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We were advised this week, that GM has reconsidered the GSP program. Labor on GM Protection Plan repairs involving GSP parts will now be covered by GMPP during the length of the GMPP contract.

Our dealership dropped out of this program after GM decided that dealers should cover the labor charges on GSP parts installed for service contract companies. Having been out of this program for approximately one year, we have not noticed any negative effects. In fact, our sales have increased.

Since this change in policy, we have re-enrolled. Advertising assistance through GM parts purchases being the primary reason.

What is your impression of the GSP program.

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Alan1149@aol.com

[This message has been edited by Alan Nicholson (edited 08-16-99).]

[This message has been edited by Alan Nicholson (edited 08-16-99).]

We've been on GSP since it's inception and the issue about the dealer paying for labor on GSP covered repairs even though the vehicle was covered under GMPP or other service contracts has not been a problem.

I would assume that the GSP guaranty applies to 'customer pay' installation and that GMPP does not represent a 'customer pay' customer because they pay from the warranty labor time guide and not the 'retail' rate. Obviously, if you use non-GM service contract companies that pay the 'retail' rate, then they would be concidered the true customer. Therefore, it would be up to the service contract company to press the issue with you, not GM.

I'm glad that someone at GM-SPO recognized this and changed policy.

I cannot say whether GSP has helped business volume, but the adv. assistance is helpful and we have alot of new signage!

We really have not had to provide labor to replace covered parts, but the program is only a couple of years old... The chickens have yet to come home to roost!

scott

GMPP/MIC are considered retail customers in the eyes of GM, meaning they are entitled to the benefits of warranty coverage given to parts replaced by their contracts. They do pay retail on the parts.

Refer to P&P 1.2, page 18 where it says, "... GMPP or other service contract are eligible for the longer consumer parts warranty."

This measure was a terrific gesture by MIC to show that they are willing to solve the issue by simply paying for the claims. Their hope is that this encourages more dealers to reevaluate selling MIC contracts or to participate in the GSP program.



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** Rob, Editor WD&S **
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robc@dealersedge.com

We have been a GSP dealer sincd the beginning and have not noticed any improvement directly related to the program. the problem I have with GSP is that GMSPO is more interersted in selling prgrams than getting their core buisiness in hand. I was upset about GM forcing us to participate in the GSP advertising coming out in a couple of months. Sending the infor to door to door advertising and charging the dealers the big bucks they want is unfair. Rumor has it that the majority of the GSP dealers really do not comply, but they are so despearatge to get dealersthey look the other way. The GMPP concern is a great step. I wonder if anyone has told WINS this?? Any bets on it??
Mike

We have been a GSP dealer sincd the beginning and have not noticed any improvement directly related to the program. the problem I have with GSP is that GMSPO is more interersted in selling prgrams than getting their core buisiness in hand. I was upset about GM forcing us to participate in the GSP advertising coming out in a couple of months. Sending the infor to door to door advertising and charging the dealers the big bucks they want is unfair. Rumor has it that the majority of the GSP dealers really do not comply, but they are so despearatge to get dealersthey look the other way. The GMPP concern is a great step. I wonder if anyone has told WINS this?? Any bets on it??
Mike