2014 Cadillac on 2040-cars

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Cadillac dealers get $5,000 incentive for ELR test drives

The 530 Cadillac dealers - out of 940 total dealers - that signed on to sell the brand's ELR for $75,000 or lease it for $699 per month have managed to move 247 of them in the last five months. That's a little less than two cars for each dealer more than two dealers for each car if you need help with the math. With inventories of the luxury plug-in hybrid building up - Automotive News reports a 725-day supply - General Motors has created the Demonstrator Allowance Program to billow the sails on that slow moving ship, giving dealers $5,000 to promote ELR test drives.
A dealer with one ELR in its test fleet that racks up 750 test driven miles between May 1 and June 2 earns the fifty Benjamins, a dealer with two ELRs in the test fleet will get one hundred Benjamins. That will be added to summer incentives for dealers that pay $2,000 for units sold in July and $1,000 for units sold in August, while on the customer side, Cadillac has put "customer discount certificates" worth $3,000 on the hood for buyers and lessees.
Cadillac suggests this is about raising awareness of the ELR, but the question is how much dealers will be able to do for a car that observers - and buyers, apparently - still consider highly overpriced.

Sunday Drive: Classic American nameplates and one exciting new German

Our look back at last week's biggest automotive stories focuses first on the Jeep Wagoneer, an unequivocal American classic. Not only did the Wagoneer play a pivotal role in kicking off America's current love affair with the sport utility vehicle, it legitimized the Jeep brand in the mind of consumers looking not just for something to ably take them off the beaten path, but to do so in comfort, with the entire family along for the ride. So it comes as little surprise that Jeep decided to take one vintage Wagoneer, modernize it with a 5.7-liter Hemi V8 engine, and put the thing on display as part of its annual Moab Easter Jeep Safari. We're in love. Our next two stories focus on Cadillac. First up is news that the striking Escala Concept is headed for production in 2021 to serve as the brand's flagship luxury sedan. The second story involves Caddy's current top rung, the CT6, which gets a new twin-turbo V8 engine as part of its V-Sport package. And finally, we round out this look at last week's headlines with the 2019 Mercedes-Benz C-Class Coupe and Cabriolet. We're mighty keen to try out Benz's new AMG-fettered turbocharged inline-six engine, and the C Coupe looks like a fine point of entry. As always stay tuned to Autoblog this week for all the latest automotive news. Jeep delivers basketful of concepts for the Moab Easter Jeep Safari Cadillac's striking Escala concept is reportedly headed for production Cadillac CT6 V-Sport wants to take prisoners with 550-hp 4.2L TT V8 2019 Mercedes-Benz C-Class Coupe and Cabriolet revealed ahead of New York

U.S. new-vehicle sales in 2018 rise slightly to 17.27 million [UPDATE]

DETROIT — Sales of new vehicles in the U.S. rose slightly in 2018, defying predictions and highlighting a strong economy. Automakers reported an increase of 0.3 percent over a year ago to 17.27 million vehicles. The increase came despite rising interest rates, a volatile stock market, and rising car and truck prices that pushed some buyers out of the new-vehicle market. Industry analysts and automakers said strong economic fundamentals pushed up sales and should keep them near historic highs in 2019. "Economic conditions in the U.S. are favorable and should continue to be supportive of vehicle sales at or around their current run rate," Ford Chief Economist Emily Kolinski Morris said after the company and other automakers announced their sales numbers Thursday. That auto sales remain near the 2016 record of 17.55 million is a testimonial to the strength of the economy, said Mark Zandi, chief economist at Moody's Analytics. The job market, he said, has created new employment, and wage growth has accelerated. "That's fundamental to selling anything," he said. "If there are lots of jobs and people are getting bigger paychecks, they will buy more." The unemployment rate is 3.7 percent, a 49-year low. The economy is thought to have grown close to 3 percent last year, its best performance in more than a decade. Consumers, the main driver of the economy, are spending freely. The Federal Reserve raised its key interest rate four times in 2018 but is only expected to raise it twice this year. Auto sales also were helped by low gasoline prices and rising home values, Zandi said. It all means that people are likely to keep buying new vehicles this year even as they grow more expensive. The Edmunds.com auto-pricing site estimates that the average new vehicle price hit a record $35,957 in December, about 2 percent higher than the previous year. It will be harder for automakers to keep the sales pace above 17 million because they have been enticing buyers for several years now with low-interest financing and other incentives, Zandi said. He predicts more deals in the coming year as job growth slows and credit tightens for higher-risk buyers. Edmunds, which provides content, including automotive tips and reviews, for distribution by The Associated Press, predicts that sales will drop this year to 16.9 million.