11 Aug 2009

GM dealers to negotiate car prices on Ebay

9:49 am on 11 August 2009

General Motors is turning to the internet to boost sales among younger car buyers in the United States.

The company is working with Ebay to allow customers in California to haggle online with dealers over the price of new vehicles, rather than in the showroom. The pilot runs for four weeks.

GM expects the programme will be expanded to other parts of the US if the pilot is successful. Previously only used cars were sold online.

Separately, GM's former finance arm, GMac says it's going to resume leases on some of its vehicles a year after stopping offering them.

It says improved funding, restructuring of GM and rising used car values are the reasons for the change.