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It took only 11 months for Cadillac to reach sales of 200000 vehicles in 2018, making it another luxury brand with annual sales of 200000. Luxury car sales continued to grow in 2019, but Cadillac growth was sluggish, falling 20% in November from a year earlier, failing to reach 200000 vehicles in the first 11 months, and Cadillac was the only one of the top six luxury brands to decline.

Cadillac officially released the latest sales figures today, showing that sales in China fell 20 per cent year-on-year to 16800 in November, down 20 per cent from January to November to 194800, down 5.76 per cent from a year earlier. Cadillac sales have declined significantly, mainly due to the suspension of production of the main models, the failure to quickly increase the number of new models, and the intensity of terminal concessions need to be further liberalized.

In the second half of 2019, Cadillac mainly launched two new models, the medium and large SUV XT6 and the medium-sized sedan CT5. The XT6 went on sale in July with an official guiding price of 41.97-549700, with a choice of 6-seater and 7-seater versions, with a 2.0T variable cylinder turbocharged engine and a nine-speed automatic transmission. By the end of November, cumulative sales of the XT6 had reached 9361.

On November 18, the domestic CT5 went on sale at a price of 27.97-339700 yuan, equipped with a 2.0T variable cylinder turbocharged engine and a 10-speed automatic transmission. To some extent, the CT5 will replace the discontinued ATS-L and XTS in the market, so it will be the main volume model of the Cadillac brand in the future. According to sales figures, CT5 sold 2955 vehicles in November. Faster subsequent price cuts to boost sales have been Cadillac's sales strategy in the past, so consumers are now in a more wait-and-see mood.

For the rest of the models, CT6 sold 2798 vehicles in November, up 119.3% from a year earlier, and sold 19890 vehicles this year, up 39.2% from a year earlier. XT5 sold 6005 vehicles in November, up 49.9% from a year earlier. TX XT4 sold 43774 vehicles in the first 11 months.

At a time when Cadillac is upgrading its products, the layout of the product line is also gradually enriched, with layouts for cars and SUV models. In terms of new cars, CT4, a direct replacement for ATS, has been officially confirmed to be on the market next year, and the price will fall further.

ATS-L and XTS stopped production due to the implementation of the sixth national emission standard, and the Cadillac product line could not be quickly completed, resulting in fluctuations in sales during the product gap. In addition, the launch of new products takes time to promote discounts, so the premise of a quick increase is price reduction.

Wang Yongqing, general manager of SAIC GM, said in a recent interview that this year is the product adjustment year of SAIC GM. Many of the previous generation products have been switched and are in the product adjustment period from the fourth quarter of the second half to next year. As for the Cadillac brand, Wang Yongqing said, "I hope Cadillac will achieve double-digit growth next year, which is what I ask of the Cadillac minister."

Wang Yongqing also gave his own view on the sales strategy of "price for quantity". He said that when the car market is growing at a high speed, it is also useful for car companies to fight a "price war" in order to seize market share, but as consumers begin to return to rationality, brand concentration and loyalty are getting higher and higher, and customers' requirements for enterprises are getting higher and higher. in such a competitive environment, only a "price war" is out of place.

In the face of the continuous growth of Lexus sales, Cadillac is likely to lose the title of second-tier luxury champion at any time, so Cadillac is expected to adopt a price-for-volume sales strategy for some time to come.

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