Quote From GM CEO: GMC Will Be "Emphasing Crossovers"; Receive Equinox Version

[Perian]

Link: http://www.edmunds.com/insideline/do...ticleId=129066

GM CEO Rick Wagoner reiterated that the only GM brand under strategic review continues to be Hummer, which he said has lots of interest from outside of GM. General Motors will focus on profit improvement for its other brands.

"All of our product franchises will be abundantly provided for with passenger cars and crossovers of various sizes," he said. He added that the Buick-Pontiac-GMC group will get smaller, more fuel-efficient vehicles, with GMC emphasizing crossovers, including a version of the Chevrolet Equinox. Buick will sell a new yet-to-be-named car based on the Invicta concept unveiled at the Beijing motor show in April.

Cadillac, despite some "modifications" in its future product portfolio, will be "very, very, very" well positioned with the CTS station wagon making its debut in spring 2009, the CTS coupe going on sale in summer 2009 and the new SRX crossover, based on the Provoq concept, being introduced in the second quarter of 2009.

[Perian]

Looks like GMC is off the critical list.

I wonder if the Cadillac "modifications" are car (DTS/STS) or truck (Escalade) related?

[mgescuro]

Further proof that GM has no clue where the market is going and what the hell it's going to do from a strategy standpoint.
The emphasis on crossovers is doomed.

GM is betting on big SUV drivers to trade down to crossovers. I just don't see that happening. Saving 2-3 mpg on gas? When you can save 10-15 by getting a small car?

Sorry GM, this isnt where your strategy needs to be aiming. Fix the problem that makes it impossible for GM to build small cars profitably in the US. THAT'S the problem.

[Quickening]

So GMC gets yet another rebadge. Why are they spending the money on this brand?!

Ageed mg.

[nsap]

Originally Posted by mgescuro

Further proof that GM has no clue where the market is going and what the hell it's going to do from a strategy standpoint.
The emphasis on crossovers is doomed.

GM is betting on big SUV drivers to trade down to crossovers. I just don't see that happening. Saving 2-3 mpg on gas? When you can save 10-15 by getting a small car?

Sorry GM, this isnt where your strategy needs to be aiming. Fix the problem that makes it impossible for GM to build small cars profitably in the US. THAT'S the problem.

You're looking at a snippet of their product plans and saying they are focusing on crossovers. They have vastly more cars coming than they do crossovers.

Highest-priority programs:

*Volt (car)
*Epsilon II (all cars)
*Delta II (all cars)

[TriShield]

Originally Posted by mgescuro

Further proof that GM has no clue where the market is going and what the hell it's going to do from a strategy standpoint.
The emphasis on crossovers is doomed.

GM is betting on big SUV drivers to trade down to crossovers. I just don't see that happening. Saving 2-3 mpg on gas? When you can save 10-15 by getting a small car?

Sorry GM, this isnt where your strategy needs to be aiming. Fix the problem that makes it impossible for GM to build small cars profitably in the US. THAT'S the problem.

Exactly, the company is toast and once again the current leadership has reinforced that they have absolutely no clue where the market is headed.

GMC should be under review with HUMMER, GM should not be making any excuses NOT to sell small cars and sedans in the United States.

[pinch a loaf]

So the GMC they are talking about, is that the new Terrain?? I'm looking to replace my wife's Equinox and I'd be willing to give the Terrain a shot. I love the Acadia, but we don't need anything that big yet.

[chade]

Originally Posted by mgescuro

Further proof that GM has no clue where the market is going and what the hell it's going to do from a strategy standpoint.
The emphasis on crossovers is doomed.

GM is betting on big SUV drivers to trade down to crossovers. I just don't see that happening. Saving 2-3 mpg on gas? When you can save 10-15 by getting a small car?

Sorry GM, this isnt where your strategy needs to be aiming. Fix the problem that makes it impossible for GM to build small cars profitably in the US. THAT'S the problem.

I believe many American's will step down from full-size SUVs to CUVs still capable of pulling on occassion. I, for one, am one of them. I need the capability to pull a 5,000 lb boat and enclosed trailers. Sorry, your small car won't be able to do that. What I see GMs focus being going forward is to make the CUVs more capable for the average pulling requirement while using dual-mode and supplemental powerpacks to achieve better mpg.

