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William Maley

Cadillac News: 2015 Cadillac CTS Getting Price Cuts Up To $3,000

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15 months ago, Cadillac announced that it would be raising the price of the new CTS. This move worried dealers as it would cause buyers to look away. It seems their fears were founded as sales of the CTS this past year dropped 3.8 percent when compared to last year. Cadillac is doing something about that.

Automotive News got their hands on a memo issued to Cadillac dealers yesterday which announced that it would reduce sticker prices on most 2015 CTS models by $1,000 to $3,000. It also plans on increasing the amount of standard features in the CTS.

"We're taking what we've seen are the more desirable optional features for customers and making them more readily available. Once a car has been on the market for a while, it's not unusual to look at the customer behavior and try to optimize for it," said Cadillac spokesman David Caldwell.

An example of a price cut in action is the CTS Premium Collection equipped with the 3.6L V6. Originally costing $65,765, the model will now have a new price of $62,765.

The price cuts are shift in strategy for Cadillac. Last September, Cadillac President Johan de Nysschen said that price cuts were off the table. de Nysschen believes the brand needs to charge more to be more in line with the German competitors, along with increasing resale values and improve the brand's image.

Source: Automotive News (Subscription Required)


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This is good as it shows Cadillac is willing to adjust and change much faster than they did in the past or pre 2007.

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I think the price cuts are unnecessary.  A 3.8% drop in volume when prices increased about $10k and there is no coupe anymore which was 30% of sales of the old model..... that's a smashing success actually.

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The haters will trumpet this, yet ignore when mercedes cuts $13,000 off S-class stickers (MSRP vs. actual transaction price).

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It should be noted that the base CTS 2.0T and VSport models will not be affected by the price cuts.

 

... so basically the V6... which is a bit of a tweener in terms of power.

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It should be noted that the base CTS 2.0T and VSport models will not be affected by the price cuts.

 

... so basically the V6... which is a bit of a tweener in terms of power.

 

 

and a number of 2.0T models above the base.

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3.6 really needs to be getting a single turbo to give the perception and grunt of the German and English competitors who have some forced induction for their tweener motors. GM has soldiered the 3.6 for almost 8 years, albeit with updates.

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3.6 really needs to be getting a single turbo to give the perception and grunt of the German and English competitors who have some forced induction for their tweener motors. GM has soldiered the 3.6 for almost 8 years, albeit with updates.

 

weeeelll... the LFX has only been around since 2012. It is so different from the prior LLT that it is basically all new. It just shares a displacement.

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Is the current 3.6 part of GM's new ecoboost engine line or a carry over? I will admit that I find it very hard to tell the new engineered engines from the old due to them having the same displacement size.

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Is the current 3.6 part of GM's new ecoboost engine line or a carry over? I will admit that I find it very hard to tell the new engineered engines from the old due to them having the same displacement size.

 

Ecotec?  No, it isn't part of that.

 

It's best if you think in engine codes

LY7 = original 3.6 

LLT = original 3.6 + direct injection

LFX = Mostly new 3.6 with direct injection

LF3 = LFX plus turbo-charging and other enhancements

LF4 = LF3 plus more boost and other enhancements

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3.6 really needs to be getting a single turbo to give the perception and grunt of the German and English competitors who have some forced induction for their tweener motors. GM has soldiered the 3.6 for almost 8 years, albeit with updates.

 

weeeelll... the LFX has only been around since 2012. It is so different from the prior LLT that it is basically all new. It just shares a displacement.

 

 

That is why I said with updates. The original 3.6DI (LLT) was introduced in 2007 and with redesigned cylinder head and integrated exhaust manifold, and composite intake manifold and other components updated became a LFX.

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3.6 really needs to be getting a single turbo to give the perception and grunt of the German and English competitors who have some forced induction for their tweener motors. GM has soldiered the 3.6 for almost 8 years, albeit with updates.

