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Comments
Just my opinion, I don't know the ins and outs of car making margins vs volume.
Still, Cadillac is probably making 3 to 4k per CTS sale. I imagine 70k units at 4k gross per pop would be very enticing.
Your figure is US sales I think.
-FAV002
It has affected all of the wbody cars and trucks plus the full siize Caddies and the Alero, Malibu , Cavalier, etc.
Basically every vehicle GM produces. LOL.
Now if you had said 'fleet sales' then I would agree that the big three do much more than their share in that department. That was one of the asterisks on the Taurus winning the sales crown a few years ago: a lot of those sales were to Hertz! In fact Ford continued to make the Escort after the Focus came out solely for fleet sales. Large volume fleet sales to rental companies will deluge the used car market and drive resale down.
Many of us think that Audi is the standard for interior quality. The rest of the car is "breathtakingly expensive" to maintain, out of warranty, as attested by a person whose family has possessed a couple of dozen of them over the past several years, leases all.
Seems to me that once the mechanicals are nailed down, putting in better gingerbread ought to be a simpler problem statement. OTOH, there's actual hand labor involved, but Europe is no less expensive than North America, so I'm not sure I understand how we got here.
Since the CTS appears to be there mechanically (or will be, given power upgrades), improving the interior should be a relative piece of cake.
FAV002-
My CTS has a rattle or thump when hitting a rail road track or some other obsticle, just like you describe; like something is loose. The rattle is harsher with the STS. My '94 STS was even worse and the ride was much harsher (firmer). As you say, I think it's part of a firm or "sport" suspension.
Calicadi-
Didn't mean to compare the CTS and STS, but that's what I drive. There is nothing like the sound of a great V8, nothing. When I press down on the accelerator, there aren't many that can keep up. I love it.
The CTS buzzes. I'm beginning to love it too. Kick the accelerator down, the buzz starts and I'm past the turkey that was blocking the road. Now, what I just said is probably not politically correct, but it was fun. And that's what Cadillac's should be, fun to drive.
Also, my '94 STS had the trunk pull down. It didn't always work properly, was a real pain when it didn't and was expensive to repair.
Logic1-
Many of my co-workers (before I retired) drove BMW's. after a few years they rattled, especially the convertibles. My fear is that the "firm suspension" on the CTS will cause it to rattle after a while. Hope not.
I'm not sure what the door panel material feels like on our CTS, but I will check when My wife gets home from work (somebody in our family has to pay for the cars).
Take care (drive safely),
Rich
Been there, tried that. The A4, A6, and even the A8 have no chance of fitting my legs. Which is unfortunate since I like Audis. My wife's dream car is an Audi TT, which is really quite comical. It's physically impossible for me to drive that car at all, let alone comfortably. I can barely squeeze into the passenger seat. I've told her one day we'll get her one. But if you see her on the road, it's most likely she'll be alone.
BTW, I do agree with you on interiors. In a way, Cadillac borrowed a lot from Audi (and the rest from Lexus) on the current Seville and Deville interiors. Not bad manufacturers to borrow from.
Inadvertently pressing the "trunk open" button on the key fob unlatches the trunk lid but the lid only moves about 1/2 inch and may not be noticed.
This may be fairly obvious to most but I learned it the hard way when my CTS sat in the garage for 4 days with the trunk light on.
akirby, re: as to BMW plush luxo boats, I'm not sure what your definition is, but after a ride in my friends 745i I would think it meets my definition. And doesn't BMW now own Rolls Royce?
Because Wilt was able to fit into the car.
The point of the ad was to show how much roomy it was.
I think Kareem was quite a bit taller than Wilt.
So maybe it was Kareem after all.
Sorry if I confused anyone.
Also, I feel really old remebering an ad from
25 years ago.
CTS!
From the article:
"After nearly nine months of CTS sales, Cadillac is readjusting its targets for conquest buyers. The goal of stealing entry-luxury buyers from such prestige brands as Lexus, BMW and Mercedes-Benz is proving difficult. Cadillac sees more opportunity in winning owners of premium mid-sized vehicles such as the Honda Accord and Toyota Camry, according to CTS Marketing Director Jay Spenchian...No prestige import is among the top several CTS trade-in vehicles."
Sales data shows the following trade-in breakdown:
39.3% Cadillacs
34.6% non-GM vehicles
26.1% other GM vehicles
The data also shows:
39.9% of CTS buyers are women
Average age of buyer is 55
This is in no way a negative post. I just thought people would be interested. Obviously the car is selling well.
http://media.ford.com/newsroom/releases.cfm?id=93
When you're shooting down A5 in Germany at 190 kph and a CTS comes around in the left lane, it'll be noticed. Of course, you need to realize that minivans routinely come around in the left lane at 160 kph, so it's all relative.
If you want to compete with the Europeans, you need to sell against them, on their home turf, successfully, for a number of years. For a variety of reasons, the Lincoln LS, which started out to be a BMW-beater, became a BMW-beaten, mostly due to Ford acquisitions and politics.
