Cadillac’s new strategy to pay off in the mid to long term image

The General Motors luxury brand is just starting a billion dollars recovery program, the first effect of the strategy being the new flagship sedan – the CT6 – unveiled publicly during the 2015 New York Auto Show.

For Cadillac, the luxury brand that once ruled undefeated over the segment in North America, the Big Apple might become the symbol of its rebirth – and the premium brand is paring no expanses to highlight its long-awaited comeback. They have a new headquarters in Soho, huge “Dare Greatly” ads in Times Square or caviar-laden model introductions. The real challenge – remain committed to such lavish moves for the years to come, as their plan to regain traction on the market is most likely one that will unravel in years, not months. The CT6 will surely lay the foundation for a new age for the Cadillac brand, as the most stylish and technologically advanced car the automaker has produced to date – a new mix of materials, new manufacturing techniques and an endless list of comfort and safety features will guarantee that competitors will see it as a challenge.

But the real issue for Cadillac is that its “mass-market” models, such as the ATS and CTS sedans are actually still dragging down figures. After the first three months, the smaller model was down 20 percent and the CTS was plummeting 39.5 percent. “We have to remind ourselves we are on a long-term brand resurgence,” commented Cadillac President Johan de Nysschen. The good news: ATS-V and CTS-V performance models will bring some excitement to the sedans. Additionally, at the end of the decade or starting with 2021, the company will position an even larger top of the line sedan – one that may bring a V8 engine and fend off the Mercedes-Benz S-Class.