Cadillac Most Improved Sales in Segment

[William Maley]

Cadillac Most Improved Sales in Segment

Cadillac is patting itself on the back because they're the top mover in the U.S. luxury market for 2010. Cadillac gained 1.6 points of share in the luxury market; the largest gain seen in any luxury brand. The gain puts Cadillac behind Mercedes-Benz, BMW, and Lexus. Total sales in the U.S. for 2010 was 146,925 vehicles; an increase of 35 percent. The gains can be pointed towards new products which include the SRX Crossover, CTS Sport Wagon, and CTS Coupe.

"Our positive momentum started with great new vehicles, but it also was carried forward with programs that provide Cadillac owners a higher level of service. Cadillac expects the customer experience to be further enhanced with many of our dealers planning significant upgrades to their sales and service facilities," said Kurt McNeil, vice president of Cadillac Sales and Service.

The CTS coupe has been a hit with 40 percent of buyers coming from a non-GM brand and could take the No.1 spot in coupes from the BMW 3-Series.The SRX has also been big hit for Cadillac; climbing four spots to become the second best selling midsize luxury crossover behind the Lexus RX330.

Sales Figure Ticker

Complete Sales Breakdown: 2010

[balthazar]

>>"...could take the No.1 spot in coupes from the BMW 3-Series"<<

whatWHAT ??

[Camino LS6]

This begs the question: Who's losing share in the segment?

[William Maley]

This begs the question: Who's losing share in the segment?

Lexus, Lincoln, Volvo, and Saab are losing shares

[Camino LS6]

Lexus, Lincoln, Volvo, and Saab are losing shares

Thanks for the quick answer!

[Camino LS6]

>>"...could take the No.1 spot in coupes from the BMW 3-Series"<<

whatWHAT ??

Makes you wonder what happens when Alpha shows up, doesn't it?

[Justin Bimmer]

Thanks to the explosive SRX growth and the steady growth of the CTS. I showed an SRX to somebody I know who has an RX and he was really impressed. There are free agents to be had out there.

[hyperv6]

The better new product has helped but I also think that many are shopping for cheaper luxury class cars with the economy as it is. The $50K-$90K cars are being replaced with cars in the $35-$60K price range.

Cadillac has got some really good cars in this range and even the people who are used to spending more are even cutting back. I feel this is a good chance for Cadillac to prove themselves.

[Justin Bimmer]

Hyper you have a good theory there. Cadillac is sane luxury.

[hyperv6]

Hyper you have a good theory there. Cadillac is sane luxury.

The Wall Street Journel also had a story on how the people that are well off but not uber rich are not buying the big houses and taking the the expensive vacations like they used to. There were signs they were cutting back just as most people are today. Most are affraid of the economy and future tax rates.

Also just look back to the early 30's and how many high end Luxury cars died that did not offer cheaper offerings. Even the rich have their limits in hard times.

I really think Cadillac needs to prove they are best in class in with the ATS and CTS they can grow to the other classes. But as long as their cars are close or almost as good as BMW and Benz any Cadillac car over $75K will be a hard sell.

GM needs to make the ATS and next CTS a full step better than the Germans in all areas. By the time they hit the market the economy should be recovering or finally crashed.

Edited January 8, 2011 by hyperv6

[regfootball]

Thanks to the explosive SRX growth and the steady growth of the CTS. I showed an SRX to somebody I know who has an RX and he was really impressed. There are free agents to be had out there.

they might wet their pants if they actually drive the SRX. it actually has a pulse I bet.......

The better new product has helped but I also think that many are shopping for cheaper luxury class cars with the economy as it is. The $50K-$90K cars are being replaced with cars in the $35-$60K price range.

Cadillac has got some really good cars in this range and even the people who are used to spending more are even cutting back. I feel this is a good chance for Cadillac to prove themselves.

oh but we need to make 90,000 dollar v-12 cadillacs!!!!!!!!!!!!!!!! (sarcasm)

exactly this is what is happening.

cadillac just needs to make sure they do not go TOO LOW down.

[hyperv6]

they might wet their pants if they actually drive the SRX. it actually has a pulse I bet.......

oh but we need to make 90,000 dollar v-12 cadillacs!!!!!!!!!!!!!!!! (sarcasm)

exactly this is what is happening.

cadillac just needs to make sure they do not go TOO LOW down.

Cadillac is in the right price range now the key is they need to execute and put the best car out in the classes they are in. If they can't make the ATS and CTS best in their price range then who in their right mind will pay $90K for a larger model.

I still can see them doing a model just over the CTS but that is it till they really are the world standard in class.

I am affraid they will have to do a smaller car at some point as BMW is looking to do FWD. Benz and others are also looking at doing very small cars as that is where they world market is being forced. I am not sure how this market will form nor dose anyone else. They are all searching for something that will connect with the buyer and I really don't think any of them have found it yet.

[ZL-1]

Cadillac is in the right price range now the key is they need to execute and put the best car out in the classes they are in. If they can't make the ATS and CTS best in their price range then who in their right mind will pay $90K for a larger model.

