Chrysler Group LLC will offer consumers a 60-day, money-back guarantee on new vehicles and also make the first two months of payments for buyers, as it tries to shore up sales amid lackluster consumer confidence.
Chrysler said on Thursday consumers will be allowed to return a new vehicle within 60 days if they are not happy with the purchase and the company will pay up to $500 per month for the first two months.
In addition, Chrysler will offer interest-free loans for up to 60 months on most 2010 Chrysler, Dodge, Jeep and Ram vehicles when financed through GMAC Financial Services for the month of July.
The money-back program targets consumers who have abandoned Chrysler amid perceptions that its cars lag in quality and reliability. It follows a similar May the best car win campaign launched bigger rival General Motors Co almost a year ago.
The move comes at a time when most automakers and analysts are raising questions about the strength of the industry's recovery, after U.S. auto sales slipped in June from the previous month.
We build great vehicles for just about any lifestyle and with this pledge, consumers will have the confidence to know they made the right purchase or they can return the vehicle no questions asked, Chrysler U.S. sales chief Fred Diaz said in a statement.
Chrysler's U.S. sales rose nearly 12 percent in the first six months of this year but lagged the 16.7 percent gain in overall industry sales over the same period.
Chrysler has struggled to win back U.S. consumer trust and regain lost market share since it emerged from a U.S. government-financed bankruptcy last year under the management of Italy's Fiat SpA.
Chief Executive Sergio Marchionne's aggressive five-year turnaround plan for Chrysler projects a more than doubling of its sales to 2.8 million units in 2014 as it rolls out 21 new models over the five-year period.
(Reporting by Soyoung Kim, editing by Gerald E. McCormick and Matthew Lewis)