buick, Pontiac, GMC and Saturn all have some of the finest vehicles on the road, and they are currently providing some outstanding purchase and lease incentives.

Please feel free to contact any of the dealers on the GM website for your sales and service needs. Hopefully you will feel right at home!

Again, please accept our sincere apologies for this inconvenience. Your satisfaction is always of the utmost importance to us.

Yours truly,

Tony March,

President

Tony March Buick, Inc.

Edited by BigPontiac

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