Need proof that GM’s luxury division, Cadillac, is in the midst of major a transformation? Look no further than the vast amount of activity surrounding the brand, including a revamp of its vehicle nomenclature, a bevy of upcoming products in new segments, and the relocation of Cadillac headquarters away from Detroit to New York City to give the luxury brand the ability to form its identity separately from parent GM. But despite the welcome changes, Cadillac is still in the business of selling cars.
In 2014, 170,750 new Cadillacs found new homes in the United States. That’s a 6.5 percent decline from the 182,543 U.S. sales Cadillac recorded in 2013. Meanwhile, brands like BMW, Audi, and Mercedes-Benz all posted record U.S. sales.
| BRAND | 2014 CALENDAR YEAR SALES | 2013 CALENDAR YEAR SALES | 2014/2013 |
|---|---|---|---|
| CADILLAC: | 170,750 | 182,543 | -6.5% |
| BMW: | 339,738 | 309,280 | +10% |
| AUDI: | 182,011 | 133,684 | +36% |
| MERCEDES-BENZ: | 356,136 | 334,350 | +6.5% |
On a global level, things are somewhat different: Cadillac sold 263,697 new vehicles in 2014 around the globe, up 5 percent from the 250,739 units sold in 2013. For Cadillac, “around the globe” translates to the U.S. and China, since the brand derives over 90 percent of its “global” sales in the two markets. That, however, is just the beginning, as Cadillac President Johan de Nysschen has set out to grow the global sales footprint to 500,000 units by 2020.
By then, the half a million units mark will probably continue to be made up of U.S. and China sales, since Cadillac isn’t planning to re-launch in Europe until 2019. But that’s a different story.
So, can Cadillac reach 500,000 global sales by 2020? Cast your vote in the poll and sound off in the comments below.
Comments
Might not be easy but should be attainable, by then the CT6 should be full steam ahead with all variants in production (maybe a V version), the new srx will be in production, maybe one of the two new suv’s will be for sale by then and the ats and cts V will be for sale. That’s at least 2 new models and 3-5 new variants
The volume can be done but it will depend on the SRX and two other SUV/CUV models. The sedan market is not growing and the CUV and sporty small SUV market is on record pace. If they can get products in these classes to go with the coming cars they should make it.
The car segment is not growing for anyone right now as the CUV segment has passed up the sedans sales this year. Add to this the time it takes to earn a reputation on the car lines I expect improvement to a point but it will take time.
Just don’t expect Cadillac to return to the volumes of the 80’s and 70’s when they over built the car volume and under built the quality.
Cadillac will never return to 1980s levels do to market fragmentation that will become even more competitive with the addition of Alfa and DS, nit to mention the natural growth we should expect from Audi.
Nonetheless, Buick will hot target based on China. GM would be apart to link Caddy to Buick in China (like Hyundai does with Equus). Saw goes.for Corvette.
Cadillac should never waste money on Europe. Its a shrinking market will very well established local players. Latin America would be a far smarter move.
They need to average 11.3% gains each year for the next 6 to do it or 13.66 if you do it over 5 years; which I believe is very attainable for several reasons:
1) Cady is introducing many new models including CUVs in the next few years
2) they are expending globally
3) they are being very aggressive in China
4) people are growing tired of the German 3
This is doable, but no doubt more “entry-level” models will be needed to satisfy value and fill in the gaps and create more volume. Hopefully this can all be done without too much overlap within GM. It irks me to know a potential Cadillac will be sharing a platform and powertrain with the lowly Chevy Cruze! This will undoubtedly impede upon the Buick model. The SRX (XT-#) is currently the volume vehicle of Cadillac, but I hope much will be done to separate it from it’s corporate platform mates at Chevy, GMC and Buick!
It’s hard to say for sure if Cadillac can get to that number base on how well they are being marketed, numerous models and etc.
I am not going to say yes or no but believe that Cadillac has potential and should be in better shape by that time.
With De Ny and Ellinghaus running this division , as well as GM willing to cough up billions for a slew of new models , anything is possible . Can elephants fly , well yes they can Jimmy , remember Disney’s JUMBO movie ! With ads like ” Dare Greatly” yawning its way across the nation , a disinterested public awaits…..more !!
All I can say is how many here just a few years ago called for the end of GMC and today the numbers have never been higher with some of the highest profit models at GM.
GMC has done great marketing, brought out some popular models and make a killing with ever Denali model they sell.
Give them time and I think you will see the new one vision division at Cadillac will enjoy growth.
As for their new leader some love him some hate him but this one is around his neck so he lives or dies buy how Cadillac goes. This one is all on him and he knows it. The best we can do is give him the time to make it work as he has not even been on the job for year yet.
To achieve those kind of numbers cadillac needs a couple of volumn leaders . If the new XT5 is done right there is one that will help , and if a 7 passenger SUV hits the market soon that too will help . But they need to be more aggressive in marketing . They need to let the general public know what they are up to and the changes that have been made .
The old tag line ” this isn’t your fathers Oldsmobile ” would surely work for Cadillac right now . Product quality , price and engineering will turn the division around . And I see no reason why Cadillac can’t be known as ” American Luxury ” !