Throughout General Motor’s post-World War II history, the company has managed to sell several products across its entire line, thereby offering visitors to its showrooms a wide variety of models. This custom of “diluting the brand” was an acceptable practice at GM, Ford and Chrysler for several generations, but the practice has had its drawbacks.
More… The cost of renaming models to cross the entire GM spectrum is much higher than you think. No, I am not talking about the price of putting a different name on various models to market them under different brand names, but I am talking about the “cost” to the brand: the consumer’s perception that there is nothing that is sold exclusively with that. brand.
I, for one, agree with General Motors keeping all of its brands, but would like to see the company distinguish each brand from one another. Only Saturn and Cadillac seem to have a clear identity, with Pontiac and Buick being little more than divisions carrying rebadged versions of other GM cars. Chevrolet, with its extensive lineup, partially escapes the problem of brand dilution, but it is often its models that eventually migrate to Buick and Pontiac to be sold as rebadged versions of Chevy vehicles.
Now GM’s niche division, Hummer, is said to be able to diversify as well. This would be unfortunate as it is the “nichieness” of the brand that gives it an edge.
Here are my suggestions to GM: Keep Cadillac the way it is; don’t mess with success. Set Buick apart as a true “near-luxury” brand… Lucerne and LaCrosse are good sellers, but consider bringing back the Regal… yes, you read that right to pique interest.
Pontiac needs real excitement…invest in the GTO and really make it work. Drop all the minivans, SUVs and just focus on the sporty models. Chevrolet absolutely needs the Camaro. Also, a powerful Impala along the lines of the Dodge Charger would help a lot. Is it too much to ask for an exciting Malibu?
Saturn must continue to leverage its relationship with Opel to affordably distinguish itself from its US counterparts. The SKY is a hit, the new Aura looks hot, and the VUE’s next replacement looks set to sell well.
Leave Hummer alone. Not everyone can or should be able to afford one! GMC will probably go ahead as redesigned Chevys. GM might consider ditching GMC and ramping up Chevrolet trucks like the true world leader that it is.
Saab. Too bad poor Saab. Neglected and hardly worth maintaining. Still, if GM allowed Saab to prosper as Ford has given Volvo a lot of range, then Saab could make a difference for the general too.
I doubt anyone in Auburn Hills is paying much attention to my words. For GM’s sake, I hope they are taking a close look at this whole practice of brand dilution and putting something in place to get the world’s number one automaker moving again.