Predatory Marketing is Alive and Well
January 28, 2010
According to AdAge.com today General Motors has moved quickly to leverage Toyota's bad fortune and devastating recall of 2.3 million vehicles. Is it dirty pool? No, it's business says GM. GM has targeted Toyota with an incentive program and unveiled a purchase-and-lease scheme aimed squarely at Toyota and Lexus customers. GM's plan is available to Toyota owners until the end of February allows Toyota owners who terminate their lease to get up to $1,000 off a new or leased GM vehicle.
This plan qualifies Toyota owners to buy or lease new Chevrolet, Cadillac, Buick and GMC vehicles. Buyers can finance, lease or pay cash and enjoy similar attractive incentives. Will this boost GM sales? Is the Pope Catholic? Does the bear live in the woods? Toyota's bad news is further exacerbated by a very slow public response to the recall issue and a total lack of damage control marketing.
"We decided to make this offer after receiving many e-mails and calls from our dealers who have been approached by these customers asking for help," a GM spokesman said in an e-mail. "Such 'conquest' incentives are used commonly in the industry."
We would expect Ford to follow with similar deals.
