Is The Recall Turning GM Dealers Into Ghost Towns?

Jack Baruth
by Jack Baruth
is the recall turning gm dealers into ghost towns

I got a message today from a good friend who has been in the GM dealer business for a long time.

“Don’t mention my name,” he wrote, “but our floor traffic on new GM product is NON-EXISTENT. It’s like during the financial collapse of 07-09!” It makes sense. The media’s been hammering General Motors pretty hard about the recall; their natural antipathy to the Detroit giant was only temporarily eased by the General’s wobbly starring role in the Obama-Bailout-Savior re-election storyline. With the President safely returned to office, NBC et al are now free to exercise their full coastal contempt for GM, and they’re doing so.

I’m curious as to what the B&B are seeing out there. Are your local dealers empty? Full of bargain shoppers? Same as always?

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8 of 115 comments
  • Jimal Jimal on Jun 28, 2014

    I think you'll find that most manufacturers are going to report softer than expected June results. Except for maybe Porsche.

  • Stovebolt Stovebolt on Jun 29, 2014

    I have no knowledge to respond to this question. However, combining it with Bark's nearby item about a GM recall (non-recall, whatever) brings up an unexpected thought: How about dealer service managers/staff? They're presumably just folks trying to do a job against a backdrop of various recalls or not-recalls, part numbers, availabilities, as well as customers, corporate communication, and public information/misinformation. Although the problems were created by others, dealer service departments are responsible for handling the situation, not to mention and dealing with not-too-happy customers. I believe those individuals deserve our appreciation for doing what is surely a thankless job.

  • Jasper2 Jasper2 on Jul 01, 2014

    The lack of customer enthusiasm for the brand in my opinion has nothing to do with the recent massive recalls and impending victim / family victim payoffs. It has more to do with GM being so yesterday. GM is like Oldsmobile, Hummer. Pontiac, Saturn, and SAAB. In other words, so yesterday. Compare to Honda, Hyundai, Toyota, Volvo, etc., GM brand styling is dated; the reliability is well below today's industry standards. The margins on some of the body panels is unbelievably poor. I am not interested in any comment on my opinion from some GM loving a$$ hole. It is my opinion so leave it alone.

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    • Jasper2 Jasper2 on Jul 01, 2014

      @Vulpine I don't mind responses when they are as excellent as yours. Your well thought out and well written response is spot on. Thank you very much.

  • Secret Hi5 Secret Hi5 on Jul 01, 2014

    GM stock up 2% so far on July 1. They must know something we don't.

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    • Danio3834 Danio3834 on Jul 01, 2014

      3% at the moment. I've been watching it carefully with each successive recall, but everyone's outlook remains positive.