Factory Warranty Rear Parking Aid Bluetooth All Power Off Lease Only on 2040-cars

Auto blog

Despite strong profits, GM still fighting flat market share

Looking at the progress General Motors has made since it entered bankruptcy, it's easy to forget that the company still has a long way to go before it's the juggernaut it once was. A recent report from Reuters points out that, while GM is making money, it isn't making any gains in terms of US market share. Quite the opposite, really. Consider this factoid: In 1963, nearly half of the cars sold in the United States were from Chevrolet, Cadillac, Buick, GMC or Pontiac. Now, the company's US market share is stagnant at 17.9 percent. That same number is half of just Chevy's 1963 market share. This is all despite GM going on a binge replacing or updating its models. "Market share increases are not instantaneous," Mark Reuss told Reuters at the 2014 Detroit Auto Show. "We've got a lot of baggage. Don't underestimate what people though of us, or these brands, through these hardships and 30 years." The reasons for the stagnant market share are numerous. Reuters points out that retooling of factories and a focus on limiting incentives are both good things for profit, but not necessarily for market share. There's also the troubling turnover of the brand's marketing department. These issues don't change the fact that Chevrolet has lost 1.4 percent of its market share in two years, and that Cadillac - arguably GM's most improved brand overall - has lost 1.2 percent in the same period. Part of that can be blamed on GM's avoidance of fleet sales in favor of more profitable customer sales. "Our focus has really been on retail and that's where we've got the growth," said Alan Batey, GM's interim global marketing boss. "We want to grow GM and that means growing market share and profits, but it's not at all costs," Reuss said. News Source: ReutersImage Credit: paul bica - Flickr CC 2.0 Earnings/Financials Buick Cadillac GM GMC sales profits

Opel readying Adam model with SUV cues

The Opel Adam, the microcar of General Motors' European subsidiary, has seen its sales cool significantly since it first hit the market in the United Kingdom and Europe, but a push is reportedly under way that just might be enough to get the stylish, little car moving again.
Using the Opel Adam Rocks Concept as a template, Opel will ruggedize the Adam, so that it might compete with the growing herd of city cars that sport SUV styling, like the Volkswagen Cross Up and Fiat Panda 4x4, according to a report from Automotive News Europe. Sporting a bumped-up ride height and tougher body work, it's a dedicated soft-roader, but will freshen the Adam's lineup and, hopefully, broaden its customer appeal.
The Adam Rocks, according to IHS Automotive analyst Ian Fletcher, should also make some more coin for GM's struggling European arm. "Automakers are happy to meet demand for SUV and crossovers as the customer pays a premium," Fletcher told ANE. And although the Rocks might have been planned from the start as a production vehicle, the timing, with the Adam's sales slowdown, doesn't seem like a coincidence.

J.D. Power: Mini, Lexus again offer most satisfying sales experience

JD Power has released its annual Sales Satisfaction Index Study, and once again Mini and Lexus have taken top honors. Overall, buyers are more satisfied with the auto-buying sales experience than they were last year, with those surveyed reporting an average score of 664 points on a 1,000-point scale. That's up from 648 in 2011. Dealer satisfaction also increased by five points over last year as well.
All told, Lexus brought home an index score of 737, which was high enough to put it atop the luxury brands for the second year in a row. JD Power says Infiniti came in second in that category with a score of 728 and Cadillac rounded out the podium with it's rating of 725. Speaking of Infiniti, that brand saw the single largest jump in sales satisfaction of any brand on the survey, popping up 52 index points over 2011.
Among mass-market brands, Mini ranked highest with a score of 712, followed closely by Buick with 706 and GMC farther down the line with 683. You can check out the full press release below for more information.