General Motors Company · NYSE:GM
General Motors — Investor Presentation (September 2008)
27 slides from General Motors's investor presentation, Sep 5, 2008
Slide 1: Forward Looking Statements
Forward Looking Statements In this presentation and in related comments by our management, our use of the words "expect," "anticipate," "estimate," "goal," "target," "believe," "improve," "intend," "potential," "continue," "designed," "opportunity," "risk," "may," "would," "could," "should," "projec
Slide 2: Mark LaNeve, GMNA Vice President, Vehicle Sales, Service & Marketing
CAGD2008_Title_Blank.jpg Mark LaNeve GMNA Vice President, Vehicle Sales, Service, & Marketing General Motors Corporation
Slide 3: Agenda
Agenda Industry Outlook Market and GM Performance GM Go-To-Market Strategy Distribution Channels
Slide 4: Industry Challenges
Industry Challenges Market shift away from our traditional strength in trucks Credit market has deteriorated buyer base of non-prime buyers High fuel prices straining our owner base Consumer confidence remains unstable Perception gap to competition remains in quality and fuel economy High cost of su
Slide 5: Current U.S. Industry Outlook
Current U.S. Industry Outlook Total industry expected to be in mid 14M unit range, down from 16.5M last year CYTD total industry SAAR of 14.6M through August Current calendar year outlook suggests balance of year SAAR of 13.5M Do not expect massive incentives or big push into fleet sales Mix shift i
Slide 6: U.S. Light Vehicle Industry SAAR
U.S. Light Vehicle Industry SAAR MRL_CSBF_06_SAAR Source: GM Global Market and Industry Analysis (GMIA)
Slide 7: U.S. Industry Light Vehicle Mix
U.S. Industry Light Vehicle Mix Source: GM Global Market and Industry Analysis (GMIA)/JD Power Information Network; Data through August 2008 MRL_CSBF_07_USvehicleMix
Slide 8: Pros and Cons of the Leasing Business
Shorter ownership lifecycle Enhanced marketing due to known trade date Higher loyalty rate Payment advertising to drive showroom traffic Buy-up opportunity due to lower monthly payments Higher incentive cost/unit External risks to residual values Seasonal residual risk if not managed properly More d
Slide 9: What's Going Right for GM
What's Going Right for GM Recently launched products very well received Despite industry downturn in large pickups and lower incentive spending, GM has gained share Strong progress in dealer network channel alignment and consolidation Dealer network is best at taking care of customers Several much-a
Slide 10: Launch Successes in Key Segments (August YTD)
Launch Successes in Key Segments Compact Cars August YTD Retail Volume - 2008 vs. 2007 Mid & Mid Lux Cars Crossovers Vibe +35% Malibu +130% Aura +6% CTS +39% Enclave +203% Acadia +14% HHR +7% VUE +9%
Slide 11: Launch Successes in Key Segments (August)
Launch Successes in Key Segments Compact Cars August Retail Volume - 2008 vs. 2007 Mid & Mid Lux Cars Crossovers Vibe +114% Malibu +212% CTS +87% Enclave +87% Acadia +29% Outlook +4% VUE +32%
Slide 12: Impact of EDE on Retail Sales
Impact of EDE on Retail Sales Note: Comparisons made to previous 90-day periods MRL_CSBF_12_EmployDiscount
Slide 13: GM Top Reasons For Purchase
2004 MY 2006 MY 2008 MY Q1-Q2 Rebate/ Exterior Exterior Incentives Styling Styling Value for Value for Value for the Money the Money the Money Price/ Fuel Fuel Monthly Payments Economy Economy Exterior Price/ Dealership Sales Styling Monthly Payments Experience Fuel Rebate/ Dependable/ Economy Incen
Slide 14: U.S. Average Transaction Prices
U.S. Average Transaction Prices % Change 2008 CYTD 2004 CY 2008 CYTD vs. 2004 CY Source: GM Global Market and Industry Analysis (GMIA), Power Information Network (PIN) GM Car $20,980 $21,852 4.0% GM Truck $28,975 $30,348 4.5% GM Crossover $24,142 $24,736 2.4% Industry Car $22,849 $23,236 1.7% Indust
Slide 15: GM Dealer Inventories Are Lean
GM Dealer Inventories Are Lean Source: GM Global Market and Industry Analysis (GMIA) MRL_CSBF_14_DealerInventory
Slide 16: Go-To-Market Strategy
- Go-To-Market. Strategy
Slide 17: 2008 and Future Business Plan Imperatives
2008 and Future Business Plan Imperatives Re-establish Chevrolet as a Leader in Mainstream Volume Cars and Crossovers Re-ignite Cadillac's Renaissance to Achieve Leadership in the Luxury Segment Maintain Truck Leadership in Volume and Image Develop a Robust BPG Portfolio that Adds Incremental Sales
Slide 18: Re-establish Chevrolet as a Leader in Mainstream Volume Cars and Crossovers
Re-establish Chevrolet as a Leader In Mainstream Volume Cars and Crossovers New Malibu must establish Chevrolet credibility in critical mid-car market Utilize Malibu as the foundation for rebuilding brand health with future entries Leverage Camaro to bring excitement and design leadership back to th
Slide 19: Traverse Marketing Approach
Traverse Marketing Approach Traverse will be superior in all the important practical aspects: utility, safety, and fuel economy Traverse has a great opportunity to reach a very desirable target: Successful, educated women who have a lot going on in their lives - career, family, community, socially.
Slide 20: Re-ignite Cadillac's Renaissance
Re-ignite Cadillac's Renaissance to Achieve Leadership In the Luxury Segment Design and engineer products to meet global expectations of luxury buyers Provide a full product line-up and features to fit global luxury segments Align execution of luxury image in all aspects of the retail channel Levera
Slide 21: Address Needs of Growing Customer Segments
Address Needs of Growing Customer Segments (Fuel Economy, Volt, etc) GM is investing in multiple pathways to meet customers' fuel economy and environmental needs: MPG, E85 Ethanol, Hybrids, Electric, Fuel Cell GM has 18 models with 30 MPG or better EPA highway - more than any other automaker Fuel ef
Slide 22: Distribution Channels
Distribution __ i Channels |
Slide 23: Customer Satisfaction For All Eight Brands Above Industry Average
Customer Satisfaction For All Eight Brands Above Industry Average MRL_CSBF_24a_DealersBest
Slide 24: GM Go-To-Market Plan
GM Go-To-Market Plan MRL_CSBF_26_MarketPlan_WEB
Slide 25: Evolution of Buick, Pontiac, GMC to a BPG Channel
Evolution of Buick, Pontiac, GMC to a BPG Channel 2005 2008 7 3 8 6 9 7 24 16 The combined BPG channel includes 16 models that cover 80% of the market segment resulting in an improved profit opportunity for GM and our dealers at lower investment MRL_CSBF_27_Evolution (Number of Product Entries)
Slide 26: U.S. Action Plans for Balance of 2008
U.S. Action Plans for Balance of 2008 Continue to improve car and crossover market share and profitability Shift marketing spend to growing segments, driven by fuel efficiency (Cobalt, HHR, Malibu, VUE, G6, etc.) Defend trucks through loyalty programs, targeted conquest, and trade assistance Utilize
Slide 27: RGY_NYMS-MTL
RGY_NYMS-MTL
General Motors — Investor Presentation (September 2008) on 6ix