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GM will launch 60-day money-back guarantee

Thu, 10 Sep 2009

General Motors Co. is taking a page from the retail industry with its latest marketing blitz in an effort sell more cars: a 60-day money-back guarantee.

The initiative--unorthodox for an automaker--starts Monday and covers 2009 and 2010 model-year cars from GM's surviving brands, Chevrolet, Cadillac, Buick and GMC. The program will run through Nov. 30 as part of a “May the Best Car Win” campaign aimed at convincing consumers to return to GM.

Customers can return the cars between 31 and 60 days, and the vehicles must have less than 4,000 miles on the odometer.

The company once held half of the U.S. market, but quality issues on some of its models in the 1970s through the 1990s put a damper on GM's reputation among car buyers. It now has about 20 percent of the market.

The campaign also will feature GM chairman Ed Whitacre, the former CEO of AT&T, Automotive News reports.

Bob Lutz, GM marketing and communications vice chairman, said the moves show off the company's renewed confidence.

“We think if consumers give us a fair chance and look at the facts on the things that matter most to them--like design, fuel economy, warranty and safety--our vehicles are the best choices. That's what makes an offer like this possible,” he said in a statement.

More details on the GM guarantee:

-- Offer covers 2009 and 2010 model-year Chevys, Buicks, GMCs and Cadillacs (except medium-duty trucks).

-- Customers (one per household) can return their vehicle between 31 and 60 days with less than 4,000 miles.

-- Customers will be informed in writing before they buy the vehicle of the terms.

-- Customers must take delivery by Nov. 30.

-- The satisfaction guarantee covers the vehicle purchase price and sales tax, but not other add-ons such as accessories, negative equity on a trade-in or other fees; other restrictions apply.

-- Leased vehicles are not included.

-- More information will be available beginning Sept. 14 on the brands' Web sites.




By Greg Migliore