One hopes the CTS will take up the cudgel and be successful. Otherwise, many of us will be driving Infinitis, BMW's or Audis.
Just a thought.
http://www.forbes.com/2002/08/26/0826flint.html?partner=yahoo&referrer=
The topic is the Solstice, but the general arguments remain the same (except there will never be a Chevrolet version of the CTS).
Thanks for the link. Definite food for thought.
First, Cadillac has to make the CTS class leading in every aspect. That is the way you attract buyers and win magazine reviews. Take the Infiniti G35. One of my best friends just bought one. He previously drove a Honda del Sol. Again, he wasn't trading a BMW or Mercedes either. He's just 33 years old, single and moving up in his purchase choices, like a lot of CTS owners.
Infiniti took many cues from Lexus in the launch of this vehicle First, study your competition carefully. Don't limit yourself to one bogey competitor. Infiniti realized they could fit themselves nicely between the personality (or lack thereof) of the Lexus ES300, and the sporty personality of the BMW 330i.
They crafted an attractive and distinctive body, an attractive interior, an "over-the-top" powerful base engine, competent handling, a choice of suspensions and wheels, and some unique features for the class (reclining rear seats).
Finally, they priced it to move. Anyone could get a well appointed one for $35K. My friend paid $33.5K for his. All these features caught the attention of the car magazines. In recent tests, the G35 either came in first or nearly first in every test.
So what about the CTS? Well, Cadillac designed a distinctive package, although it isn't as easy on the eyes for some people. The drivetrain and suspension is top notch in anybody's book. But other details suffered. The engine planned for launch wasn't ready in time, so the old Catera engine was substituted (modified of course). Buyers upgrading from their old non-luxury cars wouldn't care as much, but BMW and Mercedes owners looking to trade know the difference.
The interior worked for some people but not others. GM is world famous for thinking of the interior last in its products. The CTS interior got some things right: the new Bvlgari-inspired guages, the in-dash 6 CD changer, the comfortable and supportive sport seats. But they missed a few obvious points, like a full guage package, an analog clock in the center of the dash for all passengers to see, a larger glovebox, a light and AC in the glovebox, a larger center storage area, and nicer soft-touch materials all around.
The pricing for the CTS was pretty good, but not as agressive as the G35. The G35 may not have every last je-ne-se-quois detail of the BMW 330i, but at its price, it proves irresistable to many buyers. In every written comparison test, the G35's pricing made it a steal even if testers still liked other cars slightly better.
Finally, there is the press. The G35 has won over the press with all of these features. In the Road & Track test, the CTS came in 8th out of 11th. Mind you, even the R&T editors said that none of the cars in the test sucked. When my friend and I went to shop for the G35, the magazine articles were everywhere. Infiniti knows that many buyers spend a lot of time researching their purchase decision in the media.
And still I'm buying the CTS. It will be ordered tomorrow. The shortcomings aren't enough for me not to make a purchase. The CTS also has an advantage of being one of the few cars in its class with legroom enough for my legs :-). But if Cadillac is reading this, they need to understand that there should be nothing less than 100% execution in the luxury car market. Anything less means a product doomed to just being another enty in a crowded field, rather than the car that everyone's talking about.
My LS is proof positive that I thought (in '00) the U.S. auto industry could compete with the rest of the world. Since I will only drive manuals, the LS has dropped off my screen, and now the CTS has come up.
Hang in there, and bring on the upgrades (hopefully added one-at-a-time on the option list).
The CTS is about as far from a Buick as a car can get (see the posts about 20 up saying the ride is too harsh). I hardly see how they would compare to the CTS.
This is not a comparo site. But if there are comparos to be made, they would be with the LS, 3 and C series. Maybe the IS. Maybe the GS. Acura does not even make a car in this league.
Sure, the data might show that BMW/Mercedes/Lexus owners aren't trading their current vehicles in on CTS's. One reason for this might be that they're not buying new luxury vehicles due to the poor economy...another might be that they are trading UP to the next better model of BMW/Mercedes/Lexus. Typically car owners stick with their current car (if they're happy with it) or trade up to a nicer more expensive car. The CTS is basically an entry level performance/lux sedan and would be a lateral trade (not necessarily a trade-up)for BMW/Mercedes/Lexus owners.
The data merely says that Cadillac isn't stealing away CURRENT customers of BMW/Mercedes/Lexus and the like. What it fails to recognize is that EVERY purchase of a CTS represents one less BMW/Mercedes/Lexus that is sold. According to the data 60.7% of CTS buyers are NEW Cadillac customers (customers that were 'stolen' away from other brands)...I would think this would be a good thing for Cadillac who is trying to grow their customer base.
