GM Canada benefits from small car sales

GM Canada benefits from small car sales

General Motors of Canada Limited has recently started concentrating on their small cars in the domestic market. The company has been struggling in the recent times to garner sales and the last month saw it post a rather impressive sales figures. GM seems to have benefited from their smaller cars in this market as it showed an increase of almost 19%. The compact cars and sports utility vehicle were the shining stars of this sterling performance.

The automaker sold 43,307 vehicles last month, up 19 per cent from June 2004. This included a growth of 24% in car sales. Truck sales showed an improvement of 15%. Richard James, a spokesman for Oshawa, Ontario based GM Canada said in a statement: “It’s pieces of the puzzle coming together . . . small cars did really well for us this month and really a lot of what we’re seeing is that small car strategy coming to fruition, with vehicles like the Chevrolet Aveo and the new Cobalt and Pontiac Pursuit.”

Rivals Ford was not as lucky as they again slumped in sales figures. However, DaimlerChrysler Canada Inc. and Toyota Canada also posted smaller gains. GM’s figures were complimented by a record showing of the company in the American market. The company said that the reason behind this massive improvement was their recently introduced “Employee Discount for Everyone” incentives. GM in the United States posted a figure, which is a record for the company for the last 20 years.

GM Canada had not received the similar incentive from the company but their was this another offer for their customers which let them get a 20 cent discount on every liter of petrol purchased during the first year.