GM Inside News Forum banner
1 - 20 of 37 Posts

·
Registered
Joined
·
5,554 Posts
Discussion Starter · #1 ·
http://www.cbc.ca/cp/business/080513/b0513128A.html

DETROIT - Conceding that the U.S. auto industry is in a recession and high gas prices are changing which vehicles people buy, General Motors Corp. said Tuesday it is shifting its marketing to focus more on cars and less on trucks.

Mike DiGiovanni, GM's executive director of global market and industry analysis, said GM in the past has focused its advertising too heavily on trucks, where the company has made most of its money in recent years.

But it's in the process of shifting "to a new plan that's really going to focus on miles per gallon," DiGiovanni said.

He also said GM will roll out 14 new cars and crossover vehicles in the next 18 months, but only one new truck, positioning itself well to catch buyers leaving the pickup truck and sport utility vehicle markets.

Digiovanni's remarks at a GM conference for bankers and insurance industry officials came after President and chief operating officer Fritz Henderson told the group that it's clear the U.S. auto industry is in a recession.

"The U.S. market challenges are formidable. Actually, there's a lot of debate about whether the U.S. is in recession. The U.S. auto industry is definitely in recession," Henderson told the group.
 

·
Registered
Joined
·
899 Posts
If E-Flex ends up all it is being touted to be, then is extended all across their product range, GM could soon be the industry mileage champ that could honestly brag about greatly BEATING the new CAFE regs.
It would be nice.

Hopefully the Volt will beat the next gen Prius (plug-in) to market.
 

·
Registered
Joined
·
8,861 Posts
It would be nice.

Hopefully the Volt will beat the next gen Prius (plug-in) to market.
I think your point is well taken, windvale. The Volt's gotta beat the Prius (plug-in) to market, even though they're not technically the same, as I understand it. With the Prius, the ICE is the primary mover and shaker, with the electric motor providing assist only. In the Volt, the ICE is used to power the electric motor, which then propels the car, or at least that's my rudimentary understanding. In that case, even if the Volt is a superior choice for the above-stated reason, many consumers won't be able to discriminate the difference. And I don't think GM's marketing is up to the task of explaining the difference well to the general public.

Of course, I could be wrong, and the whole point would then be moot.
 

·
Registered
Joined
·
1,194 Posts
So what are the 14 cars & 1 truck being introduced?

1. Cobalt
2. Impala?
3. LaCrosse
4. STS?
5. Cadillac small SUV
6. Equinox
7. . . .
 

·
Premium Member
Joined
·
3,040 Posts
Lets hope the product changes to improve mpg are just as aggressive as the marketing to go with it. Hopefully they will have product that can proudly advertise the city mpg just as much as the highway mpg. They are definitely making improvements but their small cars especially really need work. Can't wait to see what the #'s are on the 2.2L VVT motor in the Cobalt and what new powertrains will be available on the next generation Cobalt.
 

·
Registered
Joined
·
687 Posts
Mike DiGiovanni, GM's executive director of global market and industry analysis, said GM in the past has focused its advertising too heavily on trucks, where the company has made most of its money in recent years.
Who hadn't already realized this years ago, with the exception for the GM marketing department?? They need to take off their blinders, for god's sake.
 

·
Banned
Joined
·
1,586 Posts
I've already seen quite a bit of this with the Volt and Silverado. What I don't see is commercials for the Yukon/Tahoe/Vue & Malibu hybrids.
 

·
Premium Member
Joined
·
14,692 Posts
This is good news, especially if you replace the word "Marketing" in the title with "Engineering". I don't want GM's ads telling me how fuel efficient an Aveo is -- I want them to engineer a better engine.
 

·
Registered
Joined
·
274 Posts
So what are the 14 cars & 1 truck being introduced?

1. Cobalt
2. Impala?
3. LaCrosse
4. STS?
5. Cadillac small SUV
6. Equinox
7. . . .
I was curious about the same stuff. i came up with a few more.
1. Aura (?)
2. CTS coupe
3. CTS-V (im thinking GM would include this in the count)
4. GMC terrain CUV
5. Saab 9-5
6. Saab CUV (9-4X or something)
7. Pontiac G8 ST
8. CTS Sport Wagon
9. Chevrolet Traverse
Id say STS and Impala are not going to fit that time frame. The STS just got an MCE and the last I heard, they are still trying to decide on FWD or RWD
The truck is probably the H3T.
 

·
Registered
Joined
·
4,663 Posts
I'd like to see ads that really show off the Malibu inside and out and then say, "plus better mileage than Camry and Accord with 5 star safety for piece of mind".
 

·
Registered
Joined
·
1,988 Posts
I opened the "auto" section of the paper this morning and noticed that every single manufacturer's ad was in green. All are touting better fuel economy, cleaner emissions and embracing Al Gore as a savior. It's marketing, that's all it is. I can't fault GM for trying but they aren't the only ones out there claiming to save the planet.
 

·
Registered
Joined
·
10,431 Posts
If E-Flex ends up all it is being touted to be, then is extended all across their product range, GM could soon be the industry mileage champ that could honestly brag about greatly BEATING the new CAFE regs.
Between that and the diesels, I'd hope that they have more than enough to compensate for selling those high profit truck based vehicles.

