Millions Spent on Ads Does Little for Chevy Volt Sales

National Legal & Policy Center ^ | March 2, 2012 | Mark Modica

[jazusamo]

It looks like there is plenty of inventory of Chevy Volts available for those aliens that seemed to be so impressed with the car on Super Bowl Sunday. Unfortunately for General Motors, earthlings do not seem as enamored with President Obama's favorite vehicle. Despite GM spending millions of dollars during the month to advertise the taxpayer subsidized Volt, only 1,023 sold in February.

The pitiful sales number is not stopping the ridiculous headlines on the web by proponents of the Volt. One reads, "Chevy Volt Sales Sizzle" as others brag about the car outselling the even more dismally selling Nissan Leaf. One shill site stated that the Volt outsold the Leaf by a "massive" margin of 545 units. Given the fact that GM outspent Nissan by millions of dollars on ads, we can guesstimate the added advertising cost per additional vehicle sold at about $10,000. In addition to the ad spending, GM is now offering 0% for 60 months on the Volt through government owned Ally financial to help spur sales. Economics obviously has nothing to do with Government Motors' Volt push.

Notably absent from the sales figures were purchases by crony company, General Electric. GE is insisting that all employees drive company supplied Volts or not get reimbursed for their vehicles. Non-credible sources that continually falsely tout the Volt as a success claim that GE is doing this to save money. Considering that the fuel savings for the Volt amount to about $2 a day and that the vehicles cost approximately $15,000 (even after tax credits) more than gas-powered fuel efficient vehicles, the more likely reason for GE's backing of the Volt relates to their vested interest in selling chargers for the vehicles.

President Obama has also staked his reputation on the Volt, recently stating that he would buy one in five years. That might not be a bad idea if he plans to buy used. The car is sure to depreciate a great deal in five years time; he should be able to get a much better deal then. Maybe his pals at GE can sell him one of their fleet vehicles at that time. That is, when they have a fleet, which suspiciously appears to be timed for when we get a bit closer to November elections.

GM and friends have complained about the politics surrounding the Volt , yet President Obama continues to pitch the vehicle. I guess GM is fine with politics as long as it benefits them, such as happened with the Obama orchestrated bankruptcy process which shored up GM's balance sheet by $50,000,000,000 (courtesy of taxpayers) while favoring the politically powerful UAW. GM now wants to condemn anyone who criticizes the Volt as having a right wing political agenda. Do you really have to have a political agenda to think that it is wrong to spend billions of taxpayer dollars subsidizing a car for the wealthy that does practically nothing for oil dependence or the average working American?

GM can obviously no longer blame lack of supply for the poor Volt sales performance. The NHTSA investigation has been completed and there is now no longer an overhang from safety concerns relating to Volt fires. In true Government Motors' fashion, they may continue to try and blame Republicans for hurting sales, but only extreme left wingers will believe that one. Anyone paying attention should be able to understand that the vehicle just doesn't offer the value that most consumers are looking for. And the supposed Volt owners who write about how they are saving thousands of dollars a year and love their vehicles are beginning to look more like plants as anyone with simple math skills can figure out how little can really be saved by running on electricity for 30 to 35 miles. In fact, if the $15,000 saved by not purchasing a Volt was invested and earned only half the Bernie Madoff-like 11% return that GM managed to earn on their pension funds, you can earn more than the gas savings a Volt could obtain.

There is really no reason to debate whether the Volt is or is not a wonderful vehicle. The numbers speak for themselves. Those that continue to fight the battle to convince the masses that the Volt is a technological wonder are only losing credibility to the point where it is an embarrassment. Politicians and General Motors should be questioned as to why they continue the hoax. And the ludicrous tax credits that go to the 1% who can afford the vehicles should be ended .

Mark Modica is an NLPC Associate Fellow.

[jazusamo]

Everyone should be contacting their representatives in congress to support Rep. Mike Kelly’s bill to kill the $7,500 tax credit.

This tax credit is for all EV’s that qualify and includes the Chevy Volt and Nissan Leaf.

[schnicklefritz]

After 2 years of looking out for Volts on the road, I still haven’t seen one. Have you? The only honest review I read said the visibility while driving was bad and the brakes had problems. I stay in my safe gas burner, thanks.

[jazusamo]

I haven’t seen one on the road either.

I view the Volt as a car for the wealthy enviro type people who want to make a statement. Overall it’s not an economical vehicle when all costs are considered and the average person can’t afford it.

[Truth29]

For all the taxpayer money spent on the Dolt, they should give each of us one and then a daily stipend in something other than depreciating USDs for the severe inconvenience of having to drive one.

[RetSignman]

In their latest ad, I was struck by one of the lines they used: ‘It was a car we had to build’.

Just maybe they were trying to tell us something.

[duckman]

“I still haven’t seen one. Have you?”
Saw one with the Chev dealer logo on the side, lightning bolt and large ‘VOLT’ decal as well. BTW it was over in the ‘break down’ lane probably waiting for AAA.

[Proud2BeRight]

The Volt, like that ugly Prius are not driven. They are “worn” as liberal uniforms. Question, are Obama stickers put on the Prius as standard equipment in their Chinese and Japan factories. They all seem to wear one.

[ILS21R]

Those that continue to fight the battle to convince the masses that the Volt is a technological wonder are only losing credibility to the point where it is an embarrassment.

The only ones allowed to fight the battle are the airheads in the top of the tubes. As long as they're getting paid, they don't care what anybody thinks. Besides, they know better than you. GM hasn't been the same since the days DeLorean jogged through the tunnels..... and that's a long time.

[blueunicorn6]

GM spent millions to advertise the Volt? What a horrible waste of money. That money could have been sent to Democrat pockets and campaign funds.

[jazusamo]

Don’t know about the bumper sticker but I do know a guy in OR that’s had a Prius for 3 or 4 years and he’s a lib. :)

[jazusamo]

True...I wonder how many millions of that was taxpayer money.

[AngelesCrestHighway]

[Walkingfeather]

I have seen about 5 in the last 6 months on the LA freeways. I always get the drivers attention and then shake my head like... “You dumb $hit” They respond like it is not the first time they have seen it...

[Nachum]

The list, Ping

Let me know if you would like to be on or off the ping list

http://www.nachumlist.com/

[AngelesCrestHighway]

The last thing I’d take up the I-15 late Friday night to Vegas is this electric dog turd on wheels....

[jazusamo]

I hear you, we made that trip a number of times when living down there.

We also used to go to Carson City via 395, no way would I try it with that.

[RogerWilko]

Man, I’ve got a GREAT advertising slogan that might help them sell a few more:

“Be a Dolt... Buy a Volt!”

[Bon mots]

ObamaMobile

[Bluestocking]

The Chevy Volt is turning out to be worse than the Edsel — till now the greatest fiasco in American automotive history.

[jazusamo]

This thread just posted, Government Motors is in real trouble with the Volt:

Heartache: GM Halts Production of Chevy Volt, Lays Off 1,300 Workers…