General Motors To Halt Production At Lansing Grand River Following Slow ATS, CTS Sales
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General Motors will halt production at its Lansing Grand River Assembly Plant for three weeks on August 18 following a decrease in demand for the Alpha-based Cadillac CTS and ATS sedans that are built there, according to Automotive News.
Sales of the ATS are down 21 percent through to July when compared with the same time period last year. Sales of the CTS have remained the same year over year, but fell off more than 29 percent in July compared to July 2013. Cadillac also has a high 152-day supply of the ATS on hand and an even higher 215-day supply of the CTS, so to continue producing the car before dwindling the supply would be of no use.
A GM spokesperson told AN the company “does not comment on production schedules” and that it is “matching supply to demand,” with the shutdown.
GM’s Lansing Grand River plant has 1,600 employees, 1,400 of them hourly workers represented by the United Auto Workers Local 652. They are scheduled to return to work on September 3.
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My mom test drove a new CTS. She said she felt like she was in a grandmamobile. She’s 65.
I’ve been trying to hold her off for a ’15 Chevy SS (with MagnaRide) – she’d have a ’14 in the driveway except for color availability. Don’t think I’ll sell her on perfect blue, or I’d have a car for weekend visits to the family.
Ridiculous how much I had to yell at the dealer to let her test drive one without a credit check. It’s not a stingray…
I dont like to call people stupid through a computer instead of face to face. but grandmamobile..? pure BS.. if the logo said BMW oh you would think it was an ultimate driving machine i bet… dumbass
Your 65 year old mother is shopping for a 2014-15 SS? Really? I didn’t know women in the mid-60’s were prime targets of the SS.
Are you sure YOU’RE not trying to hook her into picking an SS, sponging her money, and hoping she’ll sign it? Because I don’t think for a second that elderly women buy 415hp sports sedans.
A month ago you were complaining that she couldn’t afford the new CTS and that the ATS was too small for her. Geez, I bet next month she’ll be shopping for a Charger SRT, only to turn it down because she thinks it’s too slow.
‘Elderly’, huh?! My Dad is over 70 and bought an ’11 CTS-V — STICK — he takes it to the strip and races it at Road America — so what’s your point?! *rolls eyes*
My point is that reading is not one of your strong suits.
“elderly women”
“My Dad is over 70”
If someone can read the above two phrases for you, perhaps they can explain the differences, because I don’t think you have it in you.
How is a new Cadillac a grandmobile? You have to be kidding. The SS is a holden carry over with style designs a decade ago and costs over $40k. This is more of a grandmobile then a caddy. Maybe mommy can drive a older Buick or Vibe.
Well, this was, unfortunately, unavoidable with those sales numbers.
GM mgmt should be embarrassed launching two fine cars, within the last two years, and not having them sell well.
It just goes to show — having “world-class” or “competitive” products is not enough. They have to be differentiated enough from competitors, marketed very well (price, promotion, positioning in the product lineup, dealership support), and have the proper variants. GM has been too slow, misguided or almost nonexistent on all of these.
The one positive is the new Caddy boss can use this to kick butt and get what he needs — it’s not enough to when “Car of the Year” awards and think you’ve done enough. That’s just the starting point.
So very true. The biggest issue with Cadillac is that they don’t do enough to distinguish themselves from the market. There’s hardly any promotion of what it is that make the newest Cadillacs so great. The platform is not enough! More exclusive technology and powertrains need to be marketed.
More engine options, among them a minimum diesel
A small crossover with 150 HP engine, and I’m sure that sales recover
Unfortunately, the car speaks German and German offers much engines; many powers and many styles of finish, with that happy to have many kinds of people
Cadillac notes go straight to it, little by little, but go straight
Regards from Spain
Guys different is not going to sell any better here if you do not market properly.
These are great cars but few people notice because we get commercials with dancing robots.
Cadillac has had a new leader and marketing plan every month and it is showing in results in poor sales.
It is time GM sets a plan and sticks with it. I have driven these cars and they are not grandma cars. Well maybe the XTS but the rest are top cars in a tough class. Cadillac is not going to be number one this year or for a few more years.
Right now there is a fight inside GM to lower the prices on many vehicles. GM has had a policy that based on content a car should have a specific return in profit. Well because the Cadillac has much more content today the price went up. Many inside GM are now fighting to resend the policy and get butts in cars. The way you get people into these cars is make them a better deal for about 5 years and bait the hook with a good price. Once you pick up customers who buy these cars and love them then you slowly raise the prices to what the market will bare.
It is like those free hot dog pretzels’ samples they pass out at the mall. You do not eat one you could care less but you eat one you will buy a cup full.
