While some have derided General Motors’ decision to move away from the sedan segment to instead focus on utilities, the hard data backs the decision, painting a picture of overwhelming demand for GM crossovers.
According to the recent Foresight Research Auto Show Immersion Report of Vehicle Purchasers, as provided by the New York International Auto Show (NYIAS), 58 percent of show-goers are considering either a small or midsize SUV.
With that in mind, the surge in GM crossovers and SUVS that’s taken place over the last few years makes perfect sense.
In 2019, GM added three new crossover models to its lineup. These include the midsize Chevrolet Blazer, the compact Cadillac XT4, and the midsize-plus Cadillac XT6. All three GM crossovers occupy segments from which the automaker has been absent in the past.
In 2020, two all-new GM crossovers are slated to hit the market, including the new Chevrolet Trailblazer and Buick Encore GX. These two models essentially create a new segment, slotting in as subcompact-plus offerings.
Indeed, the portfolio of “small or midsize” GM crossovers is quite robust at the moment. While the Foresight Research Auto Show Immersion report is vague with regard to vehicle classifications, GM is offering (or will offer very soon) as many as 14 individual models that would fall into that general description:
Cadillac
- XT4
- XT5
- XT6 (technically midsize-plus)
Buick
Beyond the small and midsize GM crossovers, the automaker is also launching redesigned versions of its full-size SUVs, including the Chevrolet Tahoe and Chevrolet Suburban, both of which were revealed just last night, as well as the GMC Yukon and Yukon XL, and the Cadillac Escalade and Escalade ESV.
Meanwhile, GM’s utilities sales continue to show strength. According to Q2 sales figures, GM crossover sales set a new second-quarter record, with sales growing 17 percent year-over-year.
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Source: New York Auto Show
Comments
I don’t think anyone can argue with numbers like that, and we all know the money is currently with CUV, SUV, crossover’s. However, should we take a look at this article and where it says 58%? That leaves 42% that are looking for what? I would have to think that the small/mid-sized/large car market still has purpose. Why not stay competitive and relevant instead of just going 100% all in on the SUV craze? Although Buick is still showing the Regal and TourX, you can no longer order them and they will both be gone after the 2020 model year. This was now confirmed with the LA auto show Buick exec I spoke with as well as a Buick fleet manager at a dealer. According to articles on this site, Buick is going to be a 100% SUV line. I just don’t think that is smart.
The other 40% were considering a full size SUV or a pickup truck…..
So there is that under served 2%…….
No cars for GM. I wonder how many Camrys Toyota sells? How many Accords Honda sells? How many Altimas Nissan sells? GM says cars don’t sell. I bet if you add the sales figures together for the three cars I listed, it will be a big number. Is GM lying?
@Materialman:
Yes, when you add those numbers of cars up, it is large. But it’s also a number that is shrinking fast. That’s where the problem lies. And…..a good number of those cars you mention (especially the Camry and Altima) are from fleet/rentals like Hertz, Enterprise, etc. Sales to rentals are still sales, but they diminish the value of the brand and people seem to see them as second rate cars. GM has done a good job of decreasing those types of sales. Now, don’t get me wrong. I also feel they must keep several cars in the Buick, Chevrolet and Cadillac lines. But I can’t fault them for, like everyone else, going where the profit is.
There are plenty of Dodge Chargers on the roads.
Dan the rest of the market is mostly trucks. The sedan is in decline with all MFGs. The only ones who can make much money are those selling a global model. Even they are cutting back.
GM lacks real global sedans outside Cadillac and a few token Chevy models that are not sold here.
Just look at the parking lots and you can clearly see what all the new models are.
The real question is how much longer will the big three hold onto the sport coupes. All three are in decline and below the numbers they really need.
The market has shifted and for once GM is at least on the leading edge for once and not playing catch up like in the 70’s.
@C8.R,
Agreed. I think when I first read the article, I mis-took the 58% as including trucks. Have zero clue how I did that, as it clearly says “small or mid-sized SUV”! haha. My bad.