 

weeeelll... the LFX has only been around since 2012. It is so different from the prior LLT that it is basically all new. It just shares a displacement.

 

The Mercedes 3.5 liter V6 with direct injection came out in 2012, and they are phasing it out now for the 3.0 bi-turbo V6, which itself will be replaced in 2017 by the new inline engines.  So things can change fast.  The market has moved to boosted sixes, Cadillac needs a 350 hp/torque V6 with an 8 speed.

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3.6 really needs to be getting a single turbo to give the perception and grunt of the German and English competitors who have some forced induction for their tweener motors. GM has soldiered the 3.6 for almost 8 years, albeit with updates.

 

weeeelll... the LFX has only been around since 2012. It is so different from the prior LLT that it is basically all new. It just shares a displacement.

 

The Mercedes 3.5 liter V6 with direct injection came out in 2012, and they are phasing it out now for the 3.0 bi-turbo V6, which itself will be replaced in 2017 by the new inline engines.  So things can change fast.  The market has moved to boosted sixes, Cadillac needs a 350 hp/torque V6 with an 8 speed.

 

 

Cadillac has two boosted 6es..

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I think the price cuts are unnecessary.  A 3.8% drop in volume when prices increased about $10k and there is no coupe anymore which was 30% of sales of the old model..... that's a smashing success actually.

 

I would just like to point out that the CTS coupe was, in fact, sold for the 2014 model year. I'm sure it was a negligible percent of the pie, but still... 

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I think the price cuts are unnecessary.  A 3.8% drop in volume when prices increased about $10k and there is no coupe anymore which was 30% of sales of the old model..... that's a smashing success actually.

 

I would just like to point out that the CTS coupe was, in fact, sold for the 2014 model year. I'm sure it was a negligible percent of the pie, but still... 

 

Limited production year and mostly special edition V-series. 

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I think they should have added more content rather than cut prices.  And simplify the option packages, there are so many levels of standard, luxury, performance and premium, plus individual options on top of that.   Maybe they should just dump the standard car, and start with luxury, then they wouldn't have to drop the price.

 

Although the price drop is somewhat irrelevant, dealers are probably discounting anyway, and if you go on Cadillac's website it says you can get $6,000 off a 2014 CTS, they don't list a 2015 yet.

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Johan changed his mind awfully fast too, what happened to German level pricing?  A C-class is $40k now, the E-class is $52k.  I will list a complaint on Mercedes pricing though, the E400 is $62,350 (granted the premium and sport packages are included) but the E550 used to be about that price and you got Airmatic, now the E550 is gone.

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I think the price cuts are unnecessary.  A 3.8% drop in volume when prices increased about $10k and there is no coupe anymore which was 30% of sales of the old model..... that's a smashing success actually.

 

I would just like to point out that the CTS coupe was, in fact, sold for the 2014 model year. I'm sure it was a negligible percent of the pie, but still... 

 

Limited production year and mostly special edition V-series. 

 

 

No doubt it was probably limited, though, I would like to see the official production numbers. I see far more regular coupes than V's listed online.

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I think the price cuts are unnecessary.  A 3.8% drop in volume when prices increased about $10k and there is no coupe anymore which was 30% of sales of the old model..... that's a smashing success actually.

 

I would just like to point out that the CTS coupe was, in fact, sold for the 2014 model year. I'm sure it was a negligible percent of the pie, but still... 

 

Limited production year and mostly special edition V-series. 

 

 

No doubt it was probably limited, though, I would like to see the official production numbers. I see far more regular coupes than V's listed online.

 

 

From what I gather, they did a short run of 2015s and that was it. Production wrapped up in the summer. 

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The coupes were limited period as there were not all that many made V or otherwise compared to the sedan.

 

Coupes are a hard sell and add to it the fact the model is being discontinued that even more slows sales. Who wants an old new car?

 

I loved the coupes but they really were a small slice of the pie as stated.

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I'm sure a new CTS coupe would again garner around a 30% portion of total production; the same basic shell with the new front clip would be fantastic.
That car is a modern design milestone in a lot of people's book.

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The company is making a good choice in reducing the cost as, putting a high price on the car will make customers look away and the cars may not sell and would sit there and dealers would have to sell at lower price than they got and not profit as much. The cars would have to have real good features like maybe dvd player in there, using your thumb to open car or start it would be real good and maybe let the car do the driving when you are tired from a hard days work. I think the lower cost is a good way, to start off the year and may get some good sales and more customers wuld come and purchase the cars if discounts given.

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I think the price cuts are unnecessary.  A 3.8% drop in volume when prices increased about $10k and there is no coupe anymore which was 30% of sales of the old model..... that's a smashing success actually.

 

 

The CTS is selling at almost 95% of its cheaper GEN2 self, while having only 33.3% of its former Gen2 variants.

I'd say dropping the price on a car by $3,000 after raising the price $10,000 isn't exactly a real retreat. It also now will alleviate the additional discounting that Cadillac was doing to compete with that of the E-Class and 5Series. The average incentive on the CTS last year was $9,000, but this does include incentives from trying to move Gen2 models. The 5-series average incentive was $7000; the E class was $7,000.

Quick points of FACT, which most will ignore despite it being the meat and potatoes of the announcement:

The car's base price of $46,340 WON'T change. 

The price of the VSport remains $71,880.

The $3,000 comes off of top level trims of the CTS range. For example, a Premium Collection 3.6L is now $62,765, down from $65,767. A Performance Collection goes down $3,000, to $58,365.   

 

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I am offering logical reason why sales could be down a massive 3.8% (sarcasm) after raising the price more than 30%. If raising the price by 30% only yielded a blow back of 3.8% I am not seeing a real issue per se. 

I will also reiterate in saying that the sales could be down simply because of the FACT that they are only selling 1/3 of the variations of the Gen2.

 

Again if I, a lover of the CTS, wanted a coupe mid-size luxo car.. no dice.. need to go buy an M6, or EClass coupe.

 

If I wanted a Super-Hi-Po, no dice.. I'd have to go get an M5 or E63AMG.. maybe even a XF-SuperC.

 

If I wanted a wagon.. no dice..
 

