So Does Anyone Get That Feeling...

[LDV60]

From afar, over here in Australia, it seems really odd to see how you guys look over these processes.

It seems to me that there are other, more global options, that may not be seen in the US.

In Australia Holden is the GM "brand"
In China Buick is the GM "brand"
In Europe Vauxhaul is the GM "brand"
In South Africa and Middle East Chev is the GM "brand"
In the US, well that's entirely out of my understanding, but seems to me that you sure as hell don't need so many "brands" selling such similar content.

The local markets define what vehicles from the GM family are available and sold. For instance in Europe it's a tad harder to sell SUV and large family cars whereas in Australia it's harder to sell small cars (but getting easier).

I suppose what I'm trying to say is that the consolidation of brands in the US doesn't mean that the same brand that is successfully holding market share in another location can't keep using that name branding.

[aboatguy]

They already do that in the Middle East.

Yep I loved the CAPRICE LTZ and Lumina LTZs I drove back in the late 90s



If Chevy sold the Caprice LTZ here as an Impala SS I'd buy one and drive it.

However, they don't so the only Holden is my wife's G8GT and I'll stick to my Vette and 95 Impala SS.

[z51l9889]

Hey, aboatguy! Good to see you here. Representing for C4's!

After Rick Wagoner's firing, I think you will see some deeper cuts. In an interview this week, Fritz Henderson said that his feeling was that the four permanent brands would stay intact. Reading between the lines, that would indicate that Pontiac may well be in trouble.

That said, I think you will see some surprising announcements from GM in the next 60 days. My guess is that any vehicle that does not turn a profit and gets less than 30 mpg will be eliminated, including Solstice, G6, G5, and G3. The Solstice and G6 will go because they are unprofitable, and the G5 and G3 will most likely get the axe because of duplication with Chevy. That leaves the G8 as a "niche" product, if we're lucky. The Cobalt, HHR, and Aveo don't make a profit but expect them to stay around because they fit the "Obama Motors Corporation" mold of what we are expected to drive.

If GM is smart, they will think very seriously about eliminating brands that are basically rebadges, i.e. GMC or Chevy trucks. For better or worse, Buick will probably stay because it's vehicles are somewhat unique in the GM lineup. The 2010 Lacrosse is a heavily reworked Malibu that looks nothing like the Malibu, the Lucerne is a Caddy DTS under the skin but it doesn't look anything like it, and the Enclave is a very luxurious crossover that is quite a bit upmarket of the Traverse.

If I were running the show, I would eliminate GMC, keep Buick and Cadillac as is, cut the Impala from the Chevy lineup, and rebadge the G8 either as a Chevy Lumina or an Impala since a Zeta-based Chevy Lumina already exists in the middle east. That leaves you with Chevy as the full service brand, Buick as near luxury, and Cadillac as the premium vehicle brand.

One man's opinion, but based on 20+ years as a supplier in the car biz .....

[jbradsh1]

Those sales numbers for March for the G8 are encouraging. As long as it continues to sell, and they're making a good profit on it, they're not changing nothin'.

[chiefpontiac]

LDV60, we've had a long history of the GM brands fitting into a socio-economic hierarchy. It had been quite simple. You started with a Chevy, and as your income grew you moved into a Pontiac or Olds, then to a Buick, finally moving to a Cadillac. CHrysler had its steps as well, Dodge<DeSoto<Plymouth<Chrysler. Ford kept themselves to 3 (unless you count Edsel and corporate still wants to forget one of the best vehicles to ever come out at teh worst time). Then they started optionizing Chevy Caprices with every option available on a Cadillac, got rid of brand-specific power, and identity, and the rest is history. But even the Japanese have their version. Toyota fans can move up to a Lexus or down to a Scion or(elsewhere) a Daihatsu.

One scenario would have GM be only Chevrolet and Cadillac with good debt while the other brands get all the bad debt and must be sold in pieces for creditors. This, however ignores GM's plans to simply shut down Saturn, and Hummer if no buyer comes through.

A segmentation had already begun, combining Buick, Pontiac, and GMC into one group adn there is even a plan to combine dealerships at least in big cities so that you could shop fro everything from a Cehvy Aveo to a CTS-V on the same lot.

I wouldn't get rid of GMC, if BPG dealers might still be free-standing from Chevy dealers, but I would instead cancel Chevy trucks. Let GMC trucks be sold at BPG dealers, at Chevy dealers, and even at Cadillac dealers all without exclusive territories. But they would only sell trucks and SUV's that are determined by EPA to be trucks. All other transporters would carry the other brands.