mobile-menu-icon
GM Authority

Buick Shaking Off Recall Stigma With Ease, Enjoying Sales Growth

Buick has been something of an unsung hero as of late. Despite a number of recalls at General Motors, Buick sales in the United States have jumped 18 percent in June 2014 from one year ago, and is also attracting much younger customers these days.

“Our younger buyers don’t seem overly concerned [about the recalls],” general manager of Liberty Buick in Peoria, Ariz. Autumn Henderson told The New York Times.. “They seem to be more forgiving or maybe just more realistic. It’s our older customers who have been calling in. They’re concerned, and they want an explanation.”

Even J. P. Morgan automotive analyst Ryan Brinkman agrees that the recalls should be of little worry to new car buyers interested in General Motors’ vehicles: “Even [GM’s] harshest critics don’t allege they’ve built any of these vehicles since 2007. So do you not buy a 2014 Chevrolet because there was a problem with a 2006 Chevy Cobalt?”

The Trishield’s sudden ability to attract younger buyers stems from its decision to shift its focus to premium small cars. “Americans have stopped equating small with cheap…That plays very well for Buick. The market has evolved to allow Buick to sell into higher volume categories with a premium price,” Brinkman told the New York Times.

“We invested heavily in Buick, and it’s starting to pay off,” General Motors’ head of global product development Mark Reuss added. According to the Times, Buick is on track to better last year’s annual sales of 205,500, a number that towers over the 102,000 car’s the brand sold in 2009. The Encore compact crossover has been a particularly bright spot for the brand, with U.S. sales jumping 82 percent in June.

Yet, in order to build on Buick’s success, General Motors will need to continue to invest in the brand. “We’ve got some surprises coming up.” Reuss told the Times, refusing to comment on if a new Buick Riviera was one of the brand’s future surprises.

 

Subscribe to GM Authority

For around-the-clock GM news coverage

We'll send you one email per day with the latest GM news. It's totally free.

Comments

  1. The way I see it, Buick, like Lincoln, is in quite a good position to become profitable brands. These vehicles present themselves as affordable and premium-packed, which are proven to draw a strong customer base. In the case of Lincoln, most criticize Ford for not doing enough to further distinguish the brand from its lineup. Nevertheless, Ford is doing a much better job at platform and powertrain sharing; as Lincoln is seeing more success than it’s had in a quite a while due vehicles like the MKZ and MKC; which offer distinct styling, a comfortable interior and an affordable price. Buick is practically doing the same with its current lineup. But both brands have room to grow, and over time, more desirable vehicles will be injected into their respective lineups. Sure they’ll share a lot with their non-luxury siblings, but if presented right, they’ll draw customers. I can see Lincoln and Buick becoming something of an American Lexus in the future.

    As for Cadillac, I hope GM does EVERYTHING they can to distinguish these vehicles from the rest of the it’s brands. Part of the reasons why Cadillac is not seeing the success it needs is because there’s too many shared parts with Chevrolet and Buick. More exclusive vehicles, powertrains and features need to be offered in order to keep Cadillac competitive and profitable……

    Reply
  2. Buick has had the good fortune of doing everything right over the past five years. They have done a great job of sharing with Chevy without badge engineering like Lincoln.
    In many ways, Buick had done a better job minding segment trends better than Cadillac and the sales prove it.
    Buick represents understated luxury, the “doctor’s car”, and will help GM’s balance sheet as they work the kinks out of Cadillac brand.
    Once upon a time, Buick shared a lot of product with Caddy, and I’d love to see one or two RWD based Buicks as range toppers. There are enough global customers to support both brands.

    Reply

Leave a comment

Cancel