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Cadillac chief marketer admits ELR is 'a big disappointment'

During the Cadillac XT5 global launch in Dubai, Automobile interviewed Cadillac Chief Marketing Officer Uwe Ellinghaus and got the CMO to touch on just about every major issue affecting the brand and the industry. After two years on the job, having come from 15 years at BMW, Ellinghaus naturally started with the "passionate Cadillac customers" and "iconic brand" spiel, then they got into a top-down look at where America's preeminent luxury brand stands. Ellinghaus said Cadillac is in a period of transition, lately focused on smaller and more performance-oriented vehicles, which has alienated a chunk of veteran customers and left others trying to figure out what Cadillac is about. He believes that "for a few more years, the products will probably be stronger than the brand," while he does his work of conveying what the company has to offer. But the brand had to make the switch, because "Generation X and Y will make 80 percent of all actual buyers in the next five years..." On top of that, he'll be working on making sure the customer and dealership experiences are where they need to be. Speaking of dealers, Ellinghaus thinks the future will not be brick-and-mortar shops, but digital pickup-and-delivery services. "Nobody wants to go to a dealership for service and maintenance," he says. He said the ELR has been "a big disappointment," but it has taught Cadillac that converting its existing line-up to plug-in hybrids is a better way forward. However, he characterized the plug-in hybrid as "the next all-wheel drive," in that everyone's going to offer it soon, so it will be "an entry ticket into luxury automobiles rather than a differentiating aspect." The CMO thinks the CTS is suffering because of the decline in the US midsize luxury sedan market in general thanks to the SUV and crossover craze, so the brand really needs another small SUV. Head over to Automobile for more of Ellinghaus' intriguing answers, like "I do believe that very long-term hydrogen is really the way," and "it's time to get real" in Europe. Taking a dig at Volkswagen on that last matter, he also said, "I think the absence of the diesel is not as much of an issue as it was eight weeks ago." Related Video:

Cadillac president reveals XTS sedan refresh, flagship vehicle plans

Update: The second paragraphed has been changed from the original text to make it clear that de Nysschen, not Autoblog , claimed the report by The Detroit Bureau is inaccurate. Cadillac has been on a tear ever since the automaker poached Johan de Nysschen from Infiniti, becoming a more profitable automaker while delving deeper into the luxury market. While some reports indicate that Cadillac may be limiting its lineup, de Nysschen just put everything out in the open. In the comment section of an article by The Detroit Bureau that claimed Cadillac would cut its lineup down, de Nysschen stated the report was inaccurate and outlined the automaker's future. The Cadillac CEO wrote "Some of what you report is correct, some incorrect, most is conjecture." A Cadillac spokesperson confirmed that de Nysschen did write the comment, but did not comment on any of the details. The Detroit Bureau's Paul Eisenstein told Autoblog that he stands behind the information in the report. In any case the most interesting tidbit in de Nysschen's comment is the major refresh for the Cadillac XTS. The news directly contradicts previous reports that indicated the XTS would be killed off by 2019. In Cadillac's pursuit to add some space between it and GM, the XTS was expected to get the axe in favor of more profitable vehicles. The sedan, which was introduced in 2012, shares its underpinnings with the latest generation of the Chevrolet Impala. To the contrary, Nysschen stated that "We ARE planning a major refresh for XTS." What the major refresh will bring the aging sedan is still a mystery, but the vehicle isn't dying. The move to keep the XTS in its lineup is a bit of a surprise as Cadillac has filled its lineup with track-oriented sports cars, rear-wheel-drive sedans, and extravagant crossovers. The boat-like XTS with its front-wheel-drive layout and available all-wheel-drive system sticks out like a sore thumb, even if it were to receive a major overhaul. The only real explanation is that Cadillac hopes the vehicle will still appeal to its old-school customers that are unwilling to compromise interior space and ride quality. In our most recent review of the XTS, we thought the luxurious sedan was a great long-distance cruiser, but not a talented sports car – no surprises there. It's unlikely that Cadillac will focus on driving pleasure with the refreshed XTS, focusing instead on pure comfort and luxury.

Cadillac planning its own engines, halo cars

Cadillac is in the midst of some big changes. It's got a new chief executive. It's taking some distance from parent company General Motors and moving to a new headquarters in New York. And it's instituting a new naming scheme that will allow not only for a more clear progression in its lineup, but also for more models. But that's not the end of the story. Not by a long shot.
Speaking with Automobile magazine, Cadillac's new president Johan de Nysschen revealed his intention to develop several new models and powertrains. For starters, he does not want Cadillac to continue borrowing engines from the GM parts bin, but intends to develop a new range of engines specifically for the luxury automaker. The program will likely start with smaller-capacity engines but eventually lead to new V8s as well, taking the place of the long-serving Northstar engine that finally ended its lifespan a few years ago after some two decades of production. Along with other technologies, de Nysschen envisions possibly sharing these powertrains with other GM divisions, but developing them first and foremost for Cadillac.
The bigger question, however, is where those engines would go, and de Nysschen had some thoughts to share on that front as well. For starters, the former Infiniti and Audi exec sees room for an even bigger sedan above the upcoming new CT6 that will cap the current range. Maybe even two of them. But that's not all. Johan wants to see Cadillac get (back) into the sports car game with a new halo model or two - something it hasn't really done since the Corvette-based XLR roadster. A pair of new crossovers are also said to be in the works, flanking the SRX on both sides with smaller and larger models.