GM's 'love it or return it' offer: Desperate move?

In an attempt to catch up with a resurgent Toyota, the U.S. auto giant is resorting to an unusual measure — a 60-day, money-back guarantee

2013 Chevrolet Camero 1LE
(Image credit: GM)

In a radical move "that makes car buying akin to shopping for shoes at Nordstrom," says Jerry Hirsch at The Los Angeles Times, General Motors this week launched a "love it or return it" program that allows consumers to return their new Chevrolets if they're dissatisfied. The deal, which promises a 60-day money-back guarantee, applies to all of Chevy's 2012 and 2013 models, as long as the cars are returned undamaged and with fewer than 4,000 miles on their odometers. The promotion also comes with "no haggle" low prices that are intended to clear Chevy's 2012 inventory. GM's offer is an attempt to catch up with a resurgent Toyota, whose sales have climbed 29 percent in the first half of 2012, while Chevy's have inched upwards by only 6 percent. But will it work?

Consumers will appreciate the deal: The "love it or return it" deal, which unmistakably conveys GM's confidence in its products, "might give consumers more peace of mind when buying a car," says Shaina Cavazos at The Cleveland Plain Dealer. Clearly, the company expects that only a "low percentage of buyers" will actually return their cars. Consumers will "think they got a great deal from day one, and they won't feel buyer's remorse later on." Bottom line: Prospective car owners "might consider GM when they wouldn't in the past."

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