While fuel efficient cars should also be of focus, you can't forget those that need an alternative vehicle to pull the play toys.

[lam]

Originally Posted by mgescuro

Further proof that GM has no clue where the market is going and what the hell it's going to do from a strategy standpoint.
The emphasis on crossovers is doomed.

GM is betting on big SUV drivers to trade down to crossovers. I just don't see that happening. Saving 2-3 mpg on gas? When you can save 10-15 by getting a small car?

Sorry GM, this isnt where your strategy needs to be aiming. Fix the problem that makes it impossible for GM to build small cars profitably in the US. THAT'S the problem.

Wrong, its mgescuro who don't have no clue about GM.
About small cars,GM is going to do what they did with the Malibu,this time with the Cruze. The other thing is VEBA, the "problem" about small cars will be gone very soon.

[tirediron]

Originally Posted by pinch a loaf

So the GMC they are talking about, is that the new Terrain?? I'm looking to replace my wife's Equinox and I'd be willing to give the Terrain a shot. I love the Acadia, but we don't need anything that big yet.

Yes it is.

[megeebee]

Originally Posted by Quickening

So GMC gets yet another rebadge. Why are they spending the money on this brand?!

Sales. 188,000 so far this year. That's down, of course from last year (18.7%), but that's not as bad as Chevrolet trucks that are off 23%. For comparison, Ford trucks are off 17.9%.

They have dealerships all over the country that depend on it. It augments the Pontiac and Buick lines. Ford may be the best selling single brand of trucks, but between Chevrolet and GMC General Motors sells more units. The sales chart I have from Automotive News Data Center, for sales through June 30 of this year says this:

Ford F Series: 274,713

Chevrolet Silerado: 231,320
GMC Sierra: 83,174

GM Total: 314,494

Why kill THAT?

As we all learned with the death of Oldsmobile, not every existing customer automatically goes to another GM brand the next time they need a vehicle. The Buick-Pontiac-GMC sales channel idea has merit, as long as product is there. GMC is the strongest of these 3 brands, with more coming.

[Lichtronamo]

I would say that committing to the Terrain isn't necessarily a long-term commitment to the brand. Most of the development work on the vehicle is locked in by now and having a GMC version will bring some economy of scale to the Equinox (at least until the Equinox can be merged with the Captiva).

[Greg Burr]

Originally Posted by mgescuro

...

Sorry GM, this isnt where your strategy needs to be aiming. Fix the problem that makes it impossible for GM to build small cars profitably in the US. THAT'S the problem.

Well said. They need to make the smaller cars that people want and make a profit.

[calgaryhhr]

Originally Posted by nsap

You're looking at a snippet of their product plans and saying they are focusing on crossovers. They have vastly more cars coming than they do crossovers.

Highest-priority programs:

*Volt (car)
*Epsilon II (all cars)
*Delta II (all cars)

The Volt product will do little for GM in terms of sales and profit and marketshare. GM has said that Volt production will be low volume until 2015. Lutz has said that production is planned at 10,000 for the first model year (2011) and 60,000 the following year. If they manage 200,000 by 2015 I would be surprised. The more I here about the Volt and the production numbers and the cost the more I see this as a niche, promotional vehicle for GM. This will have no real significance in terms of the product line up. They should really divert funds and man hours into vehicles that they can produce in high volume or into the BAS system or other hybrid plans.

I see the Volt program as being a distraction for the public right now. GM is just using it to divert away from major problems. They use it as an answer to those that question trucks and SUV's as being a focus.

Here's my recent source for some Volt information:
http://www.freep.com/apps/pbcs.dll/a...ESS01/80709092

[megeebee]

I also noted the "as-yet-un-named-Buick" line too.


This must mean they haven't settled on "La Crosse" or "Invicta", or anything else yet.

I have a sinking feeling though that Cadillac may lose the Zeta/DT7. Lord, I hope not. The DTS can't go on forever. The plant that builds it is being converted for Volt and E Flex cars anyway.

I wonder if a radical make over of the current STS is in the cards? I suppose with a turbo V6, a new body and interior it might hold down a few sales................for a while...........






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