GM to shrink to four core brands in North America

AVANTI R5 · 01-12-2009, 12:41 PM

Quote:

One of General Motors’ biggest criticisms is the number of different brands under its roof, which ends up seeing it sell similar models that often compete with one another in the same segments. In its efforts to secure its share of a federal bailout, GM said it intends to focus its U.S. product and marketing resources on four core brands, namely Buick, Chevrolet, Cadillac and GMC.

That leaves Hummer, Saab, Saturn and Pontiac in an uneasy state. GM has already confirmed that it is looking for a buyer for its Hummer brand, and that Saturn was also under review. Pontiac, meanwhile, is expected to be reduced to just a few models, while Saab could also be sold-off or axed altogether.

At the Detroit Auto Show this week, GM’s North American President Troy Clarke told Automotive News that the company will be able to execute those plans, despite the global credit crisis putting a hold on merger and acquisition activity.

"We have to re-engineer the way we're doing business in many regards," Clarke said. "We're going to be a smaller company."

Also speaking at this week’s Detroit event, GM Vice Chairman Bob Lutz said Pontiac will be reduced to just five models – the G8, G5, Vibe, Solstice and Solstice Coupe.

There has been no decision on the future of Saturn but GM is working closely with its dealers. As for Saab, recent reports suggested that GM was having trouble finding a suitor for the Swedish brand. However, GM has since dismissed the reports explaining that it is still early in the process and that any outcome will take some time.
Part of GM’s downsizing efforts will also see its 6,600 dealer network shrunk to around 4,700 dealers by 2012.

http://www.motorauthority.com/gm-to-...h-america.html

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soulbazz · 01-12-2009, 12:43 PM

i hope they find a buyer for Saab, I would like to see that brand return to its quirky self

Yotsuya · 01-12-2009, 12:50 PM

Didn't the Swedish government just provide a ton of cash for their automakers? Maybe SAAB could go semi-public like PSA Peugeot Citroen. Then they could do as they like (more or less).

occytron wrc · 01-12-2009, 12:55 PM

Why do you need both Buick and Cadillac? Same for GMC, I'd keep Saturn instead. But what do I know?

Skunkers · 01-12-2009, 01:05 PM

Quote:

Originally Posted by occytron wrc

Why do you need both Buick and Cadillac? Same for GMC, I'd keep Saturn instead. But what do I know?

This X eleventybillion.

Chevy, Pontiac, Saturn, Cadillac is what they should be looking at. GMC is totally superflous, and Buick is so far gone I don't even know why they'd bother. Especially alongside Caddy. Jeez, they don't even have any cars, Buick's lineup is down to 3 models.

occytron wrc · 01-12-2009, 01:17 PM

Quote:

Originally Posted by Skunkers

This X eleventybillion.

Chevy, Pontiac, Saturn, Cadillac is what they should be looking at. GMC is totally superflous, and Buick is so far gone I don't even know why they'd bother. Especially alongside Caddy. Jeez, they don't even have any cars, Buick's lineup is down to 3 models.

Bingo. The only way I see keeping GMC, was if Chevy did only cars, and GMC handled the SUV/Truck market. Who needs the same vehicle in both a Chevrolet and GMC iteration.

Skunkers · 01-12-2009, 01:19 PM

Quote:

Originally Posted by occytron wrc

Bingo. The only way I see keeping GMC, was if Chevy did only cars, and GMC handled the SUV/Truck market. Who needs the same vehicle in both a Chevrolet and GMC iteration.

Yeah, true. I could see Chevy (cars), GMC (trucks), Saturn/Pontiac (performance or nice cars), Caddy (luxury). Buick just seems like a bust now.

Counterfit · 01-12-2009, 01:22 PM

Quote:

Originally Posted by Skunkers

This X eleventybillion.

Chevy, Pontiac, Saturn, Cadillac is what they should be looking at. GMC is totally superflous, and Buick is so far gone I don't even know why they'd bother. Especially alongside Caddy. Jeez, they don't even have any cars, Buick's lineup is down to 3 models.

China. That's why they won't axe Buick, at least overall. Maybe in NA though.

occytron wrc · 01-12-2009, 01:23 PM

Quote:

Originally Posted by Skunkers

Yeah, true. I could see Chevy (cars), GMC (trucks), Saturn/Pontiac (performance or nice cars), Caddy (luxury). Buick just seems like a bust now.

I like Pontiac as the performance marque, but maybe Saturn could be more of an entry level, going back to it's roots with Chevy being slightly more upscale without stepping on Cadillac's toes.

Skunkers · 01-12-2009, 01:45 PM

Quote:

Originally Posted by Counterfit

China. That's why they won't axe Buick, at least overall. Maybe in NA though.

We all know about Buick's success in China, but that's technically a seperate company, and it's definitely not managed by GM. There's no reason they can't axe Buick here.

