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Community Lounge, Introductions and General Discussion Discussion, What would be better for Cadillac's future? in General Discussion; Somebody recently mentioned how people will pay $10k-$20k or more for a Rolex - even though a Timex tells better ...
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    Lord Cadillac is offline Cadillac Maniac
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    What would be better for Cadillac's future?

    Somebody recently mentioned how people will pay $10k-$20k or more for a Rolex - even though a Timex tells better time..

    Some people will buy a $3000 handbag - which doesn't do anything any better than a $50 handbag..

    How about designer sunglasses? $500? Sometimes more?

    People who buy expensive things like this are buying into a lifestyle. More often than not, they're spending more for less.. This happens all the time when somebody buys a Mercedes or BMW for more money than a Cadillac - with less options.

    Should Cadillac customers be buying into a lifestyle? Should Cadillac cater to this lifestyle? Or not?
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    Re: What would be better for Cadillac's future?

    It takes consistency and commitment to build a brand like Rolex, two things a company like GM doesn't historically have.

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    Re: What would be better for Cadillac's future?

    ^^^Yeah.

    Even if Cadillac induced more exclusivity by lowering production and raising costs, the same guy who pays $20k for a Rolex won't be interested. Cadillac doesn't mean anything in terms of lifestyle. Cadillac has always been a contemporary, mass produced GM vehicle with flashy looks and leather seats, and it's image reflects that.

    So no, it should not be trying to attract another lifestyle because it could never succeed in doing so.

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    Re: What would be better for Cadillac's future?

    I agree that that the prestige brands confer a certain "lifestyle" mystique upon the owners .... or at least wearers. With automobiles, at least, this mystique is rather sullied by the reality that on a given day in Los Angeles and other major cities, one can find Mercedes S class and BMW (by the dozens) park out front of $1000. a month (bottom of the rental scale in cities) apartments all over the place. You will find Cadillacs too, but to a lesser degree since they no longer convey the "instant" sense of having arrived that their more exalted European and Japanese rivals do. Let's face it "lease" financing put "prestige" cars within the acquisition bracket of just about anybody with a middle class paycheck. Recently this has changed somewhat, but now a moderately used example of instant prestige can be had by most working people.

    The same thing goes for other prestige items. Polo Black Label can bought at Marshall's, and their outlet stores nationwide. The knock offs of Rolex's can be bought on line, as can their equally prestigious makes.

    Cadillac needs to emphasize and advertise their truly "top drawer" products like the "Platinum Editions." They are on the right track with these higher quality vehicles. But the public isn't aware of these premium products. This is especially true at a time when high bracket buyers are looking to quality as opposed to the "Flash" of an instantly recognizable show of wealth.

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    Re: What would be better for Cadillac's future?

    Hmm... I think I'm 100 percent in agreement with Jesda and Drew here, except that I often hear the older guys around here talking about how in the '50s, '60s and even into the '70s... before the Japanese and European brands had established themselves, Cadillac really WAS like the "Rolex" of the car world... the car every man worked his whole life to obtain.

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    Re: What would be better for Cadillac's future?

    I'd prefer Cadillac to be something the masses cannot afford. I'd rather Cadillac had fewer customers with more revenue rather than more customers with less revenue. I'd like to see a domestic automobile company that's highly regarded as owned by people who've achieved a certain level of success not attainable by everyone. If that means I can no longer afford a Cadillac, so be it...
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    Re: What would be better for Cadillac's future?

    Then it would have to be divorced from GM

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    Re: What would be better for Cadillac's future?

    This is going to depend entirely on Buick's ability to satisfy the masses with near-luxury so Cadillac can be pushed up the chain. Buick sales are way up, so maybe the plan is working.

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    Re: What would be better for Cadillac's future?

    i think it kind of depends on what the XTS actually is when it hits the showrooms and the streets later this year? (it will be later this year, right?)

    the XTS is going to shape the perception of Cadillac for the next couple years (at least), right?
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    Re: What would be better for Cadillac's future?

    XTS will simply be a filler car to try and keep customers from defecting to other brands while they develop the sedan they really want to see on the market.

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    Re: What would be better for Cadillac's future?

    yeah i guess the ATS will be a standard bearer for the brand also in a year or two
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    Lord Cadillac is offline Cadillac Maniac
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    Re: What would be better for Cadillac's future?

