Chevy's cuts 'well past double digits,' but manufacturer still has NASCAR plan
By Bob Pockrass - Associate Editor
Tuesday, February 10, 2009
Several Chevrolet drivers, including champion Jimmie Johnson (48) lead the pack during a 2008 NASCAR Sprint Cup race.
David Griffin
NASCAR Scene
DAYTONA BEACH, Fla. – Chevrolet is looking at new ways to connect with NASCAR fans in the wake of substantial cutbacks and a re-evaluation of all spending in the wake of federal assistance given to struggling parent company General Motors, the manufacturer’s racing representative says.
To try to compensate for having fewer displays at tracks, for instance, Chevrolet is trying to do more online, especially with advertising for those who might watch or gather NASCAR information online rather than watching on television, says Terry Dolan, manager of Chevy Racing.
Dolan says that all fans – whether they can afford a new car or not – remain a key target audience.
“We have to appeal to a large base of consumers and their needs,” Dolan said. “Some of that is price. … Additionally, we have to work to keep our dealers viable in some of these difficult times. If in fact, you’re not in position to buy a new car today, we’d sure like you to go to your local Chevrolet dealer to buy a used vehicle.”
Dolan said the company has had to evaluate all of its operations during the economic downturn and the federal assistance.
“This has been a humbling period for all of us at General Motors, and we have done a lot of internal assessment to look at how we market our vehicles and what is the right approach to take to America today,” he said. “There are so many people that are struggling, people who have unfortunately lost jobs. At the same time, we’ve been the benefactors of help at a time that was very critical for us.
“We have radically adjusted our spending. We have downsized the magnitude of activities. We still need to market our cars and trucks to consumers. And we’re ensuring we’re able to do that but to do it in a smart, more effective way. … We have made a very large recalibration to our spending that is well past double digits.”
Among the noticeable areas that Chevrolet has cut back are its deal with the tracks. It still has a display area at Daytona, but it is smaller than in the past. Chevrolet also used to pay for exclusivity at the track, but it’s no longer that way as both Chevrolet and Ford will pace races, and they both have displays, as does Toyota, on track property.
Chevrolet has let contracts expire at New Hampshire and Bristol, among others.
“We have walked away from a large number of tracks that we previously held,” Dolan said. “A lot of those decisions have been based pure on the return on investment modeling.”
But even at a time when it is cutting back, the manufacturer continues to look at new initiatives, Dolan said. One of those programs will see Chevrolet compete in the American Le Mans Series with a Corvette that runs on its E85 gasoline (85 percent ethanol; 15 percent gasoline).
“We are very encouraged by some of the sustainability programs that are being evaluated,” Dolan said. “We’ve seen good reaction to that [Corvette]. We’ll continue to work to explore other solutions with those type of initiatives.”
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25 responses to "Chevy's cuts 'well past double digits,' but manufacturer still has NASCAR plan". Post a Comment.
Werner Boehmert said:
Feb 10, 2009 at 5:05 PMGM is laying off more people...is that how they connect with the fans?...
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» Confirm Abuse ReportJim Bayliss said:
Feb 10, 2009 at 5:27 PMGM needs to cut their help to the teams too, since ALL the taxpayers are paying for "their" bailout. Many of us don't want anything to do with GM, so WHY do WE have to pay for THEIR problems? IF they learned how to make a better product, they would do better too. They usually have the lowest rating in Consumer Reports, and I for one who bought a new chevrolet years ago can attest to the poor quality in their building. Won't buy another one for sure.
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» Confirm Abuse ReportK P said:
Feb 10, 2009 at 6:07 PMHard to believe it, but some of the UAW workers can get up to 4 years pay when a plant scales back and they get layed off. Steel workers used to be able to take 18 "weeks" of payed leave every 5 ro 6 years. Unions are good and needed, but only in some area. When they make 3 or 4 times what another car makers earns in a non-union job, then I believe that union has done to their industry just as the wall street executives did to their industry. Now all of us non-union citizens are bailing them out with our tax dollars. All we can hope for is that it gets payed back to the government with interest (but not likely).
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» Confirm Abuse ReportRonald Schwalbe said:
Feb 10, 2009 at 6:37 PMAnd to top it off -now TOKYO is asking for American Taxpayers bailout dollars !!!!!
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» Confirm Abuse ReportWerner Boehmert said:
Feb 10, 2009 at 7:29 PMKP...if that pay and benefits were given to you...would you turn them down and look for another job??...i wouldn't and you wouldn't...
