Cadillac Eyes
For too long, de Nysschen said, Cadillac product planners have looked through GM eyes. When he asked for engine options for a future model, he was shown charts comparing a four- cylinder motor to those made by Chevy rivals, not BMW or Audi. That’s why he insisted on moving Cadillac out of Detroit.
“They were not looking through Cadillac eyes,” he said.
Given Cadillac’s recent history, de Nysschen’s insistence on dedicated resources makes sense. In 2000, GM poured $4.3 billion into the brand and got momentum with the hulking Escalade SUV and the first CTS sedan. But soaring gasoline prices in 2005 and the financial crisis a few years later halted Cadillac’s progress, and GM spent little on new cars.
The result: Cadillac sales tumbled 6.5 percent in the U.S. last year, making it one of only three luxury brands to lose ground. Only the Escalade sold more vehicles. Cadillac still appeals to older folks, with the average buyer clocking in 64, 15 years older than the average BMW owner, according to San Diego consulting firm Strategic Visions Inc.
Manifold Problems
The brand’s problems are manifold, says Uwe Ellinghaus, a BMW vet who is now Cadillac’s chief marketing officer. The brand doesn’t have the crossover SUVs that luxury buyers are snapping up these days. And even though the CTS and ATS sedans have the sporty ride and handling to rival a BMW or Audi, many luxury buyers don’t know it yet, he said.
Cadillac sells six models and competes against 11 from Audi and 13 from BMW. Cadillac has just one crossover SUV. By 2020, Cadillac will add three more SUVs along with the CT6 sedan and renew four other models in the lineup. A bigger Cadillac that will be even larger than the CT6 is also in the works, de Nysschen said.
The CT6 will show the new direction, Ellinghaus said. Where some BMW cars have gotten bigger and heavier -- and in his view less nimble on the road -- the CT6 will be the size of the 7 Series flagship and as light as a 5 Series.
Hybrid Caddy