But playing the other side for a moment, based on what you said and I agree with, why not keep the LaCrosse (sells very well in China) and bring just one smaller Buick sedan model over from there that sells so well? That would fall into the category you speak of with global sedans. Chevrolet really needs to keep the Spark (imported already), the Sonic (made in USA, but must be totally refreshed to become relevant again) and the Malibu (made in USA I think). GMC should not have a sedan ever. Cadillac already has the CT4, CT5 and they really must keep the CT6 (even if imported from China). I say this because the SUV craze will taper off in time and sedans will come back. Keeping them here for the time from now till then will keep them out there so the car and name/model are consistently available just like the Accord, Camry, Optima, etc.
Here is the problem.
The Lacrosse was one of the best sedans Buick ever offered but no one cared. I helped with trying find a new car for a family member as she wanted a sedans.
I tried to get her to check out the Buick but she had no interest. At the time I found fantastic deals on AWD models fully loaded and these cars just were not moving.
What I found even more disturbing was that dealer werecsitting on models that were new that were two years old. They were nearly $50k cars being offered for $27k and they still did not move here in the mid west. In other parts they were even less loved.
But I do see that by keeping the cars in China going we could always see a return here fast should the market change but I don’t expect that to happen soon.
We Did find her a loaded a Impala that was heavily discounted. She had several Monte Carlos so she did like her Chevys much after a very bad Chrysler experience.
The truth is the mini van got big and is in major decline. The CUV could be replaced by something we don’t even have yet and the sedan could fade much like a station wagon.
Right now every mfg is trying new thing to gain an advantage and this all can morph into some different direction. Also we have the Electic EV that is coming that could change things more.
It is not impossible that even the sedans left could go away in Noth America. as their numbers decline.
20 years ago few saw this coming. GM did even though they used a poor Aztec to show it. Luckily Lutz came and fixed the Nox and created the Terrain once the Pontiac version died.
We have to stop looking at the present and future market in traditional ways. The enthusiast is in decline but the practical and utility buyer has come forward. The future is facing a generation that really are not automotive fans so more affordable prices may be even more important.
It will be interesting to see what happens as we will see more change in the next 10 years than we have seen in any ten years of the industry. We also have not seen the last of mfg failure or mergers.
The one motivator for new products will be return on investment. Right now the return on investment is much higher in a CUV vs cars. Just look at the volume sold and trans action prices of say a Nox vs a Malibu it tells the whole story.
And I agree with all that data.
I have two issues with that data, and I would like to see data that debunks my thinking so I can just let it go and move on.
What IS the number NOT the % of sedans sold in the USA today, NOT % , numbers.
What % of that overwhelming sub – mid-size CUV – SUV market want more, a step up , from GM ?
I have NEVER disputed here or anywhere that the overwhelming % of US buyers have moved or are moving to the crossover market. We moved there in 2002 with the biggest junk GM vehicle I have ever owned a 2002 Buick Rendezvous 3400 AWD, followed that junk up with one of the best GM vehicles I have owned the 2005 Cadillac SRX NorthStar AWD.
But after that having NOT A SINGLE RWD/AWD mid-sized GM to choose from, we have a 2015 GMC Canyon.
And that’s where all the frustration with the GM mid-sized lineup comes from.
Look at the new full-sized SUV just released, looks great to me, you can get RWD/AWD, you can get a 10″ screen standard, and you can get the 6.2 ten speed if you want.
Now look at the mid-sized, most do not even offer a 10″ screen, you can NOT get any with RWD/AWD but the mid-sized truck, and EVERY SINGIL ONE GM PRODUCES has standard underpower average GM blah drivetrain.
!!!!!!EVERY ONE !!!!!
The full-sized base is the 5.3, and driving performance is better than the average mid-sized – OK.
But if you want more you just get the 6.2, DONE – OK.
With the mid-sized, even if you could live with the new XT6 FWD/AWD system, you still get the same old under powered gas sucking average GM blah engine, or worse in others a 2.0T ( sure the 2.0T gets better mileage but less peak torque ).
