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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.

GM Cadillac chief: New CT5 will replace 3 sedans; EVs coming

DETROIT - The head of General Motors' Cadillac luxury division said on Thursday the brand will shrink its lineup of sedans and expand its offerings of sport utility vehicles and hybrid and electric vehicles in response to market shifts. Expanding Cadillac's global sales is central to GM's overall profit strategy, and Cadillac has reported a 27 percent increase in worldwide sales through the first half of the year. However, in the United States, now the brand's second largest market behind China, Cadillac sales are down 1.6 percent and combined sales of the brand's four sedan models have plummeted 16.3 percent through the first half of the year. That has forced GM to order layoffs at two Michigan factories that build Cadillac cars, and raised questions about the long term future of the plants. "We have to rebalance our sedan portfolio," Johan de Nysschen told Reuters in interview, offering new details about the strategy. Cadillac will not directly replace the current XTS, CTS or ATS sedans when they end their life cycles in 2019, he said. Instead, Cadillac will use a single new car called the CT5 to appeal to consumers shopping for sedans priced between $35,000 and $45,000. New versions of the CT6 sedan will be offered to customers who want a larger car starting at $50,000. Sources had told Reuters last week that GM was considering ending production on six cars including the CT6 and XTS and models from Chevrolet and Buick. That report now appears only half-right as far as Cadillac is concerned. The new CT5 will be built at a factory near Lansing, Michigan, that currently builds the slow-selling Cadillac ATS and CTS models. A small luxury sedan to compete with the Audi A3 will be built in the same plant, de Nysschen said. Cadillac will offer more SUVs, starting with a compact model called XT4, followed by a larger SUV with three rows of seats due by 2019 to compete with vehicles such as Volvo's current XC90 model. Volvo, owned by China's Zhejiang Geely Holding Group, scored a public relations coup by announcing plans earlier this month to power all its vehicles with either hybrid or all-electric technology starting in 2019. The move challenges Tesla, which has eclipsed more established brands with tech savvy luxury buyers. Cadillac has plans "not dissimilar to what Volvo has announced," with more electrified vehicles launching in the second half of the next decade, de Nysschen said.

2019 Cadillac Escalade Sport Edition goes dark for the L.A. Auto Show

Cadillac is taking a shallow swing at the L.A. Auto Show, which might have something to do with the churn and burn happening at the brand and at parent General Motors. The Escalade Sport Edition brings its dark hue to the West Coast shindig, a touch of anti-flash that's actually a pinstripe job. For $2,700, it installs Gloss Black Ice chrome on the grille, rear fascia, window surrounds, and body side moldings, and the otherwise optional 22-inch Midnight Silver wheels. That's the whole show. Available on three of the Escalade's four trims — Luxury, Premium Luxury, and Platinum — brand president Steve Carlisle said the Sport Edition comes "in response to customer and dealer demand for a dark and aggressive look." The least expensive 2WD Luxury model starts at $84,790, including destination, with orders commencing at the beginning of next year. For all that the package isn't, it is still a better deal than buyers got ten years ago, when the 2007 Escalade offered a similarly thin Sport Edition for $4,890. There are a few small changes for the Escalade line overall for 2019. The exterior colors Midnight Sky Metallic and Dark Granite Metallic leave the palette list, making room for Manhattan Noir Metallic and Shadow Metallic to join the list. In back, there's a hands-free tailgate with a logo light, standard on all trims. The Escalade Sport Edition represents both a beginning and an end for the model. The fourth-generation Escalade went on sale in 2014 as a 2015 model, and this is the first special edition it gets. This could be the last, too, since the fourth-gen money machine we called "Old, but not antiquated" in our Driver's Notes last month is expected to give way to a fifth-generation for the 2020 model year. Related Video: