By on June 2, 2016

2016 chevrolet impala

Summer’s here, and it’s never been a better time to please, please buy one of our cars, General Motors wants buyers to know.

The automaker plans to roll out a host of incentives during the month of June, Automotive News reports, to make up for a month that saw combined sales at all of its divisions sink 18 percent year-over-year.

The promotions, mostly targeting Chevrolet buyers, were outlined in a letter sent to U.S. dealers yesterday by Brian Sweeney, the brand’s U.S. chief. In it, he said May “did not deliver the result we planned for.”

May was a bad month for most automakers, but GM had it worse for a variety of reasons. A decrease in rental sales, something GM planned as part of its long-term sales strategy, ate into deliveries. Also, a series of earthquakes that hit Japan’s manufacturing heartland in April led to supply chain disruptions, forcing GM to idle four assembly plants.

The sales slowdown caused GM’s market share to plunge to its lowest in decades — 15.7 percent, narrowly beating out Ford.

Sweeney doesn’t want a bad May to bring down the brand’s second quarter sales numbers, so he called on dealers to “defend our position as the fastest growing full-line brand of 2016.”

One of the promotions will promise zero percent financing and $8,250 in dealer cash on some Silverado crew cab models. Until now, incentives on full-size GM pickups lagged that of its rivals.

Through the middle of the month, Chevy will offer 20 percent off the sticker price of its 2016 Impala, Sonic and Spark models, and offer $750 cash to owners of non-GM vehicles. The automaker will add an additional $500 in cash to its redesigned Cruze and Malibu sedans, and boost their advertising.

[Image: General Motors]

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87 Comments on “After Sales Tanked in May, GM Becomes ‘Incentive Santa’ in June...”


  • avatar
    DeadWeight

    Whisper rumor that Johan de Nysschen, Melody Lee & Uwe Ellinghaus are going to dress like Uncle Sam and stand on the corner of Cadillac Dealerships to try and attract traffic into the “blowout ATS/CTS/XTS SALE OF A LIFETIME!!!!”

    • 0 avatar
      Corollaman

      On July 4th?

      • 0 avatar
        DeadWeight

        Now through July 4th (to be extended into Red Tag December).

        Johan is going to dress like Uncle Sam on stilts, Melody Lee like Martha Washington, while Uwe is to dress like a Blue Coat Revolutionary soldier while playing the flute (in powdered wig).

        If they don’t succeed to dramatically driving sales, this may be Johan’s Yorktown moment!

    • 0 avatar
      DeadWeight

      p.s. – The CT6 is going to flop badly, also.

      The clearance sales on that extended wheelbase CTS are going to be epic.

      • 0 avatar
        DeadWeight

        The ultra-luxury, sumptuous, S-Class/7 Series fighting Cadillac CT6 2.0 liter.

        • 0 avatar
          VoGo

          The 2.0T is for the fleet crowd. An extra $1,500 gets you the 3.6, which is perfectly adequate and will be the norm for retail sales.

          Newsflash: the 5-series and E-class come with a 2.0T standard.

          You have plenty of valid criticisms of Cadillac; I don’t view this as one of them.

          • 0 avatar
            DexteriousJones

            “The 2.0T is for the fleet crowd.”

            Why is Cadillac selling their supposed flagship as a fleet model?

          • 0 avatar
            TMA1

            A standard 2.0T doesn’t mean Cadillac should be criticized less. It just means BMW and Cadillac should be criticized more.

          • 0 avatar
            DeadWeight

            Dozens of blue hairs in Florida retirement communities seen driving Cadillac CTS 2.0 liters.

            “It’s the Cadillac of 4 cylinders!,” exclaimed Jerry Kowalski, a 88 year old Del Boca Vista resident.

          • 0 avatar
            DeadWeight

            Dozens of blue hairs in Florida retirement communities seen driving Cadillac CT6 2.0 liters.

            “This long-legged CT6 Mack Daddy is the Cadillac of 4 cylinders!,” exclaimed Jerry Kowalski, a 88 year old Del Boca Vista resident.

          • 0 avatar
            TMA1

            Mr. Kowalski, one week later:

            “I was making a simple lane change. I put on the blinker and it took off on me. And the next thing you know, I was submerged. It drove itself into the swamp! Great job with CUE, Cadillac!”

    • 0 avatar
      runs_on_h8raide

      There’s a tie-in opportunity with their new coffee shop. It’s like how Starbucks has a rewards program….every 10th purchase of a coffee gets you $1000 off a new Caddy.

      You’ll need all the caffeine you can drink when you walk into the Cadillac showroom however, the products are real snoozers.

