GM to cut prices on most models

[notiCIas]

GM to cut prices on most models

Reductions, taking effect Jan. 11, affect 80% of cars No. 1 automaker sells.

January 10, 2006: 11:47 AM EST


DETROIT (CNNMoney.com) - General Motors said Tuesday it is cutting manufacturer's suggested retail prices on vehicles that constitute about 80 percent of its sales.

Under the new pricing structure, sticker prices on many GM vehicles have been lowered by as much as $2,500, the world's biggest automaker said.

pointed to strong sales of the Chevrolet Impala and HHR, Pontiac Solstice and Cadillac DTS as evidence of the success of lowered sticker prices.

Last August, the troubled automaker announced a new marketing and pricing strategy called "Total Value Promise" which, the company said, would move GM away from reliance on special pricing incentives.

"Starting right now, we are going to communicate a clear, simple message," Mark LaNeve, GM vice president, North America Vehicle Sales, Service and Marketing, said in a statement.

"In more segments, with more brands, GM has a great product at a great price, and in many cases, we have the best product at the best price. Customers can compare for themselves not only on our own Web sites, but on Head2Head at Edmunds.com."

Edmunds.com provides automotive data and content for CNN's automotive Web sites.

Among the company's Saturn vehicles, only the Relay minivan had its price changed. No Saab or Hummer vehicles will have price changes.