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By Gail Kachadourian
Automotive News / June 07, 2004





General Motors has taken itself out of the dealership Web site business.

The automaker has signed a five-year deal with the Cobalt Group, an automotive Web services provider, to develop and maintain GM dealership Web sites. The value of the contract was undisclosed.

The automaker's 2-year-old DealerLink Web program will not longer exist by year end. The 1,200 dealers who paid $299 a month for that service can choose to switch to the new program, called GM PowerShift, starting Monday, June 7. Fees for the service will be higher.

GM shifts Web duties

Shifting dealership Web site management duties to Cobalt frees GM's sales, service and marketing staff to concentrate on customer relationship management. GM's sales staff will not have to spend time marketing Web site services to dealerships.

The Cobalt deal also will help speed up dealerships' Web marketing, GM says. "When GM has a new incentive, we can promote that incentive with a touch of a button across the dealer Web sites by putting it over Cobalt, rather than to each of the dealers individually," says Jack Bowen, general director for GM customer relationship management.

Cobalt will offer dealerships three PowerShift packages, all of which cost more than DealerLink.

Monthly fees for one-year contracts with PowerShift range from a basic $349 package, to a $699 midtier package, to the premium $1,099 package. Discounts will be given for multiyear contracts.

The entry-level package covers basic Web design and allows dealerships to display their new and used vehicles online. The mid-tier package adds online advertisements. The premium package helps dealerships determine whether toll-free phone numbers are generating sales leads.

Cobalt will contact DealerLink customers in the next three months to discuss the details of PowerShift.



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Discussion Starter #3
Originally posted by Rex Raider@Jun 8 2004, 06:25 AM
Cobalt Group?

Seems a little too coincidental.
:lol: Yeah, thats what I thought. When I say the headline I was confused with the group and the car...
 

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It is just a Coincedence...

The Cobalt Group has been around for 9 years.
GM had us thinking when they named the Cavailer replacement the Cobalt.
 
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