smk4565

I think diesel is a good idea. I go past gas stations all the time that offer it. I probably drive past 5 gas stations a day, even if only 2-3 have diesel that it isn't like I have to search hard or go out of my way. And if you tell me I can get 35 mpg and 450 lb-ft of torque, sign me up for that. Plus no one is saying Cadillac should offer only diesel, there will still be lots of gas engines for those that are afraid of it. I think offering consumers choice is always a good idea.

A CTS-V at 12/18 is not more efficient than an S63 AMG with 563 hp, 664 lb-ft and 15/22 mpg. And the S63 weighs over 4800 lbs. The 2012 E63 AMG is estimated to also be 15/22 mpg, although it only weighs 4,050 lbs, so you'd think with 800 less pounds to pull it should do better than the S-class, but ratings are funny sometimes.

On some Cadillacs you get more, but I am not talking CTS-V vs a Camaro. I am talking about SRX and XTS compared to a LaCrosse or Equinox. SRX is based on Malibu and Equniox platform and suspension and XTS going to share a platform with the LaCrosse and next Impala. To me this is a slippery slope toward Lincoln/Acura territory. Cadillac isn't as bad as those 2, but I fear that they could head that direction. The Camry and ES350 are both on a 109.3 inch wheel base. The only difference is the ES is 191 inches long compared to 189 for the Camry. The Avalon is on a 111 inch wheelbase with a 198 inch length. I know the ES is the best selling Lexus sedan, but it doesn't sell as well as it used to. The ES still sells now, but it is selling to 70 year olds, just like the Lucerne and DTS. Sales of those cars have declined recently, and by 2020, those buyers will not be in the market. Lexus made 2 great moves in the USA in the 1990s. One was having quality/reliability that beat Mercedes (in the early 90s Mercedes was the standard) at a lower price, this got them some import luxury buyers to switch over. Secondly, they built a better Buick/Cadillac/Lincoln than Detroit did. The baby boomers wanting soft, refined luxury, found a better version from Lexus than they could get from Cadillac or Buick, and as an added bonus they weren't driving the car their parents drove. Cadillac and Lincoln were the 2 brands that paid the biggest price from 1990-2000 on Lexus's rise to power. Cadillac and Lincoln were the top selling luxury brands before Lexus got here, now Cadillac is 4th or 5th, Lincoln is probably 7th or 8th. The other element to work in Lexus's favor was the terrible cars that Detroit made in the late 70s and 1980s that pushed so many people to Japanese cars. After 10-15 years driving a Toyota, the trade up to a Lexus was a no brainer. BUT, I think Lexus time on top has come. The RX is still strong and gets 40-59 year olds, but 10 years ago the RX was one of the only small-mid luxury crossovers, now there are a dozen of them. Lexus sedan buyers are an older bunch, and they have trouble attracting younger buyers. Just as Cadillac and Lincoln got the image of being a geezer car in the 1990s, that will be Lexus of the 2010s. I believe for Cadillac to be successful, they need to go after the luxury car buyer of the future. Their lineup has to be what will work in 2015-2025. Look at the decline in the smooth, big luxury car, Grand Marquis/Town Car, Park Ave, LeSabre, Aurora, DTS, even STS, dead. S80, RL, MKS hanging on by a thread. The luxury car market of 2011 looks far different than how it did in 1999 and I think come 2020, it will shift again. Cadillac needs to be ahead of the shift, not chasing after it.

A CTS-V with automatic is 12/18 mpg. S63 AMG is 15/22 mpg and you get 590 lb-ft or 664 lb-ft of torque with the performance package. And the E350 Bluetec gets 33 mpg highway, so that is the most fuel efficient Mercedes.

The AMG 6.3 is being phased out for the new M157 bi-turbo V8 and the M5 is getting a twin-turbo V8, so those will be the engines to measure against. But also by offering something special, I wasn't just meaning on a V-series, I meant whole line up. Even on a lower end Cadillac, there has to be a reason to spend extra for it, if the car is 90% Buick/Chevy, they can't get much of a price premium for that. Then you are just Lexus hoping to sell 3,000 badge jobbed Camrys every month.

