Saturn Revitalization Working, Defiant Brand Chief Insists

[T-Type]

By Herb Shuldiner
WardsAuto.com, Aug 8, 2008 8:19 AM

DANBURY, CT – Defiant in the face of continuing news reports General Motors Corp. is contemplating dropping her division, Saturn General Manager Jill Lajdziak insists her plan for revitalizing the brand is working.

Saturn achieved a 20% improvement in market share in 2007, she says, and this year’s sales of new products, including the Aura, Vue and Outlook, have climbed 3.4% through July 31.

However, because the entry-level Astra is not selling as well as the cast-off predecessor Ion, overall deliveries are down 17.9%, while retail sales are off 18.5%.

Still, sales of the Astra, which boasts a fuel-economy rating of 32 mpg (7 L/100 km), have been climbing steadily, with an average transaction price of $18,200 compared with $15,100 for the Ion. The 5-door model accounts for 70% of Astra sales, which also is available as a 2-door.

At a press conference to unveil the new look of Saturn dealerships, the Saturn of Danbury franchise here is one of only seven revitalized stores out of 440 Saturn dealerships nationwide. Lajdziak declines to say what the average investment will be for dealers who revitalize their operations.

Chris Bower, Saturn’s manager of retail strategies, says the brand built its reputation on customer treatment, but the industry has caught up. “Customers have enhanced expectations now,” he says. “They are shopping differently.”

He also says Saturn dealers requested new retailing innovations from the brand.



http://wardsdealer.com/latest/saturn...ation_working/

[Brglotus]

I really hope Saturn doesn't go away. I purchased a Aura this year and love it and have had people compare it to a Audi or a BMW. If it wasn't for Saturn, I honestly wouldn't have gone for any other GM car right now (maybe the Malibu, but perferred the Aura's looks over it). To me, GM has too few options when it comes to a good car in that price range. I like the G8, but that's out of my price range. I only wished that GM made a Aura Redline (make it looked like the concept).

[ausrutherford]

I would say its stalled. Of course they have that new Opel MPV coming out here in the next few years, new Aura and rumured mid size CUV(eventhough that would be overkill).

[K-1]

We picked up a loaded ASTRA last week. Excellent vehicle! Far better inside and out than the ION.

[milton112c]

When I went out shopping, it came down to 2 vehicules...the Saturn aura (which I ended up buying) and the Saturn Astra XR. They are both excellent cars and i was really impressed by the two of them. The Astra has amazing handling and decent acceleration for a 1.8L motor. The Aura speaks for its self, beautiful inside and out and i get questions all the time...is that a cadillac? Both are excellent cars, they just need to be marketed better.

[Greg Burr]

Originally Posted by milton112c

When I went outhopping, it came down to 2 vehicules...the Saturn aura (which I ended up buying) and the Saturn Astra XR. They are both excellent cars and i was really impressed by the two of them. The Astra has amazing handling and decent acceleration for a 1.8L motor. The Aura speaks for its self, beautiful inside and out and i get questions all the time...is that a cadillac? Both are excellent cars, they just need to be marketed better.

I agree. It just takes time and effort expended consistently over an extended period of time to realize significant and lasting results.

[Whitesky]

The problem is still convincing people that it's not the same old Saturn. People like the way the new vehicles look, but when you say Saturn their brain conjurs up crud like this:

[mjd1001]

While GM as a whole may need less dealerships, Saturn needs more. We bought a Saturn Vue, but our closest dealership is just too far away. I know I can get it serviced at most GM dealerships whether they are Saturn or not, but I prefer to go to the dealership I bought the car from. A 45 minute drive round trip (while Chevy, Ford, Toyota, Honda and Pontiac dealerships are all less than 15 minutes away) is going to make is re-think buying a Saturn instead of one of the other lines next time.

[JVal14]

I think people are slowly realizing how much better Saturn is. GM certainly isn't helping itself by giving it almost no advertising. As long as sales are headed in a positive direction - even if it's slowly - GM wouldn't dare cut it. I just hope they keep supplying good product to keep up the momentum.

[mgescuro]

Originally Posted by K-1

We picked up a loaded ASTRA last week. Excellent vehicle! Far better inside and out than the ION.

Astra is such an amazing little car!! I love how it handled. And I love the styling of the 3-door, which is the only one that interests me. But the lack of a sunroof was the dealbreaker.

But... the moment Saturn decides to put a sunroof in the Astra.... I'm there. It would easily knock the Mini Cooper off my list.

If Saturn just markets this car in the appropriate markets -- coastal areas, metropolitan area, with trend-seeking 20-somethings -- I think Saturn will do just fine.

I'd never expect Chevy like numbers, but I still believe Saturn can easily outsell Pontiac.

[EllwynX]

Originally Posted by Whitesky

The problem is still convincing people that it's not the same old Saturn. People like the way the new vehicles look, but when you say Saturn their brain conjurs up crud like this:

I always thought the Saturn SC was a sharp looking vehicle from the beginning.

The Ion sedan wasn't nearly as nice looking as the Coupe.

The Ion coupe's exterior was/is much better looking than the Astra imo. Interior I'll take the Astra. But I sat in an Astra and barely fit, it's much too small.

[osv_alero]

I like the products but not our local dealers. Because of that my wife will not buy any Saturns used or new. Same with my parents, Mother-in-Law and other relatives. We all tried Saturn and where bit on the bumm for it.

[Rocket 88]

In the NY metro area there seems to be a reasonable amount of Saturn dealerships and I see lots of Saturns on the road.

I think GM is insane to consider dropping this division. Considering Saturn has so few dealerships and was almost starved to death of products until a couple years ago, I think it is making good progress. Not to mention being saddled with no-haggle pricing and was shifted somewhat upmarket.

Considering Saturn now outsells Buick and Hummer, I can't help but wonder what GM management expects out of this division.

[buildacariwant]

Saturn built of image of small affordable cars and threw it out along with their core customers to turn saturn into the new oldsmobile....except olds had customers and a dealer network. GM needs to stop being all things to all people, accept they are burning up cash they dont have anymore, and dump this loser and refocus on their higher volume brands.

[Chaz_23]

one can only hope that little by little Saturn's sales will improve. In Southern California, where Saturn sales must be near zero, they do lots of ads and marketing (cars and giant flags in malls type stuff). Only recently have I seen a couple new ones here and there.