When I bought my CTS I traded in a 300M (non-BMW/Mercedes/Lexus vehicle). I had considered the BMW 3 series, Mercedes C class, Lexus, Infinity, Audi A4, Jaguar X-type, VW Passat, and Lincoln LS as potential new cars and in the end I picked the CTS. With that in mind, I represent one less sale for BMW, Mercedes, or Lexus.
-Oh, and one thing that really drew me to the CTS was the fact that it didn't have any current association with "snobby aging me-too yuppies"! There's a strange 'aura' about the CTS that's difficult to put into words. Just my personal opinion, but the car seems to express a kind-of #@$&-you attitude that spits in the face of all the current cookiecutter snobmobiles. The CTS has a kind of hip coolness to it that ALL the other entry sport sedans lack.
That being said, Cadillac's goal of stealing BMW, Lexus and MB buyers is proving difficult. I don't have the numbers here, but Cadillac wanted a certain percentage of trade-ins to be from those three marques. And actual trade-ins have not met that projected percentage. That is not a conclusion the author drew, it is a fact.
Also, note that quote about stealing buyers from Lexus, BMW and MB proving difficult was NOT from the author, but from the CTS Marketing Director Jay Spenchian.
As for owning a BMW, Lexus or MB and trading up, that happens over time. Many times people buy cars in the same price range for years. It cannot be assumed that someone, for example, buys a 3 Series at age 35, a 5 Series at age 40 and a 7 Series at age 45. Most people buy several 3 Series, then several 5 Series and then move to the 7 (if they're still happy with BMW). Lateral purchase moves are common. Cadillac was hoping to get a bigger share of these lateral moves than they actually are.
Further, it's not just trade-ins, but new car sales. People are buying cars in this price range. 3 Series sales are up. C Class sales are up. ES 300 sales are up (although this is a different type of car). These are buyers Cadillac had hoped to court but are not getting in the volumes they wanted.
The point is Cadillac is getting fewer BMW, Lexus and MB trade-ins that they had hoped for. But if the car proves to be good over time and Cadillac continues their fine recrafting of the brand there is every reason to believe this will change.
But just so everyone knows, I'm going to put the CTS's money where it's mouth is. On September 28, at Coors Field, in Denver, Colorado, I'll be dragging my CTS out to the SCCA Solo2 Summer Season #13 to put it up against BMWs, Corvettes and more. As far as I know, I'm going to be the first one racing a CTS in SCCA's Rocky Mountain region (at least in Solo2). So, we'll see how it stacks up where it counts.
It's a black CTS with manual trans, luxury pkg. and sunroof.I have 2550 miles on it now.
Necros.........I am taking my CTS to the strip the third week in September, it's an open event with time runs, grudges for all comers. Can't wait to see how the time will really be at the drags.
Does anyone else get to race( I mean perform some speed , like go very fast) at traffic lights? It has happened to me again this morning, This time it was an LS along side with a person who just glared and dared. Well, when the light changed I saw him in my rear view mirror looking very astonished. Yesterday it was a Jeep ( I don't know why) and the day before it was a VW and a Lexus. Some of the drivers were young , while others were a lot older.
I have had no real problems with the CTS and just think that it is so much of a pleasure to drive. The handling is excellent and I like the real road feel.
If you build it they will come (eventually). The task ahead is to keep getting better and keeping quality high also. It may take a few years but even my most anti-American car friends admit, the CTS is a good car.
Time will tell.
Bob Lutz turned that around. He told the stylists, "Pretend you don't work here. Design what you've always wanted to design." He took a sledgehammer to old established business processes inside Chrysler that no longer worked. The result was the first LH series, the Viper, the Prowler, the Neon, etc.
What happened next was that people came back to Chrysler. People who would have never dreamed about buying their products were in the showrooms. It took several years to repair the damage, but Chrysler clawed its way back to respectability. Their styling led the industry. Engineering improved dramatically. Quality got much better, but still not Japanese quality. Hopefully the acquisition by Daimler-Benz will help that long term.
Cadillac (and GM) can do the same. The current product line is okay, but not enough to compete with the Lexus/Audi/Mercedes/BMW (LAMB) competition. The CTS is a good first step. As new product continues to get introduced, Cadillac can make a better case to buyers in the market for a luxury car.
Great new product can always overcome bad old product. No brand is unsavable. You can always remake a reputation with great product. Hell, even Firestone is still around after last year. The only reason that Oldsmobile is dying is because GM didn't try hard enough. Don't necessaily concentrate on selling to the most people. Work on making the best possible product. The sales will come.
Then make sure your dealers network knows the new rules. They must treat people differently than the past. We chose one dealership over another in Atlanta because the one we chose treated my wife with complete respect as a co-buyer, even though I was the obvious car nut. Personal relationships matter, especially in the high end car market.
And me, I'm also putting my money where my mouth is. My black CTS with autotrans, sunroof, gray-pewter seats, bose stereo, bun warmers, folding rear seat and HID headlamps has just been ordered. My wife put her foot down on the Nav system ;-).
-FAV002