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GM Said to Study Shedding Saab, Saturn, Pontiac to Win U.S. Aid

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Old Nov 26, 2008 | 10:00 PM
  #16  
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Originally Posted by formula79
GMC is way worse than Pontiac in terms of being "overlap". Pontiac buyers normally want more expressive cars than say a Chevy. Kinda like why people buy a Mazda v. a Ford. If you close Pontiac that is a lost sale....a G8 or Grand Prix buyer is not gonna get an Impala. IMO GMC should go, and Buick should become China only. Hummer/Saab I can't see costing GM any real money closed or not. This whole thing is dumb....because take $10 Billion from the governement will reduce GM to a bit player moving foiward. First rule of business is you can't shrink yourself better.
GMC exists mostly so Pontiac dealers can sell trucks -- if they got rid of one, the other would likely go too.

Also, there are no Grand Prix buyers, and the Holden Commodore could easily be badged as a Chevrolet (and probably would sell better). The question is more if the heavily female audience for the G6 and Vibe would go over to Chevy.
Old Nov 26, 2008 | 10:22 PM
  #17  
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What exactly is stopping them from doing the plainly obvious.

Kill, or sell, the unnecesary brands, Saab, Saturn, and Hummer.

Pare Pontiac, Buick and GMC down to it's absolute essentials, Solstice, G6, G8, Enclave, Sierra and Yukon. PERIOD. Then let the Cadillac and Chevrolet dealers order, and repaint, as they see fit?

Whatever dealer thinks they can survive with 6 or fewer models let them have a go at it.

Even if they kill the brands they'll be paying for the trademarks for years anyway. Enclave in the Cadillac dealership makes world's more sense than Lambda SRX or Escalade. G8 and Solstice would not only fill big holes in Chevy's lineup but probably move better as well. Honestly, with Camaro on the way the only reason for keeping G6, convertible and coupe, is almost out the window so it could probably go as well.

Maybe it's just not feasible.
Old Nov 26, 2008 | 11:19 PM
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Again...people buy Pontiac's because they are "supposed to be" more agressive and performance oriented. If you love Chevy...I guess it is hard to understand..however for me it is Chrystal clear. I would always buy a Firebird before a Camaro, Grand Prix before an Impala..down to a Sunfire over a Cavalier. Those kinds of people just don't buy Chevy's because there are no Pontiacs. They will buy Mazda's and Nissan's. The sad thing is..Madza has the exact lineup minus a few RWD cars Pontiac should have.

Again though...I don't see how shuting down brands is the fix...GM never got the volume it lost from Old's back.

Originally Posted by flowmotion
GMC exists mostly so Pontiac dealers can sell trucks -- if they got rid of one, the other would likely go too.

Also, there are no Grand Prix buyers, and the Holden Commodore could easily be badged as a Chevrolet (and probably would sell better). The question is more if the heavily female audience for the G6 and Vibe would go over to Chevy.
Old Nov 27, 2008 | 12:30 AM
  #19  
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If it reduces costs for GM in the longer term, I say good move, GM!

I reckon GM should follow the VW/Audi and Toyota/Lexus model lines (for example) and run with Chevrolet/Cadillac brand pairs in NA.
Old Nov 27, 2008 | 12:45 AM
  #20  
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Originally Posted by formula79
Again though...I don't see how shuting down brands is the fix...GM never got the volume it lost from Old's back.
GM never got back the volume it lost from Chevrolet, Pontiac, GMC, Buick, and Cadillac either. Their marketshare has been declining in the long-term with or without Oldsmobile.

It's a systematic problem with the company that's not specific to any particular brand. (And the problem IMO is long model cycles and mis-targeted products. Until the number of models gets in line with the capital investment and the ad budgets, the problem will remain.)
Old Nov 27, 2008 | 02:27 AM
  #21  
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Originally Posted by Good Ph.D
What exactly is stopping them from doing the plainly obvious.

Kill, or sell, the unnecesary brands, Saab, Saturn, and Hummer.
It costs $$$ to do that. Wanna lend them some money for that purpose?
Old Nov 27, 2008 | 02:48 AM
  #22  
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Originally Posted by formula79
Again...people buy Pontiac's because they are "supposed to be" more agressive and performance oriented. If you love Chevy...I guess it is hard to understand..however for me it is Chrystal clear. I would always buy a Firebird before a Camaro, Grand Prix before an Impala..down to a Sunfire over a Cavalier. Those kinds of people just don't buy Chevy's because there are no Pontiacs. They will buy Mazda's and Nissan's. The sad thing is..Madza has the exact lineup minus a few RWD cars Pontiac should have.

Again though...I don't see how shuting down brands is the fix...GM never got the volume it lost from Old's back.
I so agree with you. Love my Chevy's but always preferred the look of Pontiac. I say ditch Buick as China only, dump GMC, Saab, Hummer, and Saturn. Those brands never reached the volume Pontiac had in it's heyday. Pontiac's sporty image has been neglected too long since the Firebird was axed, with only brief moments of hope like the GTO and G8. And the introduction of the G3 isn't helping. If there were no Saturn, Pontiac could have easily gotten the far sportier Astra.
Old Nov 27, 2008 | 06:14 AM
  #23  
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Originally Posted by formula79
Again...people buy Pontiac's because they are "supposed to be" more agressive and performance oriented. If you love Chevy...I guess it is hard to understand..however for me it is Chrystal clear. I would always buy a Firebird before a Camaro, Grand Prix before an Impala..down to a Sunfire over a Cavalier. Those kinds of people just don't buy Chevy's because there are no Pontiacs. They will buy Mazda's and Nissan's. The sad thing is..Madza has the exact lineup minus a few RWD cars Pontiac should have.

Again though...I don't see how shuting down brands is the fix...GM never got the volume it lost from Old's back.
I'm not sure that that is relevant anymore. GM have been losing market share for some time now and I don't think it's got anything to do with Olds' passing.

Imagine how much simpler GM's marketing approach and engineering would be with just Chev and Cadillac to cater for? It's also about time that Chevy's got attractive styling instead of appealing to those looking for cheap, mundane, but dependable transport.

Also, I think GM Powertrain could also simplify their menu and ditch the pushrod V6s... not that there is anything wrong with them... but it's pointless to build pushrod V6s when they also offer DOHC V6s, IMO. I know the OHV is cheaper to build on a per unit/cost basis than the DOHC V6 but surely the money saved could be used instead on another more tangible feature on the car itself. Besides, GM is in need of a new image...
Old Nov 27, 2008 | 09:01 AM
  #24  
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Originally Posted by Good Ph.D
Pare Pontiac, Buick and GMC down to it's absolute essentials, Solstice, G6, G8, Enclave, Sierra and Yukon. PERIOD. Then let the Cadillac and Chevrolet dealers order, and repaint, as they see fit?
Can you explain what you mean by this?

Originally Posted by SSbaby
Also, I think GM Powertrain could also simplify their menu and ditch the pushrod V6s... not that there is anything wrong with them... but it's pointless to build pushrod V6s when they also offer DOHC V6s, IMO. I know the OHV is cheaper to build on a per unit/cost basis than the DOHC V6 but surely the money saved could be used instead on another more tangible feature on the car itself. Besides, GM is in need of a new image...
Looking at all of the recent changes in GM's lineup, it appears that they're already doing exactly this. How many models are left where a V6 is available, but the 3.6 isn't?
Old Nov 27, 2008 | 09:48 AM
  #25  
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it certainly is thinking along the right lines.


I'd say yes to killing pontiac, gmc.

Buick only for china

Sell Hummer and Saab

Keep saturn. It's good dealer network and product is gonna be useful unless they plan on rebadging it all as a chevy. Then kill saturn.
Old Nov 27, 2008 | 03:12 PM
  #26  
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Originally Posted by teal98
It costs $$$ to do that. Wanna lend them some money for that purpose?
I got like 50 bucks on it, so between GM and I there's about 100 bucks.

I completely understand they don't have billions to spend on it, but spending money just to keep a half dozen extra models barely competent hasn't worked for quite some time either.

I know there is the issue of the brand integration, but I'm sure for the right price someone, I'm thinking the Chinese, would take Saturn off thier hands, and probably Hummer too.

Originally Posted by JakeRobb
Can you explain what you mean by this?
Besides the obvious?

I mean with "Pontiac" encompassing all of two models and Buick one, those being the models that have no direct equivalent in Chevy/Cadillac dealerships, and the total number of dealers shrinking, it should be beneficial, and manageable for Chevrolet and Cadillac dealers to carry the Pontiac and Buick brands. Much in the same way lots of Cadillac dealers became Cadillac Hummer dealers overnight.

The primary benefit of that to me is that they don't have to totally throw out 30% of thier sales volume, which is what would happen if they killed PBG outright, but operating costs are still cut dramatically, and all the other benefits.
Old Nov 27, 2008 | 03:37 PM
  #27  
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Originally Posted by Doug Harden
I think I was told that it cost GM $1B to get rid of Oldsmobile a few years ago...wonder what it would today cost to kill a brand like Pontiac?...and Saturn....and Saab...and Hummer...and ???
$4B?



At the rate they are burning cash that doesn't even sound so bad now.
Old Nov 27, 2008 | 03:43 PM
  #28  
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Originally Posted by Adam4356
it certainly is thinking along the right lines.


I'd say yes to killing pontiac, gmc.

Buick only for china

Sell Hummer and Saab

Keep saturn. It's good dealer network and product is gonna be useful unless they plan on rebadging it all as a chevy. Then kill saturn.
I agree with that for the most part.

Saturn or Pontiac need to live on at GM as the Nissan/Mazda competition. But GM needs to realize that that this market needs more differentiation than a Chevy with standard leather seats.
Old Nov 27, 2008 | 07:31 PM
  #29  
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I gotta say that for as much as the G3 gets ragged on here, I see alot more of them than I do G8's. I'm a little curious how they are selling.
Old Nov 27, 2008 | 09:23 PM
  #30  
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GM has proven time and again that it cannot manage Pontiac (which should be EASY! It's the performance brand, dummy!). So they should let it go or sell it to someone else who will use the brand to make proper sporty cars and not re-badged aveos.

GMC is also dumb. Just can them and call them "Chevy Trucks". Allow those GMC dealers to sell "Chevy Trucks". I've seen "Ford Truck" dealers where there are no Ford cars to be found, so I don't see why this would be an issue. The dealers wouldn't need to be closed or bought out as they would still have trucks to sell.

Saab...I wonder how much they lose on that one... don't they sell more Corvettes than all Saabs put together?



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