Should GM kill Buick in North America?

roadmaster

Don’t get me wrong, I love the tradition of Buick represented by the Roadmaster here — and in fact I’m in the small group of American drivers under 40 who’s owned a Buick. But the brand has been trending old for years and years, and it won’t do for GM to watch the Buick customer base die of old age.

Sure, they’re trying to change that.1 And the brand has been going gangbusters in China.

But is that enough? Given GM’s troubles overall, shouldn’t Buick head straight to the chopping block?

Care to convince me otherwise?

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Photo by dave_7.
  1. Hat tip: Guy Kawasaki.
Category: Manufacturing & Heavy Industry, Transportation

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3 Comments so far

Casey Jordan July 16th, 2009 6:55 pm

Buick has a place at GM; however, it should not have been allowed to continued to be dualed with GMC at dealerships. Buick could be a unique niche brand that was above Chevrolet. If the brand was dualed with Chevrolet, it would not have to pull the weight that is going to be necessary when paired with GMC.

The non-commercial truck market is contracting rapidly. GMC was marketed as a more upscale truck (Denali series) compared to its identical Chevrolet product. In comparison, Ford uses special editions (Eddie Bauer, King Ranch, Platinum, Cabela’s) to capture those truck buyers seeking a higher end version of their basic truck. GM could have done the same without having to support a separate distribution channel. Chevrolet-branded trucks handily outsell the GMC versions, so Chevrolet is not going to cede the truck business to GMC. I’m not sure what the rationale behind keeping GMC was, other then that it was dualed with Buick at dealerships and neither brand can survive alone as a single distribution channel.

Provided GM kept the Chevrolet and Buick price points fairly separate and the models distinctive to each brand, I believe Buick has a place in North America. In fact, it would thrive. The Enclave and new LaCrosse are strong and unique models within GM. Developing an entire range of Buick vehicles, like we once had, would put GM back on the same track of cannibalizing sales between divisions.

With Cadillac going bold, as it should, a nice well appointed stylish sedan and crossover makes sense in GM’s portfolio. Perhaps there is even room for a stylish mid-sized coupe. Leveraging premium products developed for China or other markets would control costs.

I think there’s a place for Buick, but there needs to be a different strategy from what we’re seeing today.

Tim Walker July 17th, 2009 5:23 am

Great comment, Casey — thanks for the informed insight.

You raise another question that might have been better for my initial post: should GM kill GMC? I already thought the answer was yes, and after reading your answer I’m even more convinced.

All of which leads me to the really big question: is GM making the hard, hard decisions it should be about its brand portfolio?

Enclave Fan September 7th, 2009 9:04 pm

No way should GM get ride of Buick.. Its a great brand of the 3 crossovers they that have out that all have the same body the Buick Enclave is the nicest of the bunch. I can see getting rid of Pontiac and Hummer. But Buick? Change your marketing..I know that Tiger Woods promoting the Enclave got me interested in it… Of course I only saw the ad once.. Guess how many times I’ve seen a Toyota or a Scion ad?

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