    • 0 avatar
      formula m

      With the Equinox, SRX and Terrain having new models coming this year, some of the best selling current models are bound to have sales decline. Same with the Cruze changing over to a new model. This is most likely just part of the product cycle.

    • 0 avatar
      bunkie

      Summer is here. DW is into re-runs.

      Oh wait, isn’t *everything* he posts a re-run?

  • avatar
    MatadorX

    In my personal experience GM wouldn’t have to do these drastic measures if the GM dealers were a bit more willing to negotiate on their vehicles. Here in SoCal most GM stores pretty much stick to MSRP except trucks, even that not too much. They live on preying on the poor with sketchy financing deals, no actual money off, no deals. But now that the Koreans have that game all sewed up, along with Nissan which the poor love to buy and finance for 96 months, they are hurting. Good. Who do they think they are, Honda? If I want to pay MSRP from an indifferent corporation I’ll just go to Toyota where I know 4 years down the line the depreciation will be so low that I’ll still get 75% of what I paid in the first place. I might even get $1k off from the dealer before factory incentives.

  • avatar
    tonycd

    For those few people who want a full-size sedan anymore, here’s a chance to get a good one at a helluva deal. Too bad GM’s abuse of suppliers and increasing use of Chinese ones means you can’t trust their stuff beyond the day the warranty ends. (My God, I’m starting to sound like DW.)

    • 0 avatar
      DeadWeight

      Everyone sounds like me when they examine the facts.

    • 0 avatar
      sportyaccordy

      You are aware that there are already plenty of Chinese parts in cars as is right?

      • 0 avatar
        VoGo

        Well, at least my iPhone, Lenovo laptop and Samsung TV all remain purely American made, so I can be assured that some things in life are reliable.

        • 0 avatar
          tresmonos

          Man, my Lenovo was such a let down after owning a thinkpad. It has me entertaining an apple product.

          • 0 avatar
            DeadWeight

            My Lenovo X220 will be THE LAST Lenovo product I ever buy.

            It’s a cheaply-built, shoddy POS that essentially Lenovo de-ThinkPadded to the point of ruining the ThinkPad name forever.

          • 0 avatar
            Nick_515

            Thinkpads are still held to a different standard. Lenovo’s can be hit or miss. My ideapad u260 was very good. My current Yoga 2 Pro is good, but has design compromises. I have a Thinkpad Carbon 4th gen being shipped as we speak – first Thinkpad I’ll ever own. I hope it’s good.

          • 0 avatar
            psarhjinian

            If you thought the X220 was bad, the X230 will make you weep. I won’t speak of the X240, T440 and such: I haven’t forgiven them for changing the power adapter.

            I still have an X301 as my “fun” computer (I have a W530 for work). I know this sounds like “My 99 Accord was the best Honda ever made; it’s all been downhill since” but “My X301 was the best laptop ever made; it’s all been downhill since”

          • 0 avatar
            bunkie

            A bit expensive, but you won’t be disappointed. After my Lenovo’s Wi-Fi left the building, I bought a MacBook Pro and installed Parallels on it. I have seamless use of OSX, Windows 10 and Linux all on the same desktop.

            My MacBook Air is the single best piece of consumer gear I’ve ever owned. In a sea of plasticky crap, it’s been a complete delight: light, incredibly durable and with a premium feel afforded by the aluminum monobloc construction.

            And, yes, I have more computers than I really need…

      • 0 avatar
        tresmonos

        I’d say that trend has exponentially increased in the last decade.

      • 0 avatar
        Silence

        Chinese parts would be an upgrade for most GM products. They need to quit sourcing their products from Hasbro and Mattel….then they’d be able to save $100 million a year on postage from not having to send out a constant stream of recall notices.

      • 0 avatar

        Took off the wheels of my 2010 CTS. Proudly stickied on the door, Assembled in Michigan, complete with a map so I can be sure where Michigan is.

        Wheels stamped on the inside “Made in China” They are nice wheels and balance well…but I was unaware that there weren’t any wheel makers left in the US. The Battery Cables also have large labels “made in China”. Add the Bosch bits on the engine and it really is a worldwide effort, ASSEMBLED in Michigan…but clearly not made there. I can’t imagine a more “murican” brand, but if you took off all the non US parts, you’d have a frame and some glass….maybe.

        • 0 avatar
          DeadWeight

          Most General Motors wheels are made by Yanfeng, about as Chinese as it gets, which explains inner wheel corrosion within 3 years of purchase.

          Also, many new GM vehicles are literally developing surface rust on the frame rails, some suspension components and underbodies while new on the dealership lots, because..