Give them a taste of these cars at $10K-15K less and show them just what you have. Sure you make a little less for now but you will recouped the money in the future with loyal customers who have discovered your product.
BMW did not become the darling of the segment in just 4-5 years as it took time to build a loyal following. It takes time and investment but you can get thee with a solid stable marketing plan with smart pricing.
So before anyone here get ideas of tacking on tail fins or white walls you have to stick to what the market segment wants and then earn it.
Also note things like the Chrysler 300 is also being drop kicked at $8K to 10K under sticker right now so what kind of people Cadillac has now are also being tempted away to this car. My in laws bought one for under $30K just recently. It may be a good deal now but they will take a major hit in resale later.
This is a much more complicated issue than just what the product is or is not. It is a general consensus that Cadillac has a car as good as the others. This is from most who have tested them in publications and even from the competitors.
I think many here have to only look back at the Cruze when it came out as it fell flat for most of the first year. It later picked up and lead the segment later.
Is it possible that sales are down for the CTS because potential customers don’t like the new Gen 3 design vs. the Gen 2 design?
I still think that the Gen 2 version is so unique and hot whereas the Gen 3 is starting to look a little Benz-ish.
I do agree that the marketing for the Gen 3 is nowhere near for the previous car.
Seems like a new ad agency and ad message is needed ASAP!
Nothing grandmamobile about that car. It is, however, overpriced, like so GM vehicles today. If someone is going to spend $60k on a sedan it had better not have a four cylinder under the hood.
And yet all of the mainstream luxury automaker’s mid-size offerings have 4 cylinder engines.
All of which, including the CTS, start in and around under $50K, not $60K.
You can option a four cylinder CTS to above $60k. That shouldn’t be possible.
Of course it’s possible to option a 4 cylinder CTS at and above $60K. It’s also possible to option a 528xi, and the E250 BlueTEC at and above $60K as well.
I don’t know why you should think that a 4 cylinder engine is a detriment to cars in this class. It’s a expectation of those who buy them, and not of those who think a V6 is something that should be given them in such a car.
If you can afford to own a car like this, you likely will get a V6 or 4-pot as you like, not as you expect.
Maybe they should rebadge them as Chevys and drop the price. Then those guys could get some over time.
I own a Cadillac SRX ( 2011 ) , and love it . Living in Michigan the AWD comes in handy , and it looks nice doing it . You can buy a fully loaded SRX for $50 g’s . Or if you want the XTS spend $60g’s and you have all the toys . The CTS and ATS I think look to much alike and are way over priced . Looking at the rear of both cars its hard to tell which one it is , and the front is basically the same . If Cadillac wants to move product they need to spend a bit more time designing these two . Sure they are winning awards because the quality is there but there is too much lookalike , even the interiors are about the same .
Plus the market is moving towards med. and small SUV’s . Thats where the money is right now .
I hope when the redisign of the SRX arrives the front clip doesn’t look like a CTS ,
Great cars, but I think Cadillac’s goals were a little too high and unrealistic. Take the ATS for example, whilst it may exceed the 3 series in certain areas ( driving dynamics, by all accounts) as a whole, considering the total package, it is not a significantly better car than the 3 series, and bearing in mind that the 3 series has been dominating for so many years, it will take time for the ATS to come close, sales wise.
Another point, Cadillac’s ads, like their green hell commercial, appeals to enthusiast and car buffs, but as Mercedes will tell you, enthusiast don’t buy cars in any great numbers to influence sales figures and profitability, so Cadillac need to find a way to reach out to the average Joe, and worry less about us, enthusiast
I am not a marketing guy but this is what Cadillac should have done to avoid this mess:
(1) For the 2013 Cadillac ATS, make it into a sub entry-level model to compete against the CLA, 2 Series, and A3.
(2) Make the current ’14 CTS an entry-level car to go against the C Class, 3 Series and A4 and reduce the interior and exterior dimensions some since this car will be the same size like the other models in its class.
(3) Rather than the current CTS, Cadillac should had produce a totally different, from the ground up like they did with the CTS and ATS, car and called it ETS to go affectively against the E Class, 5 Series and A6.
That’s how I would have done it and now, Cadillac has lost equity in the CTS they had build for a long time since 2002. The CTS was a tweener, now it is a full midsize competitor that almost cost $10,000 more with less impressive interior room in the back seat. I would have reposition the CTS as an entry-level model only, kept equity in the car and improve its image. Now Cadillac had to start all over again with the new positioning with the CTS and it will take time for it to be a gem to the general public……….could take 2 to 3 generations from this current model to do so.
