GM Says No Haggling on Hummers
With the Hummer EV Edition 1 selling out over what would constitute an extended lunch break, General Motors is clearly aware it has a hot commodity on its hands. While that may not continue into subsequent model years, the electrified monstrosity is seeing demand comparable to what we witnessed with Dodge’s Demon and GM has a similar solution in mind.
Rather than allowing dealers to see what they can get away with on the standard Hummer pickup when it goes on sale next year, GMC will be implementing a strict no-haggling policy. That’s undoubtedly going to be a blow to dealers thinking they could clean up on markups and a blessing to customers who don’t want to spend a few extra grand on their already expensive midlife crisis.
Automotive News confirmed the decision on Wednesday after tapping into an investor’s call.
“There will be no incentives. There will be no trickery,” Duncan Aldred, vice president of global Buick and GMC, explained. “We are trying to construct a dealer margin in such a fashion that it really is a no-haggle price.”
“[GMC will] deliver a one-price experience for the customer from the brand, from the website, right through to the dealer level.”
Aldred added that about half of the eligible dealerships have already elected to sell the Hummer. It’s scheduled to arrive next fall as a 2022 model year vehicle, starting with the limited (and premium) Edition 1 trim. But GMC plans on offering multiple trims and body styles.
[Image: GMC]
A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.
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It's called a Manufacturer's SUGGESTED Retail Price. Dealer always sets the price. The manufacturer has some ways of influencing the stealerships' behavior. $112k (today) is a lot of money. Will there even be sufficient demand to make gouging viable? The people who this appeals to may not have the dough to get one. Also, there is a certain schizophrenia here. On the one hand, I offer up the ultimate Jeep, which doesn't (directly) use fossil fuels. Very green. On the other, just by the act of off-roading, "tearing up the trails" as it were, I am offering you a way defile (what's left of) the environment.
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