Where is the DATA that does NOT justify a vehicle for both of those markets ?
Because that’s 42% of the US market if you believe those numbers !
If so that’s ALOT of NUMBERS of vehicles.
And some of those 58% would move over if offered.
So take the 58 % and divide it with the 14 vehicles that’s about 4.2% – OK
So at 4.2%, ( I know it doesn’t com out equal but GM make one in the slot ) that leaves 10 vehicles in the 42% left – right ?
So what are those 10 vehicles ?
And out of those 10 vehicles GM cant pick up 4.2% with a better than ” Good Enough ” mid-sized crossover ?
And out of those 10 vehicles GM cant pick up 4.2% with a better than ” Good Enough ” sedan ?
How many people is 8.4% of the market ? Because Toyota, Honda, Kia, VW, and others sell ALOT of GOOD sedans.
Why cant GM just pick one then, OK its the Malibu, now focus on it and only it until you have the Toyota market share. It will take money, it will take time, it will take customer support, but for the next 50 years you can profit from 1 vehicle.
And do on with the one better RWD/AWD crossover.
And the platforms are almost there CT5 and Colorado !
Do the same thing they are doing with the C1 platform, with these two platforms, but with the better performance.
Or whatever that new platform stuff we will wait forever for and then it will be to late, as the cost cutting has begun yet again.
And one more time, if GM is all % justification numbers for each vehicle, is that new ego car going to sell 4.2% in the US market ?
Opinion yet again.
In the words of tom skerit in a river rums through it:
“Write it again, half as long.”
There were some good points but just too many words.
Your idea about the malibu is what chevy is doing right? No impala and no cruze.
Please change your ID to something other than your GM EDSNET ID…
Signed,
Retired GM Employee.
Gm also doesn’t make quality cars at an affordable price point. I hate to say it but cadillac cars and chevy performance cars are the only ones worth driving nowadays.
Malibu is at least segment average… spark is a leader in its class. The unions made it too expensive to make anything but trucks and crossovers in usa.
That is because Mark Reuss is a performance person.
And Cadillac cars are not worth driving, but Cadillac V- series cars are, again Mark Reuss.
Other than that and the full-size line, which again is a performance engine justification stronghold, for Mark Reuss.
What is not a Mark Reuss personal want, anything else GM makes.
Stats Back Focus On GM Crossovers is the title of this story.
Stats.
So both Alex and C8.R, on this site have said it takes X long for GM to develop a vehicle.
So that has to mean the XT4 maybe, but the XT6 for sure was justified or ” had stats ” to develop close to the time of the C8 Vette.
Why did the C8 win this ” stats ” justification ?
Was not the XT4 maybe, but for sure the XT6 going on a RWD/AWD platform with better than the average GM blah performance ?
Isn’t this very story and all of the other same stories on the C1 saying that the mid-sized crossover market is the largest market in the USA ?
How did the C8, a low volume 2 seat sports car that has horrible sales numbers in % compared to the C1 platform of vehicles win this battle ?
So I am ok with this stats data on the mid-sized crossover, what I am not ok with is not having a performance variation of the highest volume most sold vehicle in the USA.
And I DO NOT want a performance race car.
I would just like to see GM make a mid-sized crossover with the same get up and go as the full-sized SUV.
As your very own stats here state MORE PEOPLE in the US want to AND DO drive mid-sized vehicles.
So why when GM makes the full-sized vehicles, they make them preform good ( 5.3 )to great ( 6.2 ), yet when GM designs the mid-sized vehicle ( that more people drive and ALL the stats prove it I guess ) does GM design average ” Good Enough ” blah 3.6 V 6, and when full of people a dud.
Not one upgrade available on the most sold segment vehicle in the USA.
And how did the C8 get built here. If GM is doing all justifications for what vehicle to make, and cutting costs at the same time, one more time, GM can sell, and does sell ALOT more mid-sized vehicles than two seater sports cars.
OK then talk profit, are you talking profit per vehicle, per year, per quarter, or per investment.
