BEHIND THE DECISION: GM Executive Explains Why Pontiac Died; Why Buick Will Succeed

[Jerseyboy]

I think everyone is forgetting that GM tried to keep Pontiac as a Niche brand but there was a govt task force involved that problably forced thier hand. Read Steve Rattners interview in Fortune and it should be obvious that the govt had a role in what lived and what died in the GM portfolio....

J

[mastertoby]

Originally Posted by Perian

We kept Buick in the General Motors family because it is highly profitable and will grow with new models for the next few years, giving Buick an offering in several sedan and crossover segments.

It was only profitable because the majority of platforms Buick offered were developed 20 years ago. The tooling was bought and paid for. All other crossover/truck platforms were simple rebadges of other vehicles (Ranier, Terraza, Rendezvous, Enclave).

Enough of the double-talk, Ms. Docherty. You may have made a "good business" decision, but don't expect Pontiac customers to behave differently than the Oldsmobile customers did when that brand was cut.

[Hitman1970]

I will looks at Chevrolet, Buick, and Cadillac for my next sedan in addition for Ford and Chrysler. If the Super duper Impala is a well executed vehicle I will have no problem driving one. I will not be in the market again for several years sedan wise.

I like many other am saddened that Pontiac is gone but a profitable domestic auto-industry is more important than any one nameplate in the long run.

[FenwickHockey65]

Massive chunk of sales going to fleet, unprofitable, no overseas market...

I would have to agree with GM on this one.

[member12]

Originally Posted by FenwickHockey65

Massive chunk of sales going to fleet, unprofitable, no overseas market...

I would have to agree with GM on this one.

Yeah....but deep down I wish the G8 would find a home at Chevrolet.....At least the big ass middle eastern Caprice.

And who didn't like the Solstice (or the sky?). Btw the G8 and the Solstice, I'm convinced that since Pontiac's best cars didn't sell well, the brand had negative equity.

But the G6, Grand Am, Sunfire, and the many failures it took to make a car like the G8 is what killed Pontiac. Maybe to older folks, the brand means something. To be, its' tack on body cladding, fake hood scoops, and rattly cars with dumpy V6 engines...sort of like Mitsubishi or some of the older Dodge sedans. Pontiac was the "Hot Wheels" of the automotive world.

[prototype66]

I have to agree that Pontiac failed (as it has been put) because of the lack of product development , lack of unique vehicles (G3, G5, Torrent and Vibe all sucked) and was victim of cookie cutter engineering and a lack of advertising on the great vehicles.
I can only hope there is an area 51 at GM for the "secret Poncho Project" for a big surprise Rebirth of the Performance Division.
Yes I know I am Dreaming but what the heck.

[neshapop]

Originally Posted by mastertoby

It was only profitable because the majority of platforms Buick offered were developed 20 years ago. The tooling was bought and paid for. All other crossover/truck platforms were simple rebadges of other vehicles (Ranier, Terraza, Rendezvous, Enclave).

Enough of the double-talk, Ms. Docherty. You may have made a "good business" decision, but don't expect Pontiac customers to behave differently than the Oldsmobile customers did when that brand was cut.

Exactly, and Pontiac had unique designs and was high technology driven brand with huge presence in retail. Pure business winning formula.

[civilzues]

Originally Posted by FierySolstice

I don't buy this reason. Pontiac was unprofitable because they were starved for product and there was no real marketing for new product, ie G8. Buick soldiered on because mostly the older generations would always buy Buick. Once they die out, Buick will slow as well. The Enclave is long in the tooth already. The new Lacrosse is nice, but I'd rather spend a little more money and get a CTS. The Insignia should be the next Malibu, not a Buick. It's only a couple inches smaller than the Lacrosse. GM could of had Pontiac share platforms with Cadillac to make the cost for the platforms be less. I don't see Buick performing well at all. A company should only have ONE luxury divistion after all.

With what platforms? you mean the ones that aren't created yet? !!!!

[nsap]

Originally Posted by Jerseyboy

I think everyone is forgetting that GM tried to keep Pontiac as a Niche brand but there was a govt task force involved that problably forced thier hand. Read Steve Rattners interview in Fortune and it should be obvious that the govt had a role in what lived and what died in the GM portfolio....