Who are these incompetent morons who run GM and why are they still their? It seems like another dumb ass seems to get hired within their circle and stays the same. They should had Mark Reuss run the company after Ackerson.
And what automaker are you running right now or in the past.
Oh if the real job was as easy as the Internet Armchair CEO as some make it.
Try researching and using all the facts the real people have and the issues they all are dealing with and just see how easy it is.
I generally like reading your post but did not realize that you are such a jerk after-all.
If you don’t agree with me, that is your problem. It is a free forum where everyone is welcome to express their opinion rather people on here is a die-hard GM fan or not.
I am not a die-hard GM fan but I do like GM better than other automakers. My favorite luxury brand is Cadillac. So I have my say and I driven and owned an ’84 Cadillac before. Have you owned a Cadillac? Talk to me if you do, other than that, don’t bother responding.
For your information, the reason why I am frustrated with Cadillac is most of their models are beautiful and probably best in class and they deserve to be selling better. I like to see more new Cadillacs on the streets being driven around and not sitting on the lots.
I wish people on here stop defending everything GM do regardless if right or wrong. Whenever GM is wrong, people make excuses for them and defend them.
IMO, GM is getting everything they deserve with the sloppy handling of recalls and such. I hope they get a big fine out of it also. There is no reason for it and you know it Scott3.
I am sorry for not stating it in a more kind way but the bottom line is many of your comments are miss guided by not using all the known and often unknown facts.
Too often and I have done it too we on the web are taking only what we see and fail to consider what all the issues are and only use what we know which is often incomplete.
We all here think we could fix a large corporations issues but if we all were in the drivers seat the whole things would look a lot different. It is no different than saying I could run in the Indy 500 after watching it on TV and then getting into the car behind the wheel.
Comments like putting Mark in charge… Well I used to think that way till I learned more about the jobs he and Mary have. I was against her at first but now know better.
Mark is a product guy and knows it inside and out. He is in the place where he will be able to bring better product out as vs. the top seat where all he would be doing is fighting internal and external battles just as Mary is doing today. The truth is Mary has little say over product today and Mark as most of it. Besides Mary has done a hell of a job right now.
I do believe Mark should take who ever is calling the shots at Cadillac and settle them down and get them focused. But as with many cases there is still a culture clash he has to fight and much of that is not open to us here on the web. The points I made about the expected profit of a car over cost is a major sticking point between old GM and new GM right now and is only one of many internal culture flair ups.
These culture classes are the things we all need to watch and listen for to often get at what is really going on. Lutz spoke it often and even has written about it in his books.
I have been told things by GM managers that you can not believe would go on but they do. Many will never speak publically about it as it would cost them their job let alone fight to remove the issue.
Things are getting better internally but there is still more people inside that need removed and more changer that needs to take place. This is not just a GM issue but many companies face this on various levels. I even see it in my own company.
The frustration you and I have are X10 with the folks inside trying to get things done. As Lutz said there are people inside that are part of the problem and some that are not part of the problem.
Also when we look at things you have to try to look at what step this is. Many times transitions are made in 3-5 steps and we are only looking at step one. There are often limiting factors due to budgets, plants, platforms and staff that prevent going right to step 5 from 1.
Sorry for the short wording but I really was just frustrated with the comments on the web that are not always taking into account the many other factors in play. It is not just you but myself and everyone else that needs to try to keep focused on the big picture and not just the small problem in front of us.
Case in point the Cadillac issue is more than just one model. They have a reputation that is still years from being totally rebuilt. It takes time and continue new product as just two new cars alone are not fully going to change it. Also it will take proper marketing of which we have seen little of. They also need to stem the internal fighting that is being reported.
The bottom line is GM even in the past has only had a few people that were the issue. Today they have even less. But there is still more culture and policies to change but from what I have seen and heard the right people are getting things changed but it like the change at Cadillac will not happen over night.
I would recommend reading the Lutz book Car guys vs. Bean Counters or even Deloreans book on a Clear Day you can see GM. Both outline some not all of the failed internal culture. It will give you a better sense of the true struggles going on. It is like looking into a well where the surface is smooth but the bottom can have a rocky reputation.
Yes GM will get fined at some point. I have never said GM was not culpable but I do believe the media has made a bigger deal out of this than it really was. Why is there no major repeated stories on the documented deaths in jeeps with fuel tank issues? They even fought publically not to recall any of them back in December till they finally changed their mind.
Today the media does not report all the facts just the ones they like to exploit and GM is a favorite Capitalistic target and always has been. As the Cadillac ad from years ago it is the price of leadership.
