March 2009 Sales: General Motors

[DBeaSSt]

http://www.gm.com/corporate/investor_information/sales_prod/

For Release: April 1, 2009

GM Reports 156,380 Deliveries in March

* “GM Total Confidence” brings peace of mind in uncertain times with Payment Protection and Vehicle Value Protection

* GM total sales up 23 percent compared with February as spring selling season begins

* GM’s award-winning crossovers drive March sales as Chevrolet Traverse sales of more than 6,500 vehicles helps push GM mid-utility crossover segment sales up 10 percent compared with last March

* Pontiac G8 sales nearly triple compared with a year ago

DETROIT – General Motors dealers in the United States delivered 156,380 vehicles in March, down 45 percent compared with a year ago. However, comparing March sales with February, 7 of 8 GM brands saw total sales increases with total volume up 23 percent, or more than 29,000 cars, crossovers and trucks. GM’s car sales compared with February were up more than 15,000 vehicles (28 percent), truck sales were up nearly 11,000 vehicles (23 percent), and crossover sales increased more than 3,000 vehicles (12 percent) .

“Sales for GM and the industry showed signs of life at the end of the month compared with January and February. In April, we’re stepping up to the plate to get a rally underway with ‘GM Total Confidence,’ our unprecedented customer protection package,” said Mark LaNeve, vice president, GM North America Vehicle Sales, Service and Marketing. “We are encouraged by actions taken by the Federal government to stabilize the industry and stimulate demand. As we continue the reinvention of General Motors, our brands are adding even more world-class, fuel-efficient cars and crossovers to their portfolios. We will also continue to add even more fuel economy technology to our trucks.”

When compared with March a year ago, GM total car sales of 68,877 were off 41 percent and total truck sales (including crossovers) of 87,503 were down 47 percent.

Compared with February, total Chevrolet sales were up 25 percent. Specifically, cars were up 28 percent, trucks were up 25 percent and crossovers increased 19 percent. Chevrolet Silverado and GMC Sierra pickups gained strength in March, when compared with February, with retail sales up 17 and 27 percent, respectfully. Chevrolet’s crossover portfolio of HHR, Equinox and Traverse combined for 14,844 total sales in March, a 19 percent increase compared with February. In addition, Malibu has increased retail sales for the first three months this year, with sales up 7 percent compared with the same period a year ago.

“We had a strong close at the end of the month as customers responded to strong incentives, President Obama’s positive statements about GM, and the government backing domestic warranties,” LaNeve added. “Customers told us they wanted a manufacturer to look out for them, and that’s exactly what the ‘GM Total Confidence’ program does.”

A total of 1,612 GM hybrid vehicles were delivered in the month, illustrating the wide range of hybrid product offerings available. GM offers the Chevrolet Malibu, Tahoe and Silverado, GMC Yukon and Sierra, Cadillac Escalade, Saturn Aura and Vue hybrids. So far, in 2009, GM has delivered 3,622 hybrid vehicles.

GM inventories dropped compared with a year ago. At the end of March, only about 765,000 vehicles were in stock, down about 108,000 vehicles (or 12 percent) compared with last year. There were about 332,000 cars and 433,000 trucks (including crossovers) in inventory at the end of March. Inventories were reduced about 15,000 vehicles compared with February.

Certified Used Vehicles

The challenging economic environment had an effect on March 2009 year-over-year GM certified total sales. GM Certified Used Vehicles, Saturn Certified Pre-Owned Vehicles, Cadillac Certified Pre-Owned Vehicles, Saab Certified Pre-Owned Vehicles, and HUMMER Certified Pre-Owned Vehicles, combined sold 32,788 vehicles.

GM Certified Used Vehicles, the industry’s top-selling certified brand, posted March sales of 28,000 vehicles, down 27 percent from March 2008. Saturn Certified Pre-Owned Vehicles sold 974 vehicles, down 6 percent. Cadillac Certified Pre-Owned Vehicles sold 3,143 vehicles, down 5 percent. Saab Certified Pre-Owned Vehicles sold 436 vehicles, down 16 percent. However, one brand showed strong results for the month --- HUMMER Certified Pre-Owned Vehicles sold 235 vehicles, up 44 percent.

“Although March sales were down, we’re confident more shoppers will seek the quality and value that GM certification offers,” said LaNeve. “In uncertain times, Certified Used Vehicles offer consumers the peace of mind that comes with factory backed warranties, such as the 12-month/12,000 mile bumper-to-bumper warranty, reinforcing the durability and reliability of our vehicles.”