I agree: those 90K Cadillac will be needed as the top element of Cadillac's core cars, but only when the ATS and CTS are well established as he best in their respective categories. With people looking to buy something not as expensive, the opportunity now exists for Cadillac to make itself more visible; it's a good time to make that extra effort in extending brand awareness to those that have been looking exclusively at BMW, MB and Audi.

[dwightlooi]

$100K V-12s are nice halo cars. But they are not that important. The ATS, CTS and SRX will be the bread and butter cars. Succeed with these (especially the ATS) and you'll have all the budget and clout you need to advance the brand. Fail there and nothing else really matters.

Price point wise, Caddy is doing good. Expensive is not better. Expensive in and of itself doesn''t earn you much prestige. $29~45K for an ATS (including the V), $36~60K for the CTS and $35~50K for an SRX is a good pricing strategy. Quality, ride and handling are almost there -- only small tweaks and attention to detail is needed to get them over the line. The biggest problem now is weight. Let's hope the next generation Zeta II based CTS and Alpha based ATS will chip away at that.

[regfootball]

new ATS needed yesterday, new CTS needed tomorrow. I don't think the SRX credibility will hold up long with its new chopped look. Once they plug the mall parking lots for awhile I think they will go quite stale as their is too much competition in that segment. The SRX got downsized and feminized and will need to get serious again in its next iteration. Lots of luxury marques go into various niches, Cadillac doesn't have a real complete luxury portfolio.

They don't really have any halo models or signature cars right now either. Not like what a Cien or decently executed XLR could be.

[intrigued]

I think the SRX is supposed to get a moderate refresh in another year 2 model years to go along with the new 3.0 turbo that everyone hears about. All the rumors point to that engine being a beast. That should help the SRX keep its momentum.

[Drew Dowdell]

new ATS needed yesterday, new CTS needed tomorrow. I don't think the SRX credibility will hold up long with its new chopped look. Once they plug the mall parking lots for awhile I think they will go quite stale as their is too much competition in that segment. The SRX got downsized and feminized and will need to get serious again in its next iteration. Lots of luxury marques go into various niches, Cadillac doesn't have a real complete luxury portfolio.

They don't really have any halo models or signature cars right now either. Not like what a Cien or decently executed XLR could be.

SRX holds up extremely well in it's target market, wealthy soccer moms. They are the ones that get to make the decisions. The only GM needs to do is sort out the powertrains.

[regfootball]

that is what i am saying, the SRX's look will have a short shelf life when that bunch moves on to the next soccer mom queen mall mobile.

[Drew Dowdell]

that is what i am saying, the SRX's look will have a short shelf life when that bunch moves on to the next soccer mom queen mall mobile.

The RX has been the reigning queen in that segment for years, what makes you think it's a segment with rapidly shifting trends?

[Justin Bimmer]

the RX has been the same for the most part for at least 5 years. People buying in this segment have specific wants and style is not really a top priority.

[pow]

The RX has been the reigning queen in that segment for years, what makes you think it's a segment with rapidly shifting trends?

People buy the RX in spite of its looks. People buy the SRX because of its flashy Cadillac looks. That was pure conjecture, but hey, it's the internet...

[hyperv6]

The new SRX is a case where it shows what GM needs to do. GM needs in all classes give the public what they want. While the first SRX was a nice RWD and AWD vehicle it was not what people wanted.

Women are just a tick over 50% of the market and comanies can no longer ignore them.

You want to make money to day give them what they want or they will go else where. Loyalty is not something anyone can rely on anymore.

Trends with the public anymore are unpredictable and need watched. You just nev er know what they will want or buy anymore. Just look at shoes. Would you have figured all the different people wearing crocs shoes when they first came out. There is no accounting for taste.

Edited January 11, 2011 by hyperv6

[chugcatsts01]

My wife drives a 2005 STS bought new that year. $53,000.00 got every option minus sunroof. With 28,000 miles it is flawless. You can light up the factory Michelens while still getting a great hole shot. The 320HP Northstar gets 15/26 mpg and you have to look at the Tach to tell if its running. It is a head turner and my 2005 Corvette does not shame it. :smilies-38096:

[Drew Dowdell]

My wife drives a 2005 STS bought new that year. $53,000.00 got every option minus sunroof. With 28,000 miles it is flawless. You can light up the factory Michelens while still getting a great hole shot. The 320HP Northstar gets 15/26 mpg and you have to look at the Tach to tell if its running. It is a head turner and my 2005 Corvette does not shame it. :smilies-38096:

Welcome to C&G. The STS actually had a sales increase this month. It's a shame it's in its final months.

[ZL-1]

Welcome to C&G. The STS actually had a sales increase this month. It's a shame it's in its final months.

What's a shame is that a true replacement (and I mean a proper RWD/AWD flagship) for the STS has been rumoured or in discussion forever, always with the GM bankruptcy as an excuse. I mean if Cadillac wants to focus on RWD/AWD, the way from there is pretty much easy to guess.

Edited February 1, 2011 by ZL-1

[Drew Dowdell]

Cadillac looks to be continuing the trend of most improved in segment. Up 49% for January.