Because per investment, if the Cadillac line of SUVs with a step up, were developed instead of the C8, in the days of again cost cutting, the return on that investment had to be able to be proven better. Your stats here help in that proof.
I know a Corvette is a Corvette, but this makes zero sense.
EGO car, and not able to be justified by stats.
So while in one statement GM is justifying cutting vehicles, GM is developing vehicles with lower numbers.
What is this for, who does this affect ?
Stockholder, from a decision making order, it does not make sense.
What !
What is with the 3.6 bashing. You have no clue what your talking about. The 3.6/9 speed as installed in the Traverse/Enclave and even more so the Acadia offers more than enough performance and quicker 0-60 times than the far heavier full sized Tahoe/Suburban trucks. If your griping about the Cadillac well your comparing a low 6 second vehicle to a high 5 second 100K Escalade. Big deal. Do you actually think a customer buying one of these boring soccer mom vehicle cares if their vehicle is a couple of tenths quicker. Now if your talking about the weak 230/237 HP 2.0 engine that GM has been installing in the current Blazer/Acadia/XT4 and CT5 then that is indeed a subpar engine and a more powerful mill should be offered but the 3.6 at 310 on up HP is plenty for 95% of the buying public. GM is not going to install V6 twin turbo engines in everything. Get over it!
Joe when dealing with the uninformed or someone that does not take all factors in account you will get this.
Today it is about power and MPG,
Case in point my Canyon is 4550 pounds and yet with the 3.6 308 HP and 4×4 crew it gets 20.3 MPG over the last 13K miles and can do a 14.7 om quarter mile. That is really very good for this vehicle. My Sonoma 2WD with a extended cab and 4.3 got only 19 MPG at 3600 pounds and only 193 HP.
These freaks like to think everything needs 450 HP till they find out how much twins turbo would cost. Then they never buy like many others.
You have the right idea and are firmly planted in reality, keep up the good posting.
Now watch the exclamation points fly! Might want to step back. LOL!
I’ll let you guys have your moment of GM brainwashed fame. I’m on the road today. I’ll make it good later as so you don’t get bored saying His great.
No GM is greater all day.
Thanks for the short post. Might try it more often. More might read them. Got me to read it unlike the others.
So if you are wrong everyone else is brainwashed. Right! LOL!
I do see value in what lifelonggmowner is stating though. I currently own a 2015 Terrain 3.6 that is (surprisingly) rated at 301hp. I have also had many GM vehicles over the last 20 years, including a 2004 Corvette that I just sold this past Spring. Wife is driving a 2019 Enclave now. I miss the HP and throttle response of the Corvette. Wife’s Enclave has plenty of get up and go, but for some reason the Terrain feels like a dog. Both CUV/SUV are AWD for reference.
I don’t need (and can’t afford) a second large SUV in the family, a sports car is not practical for year round use in the Midwest, and I don’t expect to get 450-500hp out of a vehicle the size of an Encore. But if the big three are moving away from sedans and going to heavier CUV’s then is it unreasonable to ask for trim levels in compact and mid-size categories that have some increase in HP and torque vs simply a different grille/headlight treatment/wheels/etc? Again not looking for the next Trackhawk at 700hp+, but some more options at reasonable output to show distinction between trim levels and justification of the extra costs associated with it. Shooting for the highest hp is not the goal, but to an earlier point, sometimes the engine used is not as well suited to vehicle it is in.
The 3.6/9 speed combo definitely does not feel like a dog in any current product I have driven even the heavy Traverse. They don’t pin you in your seat but are plenty quick enough for there mission and a big improvement over the previous generation. As for vehicles like the Trax/Encore and the upcoming 3 cylinder TB those are indeed short on underhood muscle and are typically 9 plus second wheezers and are dogs with more people on board with the A/C running.
I think the anger people direct at GM for canceling so many cars is misplaced. People upset about this need to be directing their ire to the consuming public who prefer CUV’s and SUV’s to cars. I understand it’s easier to criticize one entity (GM) versus your friends, family, and neighbors who are driving CUV’s and SUV’s, but it’s really their fault for sedans and coupes dying off. I don’t like this situation either, but we need to blame the market.