I really think GM needs to do more work in the drivetrain area for Cadillac as Offering a Turbo 4 much similar to the Turbo 4 in a Malibu is counter productive for Cadillac. It may help Chevy to have the same engine but at Cadillac? Same on the LT engine the new LTS needs more than just the off the shelf Supercharged LT engine. It needs to have their own version not shared in a Corvette and Camaro.
Audi also walks this fine line between sharing VW and Audi parts. They have been working on it but for years it as hurt them more then helped. I have seen growth the longer they work to make a divide between them.
Again sorry for the lash out it was not just you and your post just was the last one in line that got tagged.
I have no issues with you now or in the past.
Me and you cool and apology accepted. Sometimes, us car enthusiasts get riled up on these things and sometimes say things that we can’t take back. Maybe more emotions involved when supporting our favorite brands but don’t see the big picture.
I get tired of people bashing Cadillac and a lot of times people don’t see the big picture and make closed-minded comments. People are not separating the issue that Cadillac is a brand within GM while GM is a major company.
But I do believe you that it is more than what it seems and it is pretty much like that in many major companies.
No worries, you are alright with me. Have you worked for GM before or you know people within GM pretty much and/or you simply read Bob Lutz book?
Thanks!
It was not so much you as I just a build up of many post and it just hit me. I never intended to mash your toes.
I see you are tired of the same thing I am.
No I do not work for GM but I work in the performance aftermarket and I have gotten to know and work with a lot of GM people. Ford and Chrysler too. Even got yelled or should I say cussed at by Carol Shelby when his parts were still not ready to ship. LOL!
I also have made friends with some of the work I did on my automotive hobby and gathering info on prototype parts I have collected. I even got a story published on one in a national magazine.
One person always leads to another.
Also I have connections to some larger car clubs and have done judging for them. At these events I have made friends with visiting GM people there too.
It is amazing as I have been invited to some of their homes and told and shown things few ever saw.
I do recommend the Lutzs books even the one on Chrysler as they are very relieving about the auto industry and how they work and don’t work. It gives a good lesson on why a lot of things happen as they do.
I also recommend the On a Clear Day you Can see GM. as it tells a great story of problems that got us to where we are.
I also grew up with a great uncle that was like a grand father to me. He worked for GM from 1928-1961-2 He was a managing Engineer at GMC. He worked for Goodyear too helping design some of the first pneumatic tire trucks and tandem axles trucks. He taught me a lot about GM and the Sloan way of thinking. He was old school GM. He also knew many people with in GM that were very historic like working with people like Ed Cole etc. He hated Delorean because he was the rule breaker. LOL!
He even knew Henry Ford and has some neat stories on many of the movers in Detroit in the early years.
So between the people I do know and the things I have been taught I have learned a lot of things that help give me a bigger picture look at things in the auto industry. Also I have a lot of family and friends in the tire industry that have to deal with the automakers.
These things that many people think are no brainier slam dunks are a lot more complex than we will ever know.
I have asked many a question and even those inside GM can not give you an answer as the system has been in place and with the way it was constructed it has made it difficult to change.
You want a good snap shot of the issues at GM study the real full history of the Fiero and it shows how bad the GM culture was. Toyota was never a challenger to GM’s dominance as much as their own divisions vs. each other.
For do many years GM was a bunch of divisions forced to work together but fought each other all the time. A very dysfunctional family. Lutz arrived and started the culture rebuild and it is continuing today under Mary. It will still take time to fix all of it but they are winning the game but there is still more to do.
The ignition deal I saw right from the start mostly a issue of dysfunction as GM was never together enough to have covered up something like this so well. It was not so much criminal as incompetents.
A lot of people here say I just stick up for GM but the truth is we have 20 people covering the bad so there is no need to repeat the negative. But I do see the positive of the big picture and that is what I try to focus on.
The deal at Cadillac right now is the pricing issues within the company. Mark has fought them on this as well as using higher quality parts. He lost one argument on the door handles on the LTS at one point and I never hear if he got it over turned.
It will be interesting to see what all he was able to get on the LTS. I just worry it may come up short some where as Benz really played a trump car on their latest flag ship. I know GM can do it but will the bad side of culture lose and let Mark make the car GM is able to make.
Also they need to really get a handle on this marketing company wide. It is damaged all over. It is only the new good product doing the selling not the marketing.
I agree, I would like to see what the LTS will be like in 8 months. I surely hope that Cadillac and GM go all the way with this car because it is the most important car for Cadillac. I say get it done right like they did with the 3rd gen CTS.
CTS needs better styling as it had before, it has become MUCH more boring and less edgy. 🙁
…and they wonder why sales are down?! *rolls eyes*