          …Chinese steel.

          (There are class action lawsuits centering around these issues regarding Chevy Silverados, Equinoxes, etc right now, especially involving Florida, the Carolinas, Alabama, Louisiana and other humid areas near the ocean.)

          • 0 avatar
            runs_on_h8raide

            Chevy…like a rock…”CUE audience laughter”

            Cue…get it? LMAO….rusting on the lot. I believe they call that patina!!!

          • 0 avatar
            jpolicke

            As little as I think of Chinese products in general, I can’t blame the rusty frames on them without more information. Nobody issues a purchase order for “steel”. There are multitudes of alloys with different properties; what specifically does GM order? Not that I’m assuming that what was delivered couldn’t be drastically inferior to what was ordered, in which case shame on GM for not doing their own checking.

            Also, the Chinese probably aren’t responsible for GM’s decision to save money by skipping the paint.

          • 0 avatar
            redmondjp

            It’s no surprise when you consider that it likely came from a pot pourri of melted-down scrap from the US.

            Even with car batteries it makes a difference – the original US-made Optima batteries used ‘virgin’ (non-recycled) lead, while the current Mexican-made ones now use recycled lead and reportedly are nowhere near as good as the originals were.

          • 0 avatar
            SSJeep

            No doubt, Chinese steel is garbage. Im not sure if it is a result of poorly trained metallurgical engineers or just skimping on the refinement process, but it is generally garbage. Moving auto production to Chinese steel without the appropriate quality controls is a recipe for disaster long-term. Maybe my next pickup will be an F150…

    • 0 avatar
      Joe Btfsplk

      Chinese GM…It’s not your uncle’s Buick anymore… unless his name is Wang.

      • 0 avatar
        DeadWeight

        Chinese Regals, Envisions, and Cadillac CT6s – and many more to come – made in China, exported to Detroit.

        Everybody WANG CHUNG TONIGHT

        (Deep voice refrain)

        EVERYBODY HAVE FUN & DIM-SUM TONIGHT

  • avatar
    gasser

    Just pulled the trigger on a Hyundai Genesis with some generous Memorial Day incentives. 20% off on a new Impala would have gotten me into my Chevy dealer for a long, hard look. But no matter how good the manufacturer deal is, your local dealer can always screw up the sale with their BS add ons.

    • 0 avatar
      mmreeses

      from what my brother tells me….you’ll be treated way, way better at a Hyundai dealership service lane in your Genesis than at a Chevy dealership w/an Impala.

      hopefully your mileage won’t vary.

      • 0 avatar
        formula m

        Yes because you will be great friends with the service department you become dependant on the month long service rentals that the give you while waiting for parts shipments. I have worked in the service department and both Hyundai and GM. I had never called Enterprise for car rentals for customers as I did during my time with Hyundai. I remember we had 28 SanteFe customers waiting over a month for just one shipment of transmissions.
        Everything is under warranty as long as you get every suggested brake service with your oil changes

  • avatar
    Kenmore

    “20 percent off the sticker price of its 2016 Impala, Sonic and Spark models”

    Impalas being put in that company is one of the saddest things I’ve ever heard.
    But other large sedans are faring no better.

    We can’t effing see out of them, Your Industrial Majesties. And my demographic *was* accustomed to being able to do that from large sedans.

  • avatar
    eggsalad

    Yes, I could get 20% off a new Sonic.

    Instead, I got 50% off MSRP by buying a 3-year-old, 30k mile Sonic.

    The depreciation monster works both ways.

  • avatar
    dukeisduke

    This, on the day that Cadillac opened their coffee bar in Soho:

    “THE MULTIPURPOSE BRAND EXPERIENCE CENTER WILL DELIVER DYNAMIC PROGRAMMING FOR CONSUMERS ACROSS ART, FASHION AND CULINARY”

    http://media.cadillac.com/media/us/en/cadillac/news.detail.html/content/Pages/news/us/en/2016/may/0523-cadillac.html

    You can’t make this sh-t up, folks.

    • 0 avatar
      dukeisduke

      And the guy that wrote that release?

      Eneuri Acosta
      Lifestyle, Influencer, Partnership Communications

      SMDH.

      • 0 avatar
        DeadWeight

        “Lifestyle, Influencer, Partnership Communications”

        Sounds like a production manager for “Project Runway.”

      • 0 avatar
        TMA1

        Half the requirements for that job are having a name like “Eneuri Acosta”. You can bet Ralph Smith’s resume went right in the trash.

