GM Launching Digital Retail Tool for EV Sales

Matt Posky
by Matt Posky

General Motors intends to launch a digital retail tool aimed at facilitating electric vehicle sales. However, this does not appear to represent a total shift away from the traditional dealer model — even if it technically furthers that cause.

While EVs have grown in popularity, they’re still a niche segment and perhaps not suited to the needs of all customers. That makes it risky to stock your showroom with them, depending on the geography. So we’ve seen multiple manufacturers embrace online sales and the flexibility that offers the manufacturer as a way to get around this. Some companies, like Tesla, even prioritize direct sales models above the alternative — and we’re seeing brands like Volvo beginning to do the same. GM said it would be using Tekion (founded by Tesla and Oracle bigwig Jay Vijayan) to help it sell EVs over the internet.

Rumors of the automaker revising its digital sales stratagem were swirling long before Chevrolet introduced the crossover variant of the Bolt EV in February. The automaker had confirmed a price decrease for the hatchback version, the addition of Super Cruise, and some updated charging solutions that it hoped would make both models easier to live with. But no changes announced in terms of how they could be purchased until Steve Hill, vice president of Chevrolet, spilled the beans to Automotive News.

From AN:

Of Chevy’s roughly 3,000 U.S. dealers, about 1,700 have signed up to sell the freshened Bolt EV and the new Bolt EUV crossover. Chevy will implement the tool, at no cost to dealers, in June, Hill said. Enrollment begins in April, and pilots are scheduled to start in May. Chevy told dealers about the tool during a Wednesday meeting.

The platform can facilitate a vehicle sale end-to-end, as permitted by state law. Tekion’s platform is “more intuitive than the best third parties on the market,” said Mike Bowsher, chairman of the Chevy dealer council and owner of Carl Black Automotive Group in Kennesaw, Ga.

GMC and Cadillac plan to implement the tool when the Hummer and Lyriq EVs go on sale late this year and in early 2022. The platform can be used with any dealership management system.

Backed by Advent International and a slew of automakers, Tekion has been making moves for a couple of years and integrated itself with over a dozen individual brands. It’s basically trying to become Amazon for automobiles, emphasizing ease of use above all else. But we’ve been critical of software-as-a-service (SaaS) firms like Tekion, as they seem to strip control away from the consumer to prioritize corporate convenience. It also lacks transparency, regardless of what the people trying to sell you on its claim.

“It’s a complete game-changer,” Hill told the outlet. “It’s [GM’s] Shop-Click-Drive on steroids.”

“The dealers were very interested in this real-time interaction with customers while they’re shopping. They don’t want you just surfing the site. They want to be interacting, and that’s exactly what a lot of customers want,” he added.

While some have argued that attempting to focus EV sales online shows a lack of commitment, we’re disinclined to agree. Direct sales have worked for brands like Tesla and are could help brands like GM reach the desired customers. Meanwhile, the company says it’s preparing a new marketing offensive to promote EVs. Hill made this clear as well, referencing last month’s collaboration with Disney (below) before suggesting that the automaker would have an easier time reaching viable Bolt customers using online advertising and sales.

Matt Posky
Matt Posky

A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.

More by Matt Posky

Comments
Join the conversation
2 of 6 comments
  • RHD RHD on Mar 05, 2021

    Is there any way to negotiate a replacement grille for the one that's modeled after a worn-out tire?

  • Jeff S Jeff S on Mar 05, 2021

    Agree I would rather deal with a robot than a salesperson that knows nothing about what they are selling and treats customers like they are idiots.

  • Kwik_Shift Brands that were considered from China include BYD, Dayun, Great Wall Motors, Maxus, Nio, Omoda/Chery, Seres, XPeng, and Zeekr. KG Mobility from South Korea also made the list of candidates.That's a lot of car companies from there ready to head here.
  • Analoggrotto Clean sweep and unanimous victory for the world affluence engine of 22nd century : Hyundai/Kia/Genesis. Toyota and Lexus, for 120 years of history have not been able to capture the zenith superlative status of Hyundai Motor Corporation the most awarded, decorated and revered automotive corporation in the history of historical. Featuring best ever, first ever and greatest ever e-ATPs the Hyundai Genesis Kia lineup is posed to become the envy of every country club, ivy league college and fortune 500 corporation in the world. I've been taking a roadtrip in my loaner Elantra N, visiting colleges from east to west, elite universities of higher learning to inspect their parking lots. WHat did I find? Leagues of Genesis models, outnumbering Lexus 3 to 1. When I interviewed faculty and staff at these places of greater learning, their response was unanimous : they chose HMC for the ATPs.
  • Mikey 2019 Chevy Impala Premier FWD with 20 inch factory Bridgestones. I'm looking at replacing tires at the 65,000 KLM's (40,000 miles ) mark ....It doesn't thrill me .. I'm pricing Michelin Cross Climate 2 tires ouch !! ..Up here in Canuckastan ....Big $$$$$
  • ToolGuy Honda was robbed.
  • ToolGuy "Honey, someone is trying to cross the moat again"
Next