The fifth-generation Cadillac Escalade is definitely highly desirable, and more than a few Cadillac dealers are continuing to take advantage of that desirability with massive markups, despite GM’s warning.
For those readers who may have missed it, the president of GM North America, Steve Carlisle, issued a warning to GM dealers last year stating that they were “obligated to ethically and lawfully sell” vehicles and that some dealers have engaged in undesirable practices detrimental to a positive sales experience for customers. Chief among these practicers were attempts to “demand money above and beyond the reservation amounts,” as well as requesting that “customers pay sums far in excess of MSRP” to purchase or lease a new vehicle. For those dealers that continue to engage in such practices, Carlisle threatened to redirect vehicle allocations or take other recourse.
Unfortunately, it looks as though the threats didn’t stop some dealers from continuing to apply massive markups to the Cadillac Escalade. A GM Authority reader recently sent us a message stating they were looking to buy a new Escalade Sport last month, but found many dealers asking $15,000 to $30,000 over MSRP.
“Not going to pay it,” the GM Authority reader writes. “This is not a limited build like the Escalade-V. Just purchased a new 2023 Ford Bronco Raptor and paid MSRP, and this is an extremely limited build by Ford.”
A quick internet search reveals that our reader’s experience certainly isn’t unique. Huston Cadillac in Lake Wales, Florida, for example, is asking $149,690 for a 2023 Cadillac Escalade ESV 4WD Premium Luxury Platinum, a market adjustment of $30,000. Then there’s Arrowhead Cadillac in Glendale, Arizona, which is asking for $149,934 for a 2023 Cadillac Escalade Sport Platinum, a market adjustment of $25,000, plus some random add-ons. Jim Winter Cadillac in Jackson, Michigan is yet another example, asking for $144,900 for a 2023 Cadillac Escalade 4WD Sport Platinum, a market adjustment of $21,310. Funny enough, Jim Winter Cadillac lists the markup as a “GM Employee Discount.”
On the flip side, some dealers are actually discounting the iconic luxury SUV, such as Serra Cadillac in Washington Township, Michigan, which is deducting $11,914 for a 2023 Cadillac Escalade 4WD Sport Platinum, or Al Serra Cadillac in Grand Blanc, Michigan, which is deducting $10,615 for a 2023 Cadillac Escalade 4WD Sport. Although in these cases, the discount applies only to GM employees, as some readers pointed out in the comments.
All told, the auto market is still pretty crazy right now. Tread lightly.
As a reminder, the Cadillac Escalade is available with either the naturally aspirated 6.2L V8 L87 gasoline engine, or the 3.0L I6 LM2 turbodiesel Duramax engine. Under the body, the SUV rides on the GM T1 platform, while production takes place at the GM Arlington plant in Texas.