You have to think about the numbers.....to make 35mpg average, they need to sell as many 55mpg cars as 15mpg trucks. They will need to sell as many 40mpg hybrid Malibus as the 30 mpg gas versions. Conventional gas or diesel cars like the Cobalt must equal 35mpg average. The Aveo and Beat must get upper 30s mpg to even be worth selling, as they will have to offset the crossovers, mid sized trucks, and cars like the Camaro and Vette. Full Sized cars and upscale cars, like the CTS, Impala, and Buick Lucerne will probably have to be either diesel or hybrid unless the Volt is an unbelievable seller

Long story short....the Volt has to get exceptional mileage and it has to be a HUGE seller.

I'm curious as to how the Volt will be rated. If the prius can get mid 50s mpg, then I hope the Volt can get to 60.

I also think this is going to be very difficult, as current high gas prices are proven to be because of speculation (not increased demand or decreased supply), which isn't going to last forever. There's more than a good chance that it will increase in price in the short term, but it's also likely that it will eventually drop down to $60-$80 per barrel.
If that happens, it will be impossible to meet the CAFE standards....the Volt isn't going to as popular and neither will the small cars. Who will buy the

For that reason, I think CAFE is stupid. I think that once the initial investment is made by these automakers and the 40-50 mpg cars are on the market, then CAFE should be dropped. Market demand has stimulated R&D into fuel effeciency, alternative fuels, and hybrids. CAFE has has and will do nothing but force automakers to sell fewer trucks. GM might be in a position in the future to raise truck prices just to keep demand in check.
CAFE should be removed. Let the private sector stimulate what it demands. Let the government give tax breaks to energy companies that offer alternative fuel solutions, like E85, bio-diesel, or the investment into those refineries.

CAFE is stupid, and the fact that GM is shifting marketing efforts to fuel economy proves that fuel economy is in demand now and the CAFE regulations are not needed.
 

·
Registered
Joined
·
861 Posts
DETROIT - Conceding that the U.S. auto industry is in a recession and high gas prices are changing which vehicles people buy, General Motors Corp. said Tuesday it is shifting its marketing to focus more on cars and less on trucks.
They won't be able to save any truck advertising costs on the Colorado and Canyon mid-size trucks as they don't spend any money advertising them. Guess they'll have to slow full-size SUV production, remove the ridiculous incentives on those, and stop advertising the ridiculous incentives.

If E-Flex ends up all it is being touted to be, then is extended all across their product range, GM could soon be the industry mileage champ that could honestly brag about greatly BEATING the new CAFE regs.
The new CAFE is fleet weighted for what you build. For GM it could end up being a fleet average of 32 mpg given the heavy truck bias. Honda is affected in the opposite way with the number of high mileage smaller cars they sell - they may end up needing 38-40 mpg to meet the new CAFE.
 

·
Registered
Joined
·
5,554 Posts
Discussion Starter · #19 ·
This is good news, especially if you replace the word "Marketing" in the title with "Engineering". I don't want GM's ads telling me how fuel efficient an Aveo is -- I want them to engineer a better engine.
That's exactly what I was thinking...Probably GM will put tons of money for those marketing spin doctors to exercise new gimmicks instead to engineer and build better CARS vs. new "hybrid" gas hogs.
 

·
Registered
Joined
·
1,043 Posts
Between that and the diesels, I'd hope that they have more than enough to compensate for selling those high profit truck based vehicles.

You have to think about the numbers.....to make 35mpg average, they need to sell as many 55mpg cars as 15mpg trucks. They will need to sell as many 40mpg hybrid Malibus as the 30 mpg gas versions. Conventional gas or diesel cars like the Cobalt must equal 35mpg average. The Aveo and Beat must get upper 30s mpg to even be worth selling, as they will have to offset the crossovers, mid sized trucks, and cars like the Camaro and Vette. Full Sized cars and upscale cars, like the CTS, Impala, and Buick Lucerne will probably have to be either diesel or hybrid unless the Volt is an unbelievable seller

Long story short....the Volt has to get exceptional mileage and it has to be a HUGE seller.

I'm curious as to how the Volt will be rated. If the prius can get mid 50s mpg, then I hope the Volt can get to 60.

I also think this is going to be very difficult, as current high gas prices are proven to be because of speculation (not increased demand or decreased supply), which isn't going to last forever. There's more than a good chance that it will increase in price in the short term, but it's also likely that it will eventually drop down to $60-$80 per barrel.
If that happens, it will be impossible to meet the CAFE standards....the Volt isn't going to as popular and neither will the small cars. Who will buy the

For that reason, I think CAFE is stupid. I think that once the initial investment is made by these automakers and the 40-50 mpg cars are on the market, then CAFE should be dropped. Market demand has stimulated R&D into fuel effeciency, alternative fuels, and hybrids. CAFE has has and will do nothing but force automakers to sell fewer trucks. GM might be in a position in the future to raise truck prices just to keep demand in check.
CAFE should be removed. Let the private sector stimulate what it demands. Let the government give tax breaks to energy companies that offer alternative fuel solutions, like E85, bio-diesel, or the investment into those refineries.

CAFE is stupid, and the fact that GM is shifting marketing efforts to fuel economy proves that fuel economy is in demand now and the CAFE regulations are not needed.

Alot of it is speculation but also alot of of it is simply higher demand in emerging markets.....but the bigest one is the value of the dollar is in a freefall and until that changes we will not see any relief at the pump......
 
1 - 20 of 37 Posts
Top