Ugly Duckling Selects Pueblo to Fulfill Hispanic Marketing Needs
5 October 2000
Ugly Duckling Selects Pueblo Corp. to Fulfill Hispanic Marketing Needs; Partnership Offers Pueblo's Hispanic Members Opportunity to Build Credit
LOS ANGELES--Oct. 4, 2000--While the Hispanic community has an annual buying power of more than $273 billion, many Hispanic consumers have established little or no credit history.Helping its members increase their credit worthiness, Pueblo Corp. today announced its partnership with Ugly Duckling, the nation's largest chain of used car dealerships to focus on the sub-prime market.
Ugly Duckling recognizes that the Hispanic community has special needs and partnered with Pueblo as part of its Hispanic marketing program. Pueblo offers companies, like Ugly Duckling, a cost-effective direct marketing vehicle for reaching the Hispanic community through television programming and advertising, a monthly magazine, direct mail, sales and special events.
In exchange, Ugly Duckling offers Pueblo members automobiles at a special, discounted price and the opportunity to establish good credit.
"We sell opportunity, and our partnership with Pueblo helps us reach a category of customers that has been underrepresented," said Gregory Sullivan, president and chief executive officer of Ugly Duckling. "If a customer maintains a good payment history with us, they can move up the credit ladder to lower financing costs and possibly a new vehicle or home loan."
"As the premier affinity marketing organization for the Hispanic community, we understand that many of our members depend on their cars for their livelihood but do not have sufficient credit history to obtain an auto loan," said Hugo Pimienta, chairman and chief executive officer of Pueblo Corp. "Ugly Duckling offers our members the opportunity to purchase a car and establish good credit."
While Ugly Duckling is sometimes criticized for charging high interest rates, it has a growing number of satisfied customers, who appreciate the chance to build their credit. Tony Zarragosa, a repeat customer from Albuquerque, explained, "I am so satisfied with Ugly Duckling that I am buying my second vehicle."
Through this partnership, Pueblo's membership base of nearly 200,000 will have access to a preferred discount of $500 off the suggested retail price. In addition, Ugly Duckling customers who make on-time payments for 6 months receive a Visa card with a $250 credit limit, and if all payments are made on time for the length of the loan, up to $2,500 of the buyer's down payment may be refunded.