SAAB Cuts 5/100,000 mile Powertrain warranty

[ctsmo]

Saab Changes Warranty for 2009
http://www.autowarrantyinsight.com/
7/26/08

With the 2007 model year vehicles, GM introduced the 5-year / 100,000-mile powertrain warranty and brought Saab closer to copying the warranty coverage of all the GM makes.

It looks like that is changing for the 2009 model year.

For 2009, Saab is going back to future by rolling back to some of the same warranty coverage that was offered prior to 2007.

A separate powertrain warranty will not be offered but powertrain components will be included as part of the 4-year/50,000-mile bumper to bumper warranty. Roadside assistance and courtesy transportation will also be covered for the same period.

In 2007 and 2008, Saabs were covered by a 5-year/100,000 mile powertrain warranty. Included in that is roadside assistance and courtesy transportation.

Source: http://www.autowarrantyinsight.com/2...anty-for-2009/

http://www.trollhattansaab.net/archi...ippets-11.html

[Ambalanche]

I can't see how this is going to help instill confidence in a marque that many people still don't know much about.

[mgescuro]

WHAT?? WHY???

Does Saab still offer Free Scheduled Maintenance on all Saabs for 3 years or 35,000 miles???

[doh]

http://online.wsj.com/article/SB1217...oo_hs&ru=yahoo

GM is cutting back on the warranty agreement it is offering potential buyers of Saab vehicles in the U.S. market as it looks to shave costs and reposition the brand to more effectively compete with premium European brands.

Saab vehicles will now come with a four-year, 50,000 mile warranty rather than the seven-year, 100,000 mile warranty offered on vehicles sold through GM's other seven divisions in the U.S. Saab spokeswoman Joanne Krell said the move is related to high costs.

Saab will continue to provide free scheduled maintenance for the first three years, or 36,000 miles of ownership, making it the only GM brand offering that perk.

Ms. Krell also said that other European brands, such as Volkswagen AG's Audi brand, do not provide such hefty warranty packages. "That's not what Saab customers value most," Ms. Krell said, referring to the warranty offer. She said the auto maker's new Saab warranty reflects what used to be offered on the vehicles, and "is a more appropriate package that competes" with the Swedish auto brand's peers.

In 2006 GM first rolled out the 100,000-mile pledge across its brands to reinforce its claim of building vehicles that meet or exceed the industry standards for quality and durability. The move was designed to help the auto maker lower its reliance on sales incentives, such as discounts, by bulking up the list of services and features that buyers receive on GM cars.

Saab, however, has been struggling to gain momentum in the U.S., despite introducing new products in recent years that were intended to flesh out the lineup beyond its traditional two-sedan portfolio. Those new products -- a U.S.-built SUV and small wagon -- fell flat in the market.

On Friday, GM Chief Executive Rick Wagoner said that Saab primarily exists as a key component of GM's European operation. He said Saab is profitable in Europe, but said unfavorable exchange rates -- given the low value of the U.S. dollar -- have forced GM to hold back on its plans for the U.S. arm of Saab.

He said Saab will roll out new models in the U.S. next year, including a model built in the U.S.

[RamJet502]

Bad PR move

[montrealvue]

For a brand already known as having poor quality vehicles, this is a terrible move. It demonstrates GM doesn't stand behind the quality of it's products.

[Perian]

Originally Posted by mgescuro

WHAT?? WHY???

Does Saab still offer Free Scheduled Maintenance on all Saabs for 3 years or 35,000 miles???

My new 9-5 has three free services within a 3 year or 30K window.

I guess the 5/100 was too good to be true.

Side note: With Saab pushing leasing during the past years, what will happen now? Will they offer rebates for purchase with reduced warranty coverage?

This may prove they have a great deal of confidence in future product...

[mgescuro]

Originally Posted by doh

GM is cutting back on the warranty agreement it is offering potential buyers of Saab vehicles in the U.S. market as it looks to shave costs and reposition the brand to more effectively compete with premium European brands.

