Ally Financial local hot spot marketing program may raise licensing issues

Ally Financial local hot spot marketing program may raise licensing issues

Ally Financial is getting ready to launch a new program to increase new-vehicle sales at General Motors and Chrysler dealerships that may raise licensing issues for participating dealers. Known as The Vehicle Intercept Program, it kicks off in Washington, DC, Houston, TX, Detroit, MI, and Ft. Myers, FL in the coming weeks.

The program works as follows: Ally Financial, along with the participating dealership, will set up a tent outside a local hot spot, like a Chick-fil-A or a Starbucks, where the dealership will display some vehicles. Consumers who take time to learn more about the vehicles will be offered a free gift card to the local business participating in the event.

Following the brief vehicle demonstration, consumers will also receive a special promotional code to be used to register online for a test drive at one of the local participating dealerships. Consumers who visit participating dealerships and complete a test drive will receive a $50 gas card.

Ally Financial staff, hired for each event, will be equipped to answer questions about financing options and provide potential customers with sales information. Sales personnel from participating dealerships will also be reachable by cell phone to answer specific customer questions.

This program is a creative way to get consumers to experience vehicles they may not otherwise consider, said Tim Russi, executive vice president of Ally’s North American Auto Operations. Were excited to conduct these programs with dealers to help generate leads and expand our retail financing opportunities as well.

Dealer attorney Mike Charapp cautions dealers planning to participate in such promotional efforts that state dealer licensing issues may arise if sales and F&I are discussed at these offsite events and urges members to consult legal counsel prior to participating.