      • 0 avatar
        64andahalf

        “THE MULTIPURPOSE BRAND EXPERIENCE CENTER WILL DELIVER DYNAMIC PROGRAMMING FOR CONSUMERS ACROSS ART, FASHION AND CULINARY”

        “Art” and “Fashion” are nouns, but “Culinary” is an adjective. Are they trying to scare away educated consumers? I’ve seen resumes get tossed into the “circular file” for similar mistakes.

        • 0 avatar
          DeadWeight

          Their grammar is horrendous, but they possibly intend to state that one can cook/prepare meals in the backseat.

        • 0 avatar
          Featherston

          I’m late to this thread and was just about to post the same thing. Thank you, 64andahalf.

          You’ll appreciate that two weeks ago a work colleague–someone senior to me, of course–accused me of making up the adverb “funnily.” Granted, only about 1% of the US population uses adverbs nowadays.

  • avatar
    zip89105

    The current offers are horrible, so it’s easy to see why shoppers go elsewhere. GM doesn’t have 0% APR like most of its competitors on the vehicles I looked at, and the cash and lease offers are abysmal. GM, ‘like a rock’, is leading the way to the bottom again.

  • avatar
    Corollaman

    If they ever do a Comedy Central roast on GM, DW should be master of ceremonies.

  • avatar

    GM is the largest corporation on Earth with no VP/Marketing.

  • avatar
    jthorner

    Hmmm, we have $3800 in languishing GM Card earnings which could be used on top of other GM offers. Our ’03 Accord is showing its age. The current Malibu could be an attractive choice at the right price.

  • avatar
    pmirp1

    In Atlanta we can buy Mustangs and Challengers cheaper than a Camaro. I think the quality of materials inside both of those are nicer than Camaro.

    GM is making a mistake with their pricing on Camaro, and even Caddys.
    Make SS same price as Mustang. Get rid of 2.5 entry engine for ATS, and price ATS 2.0 at 29,999 and the 3.6 liter at 34,000. CTS 2.0 at 32,000 and CTS 3.6 at 36,000. CT6 should only be offered with a V6 base and V6 turbo for max 50k. I thought CT6 is S class competitor, why dilute the message with a turbo four. Even with that type of aggressive pricing, the instrument gauges of ATS and CTS needs to be changed and CUE needs to use a more Chevy truck type system with knobs and buttons.

    • 0 avatar
      raph

      GM with the SS has a higher level of content compared to the Mustang GT. The price of entry for the Mustang can be a fair bit lower and depending on your frame of reference is still well equipped for a stripper but once you spec the Mustang up to match the Camaro the Camaro tends to come out ahead. Purely from a performance stand point you have to step into a GT350 to get matching performance so not only is there the standard Shelby premium but most dealers are tacking on ADMs that range quite high with dealers demanding as,much as 20k over MSRP for the standard GT350 and twice that for the R.

  • avatar
    nels0300

    Out of curiosity, I checked out autotrader to see what new Impalas were going for.

    I saw brand new V6 Impalas listed for $24K.

    People pay that kind of money for 4 cylinder Accords and Camrys. I’m not a GM guy at all, but I had one of those Impalas as a rental and $24K seems like a bargain. I’d get one over any 4 cylinder midsize sedan.

  • avatar
    Ar-Pharazon

    Using this site is like a bad trip to the late 1990’s.

    Page loads are SSSLLLOOOWWW and often lock up my browser (for minutes at a time if I’m lucky, or until I get the “page crashed” message if not) while various ad sites load their (obnoxious) content (over the top of pictures, usually).

    I swear, the only other time I see this cruddy level of performance is when I lose my mind and click on a link to zergnet or some other dicey aggregator site.

    This is using Chrome on an i7-processor PC with a 10 Mbps cable connection. Also happens at work with IE11, a slower PC but a faster connection. So I don’t think it’s me or my choice in browser.

    Why can’t you fix this? It’s 2016 for Tom’s sake . . . can’t you find some decent technology? I get sick of coming here and fighting with the site.

    • 0 avatar
      Kenmore

      You don’t like that retro feel?

      *sigh* If only I still had that dreamy Netscape gif up in the corner.

      • 0 avatar
        Ar-Pharazon

        Or some sparkles and faux fireworks. I love sparkles.

        • 0 avatar
          Vipul Singh

          Truly surprised at this, as I access this site from India (imagine!) and it opens up on my Sony phone (Chrome) and Lenovo Thinkpad (IE) in a matter of 5 seconds at home or over the cellular network. Faced no performance issues from the office over the corporate network or from NZ, Thailand, UAE, US etc. when i was visiting those places

          Something may be configured differently at your end

          • 0 avatar
            05lgt

            perhaps it has been optimized for the webmasters location instead of the majority of its readers?