Fleet sales do not hurt Mercedes. They almost seem to enhance their reputation as 97% of all governments own an S-class, and over 100 own an armored S-class limo, and many leaders and dignitaries are driven around the fleeted out cars. You may not like how they operate, but they are in 1st place and have been the most successful luxury car brand worldwide over the past 30-40 years. The question is how does Cadillac (circa 2015) put a vehicle lineup, marketing strategy, etc together to compete with the top tier brands. Cadillac staying status quo and hoping for Mercedes to fall apart is not a good plan. You mean having a bunch of orange and beige Mercedes cabs running around Germany doesn't hurt image at all? Apparently not since they sell as well as BMW and Audi with fewer fleet sales. Opel is 61% fleet sales, higher than Mercedes, yet they are still in business and looked at to be the savior of Buick. GM fans here are excited by a $30,000, 182 hp 4-cylinder car because it is imported and new, but they fleet them out in their home market. In the UK, Vauxhall is 55% fleet and the Insignia has 17,000 fleet sales YTD for 2011 while the Passat and Mondeo combined have 19,000. Why do the Buick fans here not complain that the Regal is a fleet queen in Europe? The Insignia is the #1 fleet car in the UK, yet no one is complaining about that. Europe is a fleet heavy continent. And from Mercedes standpoint, do they care if the Bulgarian government pays 100,000 Euro for an S-class or if retired CEO in Belgium pays 100,000 Euro for it? They are making money either way, and they have a very strong brand image with a very loyal customer base. If their image (as well as BMW's or Audi's) was hurting, another luxury brand would break into Europe, but look how badly Cadillac, Lexus and Infiniti fail when they try.

DOHC or not doesn't matter a hill of beans in that regard. For someone who simply wants to go fast with class, power is king, valvetrain configuration is not. But power and going fast doesn't drive the luxury segment either, most luxury sales are to older folks who want comfort and safety. Being special matters though, I think that is part of the appeal to a V10 M5 or a Ferrari that revs to 8500 rpm, an ordinary car can't rev like that or sound like that. If your luxury car goes and sounds like a Camaro or Charger, it isn't as special. Cadillac has to be different and more special than what Buick or Chevy have, otherwise why pay the extra $25,000.

I would mostly agree, but Cadillac is far from that now. BMW and Mercedes are the current brands that the article would apply too. I would say the last couple lines applies to the S-class. For 9 generations it has been the leader everyone is following. And Cadillac of course did live, while Packard did not. Let's hope Cadillac doesn't become Packard, although I think Lincoln is headed in that direction.

You mean Gen Y and the Millenials...plenty of 30-something and 40-something Gen Xers in the luxury market today.. Yes, but may 30 somethings are not yet in the luxury market. Most luxury car brands do attract people in their 50s and up. But from 2015-2030 those 30-45 year olds today will be nearing that age. The ideal car lineup is small ATS at $33-50k, midsize CTS at $45-65k and a rear drive full size sedan of $75-100k. I would add a sports car, doesn't have to be a $100,000 car, a $45,000 roadster could work. A super car would create more image though. I would also add a car below the ATS, but only after a legit flagship was in place. A $27-33,000 hatchback would get them international sales, and get younger buyers in America. Lexus was sort of after that with the CT200, but they made it ugly, boring and slow. Young people don't want that. They got the fuel efficient part right, but it has to be fun too.

In 2007, BMW had the highest percentage of fleet sales in Germany at 67% with Audi right behind them at 66% thus only about 33% going to private customers. By contrast, Mercedes sold 50.1% to private owners. While VW sold 47% to private owners, Ford 41% and Opel 39%. So Mercedes does sell more to private customers than other German domestics. But Mercedes wants fleet sales because their profit margin is very close to their retail sales. Daimler posted $6.3 billion in profit last year and so far 2011 is a record sales year for Mercedes, so they're doing fine. The thing is BMW and Audi are also doing well this year and the German trio is expected to grow and do well in the future. This is why I think Cadillac has to move fast, and expand globally. They can't rely on a North America only strategy, or cater only to past customers. I just read how of the top 10 car brands bought by Gen Y this year, zero are domestics. Gen X and Gen Y may not be in the luxury car market until the 2020s, but when that time comes Cadillac better have something to attract them, because those buyers favor imports heavily. This would be the one case I would approve of a FWD Cadillac, is for a hot hatch type of car like a Golf GTI or Mini but with more luxury.

Fleet sales don't hurt Mercedes in Germany or anywhere else in the world either. If fleets sales were hurting them so much in Europe, Lexus or Infiniti or Cadillac would have broken into the market. The German trio dominate China and Europe, and Mercedes and BMW and #1 and #2 in North America now also. Mercedes in 2011 is actually having a record sales year, they are up in England, Sweeden, Germany, China, USA, Japan, and Middle East. Their image seems to be fine, they perform near the top in every market. Global luxury sales first 6 months of 2011 BMW: 689,861 Audi: 652,950 Mercedes: 610,531 This is largely due to Mercedes being #3 in China, selling 30,000 fewer cars than BMW and 50,000 fewer than Audi there. Audi is the choice of the Chinese government (A6 is the #1 selling luxury car in China), which helps boost sales volume there.