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» Confirm Abuse ReportRobert Wingert said:
Feb 10, 2009 at 8:15 PMKP they don't make 3-4 the wages of other car makers. Take into consideration the number of years they have been in business and the amount of retires GM pays. None of the other japanese car makers in the USA have been here long enough to pay any retirees. You'd be the first one to complain if you had to take a pay cut.
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» Confirm Abuse ReportBernadette Motherway said:
Feb 10, 2009 at 10:06 PMThe UAW is a big part of the problem.
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» Confirm Abuse ReportJim Bayliss said:
Feb 10, 2009 at 11:26 PMThe BIG problem is the OIL companies, the DRUG companies, INSURANCE companies, Wall Street, Real Estate people and last but not least the POLITICIANS. And by companies I mean the "leaders" of those companies and the rest of the top brass.
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» Confirm Abuse ReportBernadette Motherway said:
Feb 10, 2009 at 11:41 PMJim, I disagree with half of what you're saying.
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» Confirm Abuse ReportShirl Herzog said:
Feb 11, 2009 at 2:28 AMJim, I agree the oil etc are a problem. But, don't forget the energy companies too. I don't know anyone who has a monthly bill less then $200. And yet nobody seems to complain about them. With all their surcharges and other lame charges they've been adding since 9/11 it's stupid. More than half of my bill was their taxes and surcharges. It's so you can't turn on any lights or your furnace. No wonder you hear about so many people losing their homes they can't afford the heat and electricity for them.
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» Confirm Abuse ReportShirl Herzog said:
Feb 11, 2009 at 2:39 AMOkay, I looked it up it's called a securization tax. It's been going on since right after 9/11. I guess to protect us from terrorist in my tiny little town. This from a company that can't protect me from a wind or thunderstorm when my power lines are underground. Power goes out all the time. And near here like two weeks ago when it was really cold a major city was without power for a week. Some security there.
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» Confirm Abuse ReportShirl Herzog said:
Feb 11, 2009 at 3:12 AMAfter going back and reading some of these comments all I can say is you people make me see red. You don't mind paying banks with your tax dollars and they don't have to pay it back either. Plus, you support Nascar drivers who are MILLIONAIRES thanks to you. During the off season Carl Edwards and Jimmie Johnson traveled to foreign countries on extended vacations. Jr. has so much money he can afford to build his own old west town on his property. Yet, you continue to support them. Everytime you buy a shirt, hat etc. While we are all struggling to buy food and pay bills these guys are in the lap of luxury. As are our congressmen and senators. YEAH, the same guys who complained about the car execs coming there in private jets. How do you think THEY got there. Walked? Rode a bike? NOT. And we do pay their salaries. The Big Three have to pay back what they are loaned. Geez people buy a clue.
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» Confirm Abuse ReportChazzo Ozzahc said:
Feb 11, 2009 at 10:41 AMEasy there Shirl. How can you tell us, the American people, the American taxpayer to not support NASCAR and its drivers. Why dont you get a real job, that pays real money, quit worrying about what we do with our hard earned dollars. I agree,top brass make to much money, but NASCAR wasnt built from the rich people, but middle class people who love racing.And who cares if Jimmy JOhnson and Carl went on extravagant vacations in the off season, so did I, went to Ireland for 3 weeks, and believe me, I dont make anywhere near the scratch they do.Problem with that Shirl.
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» Confirm Abuse ReportSheldon Miller said:
Feb 11, 2009 at 11:38 AM- Big 3 are not profitable, and that is the fault of the execs AND the union, not NASCAR or the drivers, or the fans for that matter... There are a number of 'corrections' that are needed, with one being some rollbacks on wages and benefits for some of the UAW members.
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» Confirm Abuse ReportBernadette Motherway said:
Feb 11, 2009 at 3:08 PMThanks for the backup, Sheldon.
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» Confirm Abuse ReportWerner Boehmert said:
Feb 11, 2009 at 4:58 PMcan we take to responsibilty ourself?...i know alot of people who over spent and then had to file for bankruptcy...tell me how unions caused home foreclosures?...how about all those credit card applications they sent in the mail and people who couldn't pay for them defaulted?...how were the unions responsible for that?...my brother and his soon to be ex-wife were good for 60 grand of bad debt...