J

Well, that also means you are taking GM's word on what they said with Pontiac; which is not recommended. Pontiac was dead on August 28, 2008...that is the day the Board of Directors voted to eventually "phase out" the Pontiac line. The initial phase out was to start this year and the end of Pontiac would be in 2014. So from a PR standpoint GM could say, "Yeah, we're going to dwindle Pontiac down to niche status," however they left out the part that once niche status was achieved the brand was slated to die. This was the plan to hopefully avoid another Oldsmobile mess...phase the brand out really slowly so less people miss it. Every Board members sans for Rick Wagoner himself voted yay to the motion to phase out Pontiac, so it passed with flying colors.

Currently I have the most confidence in Buick out of all the brands. They seem to have their collective head on in just about every regard. The product they are getting is excellent, their marketing is becoming more promising (see new LaCrosse ad) and the Enclave was proof that Buick can appeal to younger buyers.

[goatgary]

Originally Posted by D C

So she's the one that gets to pen the letter explaining why Pontiac was euthanized without actually coming out and saying that the gov't forced GM to kill it.

Yep! Kinda like a Fraternity hazing. Being the newbie in the highest of echelons, she gets to take care of the dirty laundry.

[Quest]

What’s done is done… What GM should’ve, could’ve is moot at this point. Personally, I’ve stated this before, Her statement and others from Fritz and Crew if taken to their logical conclusion would result in just two NA Brands – Chevrolet and Buick.

Ms Docherty’s statement is almost verbatim of the PR release that posted on the Pontiac Underground, Now closed, on the Pontiac Brand website when the announcement was first made last spring. It’s a just a simple corporate press release that essentially tells the reader nothing – to be expected. They could've at least changed the words and made it look fresh.

The two people that really count are Lutz and Stephens. The rest, well, everyone has seen the script for that less than B movie… same characters, same plot, just tweaked the dialogue. What’s needed is a whole new script and cast.

[chevyman1973]

Originally Posted by FierySolstice

I don't buy this reason. Pontiac was unprofitable because they were starved for product and there was no real marketing for new product, ie G8. Buick soldiered on because mostly the older generations would always buy Buick. Once they die out, Buick will slow as well. The Enclave is long in the tooth already. The new Lacrosse is nice, but I'd rather spend a little more money and get a CTS. The Insignia should be the next Malibu, not a Buick. It's only a couple inches smaller than the Lacrosse. GM could of had Pontiac share platforms with Cadillac to make the cost for the platforms be less. I don't see Buick performing well at all. A company should only have ONE luxury divistion after all.

Long and tooth are you kidding me, the Enclave looks great! It still looks better than anything it goes up against, as for pontiac gm did not want to just make rebadged cars for them, except for the g8 and the two seater all of the cars were from chevy! So why keep it around? So you can build 2 or 3 cars just to make you happy, and as for buick they will be around for along time remember those old people well young people turn into old people! How many people in china are old farts!

Now I dont agree with gm not bringing the g8 to the states as a chevym but i can live with it if it means we have the camaro and the vette!

[Phoenix]

Originally Posted by Hitman1970

I like many other am saddened that Pontiac is gone but a profitable domestic auto-industry is more important than any one nameplate in the long run.

This explains the way I feel perfectly. I would have loved to see a Pontiac revival, but GM has other brands I can get behind. Too bad there are some who can't feel this way.

[tripowergto]

It's no surprise Buick is profitable when its cheapest car starts at $27K. Pontiac's role in the BPG line-up had entry level vehicles starting below $15K. MANAGEMENT(or lack thereof, i.e. Docherty) killed Pontiac. What will B-G dealers sell for under $27K? Currently NOTHING. An under powered, overweight and over priced Buick will NOT be in my future!

[PeteM143]

Originally Posted by mastertoby

It was only profitable because the majority of platforms Buick offered were developed 20 years ago. The tooling was bought and paid for. All other crossover/truck platforms were simple rebadges of other vehicles (Ranier, Terraza, Rendezvous, Enclave).

Enough of the double-talk, Ms. Docherty. You may have made a "good business" decision, but don't expect Pontiac customers to behave differently than the Oldsmobile customers did when that brand was cut.

Buick was very likely profitable because the Chinese market supported it. All the 'good stuff' was being developed for China and now is making it's way here, which kills your tooling argument.

I'm really sick of hearing about niche brands/models. It's like the 'halo' car. None of them every make any money. We don't have 3 carmakers trying to win the same customers, it's more like 15. Every brand's gotta pay the rent, otherwise it goes the way of the Dodo.

GM is and should be in business to make money. Everyone who is a GM fan should concentrate on that. Pontiac's lineup was a drain on the company, just like Saturn. They had to go.