Quote:

Originally Posted by occytron wrc

I like Pontiac as the performance marque, but maybe Saturn could be more of an entry level, going back to it's roots with Chevy being slightly more upscale without stepping on Cadillac's toes.

The the point with either Pontiac or Saturn is that the models stay different from Chevy's. Be it if it's Pontiac and only offers performance-oriented vehicles, or Saturn and only offering Euro/Aust imports, they need to be sell separate products.

occytron wrc · 01-12-2009, 01:56 PM

^^^
Could not agree more. They just need to separate the manufacturers as to who will do what. One should be entry level, one more upscale family sedans etc, one performance, and one luxury. Now, they all cross over too much and most vehicles are the same, with slight tweaks and different badges. No 2 vehicles should be the same, they need diversity and brand identity.

XanRules · 01-12-2009, 02:04 PM

Quote:

Originally Posted by occytron wrc

Bingo. The only way I see keeping GMC, was if Chevy did only cars, and GMC handled the SUV/Truck market. Who needs the same vehicle in both a Chevrolet and GMC iteration.

This.

The four they should keep are Chevy, Pontiac, GMC, and Cadillac.
Hummer is entirely obsolete - it's just not a platform that works for day-to-day commuting, which is how it's been marketed.
Buick? Buick who? Axe it.
Saturn and Saab are such quirky brands that they should be removed from GM control.

RGates STI · 01-12-2009, 02:07 PM

Its the same with ford. They have the Contour and then there is another car that is exactly the same car with a different name on it?!? Why??

RGates STI · 01-12-2009, 02:09 PM

And SAAB uses WRX parts on its 955 wagon its basically a Subaru WRX Wagon with a different front end

Cooter05WRX · 01-12-2009, 02:10 PM

Quote:

Originally Posted by occytron wrc

Why do you need both Buick and Cadillac? Same for GMC, I'd keep Saturn instead. But what do I know?

i believe buick sells really well in china or it did the last few years.

WRXVT · 01-12-2009, 02:15 PM

I don't know why you need pontiac either... and maybe even saturn can go. Buick does fit nicely between Chevy and Cadillac, though.

So yeah... Cadillac, Chevy, GMC and Buick sound good to me. I could see an argument for the saturn brand being stronger than Buick, and it is slightly different than chevy.
Pontiac is not differentiated from Chevy IMO.

bakadayo · 01-12-2009, 03:22 PM

I personally don't see a reason for Pontiac. There's way too much overlap as it is betw Chevrolet and Pontiac right now.

I say:
Chevrolet, Saturn, GMC, Cadillac

Saturn's current lineup is pretty good - they just need to get more PR out there to get the people back. Hopefully Saab survives somehow, but they have too much markup compared to their competitors.

Geese1 · 01-12-2009, 04:16 PM

GM's original plan was to combine their Buick, Pontiac, and GMC franchises into one storefront. Realizing this, it makes sense as to why they kept certain brands (GMC, for example), as while on its own it doesn't make much sense they need it to complement the other two, neither of which have any trucks or SUVs (the closest thing is the Enclave, which is classified as a crossover).

bemani · 01-12-2009, 04:30 PM

Quote:

Originally Posted by Skunkers

We all know about Buick's success in China, but that's technically a seperate company, and it's definitely not managed by GM. There's no reason they can't axe Buick here.

Would Buick still be that American brand coveted by the Chinese if it is axed in America and is sold only in China though?

BigElm · 01-12-2009, 05:26 PM

Quote:

Originally Posted by Skunkers

We all know about Buick's success in China, but that's technically a seperate company, and it's definitely not managed by GM. There's no reason they can't axe Buick here.

Really?

2000wrx · 01-12-2009, 05:39 PM

Wow, it's like arm chair football but worse. The world should just stop by NAISOC for all its answers.

Layman · 01-12-2009, 05:43 PM

Sounds like a fantastic plan to me.

Derbagger · 01-12-2009, 05:44 PM

Quote:

Originally Posted by 555 WAGON

And SAAB uses WRX parts on its 955 wagon its basically a Subaru WRX Wagon with a different front end

wow. so much wrong.

The 92X was a rebadged WRX it sold for two years when GM had a small stake in Subaru's parent company FHI. Toyota has since bought that stake and is working with Subaru. The 92X was completely Subaru built in Japan and the closest these made it to Sweden was the port in New Jersey.

The 95 is built in Sweden, using an old Saab design motor and shares its platform with an Opel or two iirc. It shares nothing with the WRX.

Skunkers · 01-12-2009, 05:58 PM

Quote:

Originally Posted by BigElm

Really?

Not by GM North America's CEO's, no.

Cardiff Giant · 01-12-2009, 06:29 PM

Quote:

Originally Posted by 555 WAGON

Its the same with ford. They have the Contour and then there is another car that is exactly the same car with a different name on it?!? Why??