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» Confirm Abuse ReportBernadette Motherway said:
Feb 11, 2009 at 8:46 PMWerner, I think you're missing the point. Read Sheldon's post carefully again. No one is saying the unions are responsible for foreclosures!!
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» Confirm Abuse ReportJim Bayliss said:
Feb 12, 2009 at 12:29 AMBernadette, you just agree to disagree. LOL.
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» Confirm Abuse ReportJim Bayliss said:
Feb 12, 2009 at 12:31 AMBy the way, Bernie; what DON'T you agree with what I am saying? Are you married to an oil company exec? Or part of the Drug Cartel? OR???
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» Confirm Abuse ReportShirl Herzog said:
Feb 12, 2009 at 1:57 AMNo 1. I agree Nascar wasn't built by the rich but the rich have taken it over. There is no middle class anymore. I know several people who have to save and scratch to go to one Nascar race a year. It's pathetic. Second the Big 3 aren't profitable because Americans are buying foreign because they don't care about buying American anymore. Cars are going to go the way of tv's and stereos. Try buying an American made one of those. I wish you lots of luck with that.
Report as AbuseAnd 3rd YES Chazz I do have a problem with that? What kind of job do you have anyways? Probably a banker. After all they took all the money the government gave them and gave themselves raises & did good things like pay to name stadiums. Good thing that was a GIFT not a loan like the Big 3 have. Still came from the taxpayers though.
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» Confirm Abuse ReportJim Bayliss said:
Feb 12, 2009 at 1:56 PMI agree Shirl. But how about little ol' poor peons like me? So far I haven't even gotten to ONE NASCAR race in my whole life. Has to always be on TV. - - - So not much has changed. Course I had to go from free antenna TV to Satellite Dish to really get into all the racing stuff on Speed. And at $52 a month,the is NO money to save up for a race, on measely $500 plus SS a month. TRY to live on THAT.
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» Confirm Abuse ReportJim Bayliss said:
Feb 12, 2009 at 2:27 PMI didn't word that too clear. My social Security is just a little over $500 a month, no other real income other than piddling on eBay occasionally, no savings. Medicare helps. That is it.
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» Confirm Abuse ReportShirl Herzog said:
Feb 13, 2009 at 2:23 AMOh Jim please don't even get me started with the cable companies. Talk about a major ripoff. No one ever complains about them or the electric companies. Probably, too scared to get them shut off. My cable goes out more than I do and they of course raised the rates AGAIN!!! AND we have to pay for cable boxes after 20 years living here without them and of course they are not free.
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» Confirm Abuse ReportSarah Oxfurth said:
Feb 13, 2009 at 10:58 PMI've read the comments and honestly Shirl, I can't figure out what you're saying. You're mad about the big brass, you're mad about how much drivers make-but here you are on scenedaily, which suggests to ME That you support NASCAR as well?? In any case, the bottom line is some people earn what they make. Some of us should make more than what we do. IMO, NASCAR drivers should make good money-they often sacrifice a lot to get to the level they're at. And, there's no guarantee as they're "moving up the ranks" that they'll have a job next year. They take big risks, and they should get paid for that. Some people tell me my husband shouldn't make the money he makes. He's military, he doesn't make that much, yet because he doesn't have his degree (yet) some people think he doesn't "deserve" to make what he does--of course, what he, and his family, risk and sacrifice are apparently irrelevant. I've never gone on a particularly exravagant vacation--in fact, I've been on two since 1999-both 7-day cruises to the Western Carribbean (the cheapest you can get pretty much), but I wouldn't begrudge someone who makes the money from spending it. Good for them! Of course, I like to see them contribute to charity, but still-it's their money, they took the risks, they made the sacrifices, and they should make whatever people are willing to pay.
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» Confirm Abuse ReportShirl Herzog said:
Feb 14, 2009 at 2:11 AMI disagree your husband should make MORE money as he's risking his life being in the military as opposed to sitting in a fully protected race car driving around a track. All athletes are WAY over paid. Ever since Dale Sr. died the only harm these guys face is not having a job true but if they're smart they have millions of dollars to fall back on so no I don't feel real sorry for them. And most of that doesn't even come from racing its from commercials and souvenirs. And yes, I do watch Nascar on occasion and I like to read about it here online but haven't really been a "FAN" since 2001 because it's not the same and not just because of no Dale Sr. The rules and politcal garbage is just silly. Sorry to say. But, just because I watch or read about it doesn't mean I support it. I have better things to spend my money on.
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