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      Jeep - Up 29% (97,287 Vehicles Sold This Month, 408,033 Vehicles Sold This Year)
      Kia - Up 1.6% (59,462 Vehicles Sold This Month, 236,992 Vehicles Sold This Year)
      Land Rover - Up 42.3% (7,103 Vehicles Sold This Month, 37,797 Vehicles Sold This Year)
      Lexus - Down 0.1% (25,391 Vehicles Sold This Month, 111,250 Vehicles Sold This Year)
      Lincoln - Down 5.2% (9,755 Vehicles Sold This Month, 40,735 Vehicles Sold This Year)
      Mazda - Up 15.1% (29,980 Vehicles Sold This Month, 137,031 Vehicles Sold This Year)
      Mercedes-Benz - Up 0.3% (26,976 Vehicles Sold This Month, 132,657 Vehicles Sold This Year)
      Mercedes-Benz Vans - Up 1.1% (3,101 Vehicles Sold This Month, 14,102 Vehicles Sold This Year)
      MINI - Up 4% (4,226 Vehicles Sold This Month, 18,490 Vehicles Sold This Year)
      Mitsubishi - Up 31.7% (12,416 Vehicles Sold This Month, 56,178 Vehicles Sold This Year)
      Nissan - Down 3.8% (120,207 Vehicles Sold This Month, 574,127 Vehicles Sold This Year)
      Porsche - Up 4.2% (5,005 Vehicles Sold This Month, 24,529 Vehicles Sold This Year)
      Ram Trucks - Up 2% (51,884 Vehicles Sold This Month, 208,612 Vehicles Sold This Year)
      Smart - Down 66.8% (110 Vehicles Sold This Month, 524 Vehicles Sold This Year)
      Subaru - Up 7.2% (60,146 Vehicles Sold This Month, 263,019 Vehicles Sold This Year)
      Toyota - Down 1.5% (189,930 Vehicles Sold This Month, 868,460 Vehicles Sold This Year)
      Volkswagen - Up 4% (31,211 Vehicles Sold This Month, 143,957 Vehicles Sold This Year)
      Volvo - Up 50.6% (9,338 Vehicles Sold This Month, 37,754 Vehicles Sold This Year)
    • By William Maley
      Hyundai Motor America Reports May 2018 Sales
      Total Sales Up 10 Percent Highest SUV Sales Month in Company History with 28,777 Sold; SUVs Represent 44 Percent of Sales Elantra Sales Up 27 Percent Kona Sales of 5,079 as Inventory Reaches All Hyundai Dealers FOUNTAIN VALLEY, Calif., June 1, 2018 /PRNewswire/ -- Hyundai Motor America reported May sales of Hyundai- and Genesis-branded vehicles of 66,056 units, a 10 percent increase in comparison with May 2017. Hyundai's double digit increase was driven by its SUV family that again set several records.
      For the third month in a row, Hyundai reached its all-time SUV sales mark with sales up 41 percent over May of last year. Kona retailed more than 5,000 units as it solidly establishes itself in the segment with sales up 53 percent compared with April 2018. Tucson also had its best month ever with 12,991 total units, its 15th consecutive monthly record. Rounding out Hyundai's SUV family, Santa Fe sales were up 9 percent. In Hyundai's car lineup, Elantra had a strong month as sales increased 27 percent year over year, while Hyundai recently unveiled a new Sonata pricing strategy that delivers even more content and value throughout the various packages and trims.
      Sales by Brand
        May-18
      May-17
      2018 YTD
      2017 YTD
      Hyundai
      64,980
      58,259
      264,530
      283,565
      Genesis
      1,076
      1,752
      6,466
      8,288
      TOTAL
      66,056
      60,011
      270,996
      291,853
      Hyundai Brand Highlights
      "Hyundai SUV sales represented 44 percent of May's total, a good indication that our expanding SUV lineup is putting our mix more in line with customer demand," said John Angevine, director, National Sales, Hyundai Motor America. "Kona is also off to a great retail start and Elantra's 27 percent gain on the month led Hyundai sedans that are gaining market share."

      Hyundai Model Sales
      Vehicle
      May-18
      May-17
      2018 YTD
      2017 YTD
      Accent
      2,471
      5,773
      12,705
      27,487
      Azera
      8
      326
      612
      1,551
      Elantra
      20,762
      16,407
      81,870
      86,955
      Kona
      5,079
      0
      10,953
      0
      Santa Fe
      10,707
      9,844
      48,659
      47,426
      Sonata
      10,728
      12,605
      44,169
      66,768
      Tucson
      12,991
      10,600
      53,776
      41,707
      Veloster
      728
      800
      4,692
      7,271
      Ioniq
      1,506
      1,827
      7,093
      3,475
      Genesis Brand Highlights
      Genesis Motor America reported sales of 1,076 in May, a 39 percent decrease compared with the year prior.
      This past month, Genesis unveiled the Essentia Concept to critical reception at the Cannes Film Festival and Concorso d'Eleganza Villa d'Este, following its debut at the New York International Auto Show. In third-party accolades that affirm the momentum of the Genesis brand, G80 Sport received a 5-star overall rating by NHTSA, and G90 was named "Best Winter Luxury Vehicle" by the New England Motor Press Association.
      Genesis Model Sales
      Vehicle
      May-18
      May-17
      2018 YTD
      2017 YTD
      G80
      840
      1,355
      5,004
      6,372
      G90
      236
      397
      1,462
      1,916
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