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TMCNet: GM ends online sales pact with eBay [The Sacramento Bee, Calif.]

[September 30, 2009]

GM ends online sales pact with eBay [The Sacramento Bee, Calif.]

(Sacramento Bee (CA) Via Acquire Media NewsEdge) Sep. 30--General Motors and eBay Motors today will end their trial program that enabled consumers to bid for new GM cars from some 225 California dealerships.

Now, auto industry analysts wonder if the California-exclusive program will someday return as a national effort.

GM spokesman John McDonald on Tuesday characterized the eBay experiment that began on Aug. 11 "a success," but said GM wanted to wrap it up on the scheduled date and concentrate on other national incentive programs.

McDonald said the automaker would take what it learned and apply it to future marketing efforts.

GM said the eBay program generated 1.5 million Web visits and more than 15,000 customer leads, although the company did not say how many cars were sold as a direct result of the eBay link.

Rob Chesney, vice president of eBay Motors an arm of the San Jose-based eBay said ending the GM program was not indicative of any problems and hinted that future programs might spring up with other automakers.

Analysts on Tuesday generally characterized the GM-eBay alliance as a success.

"This program's message is a statement that GM has confidence in its products," said Jeremy Anwyl, CEO of Edmunds.com, the Santa Monica-based auto information site.

"Based on Edmunds.com data, the GM program is drawing more shoppers to GM vehicles than before on some brands and models more than others and is turning some shoppers into buyers in varying degrees depending on the brand and model," said Edmunds senior analyst Michelle Krebs.

The GM-eBay program originally was scheduled to wrap up Sept. 8, but was extended based on robust online traffic.

Under the program, consumers could access new-vehicle inventories for most Chevrolet, Buick, GMC and Pontiac dealers in California. They could buy at the published price or make an offer to a specific dealer.

------ Call The Bee's Mark Glover, (916) 321-1184.

To see more of The Sacramento Bee, or to subscribe to the newspaper, go to http://www.sacbee.com/.

Copyright (c) 2009, The Sacramento Bee, Calif.

Distributed by McClatchy-Tribune Information Services.

For reprints, email tmsreprints@permissionsgroup.com, call 800-374-7985 or 847-635-6550, send a fax to 847-635-6968, or write to The Permissions Group Inc., 1247 Milwaukee Ave., Suite 303, Glenview, IL 60025, USA.

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