    • 0 avatar
      raph

      Yeah, it’s clunky to say the least in both IE and Chrome. When the site bogs down to a standstill in IE I get a run on script error message IIRC.

      I usually do better with my phone but even that gets frustrating with these hammocks I have that pass for hands always hitting the comma button when I use the space bar and an overly aggressive spellcheck that further complicates things but still better than using my browsers on my PC.

    • 0 avatar
      brettc

      Sounds like you’re maybe not using an Ad blocker? Install Adguard in Chrome and I bet it will fix the problem. It’s bad for me as well unless an ad blocker is running.

    • 0 avatar
      05lgt

      the ar5advoice popup long running script lockup is about 30% of page loads on IE. On chrome on an android… lockup is the usual.

  • avatar
    Tstag

    There are some really odd things going on in the US car market at the moment. Overall sales do seem on the slide especially for premium car makes. That said if you look at JLRs numbers as an example they are deceptive. Land Rover are down 8% mainly because of falling RR and RR sport sales, except not really. Range Rover sales drop is cause by a lack of inventory in the dealer network

  • avatar
    Erikstrawn

    This reminds me of the Drew Carey show episode where his friends try to make money with a change machine. They offer an incentive of five quarters for a dollar to make up for their losses with volume.

    What GM needs is to make cars with a reputation for quality, not for making “almosts”. The Cadillac is almost as good as a BMW (but cheaper), the Impala is almost as good as an Accord (but not as reliable), the Camaro is almost as capable on-track as a Mustang (but not as daily-usable), etc. The resale value is horrible, because a ten-year-old Chevy is usually a steaming pile. This may be more a product of who buys Chevys than how good Chevys are, but that is also an argument against steep discounts.

    I do drive a ’99 Suburban, and if there’s a strong suit for GM, it’s Suburbans and Tahoes. That’s their bread-and-butter vehicle, and they tend not to screw those up. But I won’t buy new to replace it, I’ll buy something that’s taken the standard GM depreciation hit.

  • avatar
    Tstag

    Every car maker in the US seems to have a different story to tell at the moment. Take Land Rover their sales are down 8% but that’s only because the company can’t make enough Range Rovers or Ranger Rover sports to meet demand. Consequently they are diverting sales to China where they make more money.

    Want a Jaguar XF no problem there’s a few about. How about an f pace? Join the 6 month waiting list. Maybe a Jaguar XE… We no they are also off to a strong start.

    Every brand has a different story. That said the overall trend seems to be falling sales everywhere.

  • avatar
    dangit56

    DW-
    Am confused by the lack of respect you continue to show the NYC based Standard of Excellence.
    For example, it is NOT a “CT6”.
    Proper respect for The Brand would be using the term “First Ever CT6” in every reference
    (with a grumpy nod and a wink to Peter DeLorenzo).

  • avatar
    theoldguard

    Truly, I always liked the way the ATS looked and loved the way it handled when I drove one. At age 59, do I meet the minimum age requirement for purchase?

  • avatar
    theoldguard

    I’m probably going to get blasted for saying this, but I wish Americans had loyalty to their own brands. Having been career military, I lived two years in South Korea. I noticed how loyalty to their Korean brands and Korean-made products is a part of their considerable patriotism. Is that what kept Hyundai/Kia alive in the free market back when they made junk? I thought blind loyalty to native brands makes those brands lazy and uncompetitive. Before my Korea tours, I drove German cars for better and worse. Now I buy ‘Murcan.

  • avatar
    Jeff S

    I get all the GM hate, it is not cool to like or own American cars. Is BMW that much better a car than a Japanese, Korean, or American car if you are using it like an average person and not racing it on the Autobahn? I am not that crazy about Cadillacs but the new Impala, the new Malibu, and the LaCrosse are not that bad and for the average person that uses a vehicle for every day living these vehicles will more than meet their demands. The BMW drivers that I encounter usually speed thru my neighborhood at 50 plus miles per hour even though the posted speed is 25 mph. I guess it is ok to hit someone elses pet or kid since it is not your own and they are much lesser beings than you in your leased BMW, Porsche, Audi, Mercedes, or VW. My point is not as much of a hatred toward German cars but the absolute snobbery that those who own and drive them have toward other cars and toward people who don’t own a German vehicle. My wife was a flight attendant with Pan Am for years and flew all over the World. Some of her German friends would make fun of Americans who bought German status cars saying that the Germans exported their lesser quality cars to America because the Americans would buy anything with a German badge on it.

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