By William Maley
Staff Writer - CheersandGears.com
January 17, 2013
The 2014 Cadillac ELR is the first model of a new global product offensive by the brand that could see the lineup expand up to ten models by 2016. According the Reuters, Cadillac hopes to grow global sales. The models potentially include a flagship sedan, a small crossover, and a small car.
Currently, almost 75% of Cadillac sales come from the U.S. In 2012, Cadillac dropped from forth to fifth place due to sales sliding.
"We're saying it over and over and over that we want Cadillac to be a truly global luxury brand. We have the core of a very good product set now and we're working hard at examining the options to make it even better. You can expect a more robust lineup," said Bob Ferguson, vice president of global Cadillac.
Sources tell Reuters that after the ELR, Cadillac is working on a flagship sedan named the LTS to compete with the BMW 7-Series and Mercedes-Benz S-Class. The LTS will use the new Omega RWD architecture. Also in the cards is the expansion of Cadillac's crossover lineup by adding a smaller model to compete with the BMW X1 and a larger seven-seat model. There is also a ATS coupe and a smaller Alpha sub-compact car.
Analysts have doubts about this plan, citing that certain markets like Europe could take up fifteen years to gain a size-able share.
"I'm not convinced Cadillac can pull it off," said Jim Hall, managing director of consulting firm 2953 Analytics. "They may still be suffering from 'Lincoln disease' - the lack of long-term commitment by the parent company."
GM will also focus on building Cadillac's presence in China, where it will start building the full-size XTS sedan in about two weeks.
Analysts do agree that with the expansion of the lineup, it will help strengthen the brand.
"Even if Cadillac's not commanding the same price as the Germans or selling as many cars, people for the first time in decades are saying these are good cars," said John Casesa, senior managing director with Guggenheim Securities.
Source: Reuters
William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster.
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