GM North America reports March 2009 production; Q1 2009 production reported at 372,000 vehicles; Q2 2009 production forecast remains at 550,000 vehicles

In March, GM North America produced 170,000 vehicles (73,000 cars and 97,000 trucks). This is down 67,000 vehicles or 28 percent compared with March 2008 when the region produced 237,000 vehicles (124,000 cars and 113,000 trucks). (Production totals include joint venture production of 8,000 vehicles in March 2009 and 20,000 vehicles in March 2008.)

The region’s 2009 first-quarter production was 372,000 vehicles (116,000 cars and 256,000 trucks), which is down about 58 percent compared with a year ago. GM North America built 885,000 vehicles (360,000 cars and 525,000 trucks) in the first-quarter of 2008.

The region’s 2009 second-quarter production forecast remains at 550,000 vehicles (195,000 cars and 355,000 trucks), which is down about 34 percent compared with a year ago. GM North America built 834,000 vehicles (382,000 cars and 452,000 trucks) in the second-quarter of 2008.

General Motors Corp. (NYSE: GM), one of the world’s largest automakers, was founded in 1908, and today manufactures cars and trucks in 34 countries. With its global headquarters in Detroit, GM employs 244,500 people in every major region of the world, and sells and services vehicles in some 140 countries. In 2008, GM sold 8.35 million cars and trucks globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Hummer, Opel, Pontiac, Saab, Saturn, Vauxhall and Wuling. GM’s largest national market is the United States, followed by China, Brazil, the United Kingdom, Canada, Russia and Germany. GM’s OnStar subsidiary is the industry leader in vehicle safety, security and information services. More information on GM can be found at www.gm.com.

Note: In this press release and related comments by General Motors management, we use words like "expect," "anticipate," "estimate," "forecast," "objective," "plan," "goal" and similar expressions to identify forward-looking statements, representing our current judgment about possible future events. We believe these judgments are reasonable, but actual results may differ materially due to a variety of important factors. Among other items, such factors might include: our ability to comply with the requirements of our credit agreement with the U.S. Department of Treasury; the availability of funding for future loans under that credit agreement; our ability to execute the restructuring plans that we have disclosed, our ability to maintain adequate liquidity and financing sources and an appropriate level of debt; and changes in general economic conditions, market acceptance of our products; shortages of and price increases for fuel; significant changes in the competitive environment and the effect of competition on our markets, including on our pricing policies. GM’s most recent annual report on Form 10-K and quarterly report on Form 10-Q provide information about these factors, which may be revised or supplemented in future reports to the SEC on Form 10-Q or 8-K.

[CaddyXLR-V]

Kill Pontiac. What are they doing only being down 30% when the next closest brand is down 40%. They only sold 4 times as many cars as Buick and nearly half what Chevy sells. Why is Pontiac still alive. The G8 sucks too, look at it outselling the Lucerne and the Lacrosse.

[CaddyXLR-V]

Oh, and Pontiac accounts for nearly 25% of all of GM's car sales excluding trucks.

[SAmadei]

That's funny. A week or two ago, somebody was being lambasted for claiming the G8 outsold Saturn, when it hadn't. This month it outsold Saturn's total car sales, and is well towards overtaking Buick's total car sales.

It'll be interesting to see how much of this is sustained into next month.

Also interesting that 141 G3s have been delivered... for better or worse.

[01Malibu]

I hate it when sales stats are in PDF format. How many Malibus and G8s were sold last month. I can't access pdf.

[SAmadei]

I hate it when sales stats are in PDF format. How many Malibus and G8s were sold last month. I can't access pdf.

GM top ten cars...

Malibu 14772

Impala 12648

G6 9917

Cobalt 7930

CTS 3899

G8 2939

Vibe 2574

Lucerne 2372

Aveo 2285

Aura 2001

Looking at this, I'm shocked the G6 trumps the Cobalt.

[Robert Hall]

GM top ten cars...

Malibu 14772

Impala 12648

G6 9917

Cobalt 7930

CTS 3899

G8 2939

Vibe 2574

Lucerne 2372

Aveo 2285

Aura 2001

Looking at this, I'm shocked the G6 trumps the Cobalt.

Probably Avis sales..

Nice to see the CTS and G8 is in the top 10...

[SAmadei]

Also interesting that Pontiac came within 1503 sales of topping GMC (17583 vs 19086), to grab 2nd place in sales.

[CaddyXLR-V]

Also interesting that Pontiac came within 1503 sales of topping GMC (17583 vs 19086), to grab 2nd place in sales.