Ford hasn't Sold the Contour since like 2000 or 2001 but the point is still totally valid

If you wanted to get really fancy, they had the Mondeo in Europe, the Ford Contour here, and the Mercury Mystique (as as we used to jokingly refer to my Mom's Mystique:The Mercury Mistake).

I know this is a GM thread, but does anyone else think Chrysler should go: Chrysler=Cars only, Dodge=Trucks only, Jeep=SUVs only
Armchair CEO'ing sure is fun

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01-12-2009, 12:43 PM	#2
soulbazz Scooby Specialist Member#: 95916 Join Date: Sep 2005 Chapter/Region: NESIC Location: Rhode Island Vehicle: 2004 Impreza WRX 1998 Legacy GT Wagon	i hope they find a buyer for Saab, I would like to see that brand return to its quirky self

01-12-2009, 12:50 PM	#3
Yotsuya Scooby Guru Member#: 935 Join Date: Feb 2000 Chapter/Region: MWSOC Location: ಠ_ಠ Chicago Vehicle: Will Woollard Fan Club	Didn't the Swedish government just provide a ton of cash for their automakers? Maybe SAAB could go semi-public like PSA Peugeot Citroen. Then they could do as they like (more or less).

01-12-2009, 12:55 PM	#4
occytron wrc Scooby Newbie Member#: 28788 Join Date: Nov 2002 Chapter/Region: MAIC Location: Bon Air, VA Vehicle: 01 boring sedan w/roof dent!	Why do you need both Buick and Cadillac? Same for GMC, I'd keep Saturn instead. But what do I know?

01-12-2009, 01:56 PM	#11
occytron wrc Scooby Newbie Member#: 28788 Join Date: Nov 2002 Chapter/Region: MAIC Location: Bon Air, VA Vehicle: 01 boring sedan w/roof dent!	^^^ Could not agree more. They just need to separate the manufacturers as to who will do what. One should be entry level, one more upscale family sedans etc, one performance, and one luxury. Now, they all cross over too much and most vehicles are the same, with slight tweaks and different badges. No 2 vehicles should be the same, they need diversity and brand identity.

01-12-2009, 02:07 PM	#13
RGates STI Scooby Newbie Member#: 81783 Join Date: Feb 2005 Chapter/Region: SCIC Location: Huntington Beach CA Vehicle: 2007 STI Urban Grey Metallic	Its the same with ford. They have the Contour and then there is another car that is exactly the same car with a different name on it?!? Why??

01-12-2009, 02:09 PM	#14
RGates STI Scooby Newbie Member#: 81783 Join Date: Feb 2005 Chapter/Region: SCIC Location: Huntington Beach CA Vehicle: 2007 STI Urban Grey Metallic	And SAAB uses WRX parts on its 955 wagon its basically a Subaru WRX Wagon with a different front end

01-12-2009, 02:15 PM	#16
WRXVT Scooby Specialist Member#: 17979 Join Date: Apr 2002 Chapter/Region: MAIC Location: NOVA Vehicle: 335i Blue	I don't know why you need pontiac either... and maybe even saturn can go. Buick does fit nicely between Chevy and Cadillac, though. So yeah... Cadillac, Chevy, GMC and Buick sound good to me. I could see an argument for the saturn brand being stronger than Buick, and it is slightly different than chevy. Pontiac is not differentiated from Chevy IMO.

01-12-2009, 03:22 PM	#17
bakadayo Scooby Newbie Member#: 41230 Join Date: Aug 2003	I personally don't see a reason for Pontiac. There's way too much overlap as it is betw Chevrolet and Pontiac right now. I say: Chevrolet, Saturn, GMC, Cadillac Saturn's current lineup is pretty good - they just need to get more PR out there to get the people back. Hopefully Saab survives somehow, but they have too much markup compared to their competitors.

01-12-2009, 04:16 PM	#18
Geese1 Scooby Newbie Member#: 41511 Join Date: Aug 2003 Chapter/Region: MAIC Location: Northwestern PA Vehicle: 2019 Subaru STI Lapis Blue Pearl	GM's original plan was to combine their Buick, Pontiac, and GMC franchises into one storefront. Realizing this, it makes sense as to why they kept certain brands (GMC, for example), as while on its own it doesn't make much sense they need it to complement the other two, neither of which have any trucks or SUVs (the closest thing is the Enclave, which is classified as a crossover).

01-12-2009, 05:39 PM	#21
2000wrx Scooby Specialist Member#: 66659 Join Date: Jul 2004 Location: geronimo66 at work Vehicle: 2000 L WRX'd	Wow, it's like arm chair football but worse. The world should just stop by NAISOC for all its answers.

01-12-2009, 05:43 PM	#22
Layman Scooby Specialist Member#: 3717 Join Date: Jan 2001 Chapter/Region: MAIC Location: Army of the Potomac Vehicle: 2011 Swagger Wagon bikes with pedals	Sounds like a fantastic plan to me.