Fleet sales do not hurt Mercedes. They almost seem to enhance their reputation as 97% of all governments own an S-class, and over 100 own an armored S-class limo, and many leaders and dignitaries are driven around the fleeted out cars. You may not like how they operate, but they are in 1st place and have been the most successful luxury car brand worldwide over the past 30-40 years. The question is how does Cadillac (circa 2015) put a vehicle lineup, marketing strategy, etc together to compete with the top tier brands. Cadillac staying status quo and hoping for Mercedes to fall apart is not a good plan.

Now if you're talking worldwide volume, I'm certain that Cadillac won't expand worldwide and then fleet itself out like Mercedes and BMW do. However, everything else you said in this comment is spot-on. I was thinking global volume, and perhaps not the million units a year that Mercedes sells, but maybe 400-500,000 units. The profit margins and image I am more concerned about.

The goal of Cadillac should to have Mercedes' volume, price margins, customer loyalty, reputation, image, etc. The goal is to make the Wreath and Crest carry as much weight as the 3-point star. Everything Cadillac does should be done to put them in a position to be on par with Mercedes, that is why I dislike the SRX, and XTS, those are distractions and quick fixes, they aren't solving the problem.

I already explained why. The two cars aren't even comparable because they're aimed at different markets. Now if someone could prove that the E63 handily outsells the CTS-V, then you make a better point. I don't think either brand breaks down sales by specific model, could be hard to find out. But look at the price gap also, if the CTS-V was $90,000, they would sell like 10 cars a year. Nothing Cadillac makes is directly comparable to Mercedes because they operate in such different price brackets, due to the massive image gap between the two. This is the gap Cadillac has to narrow. I just priced an E350 with 4matic, Premium package 2 and the driving nannies like Distronic, night vision, blind spot, parking aides, wood/leather steering wheel, rear air bags, message seats, etc. Pretty much everything but dealer accessories, AMG wheels, panoramic sunroof, and rear seat DVD system. Price is $69,905. This is the difference between Cadillac and Mercedes. Cadillac could not price a V6 CTS at $70,000, they would be laughed at. Perhaps even more scary, is the options list on the S550 can total near $40,000, that's a whole Cadillac just in options, or 3 Fiestas.

I wasn't meaning to say sales volume equals superiority, but to point out the brand image difference. Dwight suggested a 470 hp 25 mpg V8, yet even with 556 hp, more people would take a Mercedes with a 268 hp V6 for the same money. Big engines and 0-60 time aren't enough, Cadillac has an image problem. Any muscle car can crank out horsepower, the image has to be repaired by more complex measures, such as refinement, build quality, and technology. And Mercedes did sell over 825,000 W126 S-classes, that is pretty big volume for a top end luxury car.

3 red letters on a Chevy truck.

I agree with what Hyper has been saying. Cadillac does need to adapt to get the current luxury buyers plus those that haven't entered the luxury market yet. Image does play a huge role in luxury cars. Of course people say "I've always wanted a BMW" or "I've always wanted a Mercedes" because they build the best and most expensive cars. They built their reputation over the past 30-40 years while Cadillac let theirs weaken. Driving a Cadillac (or Lexus or Lincoln) means you are an old person or that you couldn't afford a BMW or a Benz. The image just isn't there for those brands. Image building is what Cadillac needs, that is why they need to get focused and build some top end cars. Cadillac is clueless from a brand management standpoint. The CTS-V may have 556 hp, but the 268 hp E350 that is easily optioned up over $60,000 probably outsells the CTS-V by large margin. Even with all that horsepower, Cadillac can't overcome the 3-point star.

So undercut the Germans by $10-20,000 to compete on price. Then make versions of the Chevy Tahoe and Equinox to be unique? I agree with your statement, but Cadillac is not doing that. Mercedes and BMW are the 2 that make unique products and they are the top sellers in the luxury game.

In general the S-class is 10 years ahead of the field, but I know not always on everything. If you look at a 2000 S-class and the features and technology on it, it would rival or beat $50,000 cars of today, and for sure outmatch the entry level luxury class. But they are obviously committed to the car also. Since the 1970s the S-class has been the car everyone has been chasing. If Cadillac plans to go into that field, they better go all in. Because the S-class is about to go into its 6th model year and it is still outselling brand new models from Jaguar, BMW and Audi.