I didn't even notice that, but it is interesting. At a time when the market is shifting from trucks to cars, you would think GM's second best selling car division would be safe.

[BuddyP]

GM top ten cars...

Malibu 14772

Impala 12648

G6 9917

Cobalt 7930

CTS 3899

G8 2939

Vibe 2574

Lucerne 2372

Aveo 2285

Aura 2001

Looking at this, I'm shocked the G6 trumps the Cobalt.

Malibu is doing good, I think it sold more than it did last month. No suprise to me the G6 did better than Cobalt, it's a lot more car (and nicer car) for right about the same money.

[regfootball]

I didn't even notice that, but it is interesting. At a time when the market is shifting from trucks to cars, you would think GM's second best selling car division would be safe.

Pontiac is car.!

ALthough because the liberal left communist socialist east coast west coast educated journalist media lawyers socialites think it makes sense for GM to get rid of the brands. UM KEEP PONTIAC FOR EFFS SAKE!

as a side note, i was bumming around my downtown today and outside the mens clothier i get stuff from from time to time, a BRAND SPANKING NEW and BEAUTIFUL Pontiac G8 GXP. SILVER. GORGEOUS.

[FUTURE_OF_GM]

Lets take a future perspective on this, shall we?

GM top ten cars...

Malibu 14772

Good!

Impala 12648

Will either be discontinued or forced to rot on the ancient W-Body.

G6 9917

Dead... Remember, Pontiac wasn't any better than Saturn and it apparently isn't any better than Buick either... It makes no sense, but hey, Pontiac has ALWAYS been the black sheep at GM.

Cobalt 7930

Dead... Hopefully the Cruze can pick up the slack... You know, with less marketing, half of the trim levels and half of the body styles.

CTS 3899

Excellent! Hopefully the wagon and coupe can only add to the numbers.

G8 2939

Dead... Remember; the american public doesn't want big, RWD cars or Pontiacs with "EXCITEMNET!!!!!!!!!!11111"

Vibe 2574

Dead... It's just a piece-o-$h! Toyota clone, remember?

Lucerne 2372

Dead... Both in name and concept... GM, with no money to market anything will NOT only attempt to refocus the brand AWAY from the target demographic of this car. But also, they will attempt to lure Lucerne buyers into the newer, bigger Lacrosse which shares the same name with the smaller, cheaper, less capable car that everyone hates. SMART!

Aveo 2285

Gamma II can't get here fast enough.

Aura 2001

We MUST kill Saturn though!!!!! AND THE G6!!!!

*** This confirms, to me, more than anything that GM is circling the drain. The 'volume' models they currently have are so effed up and nondescript in the eyes of the public that I'm sure the next round of name/brand/purpose/audience changes will definitely kill the company. (especially when the media does all they can to belittle the product, just as they did in 2005 with the first round of "new" product)

Edited April 2, 2009 by FUTURE_OF_GM

[FUTURE_OF_GM]

Also interesting that Pontiac came within 1503 sales of topping GMC (17583 vs 19086), to grab 2nd place in sales.

Now, now...

Enough of that common sense...

KILL, KILL, KILL!!!!

[FUTURE_OF_GM]

Pontiac is car.!

ALthough because the liberal left communist socialist east coast west coast educated journalist media lawyers socialites think it makes sense for GM to get rid of the brands. UM KEEP PONTIAC FOR EFFS SAKE!

But according to those people no one wants a "redneck, cladded, muscle car, performance, bloated, tacky, anti-environment. PONY-YAC."

It's simple classism... Pontiac (and Chevrolet until more recently) has always been a blue collar brand and possessed a lot of those traits. The "educated" people hate every aspect of the blue collar lifestyle. (especially the patriotism and localite parts) So they deem it 'uncool' and it dies. GM as a whole is experiencing the very same thing (albeit to a lesser degree)

[Intrepidation]

I'd love to see the fleet numbers on the Pontiacs. Why anyone would choose a G6 over a Malibu is beyond me.

In fact why anyone would choose anything in Pontiac's besides the G8 and Solstice when GM's other bands have better versions (besides that Toyota) is a mystery.

[FUTURE_OF_GM]

I'd love to see the fleet numbers on the Pontiacs. Why anyone would choose a G6 over a Malibu is beyond me.

In fact why anyone would choose anything in Pontiac's besides the G8 and Solstice when GM's other bands have better versions (besides that Toyota) is a mystery.

I agree...

But at the same time, Pontiac has the name recognition and clout that Buick does not have. That's what worries me about the whole thing.