Regarding a related issue. If GM and Ford get rid of all their sedans and coupes, what will they use for NASCAR?
The only upgrade I’d like to see is the 5.3 available on the big crossovers (Traverse RS…) and midsize (Blazer, Acadia..) other than that the 3.6 will dust or keep up with most sporty mainstream sedans in the crossovers today.
So I guess the conclusion this article is trying to portray is that Honda, Toyota, Nissan, Subaru, Mazda, Hyundai, Kia, and VW are stupid to introduce All New Sedans while also offering a plethora of CUV’s like GM. And that is just the mainstream Auto Makers.
Mercedes, Audi, and BMW all have four Sedans on offer and more CUV’s than GM’s Cadillac Brand.
GM will regret that they rid themselves of almost all of their Sedans.
I’m glad a 19 Cruze LS fits my need and likes. Big payments with huge insurance premiums I don’t have.
Okay I am an old dude and have and have owned many G M vehicles. Well sorry i do not need or want another truck or suv. That being said I have 1999 S10 xtreme . bought new tucked away for the winter in mint condition, I really like our 2019 Buick Regal Sport Back G S and our 2019 Vette Grand Sport. Sorry G M I want a car so when we are done I guess it will be foreign or maybe Fiat Puget Chrysler will still have the a Challenger with all wheel drive! Now I would like another Caddy but in all the Windsor Ontario area there is only one Caddy dealer it,s a 1 hr. drive and they screwed me around on service with my 2015 ATS coupe, to put it simply they cheated G M on unnecessary repairs and also at my expense. If GM would let all G M dealer’s service Cadillac’s if they choose to do so it solve the problem and would sell more of them in Canada!
OK,
So I HAVE said the new GM engines TODAY are the best GM engines ever, in my opinion !
And the mid-sized DOES NOT keep up with the full-sized, Joe !
Maybe, maybe the 5.3- 8 speed and the new 3.6-9 speed, but you see,
!!!!!!!!!!!!!!!!!!!!!!!!! YOU CAN JUST GET THE 6.2-10 SPEED !!!!!!!!!!!!!!!!!!!!!!
And the fuel consumption is LESS in the 5.3 than the 3.6 if that’s where you are driving.
The 3.6-V6 and the 3.0TT have GREAT peak torque , but it is in a tighter band and cuts in at a higher rpm.
Thus uses more fuel. Yes I said it, the 3.6-V6 in the mid-sized, uses more fuel than the 5.3 in the full-sized.
If GM offered the 2.7T-10 speed in a Chevrolet Trail Boss line and a GMC AT4 line, with a RWD/AWD mid-sized platform, in my opinion would work.
The 2.7T is a smaller CC, the torque cuts in at a lower rpm, and stays in the torque band longer, all good ingredients for better fuel usage. Top that off with its an inline 4 so less moving parts for longevity !
So all I here and see ( after the release of the new GM full-size line ) is, GM is denying the
!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!LARGEST VEHICLE SEGMENT IN THE WORLD !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
A step up, like in the full-sized line that you all have said sells less !!! AND is going to sell a ego vehicle with what has to be now, just about the lowest numbers at GM.
Im sorry but you GM lovers are talking out both sides of your mouths again.
In my opinion.
I think its great that GM is expanding its SUV offering. I have bought or leased 3 SRXs and I current lease a 2017 XT5 Platinum Edition. All have been excellent and I’ve enjoyed everyone of them. I’ve also bought or leased 14 Cadillac sedans, coupes and one convertible, an Allante. Earlier this week we took delivery of a 2020 CT6. It is our 18th new Cadillac and a GREAT car. It is big and comfortable like a Cadillac should be. In my opinion, Cadillac should offer a wide variety of SUVs, but should not eliminate the big comfortable sedans that made Cadillac the Standard of the World. Porsche built an SUV to support and finance its core business, sports cars. Cadillac should build SUVs to support and finance ITs core business, Luxury Sedans.