Cash for Clunkers is a phrase that translates into incentives which were roundly criticized when automakers used them to spur sales. Something about pulling people into the market early and doing away with brand loyalty were mentioned.
But given the dire condition of the U.S. auto market, nary a peep has been heard about the long term impact of incentives, or cash for clunkers. And the downside was not mentioned when the National Automobile Dealers Association asked the government to suspend the cash-for-clunkers program because a survey by the group found that the $3 billion fund has been exhausted.
While the Cash for Clunkers program is coming to an end manufacturers and dealers are concerned that their business will return to pre-clunker levels. To address this concern, some of the leading U.S. Automotive Retailers are participating in a privately funded stimulus program to help consumers who were left behind by the government’s plan.
Due to the restrictions of the government’s program, over 90% of consumers were not eligible. As a result, some of the largest retailers in the country are promoting a new dealer funded stimulus program that gives consumers up to $4500 of additional trade-in value towards the purchase of a new or used vehicle.
See Program details at www.AutoStimulusPlan.com.
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