Pontiac, fleet or not, is volume. Buick, I fear, will never see volume again. (Unless someone who knows how to market the divisions properly picks it up post chapter 7 liquidation)

[CaddyXLR-V]

I'd love to see the fleet numbers on the Pontiacs. Why anyone would choose a G6 over a Malibu is beyond me.

In fact why anyone would choose anything in Pontiac's besides the G8 and Solstice when GM's other bands have better versions (besides that Toyota) is a mystery.

So if people buy inferior Pontiacs, imagine what Pontiac could do if GM actually put some money in the brand for once. Aura is newer than the G6 yet sells 1/5 of what it does. Even if the G6 fleet sales are 60% which I doubt, it would still be selling double the Auras total sales.

[SAmadei]

I'd love to see the fleet numbers on the Pontiacs. Why anyone would choose a G6 over a Malibu is beyond me.

In fact why anyone would choose anything in Pontiac's besides the G8 and Solstice when GM's other bands have better versions (besides that Toyota) is a mystery.

I can't get the Malibu as a coupe or convertible. The Malibu might be the greatest car of all time, but it won't grace my garage, as its too small with those dinky little 4 door openings.

Also, while I'm not in love with the G6 at all, it still looks better to me style-wise.

[DBeaSSt]

I can't get the Malibu as a coupe or convertible. The Malibu might be the greatest car of all time, but it won't grace my garage, as its too small with those dinky little 4 door openings.

Also, while I'm not in love with the G6 at all, it still looks better to me style-wise.

I still think Chevy should have the Malibu (sedan) and Pontiac should get a (much updated) G6 in coupe and convertible ONLY. It'd fit better with their 'image' and eliminate competition within GM on the sedan.

[Intrepidation]

I can't get the Malibu as a coupe or convertible. The Malibu might be the greatest car of all time, but it won't grace my garage, as its too small with those dinky little 4 door openings.

Also, while I'm not in love with the G6 at all, it still looks better to me style-wise.

To each their own, but while I don't care for the G6 sedan, I hate the coupe and convertible with a passion. They are some of the worst propositioned cars on sale in America.

If I want a vert, I'll take a Mustang, Eos, or 9-3. if I want a coupe, I'll take a Camaro, Challenger, Mustang, or Genesis Coupe.

[2QuickZ's]

The Malibu might be the greatest car of all time, but it won't grace my garage, as its too small with those dinky little 4 door openings.

I'm curious what cars you are comparing the Malibu to when you say this. I'm assuming the G6, Aura and Malibu all have similar size doors since they are all on the same length Epsilon platform. The front doors of our Aura are fine and the rear doors are actually quite long. They are much longer than on my sister's Fusion. I'm not the biggest guy in the world (5'9" and 170 lbs) so maybe my needs are just different and that's why I don't notice a problem with the door openings. The car is definitely narrow but it has quite a bit of length to it.

Edit: $h!. I'm an idiot. You are comparing the doors to that on a coupe.

Edited April 3, 2009 by 2QuickZ's

[Satty]

The fleet numbers on Pontiac probably aren't any prettier than they were a a few months ago. Lets go with the low number and say 30% of Pontiac's sales are fleet.

So of Pontiac's 17k (and change) sales, 5100 were sales that weren't to people who preferred the styling, or the name on the trunk, or necessarily thought the car was good. Those sales were strictly because GM was the lowest bidder.

[SAmadei]

To each their own, but while I don't care for the G6 sedan, I hate the coupe and convertible with a passion. They are some of the worst propositioned cars on sale in America.

If I want a vert, I'll take a Mustang, Eos, or 9-3. if I want a coupe, I'll take a Camaro, Challenger, Mustang, or Genesis Coupe.

We're just comparing the G6 and Malibu. Going outside this comparison, the G6 is near the bottom of my list of "desirable coupes and converts". Yeah, Camaro for teh win. ;-)

Likewise, when comparing the G6 and Malibu style-wise, I'm comparing sedan to sedan... the front and rear 3/4 views of the G6 win... ESPECIALLY the rear... I really don't care for the rear of the Malibu, as it looks like it belongs on a different car (kind of like the Charger).

OTOH, I will take a coupe/convert over a similar sized sedan any day... I really need the extra door length. If the front of the G6 looked like a back end of a trash truck, I would still take the G6 coupe over the Malibu sedan.

I'll stop this off topic bit here...

[gm4life]

Pontiac is car.!