Baloney. I think GM realized they were building crappy Saabs and could no longer incur the warranty expense.

Originally Posted by doh

Saab will continue to provide free scheduled maintenance for the first three years, or 36,000 miles of ownership, making it the only GM brand offering that perk.

That's a relief.
XLR offered it. Cadillac should consider offering it.

[mjd1001]

Personally, I'd rather have a 4 year/50,000 mile bumper to bumper warranty than a 3 year 36,000 bumper t bumper with a 100,000 powertrain warranty. In the past 15 years with all the GM cars I have owned, I have never once had a powertrain issue, but I have had dozens and dozens (I'd say 23-30) non-powertrain issues....so I'd rather just have the extra year and 14,000 miles of a bumper to bumper.

[emh]

What Saab needs is compelling products with performance and features on par with other European brands like Audi and BMW. If the reduced warranty helps put more resources towards that, it's a worthwhile tradeoff. After all, the reduced warranty terms are still comparable to other Euro brands, and Saab and BMW remain the only brands to offer free maintenance on entry-lux vehicles.

Oh and hopefully more marketing money! Saab needs to somehow set itself apart from the other Euros. Currently, there's no reason for anyone who's not a Saab nut to even visit a Saab dealership.

[eurohazard]

Originally Posted by mjd1001

Personally, I'd rather have a 4 year/50,000 mile bumper to bumper warranty than a 3 year 36,000 bumper t bumper with a 100,000 powertrain warranty. In the past 15 years with all the GM cars I have owned, I have never once had a powertrain issue, but I have had dozens and dozens (I'd say 23-30) non-powertrain issues....so I'd rather just have the extra year and 14,000 miles of a bumper to bumper.

Please don't think I'm trying to change your opinion on this...you obviously spelled out good reasons for you. But holy crap....not me.

Powertrain components could be major, I'd rather have longer coverage on engine, transmission etc. I'd fix a squeaky dash (or any other problems) on my own within that 14k mile window....and obviously after that too.

[Boki]

I can already see what gm management is thinking. They are probably asking them self how can they improve saab sales? Rick and Lutz come with a great idea, they said lets cut down warrenty and lets build suv for saab. That will improve saab sales. This is just crazy. What they are saying is that saab is poor quality and we can not stand behind it anymore. WOW what a good way to get more customers

[zl-1]

[sarcasm mode on]

Yay!

[sarcasm mode off]

[SUPERBADD75]

Originally Posted by emh

What Saab needs is compelling products with performance and features on par with other European brands like Audi and BMW. If the reduced warranty helps put more resources towards that, it's a worthwhile tradeoff. After all, the reduced warranty terms are still comparable to other Euro brands, and Saab and BMW remain the only brands to offer free maintenance on entry-lux vehicles.

Oh and hopefully more marketing money! Saab needs to somehow set itself apart from the other Euros. Currently, there's no reason for anyone who's not a Saab nut to even visit a Saab dealership.

what Saab needs is quality! to compare the quality of a Saab vehicle to that of a BMW is crazy, and top that off with BMW's free service lasting the life of their 4/50k warranty. there is nothing that would cause me to buy a Saab over any other Euro brand. the warranty is the same as the others, and the cars aren't any more compelling or any less expensive.

Saab used to at least offer something different, like the 3 and 5 door bodystyles of the 900/9-3, and safety above all others. now safety is a major focus of all makes, especially luxury vehicles, and if you want a unique car, Audi and Volvo have more to offer than Saab. Audi offers buyers the A3 and TT, cars unlike anything else, and Volvo offers a hardtop convertible (C70) and the hottest looking hatchback on the road (C30). Saab has lost its way. it's no longer quirky and unique, and it's not mainstream either. so now, there's no warranty to sell on top of it all. GM should let Saab go to someone that gives a crap and focus on something else.

[prototype66]

Bye bye Saab.
Going the waty of Hummer.
Maybeeeee???