GM launches Vauxhall cashback deal

VauxhallGeneral Motors is aiming to boost customer interest in its Vauxhall cars with an interest-free cashback offer on its new car ranges, despite negative press coverage on its decision to raise prices.

The company will advertise the deal on TV and in press advertising, enticing buyers under the banner “You Pay, We Pay”.

A GM spokesperson says: “Most car buyers are unsure of what the future holds, especially in the current economic recession. You Pay, We Pay means buyers keep their money in the bank to earn interest, along with a 5% cashback payment, which in itself would earn 3% interest at today’s average rate.”

GM says it is the first car manufacturer in the UK to offer cashback to its customers directly. Similar offers have been used by independent dealers in the past, but not from car makers themselves.

The company has been criticised for its decision to increase prices on its ranges by between 3% to 5% this week, despite having received bailout funds in the US and the UK.

GM says the price rises were “compulsory” due to “the falling value of sterling against the Euro”.

The company says it hopes You Pay, We Pay will help to attract customer interest in its ranges once more.

Andy Dunstan, Vauxhall’s retail sales director, says: “In a new car market flooded with the same old deals, You Pay, We Pay is a genuinely fresh approach. With many new car buyers unsure of what the future holds, we felt that Vauxhall needed to raise the bar in the market and offer something extra. The beauty of the deal is not only its simplicity, but the fact that it genuinely puts money back in the pockets of hard-hit consumers.”

The offer echoes similar campaigns in the US offering car swaps and two for the price of one.

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3703 or email customerservices@marketingweek.com

If you are looking for our Jobs site, please click here