Archive for June, 2007
So where are OUR wine and cigars?
June 7, 2007 - 11:08 amBusiness Week has a interesting article about how Cadillac is wooing luxury buyers in China.
As the Chinese discover mobility and acquire wealth, established luxury brands from the western world are throwing every trick they have at making sure they walk away with all this new-found Chinese cash.
Given China’s 1.2 billion people, even the tiny percentage that can afford such extravagances represent a significant number of sales – and mainly to people who have no brand loyalty yet.
Other examples of Cadillac’s push is unique models like the SLS, with improved rear accommodations to cater to the new Chinese rich who prefer to not drive themselves.
Ultimately, increased volumes in emerging markets like China can only help Cadillac in their home market as each sale puts a bit more money in the bank that can then go to develop products for all markets.
Read all about it (and don’t miss the slide show that shows what a Cadillac showroom in Shanghai looks like) at:
Business Week: Cadillac Floors it in China
SRX takes prize for best interior in class
June 7, 2007 - 8:11 am
Ward’s Auto World’s annual interior show is June 6-7, 2007. At this show, participants are asked to vote for the best interiors in several vehicle classes.
This year, the Cadillac SRX (with it’s new ‘cut and sew’ interior treatment) has taken both the Ward’s staff and ‘Industry at large’ votes for best Crossover Utility Vehicle interior.
Given that interior quality was one sticking point of the new Cadillacs with some buyers – this is certainly good news.
Cadillac set to push DTS and STS during 2H07
June 4, 2007 - 11:18 am
Automotive News is reporting that Cadillac is unhappy with sales of the STS and DTS sedan. In part, this is due to customers waiting for the refreshed 08 STS due out later this year.
Sales of the DTS in May were down 20.7% while sales of the STS were down 18.1%.
GM’s VP of sales is less than pleased, saying “I’m not satisfied with STS and DTS sales, so we’re working on very specific plans to get that back on track.”
Combine higher ad spending with the freshened STS should get that back on track. Though, even with more ads, it is questionable if the DTS sales will rebound much without some sort of update.
Also noted by executives at Cadillac are vague plans to bring out a sub-CTS sedan as well as a new product above the CTS…this fits nicely with rumors of a rear-drive BLS, upmarket CTS, and the DTS/STS being replaced by a 7-Series/S-class fighter.
