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Reuss on Cadillac: "One Last Chance"


mackinaw

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From Automotive News:

"Cadillac this month previewed an electric crossover expected in 2021 that will be the first vehicle to ride on GM's next-generation EV platform.

"We've got one chance. This is it," Reuss told Automotive News last week. "We will leave nothing on the table, but we've got to get there. ... We're going to get there."

https://www.autonews.com/retail/cadillac-weve-got-one-chance?fbclid=IwAR31MqwTYd9lwuC-VLHpyKf4s14LmHuO9YppQA1AKImXnAKSkW5DLvmuvnQ

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31 minutes ago, rperez817 said:

Or it could be the strategy that makes Cadillac a leading Tier 1 luxury brand. They're taking a risk with the EV strategy. But they need to.

 

Sounds like another way to blow billons of dollars with really nothing to show for it, outside of some paid adveristing that says the product is the next best thing evar and isn't bought by the car buying public. 

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23 minutes ago, rperez817 said:

Or it could be the strategy that makes Cadillac a leading Tier 1 luxury brand. They're taking a risk with the EV strategy. But they need to.

The obvious issue is their management's track record of completing 75% of whatever current "strategy" they're chasing before getting distracted and reversing course.

The way Cadillac is currently structured makes it nearly impossible for them to transition to "full EV" in the short and medium term, just like it was impossible for them to chase their other gimmick "strategies" in a timely enough manner to accomplish their goals. 

As their alleged transition to GM's "EV brand" happens - and it will happen slowly - what is the identity of their other products? Their most recent releases - XT4 and XT6 - tell me that they have no idea. 

They've gone from "BMW fighter" to somewhat of a "Lexus fighter" and now "Tesla fighter." 

As crazy as it, Lincoln's long ball strategy is paying off: They have a clear direction and identity, as do Mercedes Benz, BMW, Lexus, Volvo, and even Buick. Today, Cadillac seems to have reduced itself to the directionless churning of Infinity and Acura... the same place we all bemoaned Lincoln for being a decade ago. 

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32 minutes ago, rperez817 said:

Or it could be the strategy that makes Cadillac a leading Tier 1 luxury brand. They're taking a risk with the EV strategy. But they need to.

You keep saying this like it’s a foregone conclusion that BEVs will be the majority of the car market in 5 years and that just ain’t going to happen.  Not even in 10 years.   They’ll be lucky to sell 1 million BEVs in a year and that’s only about 6% of the market.

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12 minutes ago, akirby said:

You keep saying this like it’s a foregone conclusion that BEVs will be the majority of the car market in 5 years and that just ain’t going to happen.  Not even in 10 years.   They’ll be lucky to sell 1 million BEVs in a year and that’s only about 6% of the market.

Worldwide they hit 2 million last year...but I agree

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8 minutes ago, silvrsvt said:

Worldwide they hit 2 million last year...but I agree

But that includes all plug in vehicles - plug in hybrids and limited range BEVs.   To me a BEV must have at least a 200 mile range to be considered as a replacement for a regular vehicle.

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32 minutes ago, akirby said:

You keep saying this like it’s a foregone conclusion that BEVs will be the majority of the car market in 5 years and that just ain’t going to happen.  Not even in 10 years.   They’ll be lucky to sell 1 million BEVs in a year and that’s only about 6% of the market.

GM's BEV3 platform will be very flexible and broad in terms of vehicle types. Globally, they should be able to produce 1 million BEV a year easily using that platform.

6a00d8341c4fbe53ef022ad3ae6b9a200d-550wi

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1 hour ago, rperez817 said:

Or it could be the strategy that makes Cadillac a leading Tier 1 luxury brand. They're taking a risk with the EV strategy. But they need to.

Why buy a Cadillac EV when you can buy a Tesla?  Or an upcoming EV from Mercedes or BMW or Audi?  In the U.S. market, they've been a failure at trying to be the American answer to the Germans.  Now they're going to try and out-Tesla, Tesla.  It seems they're throwing mud at the wall and seeng what sticks.  

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That chart is worthless.   All it says is our BEV3 architecture can support any type of vehicle which I'm sure everyone would say right now.

Building something and selling it at volume and for profit is something entirely different.  Especially when it's several years away.

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The biggest problem with Cadillac is that the market and Cadillac's own customers told them what they wanted and voted with their wallets, and GM didn't listen. Over the past 10 years, sedan buyers voted with their wallets for a Deville/DTS/XTS type of sedan, but GM wrongly told their customers they wanted a BMW fighter. The customers loved the second generation SRX, and instead of working on a three row like everyone else was doing, they invested more into BMW fighting sedans.

Buyers don't like being told what they want.

Now imagine if they designed an Alpha platform in 2009 that spawned an elegant three row CUV and sedan (Deville like), and a sporty two row CUV and sporty sedan...

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