Holden has launched a new 'Test Drive Challenge' where the customer receives a $500 prepaid Visa card if they test drive a Holden, but end up purchasing a competitor vehicle. Here's why I think such a scheme is flawed:
- The key tagline behind this 'Test Drive Challenge' is that Holden engineers have ensured their cars 'perform just like a Holden should.' The problem with this is that Holden's portfolio over the last 20 years has been a cacophony of products sourced from all over the global GM empire. For example, Holden's small car offering has ranged from the Opel (GM's former European arm) sourced Astra, to the Daewoo (GM Korea) sourced Viva, then the originally Korean (and later 'Australianised') Cruze, and now back to the European Astra hatch and North American sourced Astra sedan. Although Holden has recently developed a tuning program to adapt imported vehicles to Australian conditions, these vehicles have fundamentally been developed for different markets, with different driving tastes, and thus do not share 'family-wide' driving characteristics in the same vein that vehicles from Mazda, or even BMW, do.
- The campaign in general simply reeks of a desperate attempt to move dealership stock as quickly as possible. Rather then sell cars on their inherent quality, this campaign paves the way for dealerships to convince customers to go for a test drive, and then try to sell the vehicle through heavy discounting, to the extent the customer would be silly to buy a competitor car, even with a $500 benefit. Moreover, such heavy discounting has a detrimental flow-on effect to the residual value of Holden vehicles.