GM to cut powertrain warranty to 60,000 miles

[LoneStar1]

http://finance.yahoo.com/news/gm-cut-chevy-gmc-powertrain-warranty-60-000-143947688--finance.html

DETROIT (Reuters) - General Motors Co said on Thursday it plans to cut its powertrain warranty on Chevrolet and GMC vehicles for the 2016 model year because the offer was not a strong enough selling point.

The five-year, 100,000-mile powertrain coverage, in place for nearly a decade, will be reduced to five years and 60,000 miles for the 2016 models.

The Detroit automaker said it also will scale back its offer of two years of free maintenance, including oil changes and tire rotations, on most new Chevy, GMC and Buick vehicles. The brands will reduce the number of free service visits to two, from four, starting with 2016 models.

[Bionic_Man]

DiskDoctr wrote:

GM Announced today their plans to discontinue the 100,000 mile drive train warranties previously offered. "I just don't know how they (Hyundai) do it, we've been losing our a$h on these things," a former spokesman for the company said in an interview last Tuesday

From the files of "Headlines you'll never read"

It takes real QUALITY to offer and honor a 100k drive train warranty.

Manufacturers care about sales, not quality.

Sorry, but I think your comment about not caring about quality is far from the case. It is hard to maintain sales without quality.

Outside of those that troll the internet for horror stories of catastrophic failure of their favorite brand to bash, it is unusual to hear about a powertrain failure before 100,000 miles. I think that number is MUCH closer to 200,000 miles now. Regardless of manufacture. Quality matters, and across the board it is pretty good.

[spoon059]

gmcsmoke wrote:
according to usDOT the average miles per year is 13,000. 5 years x 13,000 miles = 65,000 miles. GM is still offering the same warranty they're bringing the mileage inline with how people drive; on average.

And in line with how Ford warranty's their product. 11 pages of non issue.

[gmcsmoke]

according to usDOT the average miles per year is 13,000. 5 years x 13,000 miles = 65,000 miles. GM is still offering the same warranty they're bringing the mileage inline with how people drive; on average.

[TomG2]

DiskDoctr wrote:

GM Announced today their plans to discontinue the 100,000 mile drive train warranties previously offered. "I just don't know how they (Hyundai) do it, we've been losing our a$h on these things," a former spokesman for the company said in an interview last Tuesday

From the files of "Headlines you'll never read"

It takes real QUALITY to offer and honor a 100k drive train warranty.

Manufacturers care about sales, not quality.

That explains why Ford didn't follow GM's lead on offering a 100k warranty. GM must have figured out that if Ford gets by on a lesser warranty, then they can too.

[DiskDoctr]

GM Announced today their plans to discontinue the 100,000 mile drive train warranties previously offered. "I just don't know how they (Hyundai) do it, we've been losing our a$h on these things," a former spokesman for the company said in an interview last Tuesday

From the files of "Headlines you'll never read"

It takes real QUALITY to offer and honor a 100k drive train warranty.

Manufacturers care about sales, not quality.

[Community Alumni]

wcjeep wrote:
Chrysler cut back on the warranty for the 2006 trucks. The 2005 Dodge trucks had a much longer warranty. Marketing surveys at the time stated the longer warranty was not a major factor for customer purchase.

The opposite is true. Chrysler/Dodge actually extended the powertrain warranty starting in 2006. Vehicles from 2006 - 2008 have lifetime powertrain warranties. It was a big reason why I purchased a RAM back in 08. Even under the new FCA group, the warranty is still honored.

[Community Alumni]

TomG2 wrote:

proxim2020 wrote:
...snip........ I didn't even know the 100k warranty still existed. Thought it died with old GM. Hyundia and Kia boast about how their warranty beats out competitors in all of their ads and that draws a lot of business in for them.

You made their point for them. If customers don't know or care about the 100k warranty then their promotional dollars are better off spent somewhere else. It might be in lower prices or additional standard equipment to keep up with the competition.