ALthough because the liberal left communist socialist east coast west coast educated journalist media lawyers socialites think it makes sense for GM to get rid of the brands. UM KEEP PONTIAC FOR EFFS SAKE!

as a side note, i was bumming around my downtown today and outside the mens clothier i get stuff from from time to time, a BRAND SPANKING NEW and BEAUTIFUL Pontiac G8 GXP. SILVER. GORGEOUS.

Amen to that... I saw a new G8 GT well, not one but two! In the past week. I agree with what your saying about Pontiac tho!

[gm4life]

The fleet numbers on Pontiac probably aren't any prettier than they were a a few months ago. Lets go with the low number and say 30% of Pontiac's sales are fleet.

So of Pontiac's 17k (and change) sales, 5100 were sales that weren't to people who preferred the styling, or the name on the trunk, or necessarily thought the car was good. Those sales were strictly because GM was the lowest bidder.

The new G8 still had a great month with very few fleet sales I bet. Also I bet the new updated G6 is helping sales as well. Honestly I know you dislike Pontiac and everything it stands for but they are the "black sheep"-- as someone said, and have come back before... If the economy were doing better the G8 would be on fire, I would bet. I am glad Pontiac had a good month and had such a low sales percent decrease, if there is any brand that could do it, it is Pontiac. Lets just kill 'em right? Because they outsold Buick, Saturn, Cadillac and nearly GMC, the third best selling division! That sounds like a brand I would want to kill even if they had some fleet sales it is SALES volume and that is still important to GM. Good for Pontiac, let 'em prove 'em all wrong!

[cire]

Dead... Both in name and concept... GM, with no money to market anything will NOT only attempt to refocus the brand AWAY from the target demographic of this car. But also, they will attempt to lure Lucerne buyers into the newer, bigger Lacrosse which shares the same name with the smaller, cheaper, less capable car that everyone hates. SMART!

I agree. GM should slap the "LeSabre" name on the back of the 2010 LaCrosse instead and see what happens. No one knew what a "LaCrosse" and "Lucerne" was when GM came up with the stupid idea of replacing Buick's well recognized model names (like "Regal" and "LeSabre") with these bland, unknown, and unproven poser names. "LaCrosse" and "Lucerne" need to be retired to the automotive model name graveyard. If the "LaCrosse" name has market equity in China, then let them keep the stupid name. Give the North American market version of the 2010 LaCrosse a name that will tell potential buyers that this great looking sedan is the brand's new flagship.

I also worry about the lack of marketing money for this product (like you pointed out). Here Buick will have its first truly modern sedan of the decade and GM is seriously lacking the funds to proudly promote it. This car needs a name change and some major promotion to help it take off (as well as it can in a very unstable economy at least).

[cire]

But according to those people no one wants a "redneck, cladded, muscle car, performance, bloated, tacky, anti-environment. PONY-YAC."

It's simple classism... Pontiac (and Chevrolet until more recently) has always been a blue collar brand and possessed a lot of those traits. The "educated" people hate every aspect of the blue collar lifestyle. (especially the patriotism and localite parts) So they deem it 'uncool' and it dies. GM as a whole is experiencing the very same thing (albeit to a lesser degree)

If Pontiac represents mainstream blue collar America, then it shouldn't really be a part of the B-P-G network (which should be a midmarket premium dealer network). If that is the case, then GM should plan on implementing the following strategy early next year:

1) Reduce Pontiac down to the G8 sedan, G6 coupe, and Solstice roadster/coupe and move the brand into Chevrolet dealerships. If the rumors are true about Holden developing lighter and smaller next gen Zeta based Commodore and Statesman sedans, then GM should make plans to build them at Oshawa and sell them in under the Pontiac brand in North America as the Grand Prix and Bonneville, respectively. All of Chevrolet's sedans would remain FWD, which fits the brand's mainstream mission. The Solstice would ride out the rest of its current model cycle with Pontiac and then be discontinued (I seriously doubt there will be a next gen version since the current version is not profitable and the government probably won't allow GM to spend development money on these automotive "toys"). If GM is planning on a smaller and lighter next gen Zeta based Camaro, I would move that next gen model to Pontiac as the Trans Am. I would develop a FWD midsize coupe on the SWB Epsilon II platform for Chevrolet to sell as the Monte Carlo; this car would essentially replace the G6 coupe and serve as competition for the Accord and Altima coupes.

2) Move the Vibe to Saturn and let it ride out the rest of its current model cycle with that brand. This would allow GM to discontinue importing the relatively expensive and unsuccessful current model Astra. Saturn will finish the rest of its term under the GM umbrella with the Aura sedan, Vibe 5-door, Vue CUV, and Sky roadster (I would discontinue the Outlook as soon as possible).

