How can Cadillac Succeed at Marketing the new Smaller-than-a-CTS?

With the success in sales of the Cadillac CTS from 2003 forward, Cadillac has slowly moved this model upstream.  Although originally entry level CTS models sold for just under US$30K, most examples on Dealer lots now are in the high 30s to mid 40s.    Cadillac plans to slide in a new car in 2010 that is a bit smaller than the CTS, and a bit less pricey.  To make room for the new line, the price of the CTS has gone up a bit.  The new Cadillac has not been publicly named yet.  I am voting for it to be called the Cadillac αTS, for Alpha Touring Sedan.  I would make the A a Greek Alpha to signify that this is a special car.

When the Automotive press thinks of an inexpensive Cadillac, especially perhaps one with a 4-cylinder engine, they immediately yell CIMARRON!!!  The Cimarron basis was a Chevrolet Citation that was optioned up and rebadged as a  Cadillac.  It was not an inspiring car to begin with, and it was not a great car with a Cadillac badge on it.

Okay, so we have a business story on how not to execute the design and marketing for the new car.  But where is a good plan for how TO do it?  I suggest that Cadillac should consider the BMW 135i.    It continues to suffer from Bangle design, but look at other facets of the model.    As the top of the 1-line, it got the same 3L 300hp twin-turbo engine as the 335i.  The interior is high quality and well laid out.   From the driver’s seat of a 135i one can not tell that you are not in a 335i or 5, 6, or 7 series BMW.  The 135 FEELS like a BMW and shares a lot of interior styling cues with the rest of the line.  The 135i has full entertainment, leather, and navigation features of the larger BMWs.

How does the 135i fall down?  It is pricey, at $35k.  The 128i is the price leader for this model, so okay I guess.  Also, $35K is not as much as it used to be.  Beauty is in the eye of the beholder, but I feel the small BMW is challenged there.  The small size may have contributed to it looking like it does, but ugly is also something I hope Cadillac avoids in the new model.  Especially since the Cadillac will actually be the size of the larger 335i and not the 135i.

So what is the message?  Sure, bring us an alpha-chasis Cadillac that is lighter and more agile.  Offer it with a 4-cylinder turbo that gets good performance and mileage (a la 128i).  But give us the option of the big engines in the small car if that’s what we want, full boat interior touches, and autocross capabilities.  If the new CTS-V is the M5 matchup, please make the new Cadillac αTS the 335i matchup.   Yes, sure, bring high MPG lower performance option models along or along later, but show performance and luxury up front.  Those are what Cadillac is about.

Bob Lutz: Colbert Report an experience like no other in my career

Bob Lutz went on the Colbert Report last night to discuss the new Chevrolet Volt. The Colbert Report is a ‘comedy news’ satire done by Stephen Colbert as a parody of a right-wing news / opinion program.   Mr. Lutz blogged his impressions of the show on the GMBlog.

You can see the entire Sept 17 Episode of the Colbert Report at the Comedy Central site here after a brief commercial.

Some basic information and facts about the Chevrolet Volt came out during the improvisational interview / discussion.  Nothing new to report, but it is important to inform new audiences about the basics about this new model and new drivetrain technology.

Overall in my opinion it went well, and I am glad to see General Motors executives participate in this type of opportunity.

Jalopnik’s coverage of the show.

Highlights reel – GM spans 100 years in one Volt

Today GM celebrated their corporate 100th birthday with a live, streaming video teleconference with the world. If you missed the opportunity to watch this live today, here is a highlights reel from GM:

People from a variety of GM locations around the world spoke about how GM is doing in their locale, then the Chevrolet Volt extended range vehicle was shown.   In the highlights reel you get a feel for a couple of international speakers, but not their actual presentation.  Then it swaps to still photos of cars, and part of Rick Wagoner’s speech.  Total is 9:05 minutes.

The world is asking for a new solution, and we at GM are committed to giving them that solution.
The most exciting time in my GM Career, …and one of the most exciting times in our 100 year history.

Some sections appear designed for local media to add voice-over commentary, so just enjoy the silence there OR make believe that there IS sound, but that because it is the Volt it is too silent to hear (at least during the extended shots of the Volt).

Also shown:

  • Some exterior and interior shots of the Volt.
  • Bob Lutz speaks on battery development.
  • Ed Welburn speaks on design and the influence of new materials and technologies.

Overall a good day for GM.  The amazing thing is not that GM would celebrate 100 years.  The amazing thing is that they did it with live streaming across the internet, involving people inside GM from around the world, and anyone else who wanted to listen in.

Above all, it is to demonstrate to the world that we are more than a 100 year old company.  We are a company that is ready to lead for 100 years to come.

Well done.