smk4565
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Everything posted by smk4565
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Why did Mercedes build an all electric SLS AMG? The answer is because they could, Mercedes has a pretty big ego as far as car companies go.
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Chrysler News: Fiat Increases Its Stake In Chrysler
smk4565 replied to William Maley's topic in Chrysler
With over 2/3 ownership, seems like they'll be able to do whatever they want. And I don't think they bought Chrysler because they loved what Dodge has, or the 200 or 300. I think they saw Jeep as a profitable unit and this is a way to get Fiat/Alfa out of Europe and into the American Market. -
Mercedes claims it will do over 70 mpg. I don't think they are building this car because they think it will sell in any good quantity, I think they are building it just because they can. Sort of a screw you to the 7-series hybrid and the Panamera hybrid.
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Cadillac News: Rumorpile: General Motors Cans Cadillac Ultraluxury Sedan
smk4565 replied to William Maley's topic in Cadillac
Right, except... mercedees sells a million plus (mostly to low-margin fleets), contaminates their portfolio with garbage trucks & cargo vans, is supposedly massively profitable, is on an intergalactic quest for The Most Sales Possible..... yet even they could not make a case for a tarted-up s-class sedan -their ultimate & SO important flagship- that started stickering at $380,000 !!! So much for 'economies of scale'! lol Mercedes worldwide makes over 4,000 Euros per car profit, that is over $5,000 per car. Most car companies are lucky to crack $1,000 per car. What they do works, and Daimler is largest truck producer in the world, so Mercedes is going to have trucks. It is what it is, and their revenues keep going up so they'll keep doing what they do. The Pullman will be good, maybe they even put plug-in hybrid technology into it, because a plug-in hybrid S-class is coming for sure.- 77 replies
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Cadillac News: Rumorpile: General Motors Cans Cadillac Ultraluxury Sedan
smk4565 replied to William Maley's topic in Cadillac
There isn't really anything they can do that the others can't, or haven't already done. The German brands have a global sales network and economies of scale. Audi has gotten back in the game since they have VW's size and money, combined with Bentley and Lamboghini under the umbrella so they can put a Lambo V10 in an R8 or Audi sedan and make cars that stand out. Cadillac just has to make a full size luxury car, put all they have into it and see what happens.- 77 replies
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Pullman will be an extended length trim level. If you took an S600, you are already over $150,000. Making it longer, with more stuff, and fancier materials on the inside will let them go over 200k. They have sold a $200k S-class for the past 7 years, they sell an armored S-class limo for over $1 million and have a waiting list for that. They can make this car custom order, and they'll be fine. Mercedes and BMW each make over $4,000 profit per car, these guys know what they are doing. And Maybach failed, but they at least took a chance, the gamble didn't pay off, but cars like the SLR McLaren and SLS AMG did pay off, as did the Grosser Mercedes of the 1960s and 70s.
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CLS is built on an E-class chassis. It has nothing to do with the S-class. There isn't an automaker out there that wouldn't trade their flagship car for the S-class and the revenue and profit that comes with it. If Euro fleet sales were so damaging to Mercedes, Audi and BMW, why can't Cadillac, Lexus or Infiniti sell cars there. Regardless of what Mercedes does, Europeans will buy them, and keep buying them over American or Japanese imports.
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The only thing I was wrong about in my May 2013 comments was I thought Impala sales would go down from the old one but go up in profit. But the Impala sales have gone up and the new one is selling as well as the fleet queen did, which is a good sign. The Maligu is hurting, perhaps more are moving to the Impala and paying the higher price for the better car. My point from May was GM has too many models to advertise all, and they advertise pickups all the time because that is where the money is made (which makes sense) and they let other cars die on the vine. Look at Regal and Lacrosse sales in the tank, even Camaro down 20% against a dated Mustang. Trucks and cars in the first 2 model years get marketing dollars. GM has been advertising pickups a lot lately because they want to clear out the old model, I've seen $8-9,000 off advertised on a $30-40k vehicle, that is over 25% off, that is why the Silverado and Sierra had big months, remember there was over a 100 day inventory of those a few months ago.
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S-class sold over 91,000 in 2007. They can potentially sell 100,000 in 1 year, the W126 S-class sold over 825,000 from 1981-1990, that is about 80,000 per year for a decade. It doesn't just win in volume either, it has more status/appeal than an A8 or 7-series, higher price point, more power, better gas mileage, more technology. The S-class won world green car of the year a couple years ago, no other car in that segment has won that. When the S-class convertible comes out, another advantage, as there is no A8 or 7-series convertible.
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They have too many models to advertise them all, that has always been a weakness of GM. GM puts the marketing dollars behind new cars and the big sellers like pick up trucks. The Regal isn't going to sell, might as well buy ads for a truck instead.
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If Mercedes is so ripe for the picking, maybe Cadillac should put their whole line up for sale in Europe and take them out.
