Magazine article Marketing

Anxious Vauxhall Aloof over Further Price Wars

Magazine article Marketing

Anxious Vauxhall Aloof over Further Price Wars

Article excerpt

Vauxhall slams |dangerous' Ford as the motor trade pleads poverty in its generic ads

Anxious Vauxhall aloof over further price wars

General Motors subsidiary Vauxhall says it will not be dragged into another price war with arch-rival Ford-though it will keep the price of its new Astra a closely-guarded secret until the very day of its launch next Wednesday.

Vauxhall, whose fortunes have been waning in recent months while consumers have awaited the revamped model, is known to be nervous about Ford's continued commitment to discounting.

But Vauxhall marketing director Peter Batchelor told Marketing this week that the Astra's "competitive" pricing will remain aloof from the Ford cuts.

"Ford has declared its hand and good luck to it," says Batchelor. "The fact is it has massive problems in shifting old stock which we don't have.

"Price cutting is like a dangerous drug. Once you've stuck the needle into your arm, the instinct is to carry on doing it. …

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