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General Motors shaking up its marketing... again

One of the things that dogs the full comeback of General Motors is the instability of its marketing. That part of the automaker got yet another big shakeup today when GM confirmed what I have been tweeting for a few days - strong rumors that the Chevrolet and Cadillac ad accounts are walking to new ad agencies.
Cadillac, GM's luxury brand, is going into review from Fallon Worldwide, Minneapolis and the indications are that Campbell-Ewald, Chevy's old ad shop, will end up with most or all of it. C-E just announced that it was moving from its long-time home in Warren, MI to a new downtown Detroit office next to Ford Field, just blocks from GM.
The other shoe to drop shortly will be the shift of GM's most important brand, Chevy, from Goodby, Silverstein & Partners of San Francisco to McCann-Erickson of Troy, MI. McCann used to be the agency for Buick and GMC, as well as GM's corporate advertising, and has retained some pieces of business over the last few years. Sources have even told us that it was McCann that did a lot of the creative work on Chevy's new ad platform, Find New Roads. (Not to be confused with a former McCann tagline for Saab, "Find Your Own Road.")

5 reasons why GM is cutting jobs, closing plants in a healthy economy

DETROIT — Even though unemployment is low, the economy is growing and U.S. auto sales are near historic highs, General Motors is cutting thousands of jobs in a major restructuring aimed at generating cash to spend on innovation. It's the new reality for automakers that are faced with the present cost of designing gas-powered cars and trucks that appeal to buyers now while at the same time preparing for a future world of electric and autonomous vehicles. GM announced Monday that it will cut as many as 14,000 workers in North America and put five plants up for possible closure as it abandons many of its car models and restructures to focus more on autonomous and electric vehicles. The reductions could amount to as much as 8 percent of GM's global workforce of 180,000 employees. The cuts mark GM's first major downsizing since shedding thousands of jobs in the Great Recession. The company also said it will stop operating two additional factories outside North America by the end of next year. The move to make GM get leaner before the next downturn likely will be followed by Ford Motor Co., which also has struggled to keep one foot in the present and another in an ambiguous future of new mobility. Ford has been slower to react, but says it will lay off an unspecified number of white-collar workers as it exits much of the car market in favor of trucks and SUVs, some of them powered by batteries. Here's a rundown of the reasons behind the cuts: Coding, not combustion CEO Mary Barra said as cars and trucks become more complex, GM will need more computer coders but fewer engineers who work on internal combustion engines. "The vehicle has become much more software-oriented" with millions of lines of code, she said. "We still need many technical resources in the company." Shedding sedans The restructuring also reflects changing North American auto markets as manufacturers continue to shift away from cars toward SUVs and trucks. In October, almost 65 percent of new vehicles sold in the U.S. were trucks or SUVs. That figure was about 50 percent cars just five years ago. GM is shedding cars largely because it doesn't make money on them, Citi analyst Itay Michaeli wrote in a note to investors. "We estimate sedans operate at a significant loss, hence the need for classic restructuring," he wrote. The reduction includes about 8,000 white-collar employees, or 15 percent of GM's North American white-collar workforce. Some will take buyouts while others will be laid off.

GMC Hummer EV recalled over improperly sealed battery pack

Over 700 units of the GMC Hummer EV built during the 2022 and 2023 model years will be recalled due to an improperly sealed battery pack that lets water in. The firm issued a stop-delivery order at the same time as the recall, and it hasn't found how to fix the problem yet. Assigned recall number 22V-771 by the National Highway Traffic Safety Administration (NHTSA), the campaign includes 735 examples of the Hummer EV and 89 units of the BrightDrop Zevo 600 van. These two vehicles are pegged on opposite ends of the automotive spectrum, but they're affected by the same problem: "the high-voltage battery pack enclosure in some of these vehicles may not have been properly sealed," GMC notes, adding that "flanges on the battery pack enclosure may not have been properly primed or electrocoated." Water can wreak havoc in a high-voltage battery pack. GMC told NHTSA that it has found three EVs with this problem: an internal test vehicle that lost power while driving and two customer-owned vehicles that wouldn't start. As of writing, the firm is not aware of any accidents, injuries, or fires related to the issue, and GMC estimates that only about 1% of the recalled EVs are affected. GMC began notifying dealers of the recall in October 2022, and it plans to start reaching out to owners on November 28, 2022. However, a fix hasn't been found yet. In the meantime, the company issued a stop-delivery order and asked dealers not to attempt their own repairs. This isn't the Hummer EV's first run-in with water-related problems. In August 2022, General Motors voluntarily recalled 424 units of the Hummer EV and the Zevo 600 van due to a high-voltage connector that can prematurely corrode. The problem also let water leak into the battery pack, though it sounds like fixing it was reasonably straight-forward and involved applying sealant to the connector. Related video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Featured Gallery 2022 GMC Hummer EV Edition 1 First Drive View 17 Photos Green GMC Hummer Truck Electric