Cadillac is a brand that’s been changing faster than most of its buyers can apply for a reverse mortgage. Let’s face it, Cadillac continues to have a rather elder median age of its average buyer in the United States, and that traditional customer base has seemingly had some trouble adjusting to a brand they once thought they knew. Dealers, too. But as Cadillac continues to stretch out in an effort to become a global brand, the customer in turn seems to be changing as well. A seemingly younger one, at that. Speaking with Cadillac executive chief engineer Dave Leone, who oversees all Cadillac product development, we learned a few things about the modern Cadillac customer. In short, they are the following:
1. The Average Cadillac Buyer In China Is 15 Years Younger Than In The United States
The sales pool may be smaller, but there’s a pattern that points to Chinese buyers being on a more favorable side of age than in the United States. As Cadillac pushes for growth globally and expands its portfolio, it may lean on China as a result going forward.
2. Cadillac Average Transaction Prices (ATP) Have Risen $7,000 Globally
This is a good thing. As ATP and profit margins tend to correlate. The fact that ATP for the entire Cadillac brand has jumped a full $7,000 from October 2014 to October 2015 speaks a bit about what customers are willing to spend as a whole on a Cadillac model. Maybe its pricing strategy isn’t so bad after all.
Also, despite contrary reports you may hear or read about, Leone notes that plenty of Generation X and Y buyers are ponying up the funds required to purchase a Cadillac, not just wealthier-as-whole Baby Boomers. An interesting note to go with it all is Cadillac is finding that the younger generations may not have much money saved up as the elder Boomers, but it hasn’t stopped them from indulging. This phenomenon is said to be in all markets. Whether or not this trend is sustainable is a topic for another day.
3. The Cadillac ATS Attracts The Most New Customers
When it comes to either conquest buyers or new luxury vehicle customers as a whole, the Cadillac ATS seems to be the current entry point. It remains a driver’s choice for a rather fickle C-segment sedan market, while its pricing allows for others to get their feet wet in a more premium vehicle space. It’s far from a sales champion currently, but seems to be an effective tool for attracting customers to the Cadillac brand as a whole.