3) The current G3, G5, and G6 will be discontinued once Pontiac makes it move to Chevrolet dealerships.

4) With Pontiac gone, Buick/GMC would be free to pursue the midmarket premium segment. I would move up the intro of the Insignia based Buick Regal sedan to early next year since Buick/GMC will have no midsize sedan to sell once Pontiac and its G6 line makes its departure from the dealer network. When smaller next gen Opels are ready for the market, I would make plans to build and sell them in North America under the Buick brand; this will allow Buick/GMC to offer smaller premium products to complete the network's lineup.

5) I would make the Corvette its own brand and move it into Cadillac dealerships. The current Corvette's nearly $50,000 MSRP makes the car an inappropriate presence at Chevrolet dealerships. If people are going to spend that kind of money on a car they should be receiving the premium treatment which should be in place and practiced at all Cadillac dealerships (since Cadillac is supposed to be the corporation's flagship luxury brand).

This strategy would configure GM's remaining 6 brands (if Corvette became its own brand in North America) into distinct dealer networks that target specific demographics and price ranges:

* Chevrolet/Pontiac: Affordable/Mainstream. Chevrolet would be the mainstream volume anchor for the corporation with FWD cars and CUVs plus affordable trucks and SUVs. Pontiac would be the affordable RWD performance car sub-brand.

* Buick/GMC: Midmarket Premium. Buick would be the volume anchor of this premium network with a lineup of premium FWD cars and MPVs. GMC would offer premium CUVs, SUVs, and trucks.

* Cadillac/Corvette: Luxury/Specialty. Cadillac would carry RWD luxury cars and AWD CUVs. Corvette will continue to carry the Corvette.

Of course, all of this will work if and only if there really are next gen Zeta based products on the corporation's product development schedule. There's really no reason for Pontiac or its blue collar American image to be eliminated; however, it might be better if GM reassigned the sub-brand to a dealer network (Chevrolet) that targets that demographic.

[CaddyXLR-V]

The fleet numbers on Pontiac probably aren't any prettier than they were a a few months ago. Lets go with the low number and say 30% of Pontiac's sales are fleet.

So of Pontiac's 17k (and change) sales, 5100 were sales that weren't to people who preferred the styling, or the name on the trunk, or necessarily thought the car was good. Those sales were strictly because GM was the lowest bidder.

Which is irrelevant because I'm sure the rest of GM has similar fleet percentages. The Aveo, Cobalt and Impala don't go to fleets? Pontiac was still down 30% while the rest of GM was down at least 40%, and even Toyota was down 39%.

[cire]

The fleet numbers on Pontiac probably aren't any prettier than they were a a few months ago. Lets go with the low number and say 30% of Pontiac's sales are fleet.

So of Pontiac's 17k (and change) sales, 5100 were sales that weren't to people who preferred the styling, or the name on the trunk, or necessarily thought the car was good. Those sales were strictly because GM was the lowest bidder.

I would probably have to agree with this. Most of the G6's retail numbers were probably obtained through some really fantastic deals. If that generates sales for GM and manages to keep them afloat somehow, then so be it (although I don't see how it really serves to generate any profits for the corporation). I would say that the same situation probably existed for most of the Impala's retail numbers also. This is just my speculation, though; I'm not submitting this as fact.

[Northstar]

I think fleet sales and huge incentives contributing to decent sales given the market probably isn't a very good reason to disregard such a performance. Most of GM's brands probably had lots of fleet sales and they all had pretty good incentives... the dealers are desperate.

[Satty]

Pontiac has the highest fleet percentage of any GM brand. And they matter because, as I said, those are sales that aren't about the car. They're not sales to people who actually want it, or think its a good car, they're sales to companies who want to spend the least. With everyone saying, "Pontiac is super-popular, it needs to stay" I think it needs to be addressed that in the last several years, more than one-third of all Pontiacs sold haven't been to people who actually WANT them.

And yes, G6 sales are likely propped by being really, really cheap.

