General Motors Company (GM): Cadillac’s Sales Hurt by Increased Competition

According to the report by Phil LeBeau of CNBC, General Motors Company (NYSE:GM)’s Cadillac is the only brand from the auto luxury segment that has had lower sales in this year. LeBeau stated that “when you look at the luxury segment this year for the entire auto-industry it’s really one of the best years, except for when you are looking at Cadillac. [...] Cadillac is the only mass market luxury brand that has had lower sales this year. Everybody else is up.” Cadillac may still be suffering from the problems they had with the recalls, but they are also suffering from increasing competition and dealers’ dissatisfaction.

General Motors Company (NYSE:GM)

Despite such a good year for mass market luxury auto brands, General Motors Company (NYSE:GM)’s Cadillac division is facing severe competition, especially from German auto makers such as Audi AG, Mercedes,  Lexus. In particular, Cadillac ATS and the ELR models performed disappointingly. The ATS saw its YTD sales down by 21.8%, while the whole range of Cadillac declined by 1.2%. Comparable Audi’ saw 14.3% higher sales, while BMW’s sales appreciated by 12.8% and Mercedes’ sales were also up 8.4%. While the video did not provide specific numbers, he remarked that “nobody is buying” the extended range electric vehicle, the Cadillac ELR.

Cadillac’s problems seem to also concern dealers.

“[...] Dealers are not happy with Cadillac’s brand direction, not happy with ELR that nobody is buying. They are not happy with the marketing, they are not happy frankly with the leadership that they are seeing within the Cadillac division,” LeBeau added.

He went on to suggest that it is expected to see changes from Cadillac, once the problems they had with the recalls are solved, and that it is going to be the next focus for General Motors Company (NYSE:GM)’s CEO, Mary Barra and her leadership team.

Disclosure: none

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

6 Ways to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

The 6 Cheapest Boarding Schools In America 2015

5 Clear Reasons LoL is Better than DotA, Continues to Rule MOBAs

The Only 9 Teams with a Chance to Win the Super Bowl

The 15 Most Common Phobias in America that Induce Fits of Panic

Top 6 Least Expensive Tourist Destinations in 2014

Jim Goetz, Peter Fenton, Jim Breyer: Top 6 Venture Investors for 2014

Top 15 Billionaires in 2014

5 Pitfalls To Avoid When Buying a Franchise

Top 20 Medical Schools in the US – 2014 Rankings

4 Business Strategies that Turned Jamie Oliver into the World’s Richest Chef

6 Qualities That Make You A Good Team Player

10 High Paying Seasonal Jobs in America this Holiday Season

The 10 Busiest Shipping Lanes in the World

5 Most Valuable Brands in China

The 10 States with Highest Substance Abuse Rates Crippling Their Populace

The Top 10 Things to Do Before You Die That Will Echo for Eternity

The 10 Best Selling Items on Etsy

Top 10 Things to Do in Tokyo, the Greatest City in the World

10 Mistakes on Social Media that Can Harm You and Will Probably Get You Canned

The 10 Best Cities to Find Jobs in 2014

The 10 Most Controversial Songs Of All Time to Hit (and get Banned from) the Airwaves

The 20 Biggest IPOs in US History

The 10 Best Places to Visit in Mexico that Are Beautiful and Safe

7 Bad Habits that Age You Beyond Your Years

The 40 Best Fortune Cookie Sayings That Will Leave You Bemused, Befuddled, or Beguiled

10 Foods to Eat Before a Workout to Make Every Drop of Sweat Count

The 5 Best Documentaries On Netflix You Must See

The Most Heartwarming and Inspirational Story Of This Halloween Season, It Will Make You Cry and Jump For Joy

10 Best Party Songs of All Time to Bring the House Down With

5 New World Order Conspiracy Theories that Will Strangle the World

The 10 Highest Rated Movies of 2014

The 10 Largest Container Shipping Companies in the World

The 10 Largest Armies in the World: Who Should We Be Afraid Of?

Best Warren Buffett Quotes on Money You Need to Hear

The 10 Highest Suicide Rates by Profession

The 20 Most Underrated Movies of All Time

The 10 Fastest Growing Companies in America

The 10 Biggest Outlet Malls in USA

The 5 Most Popular Rap Songs of All Time

The 10 Countries that Eat the Most Meat

The10 Most Expensive Countries to Fly To

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!