Was GM right to pull their ads from the LA Times?

We think it was a waste of time by GM to pull its ads in the LA times because they did not like a reporter's comments.

We think they seized the wrong opportunity in our opinion and should have stopped advertising there, long ago.

Why?

Because more and more dealers are reporting to the Spies that newspaper ads are no longer effective and cost WAY too much.

Dealers are telling us that they are seeing more results in sites like ours for a tenth of the price.

And that trend will not be reversed anytime soon.

Some dealers like one in Phoenix have dropped their newspaper ads altogether, in favor of internet ads and have actually seen sales growth, rather than a decline.

And they're doing it every month with LESS money.

Here is a snippet of the commentary from the forbes article...

Dumb And Dumber

Dumping on another reporter isn't easy. We're supposed to stick together through thick or thin. But I'm going to dump on a column written about General Motors by Dan Neil of the Los Angeles Times.

Neil won a Pulitzer Prize last year, and anyone who wins this award is a hero. Then again, my former and late father-in-law won the Pulitzer for the Detroit Free Press, and I argued with him when I thought that he was wrong.

I take no backseat to anyone in criticizing General Motors' (nyse: GM - news - people ) managers. But Dan, your attack was mean-spirited and off-base.

Full article here :

MercBasher - 4/15/2005 11:49:51 AM

+1 Boost

I agree with AutoSpies that internet advertizing can be more cost effective than newspapers. However consider this - instead of phasing out its advertizing quietly, GM made a stink about what is a reasonable article by a concerned Car guy (Dan Neil).

I reckon the negative publicity which has resulted (afterall this has received national attention) for GM would have been worth $10million to avoid. GM has managed to get most major newspapers and many online blogs to restart the debate about the lack of merits of the Pontiac G6.

Just more evidence of incompetence among GM's leadership - in my opinion!

Need4Speed - 4/15/2005 12:36:40 PM

+1 Boost

You have a business, would you spend $10 mil a year to advertise with a company that is telling your customers and potential customers that your product is not worth the money?

If you even think of answering yes to this question let me be the first to say that your stupidity is not welcomed here any more...come on man !