Chrysler Group is dropping an incentive plan that offered to double the government's "cash for clunkers" rebates amid complaints from dealers that inventory is running. The move also comes after the cash for clunkers program, which offers rebates from the government of up to $4,500 brought of consumers into dealer showrooms.
In July, Chrysler offered to double the rebate by adding up to $4,500 rebate are available to consumers who trade in older vehicles and buy new, more-efficient models
Effective Tuesday, Chrysler will no longer offer a flat $4,500 rebate on top of the clunker incentive. Instead, it will vary the size of rebates, depending on the model and brand a customer selects. Chrysler is changing the message "to focus less on the deal but more on the products", said Jodi Tinson, a spokeswoman of the company.
Edmunds.com estimates that Chrysler has spent about 68% more on incentives for the first six months of the year than the average, at about $4,693 per vehicle.
(Source: wsj.com)
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