In my absence next week, I’d like to refer people to John Moore’s Brand Autopsy blog. John has his own entertaining and insightful way of approaching brands and marketing.

One of his favorite “patients” (aka targets) lately has been GM and their employee discount for everyone. While I agree with him on the dangerous addiction to discounts, I’ve noticed a reason this could have been good for GM. It introduced the same no-haggle environment as GM has used with Saturn.

1. This enhances the experience for the customers. No more driving all over town (or way out of town) to ensure you got the best deal. No more hearing, “Let me talk with my manager about that.” or “What will it take to see you drive this car home today?”

2. Creates a sense of reliability. Customers know what to expect and feel confident those expectations will be met. Same reason I know I can eat lunch at Taco Bell for $3. I don’t have to worry whether or not I have enough money. I know before I walk in the door. Hence, I’m qualified before I walk in the door as well.

3. Flat pricing takes emphasis off of dealership prices. This causes them to focus on actually ADDING value to the car-buying experience. Dealerships would be forced to understand what customers want and innovate instead of using price to lure customers onto their lot.

Two problems with this:

1. None of this matters if Detroit puts out shoddy cars.

2. GM already announced they will return to Manufacturer’s Suggested Retail Price. Instead of employee discounts, they plan to cut the MSRP of the 2006 line across the board. I think that’s even worse.

Say “Welcome back.” to Mr. Haggle.

Oh, and John… take care of my readers will ya?