GM image upgrade a ray of hope

[Ming]

GM image upgrade a ray of hope
March 11, 2007
BY TOM WALSH
DETROIT FREE PRESS



When you're on an economic losing streak as ugly as metro Detroit's -- Pfizer closing its Ann Arbor research complex, Chrysler on the auction block, Comerica headquarters moving to Dallas -- you look for an encouraging sign wherever you can.

So it is with a flutter of hope that I bring two seeds of promise regarding the region's biggest corporate citizen, General Motors Corp.:

• A new national poll of 1,000 Americans by Rasmussen Reports shows that 69% think "favorably" of GM, a big jump from only 48% last year.

• And in Fortune magazine's 2007 ranking of America's Most Admired Companies, GM has moved up to No. 5 among vehicle makers, a nice gain from last year's No. 9 rank among the industry cellar dwellers.

OK, so it's not exactly the stuff of a memorable ad campaign -- "We're Number 5! Ain't No Jive! We're Number 5!"

But it is directionally encouraging to see that GM, widely derided as a lost cause and bankruptcy candidate a year ago, has since surpassed Nissan and Volkswagen along with Ford on the admiration meter in the Fortune survey.

The Rasmussen poll might be more promising because the survey sample was made up of everyday folks interviewed March 1-2. These are the kind of car and truck buyers that GM must lure back into Chevrolet, Cadillac, Pontiac, Saturn, Buick and GMC showrooms in order to stabilize its share of U.S. vehicle sales, which has been skidding since the 1970s.

According to the survey by New Jersey-based Rasmussen, 69% of Americans have a favorable view of GM and 22% an unfavorable view. That's much-improved since July, during the height of speculation about a GM-Nissan-Renault alliance that never happened.

In the new survey, 57% of Rasmussen poll respondents rate Ford Motor Co. favorably and 30% unfavorably. The numbers for Chrysler -- 51% favorable, 31% unfavorable -- are similar.

The poll also showed that 84% of Americans believe the U.S. auto industry is important to the overall national economy, with 49% saying it's "very important."

The Rasmussen poll didn't ask about Toyota or other foreign-owned auto companies, but the Fortune most-admired survey did.

Full Article: http://www.freep.com/apps/pbcs.dll/a...014/BUSINESS01

[Jesda]

Better products and a warmer public image seems to help. For decades GM seemed like a big, bureaucratic monolith. It still is, but it doesn't come across as one.

[ARCANGEL]

the next 5 years GM will be back in full GLORY!!!

[jzchev28]

interesting....not sure how much faith to put in it...but it certainly is nice to see.

[andy82471]

Originally Posted by jzchev28

interesting....not sure how much faith to put in it...but it certainly is nice to see.

I agree; Way too premature to celebrate. Gas prices are going up, GM's healthcare cost is once again going to increase 2 years down the road. I guess GM looks better compare to Ford and Chrysler been down at the dump. I remember 5 years ago Chrysler too was optimistic that the RWD LX cars and the new Sebring and Stratus will usher in the glory days of and look where they are now. Only time will tell

[nadepalma]

Originally Posted by Jesda

Better products and a warmer public image seems to help. For decades GM seemed like a big, bureaucratic monolith. It still is, but it doesn't come across as one.

I also think that having good people up front helps. Welburn is very charasmatic, while Rick is being more forceful and Lutz is as much a rallying figure as there's ever been in Detroit.

These types of people, help to get the prees' attention while also unifying the company.

Combine that with much, much, much better products, better styling, an ever increasing healthy balance sheet and it will eventually make it to the general public.

Now --- just keep the momentum going --- one poll does not win a battle. If we were to rely on just that, it would give a false sense of confidence. It's a nice poll and certainly be proud of it, but its a minor milestone with much more to yet be done.

[killerrd2]

Keep at it!

[Hurricane]

Quite a turnaround in perception in such a short time!

No time to rest on laurals though - GM needs to keep moving forward. I can't wait to see what the next few years brings!

[poncho1982]

Where's our ever hating Buickman now?

Man, I bet he has to hide his head in the ground when he reads great news like this.

[Jesda]

To his credit, Buickman has a lot of great ideas. They just aren't as significant as he believes.

[TORRED1]

Perception is everything and it is good to see that GM's is improving, and in my mind it is justified. I have purchased new GM vehicles since 1977 and have seen the quality improve consistently. Way to go GM!!!

[eaton53]

As an image upgrader, I usually I think GM's marketing could use work, but the Pontiac "Defend Convertible Freedom" ads showing during the basketball games today are pretty damn funny.

http://www.pontiac.com/convertible/

Certainly beats cash back ads.

[bone]

How does General Electric do it? I would guess most of their blue-collar workers are unionized and their legacy costs must be close to the same percentage as GM Ford, and DMC. I understand what Jack Welsh did during his tenure,however,the company just gets stronger and stronger. Man,would I like to see GM as Strong.

[stevecmh]

goreat news .. glad to see more Americans are liking GM...

on a side note GE is the most admired.. i can totally see that. But Starbucks #2... hell how about Harley or something, but Starbucks.. COME ON

[New_Mexico_Sunset_on_Rt66]

Product, product, product, product, product, product, product.

No Nomad, yet? No SS concept, yet? No Velite, yet? No Kappa coupes, yet?

GM missed a prime opportunity with Buick. Buick should have released the Velite and Enclave in the same model year. That would have been an awesome 1-2 punch. Then followed by a Buick Zeta. With those 3 Buick models, Buick could then release a FWD model on the coat tails of the former 3.