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Luxury car brands scrambling to avoid a blue Christmas
Thu, Nov 2 2017DETROIT — When financial markets surge to new records, sales of luxury cars usually rise, too. Instead, October U.S. auto sales reports on Wednesday showed that a collapse in sales of luxury sedans is accelerating. Consumers have gradually shifted over to luxury sport utility vehicles from sedans in the past decade, but the trend — which has occurred in both the non-luxury and luxury sedan segments of the auto market — was particularly pronounced in October. Sales of Daimler AG's Mercedes-Benz S-Class, long a global benchmark for large, premium sedans, plunged 49 percent in October, and are down 24.8 percent for the year to date. General Motors' Cadillac brand said it sold just 779 of its CTS sedans in October. Demand for that car, designed to compete with German luxury sedans, is down nearly 33 percent for the year. "There's still a significant portion of the market that wants a car, but I'm sure there were people who preferred a horse to a car at one point." Cadillac's best-selling model this year is the XT5 compact SUV, which has more than doubled sales from a year ago. The shift within the luxury vehicle market away from sedans toward SUVs of all sizes is forcing some of the most prestigious brands to scramble to add SUV models to their lineups or boost SUV production to meet demand. "In the short term, there will be pressure to add (consumer) incentives, cut production or both," said Cox Automotive analyst Michelle Krebs. "And we just don't see an end in sight to this trend." The Dow Jones Industrial Average has been trading at all-time highs, usually a good sign for luxury sedans, but as major automakers reported new U.S. vehicle sales for October on Wednesday, sales for passenger cars continued their slide while luxury SUV and crossover sales rose again. According to Kelley Blue Book data, in 2007 luxury sedans made up 7.6 percent of U.S. new vehicle sales, while luxury SUVs made up 4.2 percent. Through September this year, luxury SUVs made up just over 7 percent of the market, compared with 4.9 percent for luxury sedans. In the short term, luxury brands could use holiday season sales promotions to clear slow-selling sedans off dealer lots, analysts said. Toyota's Lexus brand said on Wednesday it will launch its "December to Remember" year-end sales promotion for the 18th straight year.
2020 Cadillac XT5 makes its official debut, adding a new engine and improved tech
Thu, Jul 25 2019The 2020 Cadillac XT5 is here, and it’s new in some significant ways. To start, it gets a slightly revised look. We got a preview of it a month ago when Cadillac revealed the car in China, but these are official U.S.-specific photos now. YouÂ’re looking at pictures of the XT5 Sport and Premium Luxury here. We mention this because Cadillac is continuing in its “Y” trim strategy of offering a Luxury, Premium Luxury and Sport version of their cars with noticeable design differentiation between each one. The Sport gets a darker appearance package with the XT4-like grille, as opposed to the Premium Luxury that is set to emphasize bright trim (i.e. chrome). WeÂ’re expecting a noticeable change in the driving experience for the 2020 XT5, as the new base engine is the 2.0-liter turbocharged four-cylinder that debuted in the XT4. ItÂ’ll be making 237 horsepower and 258 pound-feet of torque in this application, just as it does in every vehicle GM is spreading it to. The 3.6-liter V6 is standard on the Sport (optional on Premium Luxury), and continues to make 310 horsepower and 271 pound-feet of torque. Both engines are paired with nine-speed automatic transmissions now — the V6 was paired with an eight-speed previously. Cadillac has also spent some time with the suspension, giving the non-Sport trims “revised front struts and driveline enhancements to improve ride comfort and road isolation.” We like the sound of that. Then, the Sport trim is legitimately sportier than the Luxury trims. Cadillac has fitted its continuous damping control adaptive suspension, given it quicker steering, standard all-wheel drive and standard 20-inch wheels. All that should make it slightly more lively through the twisties. A smattering of tech updates are coming onboard for 2020. Cadillac added its rotary controller that lets you control the updated infotainment system via that device or through the touchscreen. Available wireless phone charging, revised USB ports and USB Type-C ports come on the 2020 XT5. Then youÂ’ll notice new interior color and trim gracing the interior surfaces, as well. Cadillac says there are more “authentic materials” than before, so hopefully that means less plastic. What Cadillac made no mention of in its release, is Super Cruise. ItÂ’s going to be coming to the recently revealed CT5 and CT4-V sedans, but Cadillac doesnÂ’t seem particularly keen to get it on the crossovers yet.
Want to beat LA traffic? Chargers QB Philip Rivers has found a way
Wed, Sep 6 2017Slogging through traffic in Southern California is about as pleasurable as being slowly eaten by bears or being the awkward third wheel on a bad first date. It feels like it's never going to end. After the team relocated to Los Angeles from San Diego, Chargers quarterback Philip Rivers decided that three hours wasted each day in a car was too much. As The San Diego Union-Tribune reports, Rivers' rolling office makes his days more productive than ever. After deciding that he wasn't going to relocate his family to Orange County, Rivers was stuck with the prospect of either spending considerably less time with his children or skipping out on much-needed film work at the team's training facility (not really an option given his profession). Instead, he began investigating a number of options to make his lengthened commute slightly more viable and productive. First, he considered carpooling with a teammate. That was still too much of a pain. He looked at flying a helicopter, but unless it could land close to both his home and the practice field, it too was useless. A quick online search eventually led to the rolling footage review room you see here. Becker Automotive Design in Oxnard, Calif., builds these rolling offices for a wide range of customers. It sells modified Mercedes-Benz Sprinters, Ford Transits, and, in Rivers' case, a Cadillac Escalade with a raised roof. His needs were simple: a television and an HDMI input so he can hook up his computer. No fancy armor or recumbent exercise bicycle. His goal was to review game footage on his commute rather than slowly waste away behind the wheel of a car. Photos show a sea of leather and wood and a mini fridge, so it's not totally without niceties. Column | Philip Rivers' new ride allows him to stay home https://t.co/btwCEgIsFq pic.twitter.com/DHud3ho5UF — The Union-Tribune (@sdut) September 5, 2017 The Union-Tribune lists the price of the Escalade at about $200,000. That's not including the driver's salary. In 2015, Rivers signed a four-year deal with the Chargers worth $84 million, so he's not hurting for cash. If it increases productivity and saves the headache of being behind the wheel in traffic, we can imagine more people with means (and not just quarterbacks) will be opting for such daily transport. Related Video:
