REPORT: Cadillac pulling out of half of Europe

[Intrepidation]

It's going to be hard for Cadillac to live up to its longtime billing as "The Standard of the World" if the brand isn't available in much of it. Despite this, General Motors has decided to pull Cadillac from nearly half of the 25 European markets (not including the U.K. or Russia) in which it currently sells. Along with Cadillac, the HUMMER and Corvette brands will also be affected.

The problem isn't directly GM's fault, as the automaker relies on a Dutch-based third-party company called Kroymans Import Europe to distribute these brands across the Atlantic. Due to slow sales caused by the global economic downturn, Kroymans has found itself with an "acute liquidity shortage." In other words, it's out of money.

GM and Kroymans are currently working on a new distribution deal, but in the meantime, a court has appointed an independent administrator to take possession of the 3,500 unsold vehicles currently sitting on Kroyman's 165 European dealerships.

Autoblog

[DBeaSSt]

Not good. But I guess at least this one isn't a stupid GM move.

[balthazar]

>>"It's going to be hard for Cadillac to live up to its longtime billing as "The Standard of the World""<<

I wonder if CADILLAC knows it's 'living up to' a slogan last used sometime in the early 1980s.

[Intrepidation]

It's still my favorite slogan Cadillac has used. Nice to know at least the CTS lives up to it. If I were GM I would put that slogan on every CTS-V ad.

[FAPTurbo]

Thanks for assaulting my eyes with the BLS. I always keep forgetting about that piece of crap.

[Intrepidation]

Thanks for assaulting my eyes with the BLS. I always keep forgetting about that piece of crap.

You're welcome!

[Brougham-Holiday]

I wonder what the hundreds of thousands of millions of BLS buyers will do without access to Cadillac's standard of the world! This might cost GM the 15 customers a year who pay full sticker price for one of these.

[Intrepidation]

Go to a Saab dealership?

[Blake Noble]

Thanks for assaulting my eyes with the BLS. I always keep forgetting about that piece of crap.

LEST WE FORGET.

[Croc]

LEST WE FORGET.

I WILL NEVER FORGET!

[Intrepidation]

[Blake Noble]

NEVER FORGET. NEVER FORGIVE.

[ZL-1]

There go 5 or 10 more years down the drain in establishing Cadillac over on my side of the pond......... Didn't I tell you that picking Kroymans was a stupid idea, B? Guess I was right... GM should have taken control of distribution.

Edited March 28, 2009 by ZL-1

[G. David Felt]

WEIRD, but this poor economy is really effecting everyone. One the drive into work this morning, I went by the dealerships in Kirkland and discovered that overnight a number of them closed shop. The Hyundia dealership which was huge and had hundreds of cars is closed and the lot empty compared to last night when it was full of auto's.

Then about half a mile down the road I saw that Subaru Dealership was also closed and the lot empty of cars. two differant owners and brands and just over night the lots became empty. WEIRD!!!!. Now all that Kirkland has left is a Chevy / Mazda / Kia lot, Honda lot, Ford Lot, Jeep / Dodge / Chrysler lot, toyota lot and the GMCBP lot.

Wonder who will go out next? Last year the Nissan, Mitsubishi, Izusu all dissapeared. Only new dealership that opened last year that I forgot to list is the new Infinity dealershp next to Ford lot. Weird place for a lux dealership to open, but oh well.

I hope GM can find a new distributor for the brands.

[balthazar]

Ohh goodie: yet ANOTHER opportunity to trot out the 30-yr old Cimarron. Nicely done, guys, clearly your day job skills nailing coffins shut is working overtime for you.

Hammer! Hammer! Hammer!

BTW- I must commemorate you all on doing a similarly fine job posting pictures of audi 5000s in living rooms & backyard pools- don't want to forget that either !!

[FUTURE_OF_GM]

There go 5 or 10 more years down the drain in establishing Cadillac over on my side of the pond......... Didn't I tell you that picking Kroymans was a stupid idea, B? Guess I was right... GM should have taken control of distribution.

+1

Not to mention, this shows what a DUMB idea it is/was to let go of Saab... I was afraid this would happen.

But, with the new technology agreement, it looks as if GM is rethinking giving up Saab.

[ShadowDog]

Ohh goodie: yet ANOTHER opportunity to trot out the 30-yr old Cimarron. Nicely done, guys, clearly your day job skills nailing coffins shut is working overtime for you.

Hammer! Hammer! Hammer!

BTW- I must commemorate you all on doing a similarly fine job posting pictures of audi 5000s in living rooms & backyard pools- don't want to forget that either !!

IMO, the truth is that the only reason the common person would have any idea that Cadillac did something so crude 'back in the day' is because stupid enthusiasts keep bringing it up!!!

If it were simply left behind like yesterday's news, nobody would have any reason to hold any contempt for TODAY'S Cadillac. It's not as if anybody within the division after making an unpopular, though necessary decision is cowering in some corner fearing what some blowhard with the knowledge of automotive history is going to dredge up from the past. Learning from past mistakes is one thing, but constantly having it surface when even the most insignificant detail emerges is like saying, "They'll never be good enough."

If that's the case, then all cars are crap and there's nothing good of the companies who make them because of something they once did long before most of us even knew those shiny things daddy dangled in front of us were keys.

This has led me to believe a long time ago that enthusiasts are often just as ignorant as someone whom criticizes an automobile without knowing anything about it.

[Croc]

NEVER FORGET. NEVER FORGIVE.

Is that photo an official Cadillac marketing photo? It kinda looks like it, yet the front passenger door isn't the same shade of &#036;h&#33; as the rest of the car.

[Croc]

IMO, the truth is that the only reason the common person would have any idea that Cadillac did something so crude 'back in the day' is because stupid enthusiasts keep bringing it up!!!

If it were simply left behind like yesterday's news, nobody would have any reason to hold any contempt for TODAY'S Cadillac. It's not as if anybody within the division after making an unpopular, though necessary decision is cowering in some corner fearing what some blowhard with the knowledge of automotive history is going to dredge up from the past. Learning from past mistakes is one thing, but constantly having it surface when even the most insignificant detail emerges is like saying, "They'll never be good enough."

If that's the case, then all cars are crap and there's nothing good of the companies who make them because of something they once did long before most of us even knew those shiny things daddy dangled in front of us were keys.

This has led me to believe a long time ago that enthusiasts are often just as ignorant as someone whom criticizes an automobile without knowing anything about it.

Yes, because Cheers and Gears is like the biggest provider of car news in the world and EVERYONE takes our threads as the gospel truth. OK, Josh. I will never understand you "let's just forget about the unpleasant past" people; that's what's been killing GM--forgetting the uncomfortable past and dooming themselves to repeat it.

[Oracle of Delphi]

Ohh goodie: yet ANOTHER opportunity to trot out the 30-yr old Cimarron. Nicely done, guys, clearly your day job skills nailing coffins shut is working overtime for you.

Hammer! Hammer! Hammer!

BTW- I must commemorate you all on doing a similarly fine job posting pictures of audi 5000s in living rooms & backyard pools- don't want to forget that either !!

We don't agree on much, but on this we do ... However I noticed it's usually the same poster time and time again ...

Edited March 28, 2009 by Pontiac Custom-S

[Croc]

Man, it's just so true. You're right, you're all right--Cadillac hasn't halfassed a single vehicle since the Cimarron. Every single model has been a gift to humanity. Like these fine examples:

Look guys, Cadillac is my favorite car brand, ever. But I will not become a and simply because the fact of the matter is that Cadillac is STILL failing to deliver. The CTS is fantastic, but where's everything else?

[balthazar]

>>"You're right, you're all right--Cadillac hasn't halfassed a single vehicle since the Cimarron."<<

The thread is about the current european situation, and part of that is the BLS. To bring up the Cimarron.... AGAIN... in another slap-fight / giggle-fest, is totally off topic, as is the Catera, esp when there's ALREADY a current thread dedicated to beating it to a bloody pulp.

>>"Every single model has been a gift to humanity."<<

Overblown scarcasm, much?

[Camino LS6]

Back on topic:

I see this as a case of very unfortunate timing considering the appeal that the expanded CTS lineup could have in Europe.

[K.C.]

The economic situation is bad, and pulling out of these areas is the smart thing to do right now. There is nothing say that Cadillac cannot re-enter this market. The markets are all cyclical, and calling them a failure is short sighted. There are great products out there with a wreath and crest on them. The STS is worlds better than its predecessor, even if it has not set the luxury car market on fire. The CTS is world class. The Escalade has done worlds for the brand, but that's here in America, where the needs are different than in Europe. In Europe, Cadillac needs some world class small cars under the CTS before it heads upmarket. In my opinion, the best way to enter a market is at the low end and work your way up. There are other brands in the global marketplace that have proved this: Hyundai and Toyota --->Lexus (I hate them, but they have experienced success). I am hoping the Alpha Cadillac makes it to market and is a huge success both here in the NA market and in the EU as well.

[Croc]

Back on topic:

I see this as a case of very unfortunate timing considering the appeal that the expanded CTS lineup could have in Europe.

Exactly. Except that I don't really understand why GM went the route it did with European distribution when it already has dealership networks with Opel and SAAB. Why have a middle man, a middle man that is PAID to distribute the cars. It seems like unnecessary spending on GM's part, and as we are finding out, GM is caught outside with its pants down, so to speak.

I would definitely be interested in knowing the logical, rational thought process leading to the decision to have a middle man involved in Cadillac Europe.

And for those who need it spelled out, my point is that GM really needs to THINK THINGS THROUGH a lot more with its operations, in the US and in Europe. Whether it is a lackadaisical approach to product planning (Cimarron, Catera, STS) or poorly thought-out (at least in hindsight) distribution agreements, GM has chronically made similar blunders seemingly without learning the necessary take-aways each time for the past 30 years. It's irresponsible to the shareholders, is dangerous for the company, and frankly illogical since the result is hemorraging cash and failure to turn a profit--which is the sole raison d'etre of being a "business" in the first place.

Seriously, look at the top banner--"GM's Biggest Fans and Toughest Critics." I really shouldn't have to defend myself on my record as a poster here because everyone on this site can look back and see that while I do not mince words on GM's blunders, I also do not hold back on any praise that they deserve when they knock something out of the park. My point of view, though, is that for the future of the company and brands that I love, GM really needs to fix a lot of the internal disorganization that has lead to the fact that the homeruns are dwarfed by the boondoggles, and the future of the company is in serious jeopardy.

GM is not taking their current situation seriously enough IMO, and they clearly never took their past crises seriously enough to make changes in the organization to prevent recurrences. That is majorly frustrating and infuriating, both as a consumer and as a shareholder.

[ZL-1]

+1

Not to mention, this shows what a DUMB idea it is/was to let go of Saab... I was afraid this would happen.

But, with the new technology agreement, it looks as if GM is rethinking giving up Saab.

I think GM has given up on having a global premium brand. They don't have the money to compete, so they seem to want is to have a global Chevy and a global Opel/Buick.

I really hope Saab finds itself a new owner. I'd like to see what those guys can do when they're not subject to GMs product planning idiocy anymore.

Edited March 29, 2009 by ZL-1

[FUTURE_OF_GM]

Man, it's just so true. You're right, you're all right--Cadillac hasn't halfassed a single vehicle since the Cimarron. Every single model has been a gift to humanity. because the fact of the matter is that Cadillac is STILL failing to deliver. The CTS is fantastic, but where's everything else?

What, exactly, was wrong with the STS again?

I mean, it got excellent reviews and it was a very competitive product. If you want to go on sales numbers alone, then you have to stop playing favorites and include that last gen SRX that you so dearly love in the 'pile-o-losers' as well.

[FUTURE_OF_GM]

>>"You're right, you're all right--Cadillac hasn't halfassed a single vehicle since the Cimarron."<<

The thread is about the current european situation, and part of that is the BLS. To bring up the Cimarron.... AGAIN... in another slap-fight / giggle-fest, is totally off topic, as is the Catera, esp when there's ALREADY a current thread dedicated to beating it to a bloody pulp.

>>"Every single model has been a gift to humanity."<<

Overblown scarcasm, much?

It's always a slap fight with some of the ladies around here...

[FUTURE_OF_GM]

I think GM has given up on having a global premium brand. They don't have the money to compete, so they seem to want is to have a global Chevy and a global Opel/Buick.

I really hope Saab finds itself a new owner. I'd like to see what those guys can do when they're not subject to GMs product planning idiocy anymore.

I certainly hope not... I wish for Saab to be an independent organization that remains under GM. (THINK: Mazda in relation to Ford)

[ZL-1]

I certainly hope not... I wish for Saab to be an independent organization that remains under GM. (THINK: Mazda in relation to Ford)

IDK about that... only if GM would have a real hands-free approach to Saab ownership. Unfortunately the things that are starting to surface in terms of GM dumping costs and all manner of accounting bull&#036;h&#33; on Saab and Opel tell me GM cannot do that... it seems GM needs to suck cash into the black hole called GMNA in any way possible...

Edited March 29, 2009 by ZL-1

[Croc]

What, exactly, was wrong with the STS again?

I mean, it got excellent reviews and it was a very competitive product. If you want to go on sales numbers alone, then you have to stop playing favorites and include that last gen SRX that you so dearly love in the 'pile-o-losers' as well.

It got excellent reviews? Hmmm...don't recall that, and for good reason: it doesn't deserve them. It's a halfassed product, styled terribly blandly, too close in size to the CTS, too expensive compared to CTS, too narrow for its segment, and a cheap cheap CHEAP interior. And then sales numbers.

Now the Chinese SLS would be a different story, but the US-spec STS? Half-assed.

And how exactly am I playing favorites with the SRX? It's won several comparos, and it drove like the 2003 CTS, while having lots of storage and passenger/cargo space. Best SUV I have driven, period. And if you want to talk sales numbers, they exploded (relatively speaking) after the restyled interior came out, and that's with no promotion or anything.

[enzl]

two issues:

1. The Euro effort for Cadillac & Corvette (IMO the 2 most marketable GM lux commodities in Europe) have been awful. Every decision a disaster.

2. Those deniers who simply can't confess that GM visiting & learning from their mistakes isn't the way forward. It's the single largest reason none of their 'plans' of the last 30 years have been workable.

GM's been real sick for a long time. Somebody's gotta stop the madness. If not GM's fans, then who will point the way?

[Croc]

two issues:

1. The Euro effort for Cadillac & Corvette (IMO the 2 most marketable GM lux commodities in Europe) have been awful. Every decision a disaster.

2. Those deniers who simply can't confess that GM visiting & learning from their mistakes isn't the way forward. It's the single largest reason none of their 'plans' of the last 30 years have been workable.

GM's been real sick for a long time. Somebody's gotta stop the madness. If not GM's fans, then who will point the way?

Exactly. GM seems like a company that divorced itself from reality nearly 3 decades ago when their business model needed alteration with the oil embargoes. Since then, they haven't gotten it together.

[gm4life]

Well this isn't good either... I just hope it works for them and they can re-enter the market.

[pow]

GM should stick with the basics. A global "standard of the world" Cadillac is a diversion from the bigger issues they're facing.

An Escalade as the flagship Cadillac doesn't make for the most elegant of portfolios, but it works - it outsold the S-class in February.

[Oracle of Delphi]

IDK about that... only if GM would have a real hands-free approach to Saab ownership. Unfortunately the things that are starting to surface in terms of GM dumping costs and all manner of accounting bull&#036;h&#33; on Saab and Opel tell me GM cannot do that... it seems GM needs to suck cash into the black hole called GMNA in any way possible...

Ewwwww, I feel dirty ...

[FUTURE_OF_GM]

It got excellent reviews? Hmmm...don't recall that,

Hmm.... How convenient.

and for good reason: it doesn't deserve them. It's a halfassed product,

subjective...

styled terribly blandly,

subjective...

too close in size to the CTS,

subjective...

too expensive compared to CTS,

subjective...

too narrow for its segment,

subjective...

and a cheap cheap CHEAP interior.

subjective...

And how exactly am I playing favorites with the SRX? It's won several comparos, and it drove like the 2003 CTS, while having lots of storage and passenger/cargo space.

We all know your bias... Unfortunately (for you) we all know what a failure the SRX has been.

Best SUV I have driven, period. And if you want to talk sales numbers, they exploded (relatively speaking) after the restyled interior came out, and that's with no promotion or anything.

*YAWN*

[cire]

I think GM should not worry about establishing Cadillac in Europe at the moment. GM should focus on reestablishing the brand's luxury cred in the U.S. and expanding the brand into developing countries that still view the "American Way Of Life" as something to aspire to. Europe is fiercely loyal to its domestic brands and it will be extremely hard to establish Cadillac there. Cadillac can still be a proud global luxury brand without having a major presence in Europe. Lexus and Infiniti have both made quite a name for themselves and they are not well established in Europe either. It would actually be great to see Cadillac establish its dominance in the luxury segment on its home turf once again.

[Bimmer325]

Having a cheap interior isn't subjective. It's pathetic, especially when GM expects people to pay $47k+ for it in a segment jam packed with higher-quality (and better performing) offerings.

[FUTURE_OF_GM]

Having a cheap interior isn't subjective. It's pathetic, especially when GM expects people to pay $47k+ for it in a segment jam packed with higher-quality (and better performing) offerings.

Subjective opinion on a subjective observation.

[Croc]

Hmm.... How convenient.

subjective...

subjective...

subjective...

subjective...

subjective...

subjective...

We all know your bias... Unfortunately (for you) we all know what a failure the SRX has been.

*YAWN*

You wanna be a snide jackass, you get to be blocked.

[Croc]

Having a cheap interior isn't subjective. It's pathetic, especially when GM expects people to pay $47k+ for it in a segment jam packed with higher-quality (and better performing) offerings.

Dude don't even bother trying to explain this to FOG. He has his head so far up the RenCen's ass it isn't even funny.

[ZL-1]

Ewwwww, I feel dirty ...

not that dirty, judging from your thread title.

I'll get there to congratulate you

[Oracle of Delphi]

not that dirty, judging from your thread title.

I'll get there to congratulate you

You know I was wavering back and forth, which is very unlike me, so I took a Leap of Faith ...

[turbo200]

What, exactly, was wrong with the STS again?

I mean, it got excellent reviews and it was a very competitive product. If you want to go on sales numbers alone, then you have to stop playing favorites and include that last gen SRX that you so dearly love in the 'pile-o-losers' as well.

you are halfway right. it got excellent reviews--for its chassis and powertrain. but it was never lauded for having the best design, inside or out. quality and tactile feel lagged competitors, quality never lived up to the luxury experience provided by more reputable rivals. additionally, they failed to capture the other segment of buyers, less image conscious and more practical, by not offering any appreciable difference in size over CTS, other than some additional read head and legroom. it needed to be an in between car closer to the size of LS than 5-series, which the CTS was already easily comparing against. so it failed three of the most important concerns of a luxury buyers: flashy design, luxurious experience, accomodating size.

[Croc]

Exactly, Turbo. The STS was a very awkward, yet bland, design, and the interior was chintzy for the price. The build quality in the few models I climbed inside was pretty poor as well, and the biggest impression I got was how sharp some of the corners on the HARD PLASTIC were, especially when they were exposed due to misalignment. I definitely had a plastic "papercut" as a result of the experience. Not cool. And though I only received a cut in one model, the sharp corners and misaligned trim were NOT exclusive to one specimen.

Factor the barely-upgraded size and interior (in comparison to the CTS) with the much-upgraded pricetag, this car was destined for poor sales.

[ZL-1]

You know I was wavering back and forth, which is very unlike me, so I took a Leap of Faith ...

Sometimes one has to. I'm about to do the same, more details to come...