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Cadillac's big adventure in the Big Apple is coming to an end. The luxury brand General Motors is moving its head office and kaboodle – including global marketers – to find its roots in Detroit. The idea is to help a struggling Cadillac to reduce its market share in the United States with better targeted and improved vehicles.
In his biggest move so far since he took over Cadillac in April, Steve Carlisle will completely shorten GM's mark, moving Cadillac's headquarters from the trendy SoHo neighborhood in Manhattan to Warren's suburbs. ., near the technical center where the company carries out the essential of its development and its engineering.
And while the actual situation of employees is becoming less important in a digitally connected world, Carlisle's symbolism is inescapable: it indicates that the future of the brand must be rebuilt on excellent products – sheet and tires – rather that to make relatively ethereal efforts to encourage luxury car buyers to believe that driving a Cadillac is a reflection of their sophistication and lifestyle.
Cadillac's headquarters moved to Manhattan about four years ago, following the Detroiters' strong objections and the derision of many foreigners who did not think this change would make a difference. Orchestrated by Uwe Ellinghaus, who was at the time Cadillac CMO and adopted by Cadillac's new boss, Johan de Nysschen, this decision was supposed to give confidence to marketers, brands and other members of his brain. sensibilities in a global capital of luxury marketing. Dan Akerson, CEO of GM at the time, endorsed the initiative, hoping it would help Cadillac compete more effectively with German competitors who were taking over the US high-end car market.
And, indeed, Manhattan proved to be a provocative backdrop for Cadillac's breakthrough under the slogan "Dare Greatly," which featured scenes of new Cadillacs in New York City. TV. Cadillac even sponsored fashion shows in the city and organized rotating art exhibitions in its street-level Cadillac House retail show. The brand has managed to recruit New Yorkers, former marketers of Mercedes Benz and fashionistas.
But nothing of its presence in New York could help Cadillac where it continued to hurt the most: a lack of appropriate products. While most other luxury car brands have enthusiastically launched new commercial vehicles, Cadillac was lagging behind in the category of compact SUVs that are booming in the high-end market. He also searched in electric vehicles. And while critics loved its new CT-6 sedan and De Nysschen's disciplined approach dramatically increased transaction prices, Cadillac continued to lose market share, sales and even relevance. during the last years. in China.
Carlisle, a longtime GM executive, wants to make the most of the brand's plans to catch up over the next few years. And he decided that this can only happen if the entire brand is located in the Detroit Metro where, despite the commercial exodus to Manhattan, most Cadillac employees remained in place.
"We have a lot of launches ahead of us," said Carlisle at The Wall Street Journal. "We need to think about how we are eliminating inefficiencies in the communication process between the Cadillac team and GM's partners."
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Hybrid plug-in Cadillac CT6 2018GM
Cadillac's big adventure in the Big Apple is coming to an end. The luxury brand General Motors is moving its head office and kaboodle – including global marketers – to find its roots in Detroit. The idea is to help a struggling Cadillac to reduce its market share in the United States with better targeted and improved vehicles.
In his biggest move so far since he took over Cadillac in April, Steve Carlisle will completely shorten GM's mark, moving Cadillac's headquarters from the trendy SoHo neighborhood in Manhattan to Warren's suburbs. ., near the technical center where the company carries out the essential of its development and its engineering.
And while the actual situation of employees is becoming less important in a digitally connected world, Carlisle's symbolism is inescapable: it indicates that the future of the brand must be rebuilt on excellent products – sheet and tires – rather that to make relatively ethereal efforts to encourage luxury car buyers to believe that driving a Cadillac is a reflection of their sophistication and lifestyle.
Cadillac's headquarters moved to Manhattan about four years ago, following the Detroiters' strong objections and the derision of many foreigners who did not think this change would make a difference. Orchestrated by Uwe Ellinghaus, who was at the time Cadillac CMO and adopted by Cadillac's new boss, Johan de Nysschen, this decision was supposed to give confidence to marketers, brands and other members of his brain. sensibilities in a global capital of luxury marketing. Dan Akerson, CEO of GM at the time, endorsed the initiative, hoping it would help Cadillac compete more effectively with German competitors who were taking over the US high-end car market.
And, indeed, Manhattan proved to be a provocative backdrop for Cadillac's breakthrough under the slogan "Dare Greatly," which featured scenes of new Cadillacs in New York City. TV. Cadillac even sponsored fashion shows in the city and organized rotating art exhibitions in its street-level Cadillac House retail show. The brand has managed to recruit New Yorkers, former marketers of Mercedes Benz and fashionistas.
But nothing of its presence in New York could help Cadillac where it continued to hurt the most: a lack of appropriate products. While most other luxury car brands have enthusiastically launched new commercial vehicles, Cadillac was lagging behind in the category of compact SUVs that are booming in the high-end market. He also searched in electric vehicles. And while critics loved its new CT-6 sedan and De Nysschen's disciplined approach dramatically increased transaction prices, Cadillac continued to lose market share, sales and even relevance. during the last years. in China.
Carlisle, a longtime GM executive, wants to make the most of the brand's plans to catch up over the next few years. And he decided that this can only happen if the entire brand is located in the Detroit Metro where, despite the commercial exodus to Manhattan, most Cadillac employees remained in place.
"We have a lot of launches ahead of us," said Carlisle at The Wall Street Journal. "We need to think about how we are eliminating inefficiencies in the communication process between the Cadillac team and GM's partners."
