DETROIT -- Costco has launched a deal with General Motors allowing its members to buy certain Chevrolet and GMC light trucks through select franchised dealers at a so-called "preferred price" -- generally equivalent to the price that the automaker offers its suppliers' employees.
Rick Borg, vice president of the Costco Auto Program, on Tuesday said the popular warehouse club expects its members to buy more than 5,000 new Chevrolet and GMC light trucks under the program. It started Tuesday and will end Jan. 3.
Costco also is giving a $500 Costco Cash Card to members who participate in the program.
GM spokesman Jim Cain described the Costco promotion as a "brand-awareness program" and a first for GM.
'Great showcase'
"Costco provides a great showcase. It has millions of members nationwide," he said. "This gives us the opportunity to put vehicles on display and reach people in a unique setting outside of a dealership."
GM's "preferred price" is a discount that varies by product, Cain said. It is similar to special prices that employees of GM suppliers are eligible to receive, for example. The deal is not as deep as an employee discount, Cain said.
Eligible vehicles include the new 2011 and 2012 Chevrolet Silverado, Suburban, Tahoe and Traverse and GMC Acadia, Sierra, Yukon and Yukon XL.
Costco members who take advantage of the program can combine the lower prices with other GM rebates and incentives for which they are eligible.
To participate, Costco members must register with the Costco Auto Program online or by calling a special telephone number. They also must complete redemption forms and surveys after making the purchase to receive the $500 Costco Cash Card incentive.
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