[gm4life]

If Pontiac represents mainstream blue collar America, then it shouldn't really be a part of the B-P-G network (which should be a midmarket premium dealer network). If that is the case, then GM should plan on implementing the following strategy early next year:

1) Reduce Pontiac down to the G8 sedan, G6 coupe, and Solstice roadster/coupe and move the brand into Chevrolet dealerships. If the rumors are true about Holden developing lighter and smaller next gen Zeta based Commodore and Statesman sedans, then GM should make plans to build them at Oshawa and sell them in under the Pontiac brand in North America as the Grand Prix and Bonneville, respectively. All of Chevrolet's sedans would remain FWD, which fits the brand's mainstream mission. The Solstice would ride out the rest of its current model cycle with Pontiac and then be discontinued (I seriously doubt there will be a next gen version since the current version is not profitable and the government probably won't allow GM to spend development money on these automotive "toys"). If GM is planning on a smaller and lighter next gen Zeta based Camaro, I would move that next gen model to Pontiac as the Trans Am. I would develop a FWD midsize coupe on the SWB Epsilon II platform for Chevrolet to sell as the Monte Carlo; this car would essentially replace the G6 coupe and serve as competition for the Accord and Altima coupes.

2) Move the Vibe to Saturn and let it ride out the rest of its current model cycle with that brand. This would allow GM to discontinue importing the relatively expensive and unsuccessful current model Astra. Saturn will finish the rest of its term under the GM umbrella with the Aura sedan, Vibe 5-door, Vue CUV, and Sky roadster (I would discontinue the Outlook as soon as possible).

3) The current G3, G5, and G6 will be discontinued once Pontiac makes it move to Chevrolet dealerships.

4) With Pontiac gone, Buick/GMC would be free to pursue the midmarket premium segment. I would move up the intro of the Insignia based Buick Regal sedan to early next year since Buick/GMC will have no midsize sedan to sell once Pontiac and its G6 line makes its departure from the dealer network. When smaller next gen Opels are ready for the market, I would make plans to build and sell them in North America under the Buick brand; this will allow Buick/GMC to offer smaller premium products to complete the network's lineup.

5) I would make the Corvette its own brand and move it into Cadillac dealerships. The current Corvette's nearly $50,000 MSRP makes the car an inappropriate presence at Chevrolet dealerships. If people are going to spend that kind of money on a car they should be receiving the premium treatment which should be in place and practiced at all Cadillac dealerships (since Cadillac is supposed to be the corporation's flagship luxury brand).

This strategy would configure GM's remaining 6 brands (if Corvette became its own brand in North America) into distinct dealer networks that target specific demographics and price ranges:

* Chevrolet/Pontiac: Affordable/Mainstream. Chevrolet would be the mainstream volume anchor for the corporation with FWD cars and CUVs plus affordable trucks and SUVs. Pontiac would be the affordable RWD performance car sub-brand.

* Buick/GMC: Midmarket Premium. Buick would be the volume anchor of this premium network with a lineup of premium FWD cars and MPVs. GMC would offer premium CUVs, SUVs, and trucks.

* Cadillac/Corvette: Luxury/Specialty. Cadillac would carry RWD luxury cars and AWD CUVs. Corvette will continue to carry the Corvette.

Of course, all of this will work if and only if there really are next gen Zeta based products on the corporation's product development schedule. There's really no reason for Pontiac or its blue collar American image to be eliminated; however, it might be better if GM reassigned the sub-brand to a dealer network (Chevrolet) that targets that demographic.

You nailed it again.

[gm4life]

Pontiac has the highest fleet percentage of any GM brand. And they matter because, as I said, those are sales that aren't about the car. They're not sales to people who actually want it, or think its a good car, they're sales to companies who want to spend the least. With everyone saying, "Pontiac is super-popular, it needs to stay" I think it needs to be addressed that in the last several years, more than one-third of all Pontiacs sold haven't been to people who actually WANT them.

And yes, G6 sales are likely propped by being really, really cheap.

VOLUME IS VOLUME.

[CaddyXLR-V]

Pontiac has the highest fleet percentage of any GM brand. And they matter because, as I said, those are sales that aren't about the car. They're not sales to people who actually want it, or think its a good car, they're sales to companies who want to spend the least. With everyone saying, "Pontiac is super-popular, it needs to stay" I think it needs to be addressed that in the last several years, more than one-third of all Pontiacs sold haven't been to people who actually WANT them.

And yes, G6 sales are likely propped by being really, really cheap.

I wonder if fleet sales have any correlation with having the oldest lineup of GM's brands. Either way, even with 70% of Pontiacs car sales going to fleets, it still would have outsold Buick cars even if they had 0 going to fleets.

In fact, even if Buick had 30% of their cars going to fleets, the G8 would have outsold it by itself for retail sales. We get it, you hate Pontiac. Yet Buick is ok in your mind? You don't go on these tirades about Buick.

Edited April 3, 2009 by CaddyXLR-V

[Intrepidation]

Volume may be volume but the consequences of fleet sales is lower resale value and profit margins, as well as doing nothing to help the brand's image.

