Recession-Fighting Incentives

To spend or not to spend, that is the question that a lot of people find themselves asking more and more these days. And while people’s purchase decisions often change when they’re on a budget, the decisions are not always as simple as just comparing price tags. There are two sides to the customer value equation: what you pay and what you get. And though slashing prices can be a quick way to close the sale, most people are still willing to pay for the brands that add value by adding the extras that make it worth it—the assurance that they are spending wisely. These recession-fighting incentives can be a great way to earn the attention, business and, hopefully, loyalty of audiences trying to make the tough decisions between the things they can’t afford and the things they can’t afford to pass up.

With consumers demanding more for their money, more companies are cutting prices to offer the “best deal,” which can come at the expense of the bottom line and brand perception. And now, more than ever, it’s important to stand out. Maybe marketers would be better off fighting the recession with incentives that add value and provide distinct business advantages instead. Creating tangible and rational value allows consumers to spend more wisely especially in this climate of frugality.
Hyundai: Assurance
Instead of simply discounting its already economical line of vehicles, Hyundai is addressing consumer fears with an innovative return policy: Hyundai Assurance. Those who finance or lease a new Hyundai can return the car for no additional charge if they lose their job within a year of purchase.


The incentive has helped Hyundai distance itself from America’s Big Three automakers and increase sales 14%, nearly doubling its Instead of simply discounting its already economical line of vehicles, Hyundai is addressing consumer fearswith an innovative return policy: Hyundai Assurance. Those who finance or lease a new Hyundai can return the car for no additional charge if they lose their job within a year of purchase. The incentive has helped Hyundai distance itself from America’s Big Three automakers and increase sales 14%, nearly doubling its market share as industry-wide, new-vehicle sales fell 37% last month.



Harley-Davidson: Ride Free

Ride Free Guarantee is ideal for riders looking to join the “hog family” and experience the freedom Harley-Davidson promises, but who are also worried about the current financial situation. New owners purchasing a Sportster will have the opportunity to trade it in for the full MSRP at any point within a year’s time. “Ride Free” introduces the idea of trading up within the brand from day one, giving riders the opportunity to test drive their new bike for a year before moving on to higher-end models.





Sears: Layaway
In an effort to entice consumer spending over the holiday season, Sears brought layaway back to its stores — nearly two decades after doing away with it. The program, with roots dating back to the Great Depression, was reintroduced as a direct response to customer demand in the face of the current economic Davidson promises, but who are also worried about the current financial situation. New owners purchasing a Sportster will have the opportunity to trade it in for the full MSRP at any point within a year’s time. “Ride Free” introduces the idea of trading up within the brand from day one, giving riders the opportunity to test drive their new bike for a year before moving on to higher-end

Oh Look, Ford Has an Assurance Program Now

Ford announced today an "It's OK if you lose your job or can't afford the car we just sold you because we'll just pay for it for you like Hyundai" program today, presumably so you'll go buy one of their cars. To incentivize you further: 0% interest on certain Ford, Lincoln, Mercury vehicles. If the "Ford Advantage Plan" feels like a lotion-less HJ, read on; the auto-maker somehow has $700 a month for you, times 12 months, if you lose your job.
If you ask Hyundai, it's all one big goof because according to this one guy who works there, no one has used the program yet. As in zero people, people. That's probably why Hyundai tacked the Plus thing (they pay your loan for three months, then you can sell the car back).