I do think Cadillac needs 30-40 mpg cars, if they don't do it with hybrid they can do it with diesel. They need diesel anyway to sell outside of the USA. While I agree that hybrids don't make much volume, it does give a technologically advanced image to a brand. Flagship is a big problem for Cadillac, they are going to have to make it the size of the XTS, yet charge twice as much. So that could be a hard sell. Then we are looking at Sigma or Zeta rehashed; by 2015, those are 10 year old platforms. And will Cadillac spend the money for it? I think a Cadillac flagship is essential to legitimize American cars and build image, but I am skeptical in them doing it right. ATS convertible is needed, but not enough. BMW makes 3, Mercedes makes 4, Audi makes 3. Cadillac needs a purpose built sports car, whether that is in the Z4/SLK class or at something higher end I don't care which. I find the CTS 2-door to be a horrible looking car, it looks tacky, overweight, and big butted. But even the fans can't say it is a better looking 2-door than a Jaguar XK or Maserati Gran Turismo.

At their peak sure, but the Deville/DTS peak was 10 years ago, most of those buyers are shall we say, not looking for a new car. Big luxury sedans in general do not sell much volume, the front drive ones do worse than the rear drivers. The XTS is catering to a dying market. And the XTS is a gussied up Buick (and future Impala). It is exactly what Ford does with the MKS and Acura does with the RL. Cadillac might just execute it better. The XTS is made to appeal to the Cadillac buyer of the 90s, I think they are wasting their time. Cadillac needs to move on and build the future, not the past.

Crossover buyers are mostly sheep. They'll buy what they perceive to be good, that is why the Lexus RX wins the sales crown every year. I'd rather Cadillac make the SRX rear drive, but I would never consider buying any crossover, and I know the market doesn't care. so I have less problem with the SRX being FWD than I do the XTS. I mainly don't like the SRX being front wheel, because it will no doubt lead to more front wheel drive Cadillacs. XTS won't sell 5,000 cars a month, the DTS sells about 1,000 the Lincoln MKS about 1,200. Town Car and STS are dead, S80 and Acura RL don't sell. This is the type of car it is. How is the XTS going to sell at E-class levels, where will the buyers come from? Aside from funeral homes. The ATS might be good, I am glad we know not much about it. I am eagerly awaiting it, because it is probably the only Cadillac in the next 4-5 years that I'd consider.

According to Dr. Weber they will do it; this is the company spending $2.5 this year on alternative fuel and hybrid technology. I read this article a little while ago: In an interview with Car and Driver, Mercedes development director Dr. Thomas Weber said "Three years ago, everyone thought that there would only be small cars and that there would be no more large cars. But our plug-in concept demonstrated that an S-class could make 78 mpg (3.0 L/100km), so those questions stopped. With the next generation of S-class we are talking 81 mpg (2.9 L/100km), using a new-generation 3.0-liter V-6 gasoline engine-direct injection and piezo injectors-integrated with a 60-hp (44 kW) electric motor. In pure-electric mode, the car would have a range of just over 20 miles (32.2 km) at speeds of up to 68 mph (109 km/h). It is clear that we will have a plug-in hybrid in the next-generation S-class." 81 mpg Euro is about 70 mpg here. If they do this, (and I think they will because the S-class is always 10 years ahead of its time) no other car maker is close. The new S350 bluetec has over 450 lb-ft of torque and gets 30 mpg highway, that is still well above big car standards. The next S-class is supposed to drop weight from the W221 model, but cars seldom drop weight. Although when they went from the W140 S-class to the W220, there were considerable weight savings, so I know Benz knows how to do it.

Yet for all their faults they are the #1 selling luxury car in the world, selling over 1 million cars a year and they make billions in profit every year. The C-class turbo 4 arrives this fall, the C-class and S-class also get diesels soon, that will solve some of their fuel economy woes. The next S-class is said to get over 70 mpg while doing 0-60 in under 5.5 seconds. No automaker is even remotely close to that, that is game changing. You can keep thinking what Cadillac is doing and has done for the past 10-20 years is the path to success, but look at their brand. Sales have been on steady decline over the past 20 or even 30 years, they have almost no sales volume outside of North America and their product line is now 1 mid size car and 2 SUVs. Cadillac is a dying brand, there was a blip from 2003-2005 when they showed a little sign of life, but they are flat lining again. They aren't as bad off as Lincoln, but in 5 years they could be.