[Satty]

VOLUME IS VOLUME.

Volume doesn't mean a damn thing, its just a way for Company X to say, "We made Y more vehicles than competitor Company Z" no matter the bottom line.

VOLUME IS VOLUME.

So now you're in favor of dropping Pontiac, since all GM needs is volume and they can just add to Chevrolet's fleet numbers?

VOLUME IS VOLUME.

Volume isn't profit.

VOLUME IS VOLUME.

Retail volume is what matters, since those are customers who actually WANT TO PURCHASE the vehicles in question. The rest of the volume will go to the lowest bidder, thats no way to make money.

I just really like repeating that quote because there are several ways I can rip it apart.

[CaddyXLR-V]

Volume doesn't mean a damn thing, its just a way for Company X to say, "We made Y more vehicles than competitor Company Z" no matter the bottom line.

So now you're in favor of dropping Pontiac, since all GM needs is volume and they can just add to Chevrolet's fleet numbers?

Volume isn't profit.

Retail volume is what matters, since those are customers who actually WANT TO PURCHASE the vehicles in question. The rest of the volume will go to the lowest bidder, thats no way to make money.

I just really like repeating that quote because there are several ways I can rip it apart.

Hey we finally agree on something. I think volume only matters when those vehicles being sold are at a profitable price. I'm sure GM could sell a million Aveos if they sold each for $10, but that wouldn't make them profitable, so obviously volume isn't everything.

[Robert Hall]

It's simple classism... Pontiac (and Chevrolet until more recently) has always been a blue collar brand and possessed a lot of those traits. The "educated" people hate every aspect of the blue collar lifestyle. (especially the patriotism and localite parts) So they deem it 'uncool' and it dies. GM as a whole is experiencing the very same thing (albeit to a lesser degree)

'localite'?? What is that?

[Z-06]

'localite'?? What is that?

Local resident. For e.g. you are a localite of Phoenix. It is a slang.

[Robert Hall]

Local resident. For e.g. you are a localite of Phoenix. It is a slang.

Ah..interesting. Never heard it. I like 'reality context', of which my location is a part of..

[regfootball]

VOLUME IS VOLUME.

yup. market share.

[regfootball]

Volume may be volume but the consequences of fleet sales is lower resale value and profit margins, as well as doing nothing to help the brand's image.

(cough) Chrysler (cough)

(cough) Hyundai (cough)

(cough) Kia (cough)

(cough) Camry (cough)

[FUTURE_OF_GM]

'localite'?? What is that?

I'm using it in a Sociological sense...

Localite means a member of a community, but it is also a mindset (and one that is quickly fading)

The localite mindset consists of caring about your community more than the world or global community in general. It is/was very common in small towns and had it's own merits and importance, despite what most say. (I think america will learn th hard way that the persecution of it's localite mindset is a very bad idea.

This is all in comparison to cosmopolitan, which is a global mindset and tends to dominate very urban places.

[FUTURE_OF_GM]

I wonder if fleet sales have any correlation with having the oldest lineup of GM's brands. Either way, even with 70% of Pontiacs car sales going to fleets, it still would have outsold Buick cars even if they had 0 going to fleets.

In fact, even if Buick had 30% of their cars going to fleets, the G8 would have outsold it by itself for retail sales. We get it, you hate Pontiac. Yet Buick is ok in your mind? You don't go on these tirades about Buick.

Of course not... because he, and the rest of his mindset, isn't threatened by what Buick represents, only what Pontiac represents.

[Intrepidation]

(cough) Chrysler (cough)

(cough) Hyundai (cough)

(cough) Kia (cough)

(cough) Camry (cough)

(cough)that makes it ok then(cough)?

[Intrepidation]

yup. market share.

Yup, market share for Avis lots. Low profit margin market share!

[Satty]

Of course not... because he, and the rest of his mindset, isn't threatened by what Buick represents, only what Pontiac represents.

What does Pontiac represent? Bland, jellybean rental cars? Because thats what makes up the "volume" you guys are jacking off over.

[Intrepidation]

What does Pontiac represent? Bland, jellybean rental cars? Because thats what makes up the "volume" you guys are jacking off over.

Pontiac represents EXCITEMENT!!!!!!!!!!!!!!!!!

[Satty]

But I read on the interwebs that the G3 is a great car, better than any Bentley, Jaguar or Bugatti.

[Intrepidation]

But I read on the interwebs that the G3 is a great car, better than any Bentley, Jaguar or Bugatti.

Well $h! man, it's better than the Fit and the Fiesta, so why wouldn't it be better than a Continental GT?