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GM limits Volt sales in April
Move allows dealers to receive 300 demos to boost brand image
David Shepardson / / Detroit News Washington Bureau
Washington— Monthly sales of General Motors Co.'s extended range electric Chevrolet Volt fell in April, as the automaker ramped up distribution of demonstration models to dealers, the company said Monday.
"It's tough to limit the number of Volts for sale to potential customers when demand is so strong, but the Volt has value to the Chevrolet portfolio well beyond incremental sales," said Cristi Landy, Chevrolet marketing director, in a statement.
"Our Chevy dealers will keep their Volt demo units for six months, and then they sell these units at the conclusion of the demo period."
GM expects to sell from 400 to 500 Volts in April, said Rob Peterson, a GM spokesman, down from 608 in March; official sales figures for the month are due today.
But GM also delivered nearly 300 demo Volts to dealers last month — a key move to boost brand perception, it says.
GM wants to use the Volt to boost the awareness, even if customers opt to buy another fuel-efficient model instead. It's part of the Volt marketing plan: exposure first, sales second, Peterson said.
Through March 30, GM sold 1,210 Volts and about 1,500 since they went on sale late last year.
GM expects to build 15,000 Volts in the first year of production at the Detroit-Hamtramck Assembly plant, selling 10,000 here, 2,500 outside the United States and 2,500 demo models.
Demand continues to outstrip supply, Peterson said. "We expect to sell every one of the 10,000 units produced," he said.
Almost nine of 10 customers who traded in a vehicle as part of their purchase are new to the Chevrolet brand.
That's why hundreds of Volts that could be sold to individuals are tagged for dealers as demonstration vehicles, meant for customer exposure to the Volt and other Chevy products they might otherwise not see, he said.
"We know the best way to experience the Volt is to get behind the wheel and drive it," Landy said. "An added bonus is that our dealers are seeing that the Volt is increasing traffic on to our dealer showroom floors and is exposing consumers to Chevy's line of 'gas-friendly' vehicles, including the Cruze, Malibu and Equinox."
The demo models in April went to dealers in launch markets including California, Michigan, Texas, Connecticut, Texas, New York, New Jersey and the Washington, D.C. area.
In total, GM has delivered 550 dealer demo units.
Nissan Motor Co. said earlier this month it expected to have sold about 430 electric-vehicle Leafs in April, after selling 471 through March 30.
From The Detroit News: detnews.com |
