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The Cash for Clunkers Bill is currently stalled, although a summer vote is still expected.  President Obama has been pushing Congress to pass Cash For Clunkers, which would offer vouchers up to $4,500 to consumers who purchase certain new cars and scrap old ones.  Obama plugged the bill during his Monday announcement of GM’s bankruptcy proceedings.

The House and Senate are currently working out the details of two different versions of the bill. Both sides have yet to reveal what the subsidies would cost the federal government, although some experts suggest the cost could be as high as $4.5 billion if the maximum number of vouchers are distributed.

Regardless of initial cost, the end result could mean big business for US car dealers if and when the bill passes.  Additionally, the move to purchase more fuel efficient cars could help position the US to become less dependent on foreign oil, a strategy both sides of the party agree would be positive. 

According to the proposal, consumers would get a $3,500 voucher if they trade in a car that gets less than 18 mpg for a new car with mileage of at least 22 mpg. Vouchers of $4,500 would be awarded if the new car gets at least 10 mpg more than the old. 

www.Cashforclunkersfacts.com outlines how consumers can take advantage of the new bill if signed into law.  In order to qualify, consumers would have to trade in their gas guzzlers for a more fuel-efficient vehicle that averages between 2 to 10 additional miles per gallon. 

Consumers can stay tuned for alerts and updates on the passage of the new bill at http://www.cashforclunkersfacts.com

Car dealers looking for a boost in new car sales, may just have their prayers answered. Honda, Ford and Toyota dealers may get an even bigger bonus if early consumer data holds.  As we look at the proposed bill, the bigger question is what should car dealers do to prepare if this bill is signed into law.

According to data published on May 9, 2009 on the Cash For Guzzlers website, Honda, Ford and Toyota are the top three manufacturers that would benefit from the Cash For Clunkers legislation.

If I was operating a Honda dealership in the US I would be all over this data and updating my website with content about the program.   Read Full Story

Cash For Guzzlers Attracting Consumer Interest

In the first week of operation of www.cashforguzzlers.net, Honda car models were the top inquiry for consumers interested in purchasing a fuel efficient car with the government’s proposed voucher program. The Honda models of interest were the Honda Accord, Honda Civic and Honda Fit, the nearest competing brand by number of inquiries was the Ford Motor Company.

Ford Motor Company was the most popular US company from consumer price inquiries. Interest in a wide range of Ford models topped GM and Chrysler models by a 4:1 margin. The data showed that consumers have a strong interest in the Ford Fusion Hybrid and select Ford cars and trucks.

Of the Big Three automakers, data suggests that Ford has done the best job at educating US consumers that the Ford Fusion and the Fusion Hybrid is a fuel efficient car that is priced right for the market.

Consumers indicated that their third most compelling brand of fuel efficient cars were Toyota’s. Interest was strong for the Toyota Prius and Yaris; but early data gives Ford car an edge over the Toyota Prius.

Car Dealer Websites

If early demand is any indicator, car dealers should start writing additional content on their websites that addresses the Cash for Clunkers program and to strengthen their organic search visibility in their PMA.  If the bill is passed and signed into law by President Obama, there will be a flood of searches on this topic.   Car dealers who prepare in advance will be rewarded.

If you need any assistance preparing your website, writing press releases or leveraging social media on this program, give us a call or send me an email:  brian@paschconsulting.com