GM-owned luxury car brand Cadillac is planning to add five SUVs or crossovers, a new sub-compact car and three redesigned models that fall between the compact and mid-size cars to its portfolio by the end of the decade, according to the brand’s President, Johan de Nysschen.
Mr. Nysschen told this to a group of analysts at a recent presentation in New York. There, he also gave some more details regarding Cadillac’s future plans.
The company aims to occupy 5% of the global luxury car industry (from current 3.4%) and achieve annual sales of 500,000 units by 2020. Furthermore, to distinguish itself from its parent company, Cadillac will give a separate profit or loss statement at the end of 2017. Mr. Nysschen also stated that the company will put in more emphasis on improving the customers’ experience in the showrooms and its after-sales services.
“The reality, particularly in the U.S. is that the quality of the Cadillac dealer network does significantly trail that of our competitors,” he commented. “It’s not the best in class. It’s not the worst in class.”
Globally, Cadillac’s sales have increased by 1.5% through the first seven months of 2015, partially owing to its growth in China. However, in its home country, Cadillac’s sales through July are down by 2.4% from the same period in 2014. A reason for this mediocre sales record is that most of the growth is in the luxury car industry is happening in the crossover segment, where Cadillac currently only offers one car: the SRX.
Nonetheless, the production expansion at Cadillac commences from the end of this year when the CT6 full-size sedan goes on sale. It will be followed by the SRX-replacement, XT5 midsize crossover. Another compact crossover and a large crossover are also planned. So is a new flagship sedan (positioned above the CT6) and possibly a sports car or a coupe. Regarding the names, each model will start with CT, followed by a number signifying the size of its body.
[Source: Detroit Free Press]