Cadillac's 21st Century Strategy is Failing: Here's Why.

There was a time, long ago, when Cadillac considered itself to be "The Standard of the World". Nameplates like "Eldorado", "Deville", "Biarritz", and "Fleetwood" helped propel the General Motors brand into the minds and dreams of the American consumer. At one point, a Cadillac was comparable to foreign luxury models sold by Rolls Royce, Bentley, and Mercedes-Benz. Before the fuel crises in the 1970's Cadillac was the number one selling luxury car in the United States; today, the brand is middling in the luxury field with little direction.

Now don't get it wrong, models like the Escalade have been a smash hit since its introduction in the late 1990's. The large SUV has won a plethora of awards and admiration among the buying public. Quiet, smooth, comfortable, and imposing on the road the Escalade is symbolic of all of the things that made a Cadillac a Cadillac. Based on the same platform as the Chevrolet Tahoe and GMC Yukon, Escalade has been a best seller in the premium SUV segment as long as I have been alive. General Motors engineers have done a phenomenal job with the model.

The rest of Cadillac's lineup, however, leaves much to be desired. According to US News, the Cadillac XT4 - the brand's smallest SUV - ranks 5th among other luxury subcompact SUVs for 2021. The XT5 ranks 9th among the luxury midsize SUV field, and the XT6 trails at 10th in the segment. The only perk of the XT6 vs. the XT5 is its optional third row seating which can accommodate a total of 7 passengers.

The mighty Escalade, by comparison, ranks 3rd in the luxury large SUV field, behind only the Lincoln Navigator and Mercedes-Benz G-Class (an SUV which costs nearly $30k more). High marks are given to the Escalade for its cargo room, elegant materials, roomy seats, and composed ride.

While Cadillac is barely holding onto its competitiveness in the SUV market, the company is practically wandering through the desert with its sedans and coupes. The CT5 and CT6 rank near the bottom among its competitors and the ATS is almost a complete afterthought. The brand's only foothold in the passenger car market is its "V" and "Blackwing" models which have performed admirably vs. the Germans. The CT4-V won a "Car and Driver" magazine three-way comparo between the BMW M235i Gran Coupe and Mercedes-Benz AMG A35 in October of last year.

Cadillac is failing because of 3 main reasons: inconclusive branding identity, a poor brand hierarchy, and an inability to provide a unique driving experience. Since 1976 these problems have plagued the brand and continue to do so today, nearly 50 years later.

Case and point is the brand's new electric SUV recently dubbed as the "Lyriq". Seriously? "Lyriq"? What does that even mean? If I'm singing a song it certainly won't be about a Cadillac and I doubt that buyers will be attracted to a car with such nonsensical branding. I would love to see the consumer research studies produced by GM which arrived at such a decision.

To put matters into perspective, the brand is now running with 3 separate types of nameplates. 1: "Escalade" which is symbolic of Cadillac's history of utilizing Spanish and French nomenclature (ie. see Deville, Seville, Biarritz, etc.), 2: Numbering and lettering (ie. see AT4, CT5, CT6), and 3: A more modern "trendy" approach featuring puzzling names like "Lyriq". From a branding perspective this is the equivalent of serving alphabet soup to a group of pescatarians; it just doesn't make sense.

Cadillac filled our hearts with wonder by establishing their cars as leaders in quality and styling. Recent concept cars produced by the brand like the "Ciel" and "Elmiraj" should have gone into production while models like the ATS should have been cut long ago. To re-establish its dominance, the company must commit to a concrete strategy for naming their models. Whereas so many brands like BMW, Mercedes, Lexus, and others use letters and numbers to signify models and trims, Cadillac should stick with more unique and memorable names. XT4 is as inspiring as the plain steel cut oatmeal in my kitchen pantry. "Elmiraj" and "Escalade" are words that inspire us to think deeper and stir up the confidence of our own inner artist. To put it another way, would you rather buy a painting from a Picasso collection or a digital art website? Instinctively, the human mind is much more drawn to unique names.

The next major step Cadillac must take is to create more independence from other General Motors brands in providing a unique driving experience. GM's history is rich with nameplates like Oldsmobile, Pontiac, LaSalle, and Saturn which all had their own unique foothold in the market. Pontiac was GM's performance division, Oldsmobile was premium performance, LaSalle was mid-upmarket luxury, and Saturn was pure value. Cadillac today is trying to be too many things. Is it a budget luxury brand? Is it a marque luxury brand? Or is it just another rung on the ladder for GM to pencil in?

Ford has suffered from similar problems over recent years as their Mercury brand was squeezed by Lincoln moving down-market. Now, Ford occupies the low and mid-priced field with Lincoln attempting to attract higher end buyers. Similar to Cadillac, Lincoln has struggled mightily with providing quality vehicles aside from the humungous Navigator and Aviator. Their sedans are merely filler for dealer lots. Come to think of it, American automotive manufacturers have lost their way in providing quality luxury cars. When Sergio Marchionne took over Fiat-Chrysler in 2014, Jeep and Ram received extra attention while Chrysler was left to fade away.

Brand identities of luxury automakers have become much more complex over the years. BMW's foray into the low-priced field has been met with mixed results but brands like Audi and Mercedes-Benz have successfully capitalized on cheaper cars. I see A3's and GLB's everywhere I look - I can't say the same for an XT4 or XT5. The reason why A3's sell so well is that people don't view it as a guzzied up Jetta; they view it as its own independent model. The interior touches and materials are premium - even for its price point - and the driving experience is lively and performance oriented. There is a noticeable difference between stepping into a Jetta or an A3. Interior and exterior styling match up with its advertised performance capabilities. One might be able to see some resemblance between Jetta and A3 but each offers unique capabilities and standard luxuries.

By comparison, stepping into a Cadillac feels like a Chevrolet that received a nice haircut and shave from the corner barbershop. Tacky plastics contribute to rattling interiors which look great in photos but hold up poorly in real world conditions. When a Mercedes-Benz hits 50,000 miles, the leather still looks premium and wears in uniform. In a Cadillac, the side bolsters and bottom cushion corners are cracked and show obvious signs of aging. For a luxury brand this is unacceptable.

What has made brands like Audi, BMW, Lexus, and Mercedes-Benz so attractive to buyers is an excellent sense of attention to fit and finish within the vehicle. Door panel gaps are tight and interior parts stay quiet even over the toughest of roads. Switches and other components which touch someone's hands most frequently don't fade or peel. Cadillac would do well to take some notes in this regard.

When people look for luxury cars they want something that is refined and well built. They want something that isn't necessarily flashy but commands a sense of respect on the road. Ultimately, however, they want to feel like the car they purchased was worth the time and money saved over years of hard work. Cadillac, to me, does not reward its buyers with that feeling. The brand is stuck middling with Buick to vie for the mid-priced field which is quickly being snatched up by upmarket Chevrolet's and GMC's. General Motor's recent reintroduction of the Hummer brand will further dilute sales at the luxury end of the market.

There was once a time when a younger person would buy a Chevrolet as their first car, moving up to an Oldsmobile or Pontiac after a big promotion. Then, later in life, they would move into a Buick or a Cadillac as they approached retirement. Brand hierarchy is important when attempting to delineate what makes a luxury car unique to buyers. GM has muddied that approach by pushing Cadillac down-market which has forced the company to compete with popular offerings from Chevrolet and GMC. German brands are eager to see Cadillac fall in appeal as their companies continue to innovate in the mid-priced luxury field.

Buyers used to walk into a Cadillac dealership expecting the very best that money could buy. Owning a Cadillac was once a point of pride and respect. Today, outside of the Escalade, buyers will continue to drift away from the brand as they flock towards better competitors from Japan, Korea, and Germany. Cadillac has been unable to find a significant foothold in a market they once dominated - come to think of it, the very one they created.