    Quote Originally Posted by drewsdeville View Post
    Then it would have to be divorced from GM
    Not necessarily - but that would make things so much easier.. If Cadillac can continue to make profits by selling their vehicles inexpensively - I HOPE they take that revenue and use it to build products that can at least remotely make Cadillac once again the "Standard of the World". I know, that's not going to happen - but at least being competitive with Mercedes, BMW, Audi, Jaguar and Lexus would be great things for Cadillac's reputation...

    Quote Originally Posted by Jesda View Post
    This is going to depend entirely on Buick's ability to satisfy the masses with near-luxury so Cadillac can be pushed up the chain. Buick sales are way up, so maybe the plan is working.
    It's scary how quickly Buick has improved.. I remember hearing Buick referred to as the "Domestic Lexus" several years ago.. It's finally happening.. They're doing a really great job at building near-luxury cars.. Chevrolet has come a long way as well.. GM is really on a role.. It's just a shame, to me, that Cadillac has to be the last one to properly fill-out in the mold it's supposed to be in.

    I think it'll happen - I just wish it wouldn't take so long.. I want to see Cadillac hold onto their customers.

    Quote Originally Posted by RippyPartsDept View Post
    i think it kind of depends on what the XTS actually is when it hits the showrooms and the streets later this year? (it will be later this year, right?)

    the XTS is going to shape the perception of Cadillac for the next couple years (at least), right?
    Quote Originally Posted by Jesda View Post
    XTS will simply be a filler car to try and keep customers from defecting to other brands while they develop the sedan they really want to see on the market.
    While the XTS IS a stop-gap, I haven't been hearing anything about a flagship in awhile. That's another thing that worries me..

    Maybe Cadillac is waiting for the sales revenue from the ATS and XTS before they make any definite plans to move forward with a proper flagship. If the ATS and XTS aren't well-received, there's going to be serious problems.. The CTS series and SRX are doing great - but Cadillac needs more...

    I love the Escalade but I have a strong feeling we're going to be seeing tough times in regards to gas prices for awhile..
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    Re: What would be better for Cadillac's future?

    I've said it a million times on here- MB, BMW and Audi make all their money on entry cars. Somewhere in the neighborhood of 50% of their sales come from cars with pleather, manual seats and wimpy engines at the bottom of their product line. Despite the fact that those cars are their major seller, they don't define the company. They take the profits from those cars and build S-Classes and 7 Series cars to sell in small volume, and everyone's image of the company comes from what they read about those cars.

    Cadillac expects a 35-50% sales increase from the ATS. If it happens, THEN they'll be able to afford to build a world class flagship which will improve the perception of the rest of the brand. Not before.
    Rest in Peace, J.D. (aka Dirt_Cheap_Fleetwood)

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    Lord Cadillac is offline Cadillac Maniac
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    Re: What would be better for Cadillac's future?

    The entry-level cars are always the big sellers. It's the cars at the other end that usually get people interested in the brand. They buy the entry-level with the hopes of upgrading, eventually, to the top of the line. When Cadillac gets to the point where they can build that top of the line vehicle, I hope they move up-market...
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    Re: What would be better for Cadillac's future?

    There will always be a need for the entry level, no options, cheaply built luxury car. Even with a hugely upmarket car like an S-Class, MB would fold without the C class volume and income.

    Cadillac is in a bit of a catch-22 right now. They can't build a flagship because they still lack brand cache and funds and need a true entry level car to get there. Problem is that entry cars sell well (in part) because of their aspirational nature, i.e, "I'll get the C Class now because it's made by the same people who build the S class I want one day", and without a Cadillac flagship to aspire to, that motivational sales tool is missing.

    At this point in history with the green movement, gas prices and other factors, introducing a flagship is a tough sell. Most flapping heads on TV and the Internet would complain that they should be spending their R&D money on building a Cadillac Hybrid or plug-in, even though though the actual sales figures of those vehicles doesn't reflect the desire people claim to have. Entrenched products like the S and 7 aren't going anywhere because they already exist, but making a case to both the Corporate Analysts AND the public that an all-new flagship has a place is difficult.
    Rest in Peace, J.D. (aka Dirt_Cheap_Fleetwood)

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