GM to launch Red Tag year-end sale

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Old 11-18-2006, 07:21 PM
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GM to launch Red Tag year-end sale

GM to launch Red Tag year-end sale Saturday - - By JAMIE LAREAU | AUTOMOTIVE NEWS - - Source: Autoweek

DETROIT -- General Motors will start its year-end clearance sale, called the Red Tag Event, on Saturday, Nov. 18.

The sale will run through Jan. 2 and include all brands except Cadillac, Hummer and Saab. The Chevrolet Corvette and Pontiac Solstice also are not included, GM says.

The sale is similar to the promotion GM ran last year at this time, spokesman John McDonald said today.

"What a consumer will see is a Red Tag hanging from the mirrors," McDonald said. "It will list the MSRP and then the price the consumer will pay after the incentives. The dealer decides how much the discount will be."

The discount could range from nothing to $2,000 per vehicle. The program covers 2006 and 2007 models, McDonald said. It also includes most existing incentives on vehicles, so a vehicle could end up with more than $2,000 of incentives on it.

GM employees get a maximum discount of $500, said John Rogin, owner of John Rogin Buick in Livonia, Mich.

"We asked them to start it early this year," Rogin said today. "Why have a customer stand around in the middle of November and not buy a car because they're waiting for the end-of-year sale?"

GM sent notices to dealers about the sale today, McDonald said. He would not discuss specifics on how the program works, but dealers say each dealer will get a certificate worth $250 for each vehicle in inventory. The dealer can apply up to eight certificates, or $2,000, on any one vehicle.

"If the Buick Lucerne is turning quickly and doesn't need any incentive money, then a dealer could take that certificate money and put it on a 2006 model or some other vehicle," Rogin said.

Dealers have until Friday, Nov. 17, to tell GM the vehicles on which they plan to add the incentive money, Rogin said. He said he has 10 2006-model vehicles left in stock and likely will use many of his certificates on those vehicles.

GM has just over 1 million 2006- and 2007-model vehicles in inventory, McDonald said. He said 80 percent of those are 2007s.

GM likely won't spend all its incentive money -- about $250 million -- because dealers won't sell every vehicle they put the money on, said Gordon Stewart, president of Stewart Management Group in Harper Woods, Mich.

"(This sale) is a little confusing, to say the least," Stewart said today. "I wish it were more clear and didn't have so many twists to it. The simplest incentives often work the best."

Stewart said he'll likely put most of his certificate money on his 2006 models.

GM plans to advertise the sale aggressively in print and on TV, radio and the Internet, McDonald said.

He said GM will advertise the sale through the respective brands with the same tag line as last year's promotion: "See some red, save some green."
Old 11-18-2006, 07:22 PM
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The bleeding continues...
Old 11-18-2006, 07:34 PM
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Originally Posted by gavriil
The bleeding continues...
Hence the red...
Old 11-18-2006, 08:27 PM
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It will get worse. Although i don't have a link handy I recall that Chrysler has something like 2-3 months of unsold inventory that it hasn't released to its dealers yet.
Old 11-19-2006, 08:46 AM
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It's been plastered on Detroit TV since yesterday ... I was wondering to myself, "How is this program going to turn around GM?"
Old 11-19-2006, 09:17 AM
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Sounds like a dumb program. If I wanted a 2006 model, I would have bought it a year ago.
Old 11-19-2006, 10:19 AM
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too bad GM doesn't offer anything that I'd want to buy... anything remotely interesting is excluded from the sale...
Old 11-19-2006, 10:43 AM
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Originally Posted by GreenMonster
too bad GM doesn't offer anything that I'd want to buy... anything remotely interesting is excluded from the sale...
So the sale doesn't include the GTO?
Old 11-19-2006, 11:10 AM
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GTO was dead after MY06
Old 11-19-2006, 11:16 AM
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Originally Posted by GreenMonster
too bad GM doesn't offer anything that I'd want to buy... anything remotely interesting is excluded from the sale...
ditto.
Old 11-19-2006, 12:48 PM
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Originally Posted by GreenMonster
too bad GM doesn't offer anything that I'd want to buy... anything remotely interesting is excluded from the sale...
Old 11-19-2006, 03:42 PM
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Originally Posted by mrsteve
GTO was dead after MY06
so.. if you happen to find a new GTO on the lot somewhere at a pontiac dealership, could it still possibly be included?
Old 11-19-2006, 05:47 PM
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Originally Posted by agranado
so.. if you happen to find a new GTO on the lot somewhere at a pontiac dealership, could it still possibly be included?
It should be included, and there are still '06's on the lots (at least here). If you go for one, make sure they've fixed the struts first.

For info on both:

http://www.ls2gto.com/forums/
Old 11-19-2006, 09:21 PM
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Originally Posted by derrick
It's been plastered on Detroit TV since yesterday ... I was wondering to myself, "How is this program going to turn around GM?"
GM can't possibly turn around their operations that quickly. Most of the models that consumers will "want" to buy are 07's or being introduced in 08', 09', etc...

Plus the longer a vehicle sits on a lot, the more money it costs the dealer...might as well get rid of them.
Old 11-19-2006, 10:00 PM
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All the "good" stuff is off the table.
Old 11-20-2006, 10:08 AM
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Originally Posted by agranado
so.. if you happen to find a new GTO on the lot somewhere at a pontiac dealership, could it still possibly be included?

I looked. Nearly impossible to find a 6-speed left on the lot here. Lots of 4-speeds though
Old 11-20-2006, 10:18 AM
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Originally Posted by Moog-Type-S
All the "good" stuff is off the table.


The sale will run through Jan. 2 and include all brands except Cadillac, Hummer and Saab. The Chevrolet Corvette and Pontiac Solstice also are not included, GM says.
....the should have just tossed the Pontiac GTO into the group above(^). That way, I could TOTALLY dismiss any consideration of GM's Red Tag sale. Sidenote: If it had navi and a moonroof, I would be all over the GTO like Al Gore over Global Warming.
Old 11-20-2006, 03:49 PM
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Originally Posted by mrsteve
I looked. Nearly impossible to find a 6-speed left on the lot here. Lots of 4-speeds though
omg

Monaro VXR 6L LS2 - HSV VZ GTO - Top Gear
http://youtube.com/watch?v=G99DE4VMl4k
Old 11-22-2006, 07:15 AM
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Originally Posted by afici0nad0
omg

Monaro VXR 6L LS2 - HSV VZ GTO - Top Gear
http://youtube.com/watch?v=G99DE4VMl4k


A local Nissan dealership (where I purchased my Murano, Maxima & Quest) have a 2006 GTO 4AT with 3k miles on the lot selling for $26k.
Old 11-23-2006, 06:51 AM
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The sale will run through Jan. 2 and include all brands except Cadillac, Hummer and Saab. The Chevrolet Corvette and Pontiac Solstice also are not included, GM says.
So, basically, everything I'd be interested in.
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