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Cadillac News: Rumorpile: General Motors Cans Cadillac Ultraluxury Sedan
smk4565 replied to William Maley's topic in Cadillac
Well, Cadillac has made that statement already by having the Escalade as its pricier model... Pretty sad when a dressed up Tahoe is your flagship. That needs to change.- 77 replies
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Cadillac News: Rumorpile: General Motors Cans Cadillac Ultraluxury Sedan
smk4565 replied to William Maley's topic in Cadillac
Mercedes took 12,000 orders for the S-class in the past month, we'll see how the Pullman does. Mercedes isn't really going directly at Rolls and Bentley, but they will continue to offer cars in the $200,00 range because they have a loyal following and people that can and will pay that price for a special Mercedes. I don't think we can say the 3rd gen CTS has eclipsed the E-class and 5-series when it isn't on sale yet. The CTS is also prices $4,000 below the 528i and E350. The 5-series and E-class sell about 5,000 a month here, I don't think the new CTS can get that level. The 3-series outsold the ATS, CTS and XTS combined in June, 3-series sales were up 49% in May, up 62% in June, the ATS isn't hurting it, that car is hotter than ever.- 77 replies
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The S-Class is a fleet car in the rest of the world outside of North America. It's main advantage is that it can be used a taxi or limousine simply by changing the paint. At least Ford bothered to put a different grill and tail lights on their limos. Yet it is still the #1 selling large luxury car in the world, and has a higher price point than the 7-series, A8, XJ, or LS460. And Cadillac, Acura, and Infiniti don't even try to compete with it. Mercedes got 12,000 orders in the first month since the reveal of the 2014 model, looks like another generation of dominance.
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Cadillac News: Rumorpile: General Motors Cans Cadillac Ultraluxury Sedan
smk4565 replied to William Maley's topic in Cadillac
Cadillac is no where near being ready to go after Rolls or Bentley, they probably never will be. Rolls-Royce can charge $400,000+ for a Phantom, that is rarefied air. You could argue that the Hyundai Equus is closer to an top end luxury sedan than anything Cadillac as. GM let Cadillac's image weaken in the 1970s, then dragged it through the mud in the 80s, 90s, and it wasn't until around 2003 when they starting to pump some life back into it. They have yet to prove they can challenge the 5-series and E-class, let along climbing up the ladder. The ATS and CTS are where to start, if those cars succeed, then it is time for an S-class level car, but you have to go all in, or it will flop. It would probably be the biggest R&D budget GM has ever put into a car.- 77 replies
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Cadillac News: Rumorpile: General Motors Cans Cadillac Ultraluxury Sedan
smk4565 replied to William Maley's topic in Cadillac
Cadillac has yet to succeed above $60k, so no sense going after Rolls or Bentley. They need a $50-65k CTS to succeed, then to go after the XJ, A8, S-class and 7-series. But even the A8 which is a well reviewed car struggles to sell. Cadillac could build an all-star car and still only sell 6,000 a year, that gamble makes me wonder how committed they are to a big luxury sedan.- 77 replies
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The Crown Vic was a fleet car that no one tried to go after either, and now it is gone. Lexus, VW/Audi, and BMW have spent billions on big luxury sedans, no one can knock it off the throne. The 3-series and the S-class dominate their segment globally more than any other cars.
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2008 Cadillac SRX for $18,000
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Cadillac News: 2014 Cadillac XTS Gets VSport Package, Starts At $63,020
smk4565 replied to William Maley's topic in Cadillac
Rear drive cars ride and handle better than front wheel drive. CTS has a better chassis, Alpha vs Epsilon 2, CTS will have the same magnetic shocks. If Cadillac can't make the CTS have better ride and handling than a dressed up Impala, how are they going to go against Mercedes. -
Cadillac News: 2014 Cadillac XTS Gets VSport Package, Starts At $63,020
smk4565 replied to William Maley's topic in Cadillac
Most car companies don't put 2 cars of equal price and similar size against one another. They will cater to different markets yes. But RWD beats FWD in the luxury game. The CTS should be able to cut into XTS sales big time, because of the superior ride and handling, and the interiors are basically the same. -
Well if 2003 is on the table, lets just end this right now. http://www.autotrader.com/cars-for-sale/vehicledetails.xhtml?zip=15222&endYear=2014&modelCode1=AURORA&showcaseOwnerId=0&startYear=2002&makeCode1=OLDS&sellerTypes=b&searchRadius=200&mmt=[OLDS[AURORA[]][]]&listingId=349357587&listingIndex=6&Log=0
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Maybach wasn't an S-class. The S-class always succeeds, it has been #1 in it's segment for 40 years. This thing will be awesome, they'll probably only build 1,000 a year world wide and they'll have a waiting list for it.
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Here is a Ward's Auto article on how on 2016 big changes are coming. Dodge won't get an Avenger replacement, Caravan goes away, Chrysler is getting a new 100 and new 200, maybe the Dart leaves too? http://wardsauto.com/blog/dodge-s-future-and-other-questions-loom-fiat-chrysler Another article on how most of the new Fiat-Chrysler cars coming post 2015 will be going to Fiat, and the Wards Auto article also stated that 75% of the Fiat-Chrysler cars post 2016 will be on a Fiat platform. Jeep is getting a 7-passenger Wagoneer, looks like the Durango will be doomed. http://features.blogs.fortune.cnn.com/2013/02/07/chrysler-has-issues/ I could care less what Fiat and Chrysler do, I think they are both doomed anyway. My belief though is that Fiat will do what they think is best for Fiat, and not for Chrysler LLC.
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Cadillac News: 2014 Cadillac XTS Gets VSport Package, Starts At $63,020
smk4565 replied to William Maley's topic in Cadillac
I thought the XTS would sell around 2,000 to 2,500 a month, and that is sort of where it is. It should be able to sell 30,000 a year when the Town Car is gone, the MKS isn't very good and it basically replaced STS and DTS. There is still a segment of buyer that wants a big cushy American car, and there is the Livery market. You can get 30,000 sales a year there. I don't see the livery market or 70+ year olds wanting 410 hp, or spending $65k to get it. I am curious how the new CTS will sell and what will happen to XTS sales once it comes out, because they are priced nearly the same. -
What about a 2010-11 Saab 9-5? I saw one at a local dealer that is the Aero X for $22k. And if that is a little too big or too expensive, a 9-3 Aero can be had under $20k. I did find one 9-4x in Ohio for $24k. I bet they sold under 1,000 of those, super rare.