Actually the point I was trying to make was that it wasn't mentioned in much of their advertising that they were already producing. It wouldn't cost anymore or less to toss that info out there every time.

[krobbe]

Ford Man wrote:
If I owned a GM I would want a Lifetime Warrantee on it.

If I owned a Ford, it wouldn't matter what the warranty was... Ford doesn't stand behind it any ways!

[Gr8life]

Lessmore wrote:

Gr8life wrote:
In ten pages, I don't recall seeing one member who actually benefited from warranty repairs at close to 100,000 miles. Or one that lost out because they were driving a Ford with a 60k mile warranty instead of a GM pickup with the 100k mile warranty.

Think about what you have said. Do you really believe.....really believe that no one....no matter the vehicle....has never benefited from a warranty repair....in that 40,000 mile period between 60,000 and 100,000 miles ?

One can take anything to the absurd point. I did not say people have not benefited from these extra long GM drivetrain warranty's. I just don't recall seeing any in the first ten pages of this thread. Big difference, and maybe I missed one or two. The point is, GM does not feel that it benefits their bottom line to offer a drivetrain warranty nearly twice as long as their biggest competitor. (Ford)

[mich800]

Lessmore wrote:

Gr8life wrote:
In ten pages, I don't recall seeing one member who actually benefited from warranty repairs at close to 100,000 miles. Or one that lost out because they were driving a Ford with a 60k mile warranty instead of a GM pickup with the 100k mile warranty.

Think about what you have said. Do you really believe.....really believe that no one....no matter the vehicle....has never benefited from a warranty repair....in that 40,000 mile period between 60,000 and 100,000 miles ?

Clearly there are. Otherwise it would be a stupid move on GM's part to kill a selling point that costs them zero. The reality is the warranty repair costs exceed the incremental sales generated from this program. Initial perception may look bad reducing their warranty period but probably a move that needs to be made to stay competitive on the cost side with the other manufacturers.

[Lessmore]

Gr8life wrote:
In ten pages, I don't recall seeing one member who actually benefited from warranty repairs at close to 100,000 miles. Or one that lost out because they were driving a Ford with a 60k mile warranty instead of a GM pickup with the 100k mile warranty.

Think about what you have said. Do you really believe.....really believe that no one....no matter the vehicle....has never benefited from a warranty repair....in that 40,000 mile period between 60,000 and 100,000 miles ?

[Gr8life]

Bird Freak wrote:

Gr8life wrote:
In ten pages, I don't recall seeing one member who actually benefited from warranty repairs at close to 100,000 miles. Or one that lost out because they were driving a Ford with a 60k mile warranty instead of a GM pickup with the 100k mile warranty.

Ok, My old 89 F250 had a steering box replaced at 98K and my 04 had egr cooler replaced at around 85K. Both would have been out of my pocket at the 60K mark.:)

And they were both under the five year mark at the time? I am sure there are other instances, just not enough to make it a big selling point for GM or they would not be reducing theirs to match Ford's. Were those items covered under the "Drivetrain" warranty?

[Bird_Freak]

Gr8life wrote:
In ten pages, I don't recall seeing one member who actually benefited from warranty repairs at close to 100,000 miles. Or one that lost out because they were driving a Ford with a 60k mile warranty instead of a GM pickup with the 100k mile warranty.

Ok, My old 89 F250 had a steering box replaced at 98K and my 04 had egr cooler replaced at around 85K. Both would have been out of my pocket at the 60K mark.:)

[Gr8life]

In ten pages, I don't recall seeing one member who actually benefited from warranty repairs at close to 100,000 miles. Or one that lost out because they were driving a Ford with a 60k mile warranty instead of a GM pickup with the 100k mile warranty.

[tatest]

colliehauler wrote:

Ford Man wrote:
If I owned a GM I would want a Lifetime Warrantee on it.

Yours or the company?

LOL.

I probably have dozens, if not hundreds, of small consumer products with "lifetime limited warranty" terms, and many of the companies creating the brand no longer exist.