In an interview with Yahoo Autos, Cadillac President Johan de Nysschen hit a few major points he intends on fixing for the American luxury brand. Specifically, he’s extremely concerned with the lack of vehicles in the brand’s line-up where its competitors have the entire playing field.
This may be in regards to the entry-level luxury segment dominated by the Mercedes CLA and Audi A3, and even a tad by the BMW 2-series. Or in regards to the compact luxury crossover segment. You get the idea, Cadillac has some major product gaps, and it’s been recognized several times over.
His response to the lack of product in the brand’s lineup was a fitting one: Cadillac needs to be on the offensive with Millenials, who will become eighty percent of buyers by the end of the decade. This means crafting excellent entry-level product, while retaining the customer for life to move them into more exclusive product.
Specifically, when pressed up product gaps, de Nysschen was blunt saying, “It’s somewhat frustrating for me. I look at the luxury car market in the U.S., and the luxury car market in China, and the headlines are ‘luxury car sales grow 6 percent.’ All of the growth is in these segments where I do not have a single car to sell. I have got to fix this stuff.”
When Yahoo Autos asks about Cadillac’s dealership structure, de Nysschen sheds some light on what we will be seeing in the near future. de Nysschen says Cadillac dealers will be getting extensive makeovers, and will be extremely contemporary and fashion-forward. He also says he does not intend to reduce the dealership network, either. Rather, he sees it as an upper hand to his German rivals.
He also doesn’t care much for the idea of buying a car online, and understand luxury car buyers aren’t your typical customers.
“The dealer is a vital part of the ownership chain. Online is predominately used as an avenue to gain information. By and large it’s a capital-intensive transaction…Customers want to experience the product physically, they may have trade-ins — it’s a more complex transaction than mail-ordering from Amazon,” said de Nysschen in the interview.
It sounds like de Nysschen will have a busy rest of the decade as he prepares a full-scale offensive on the brand’s line-up, but it’s good to see someone in charge with a vision.