Here’s a transcript of the video.
Irene Kim: Owning a Cadillac in America means good luck and achievement. The company dominated the market, outselling all luxury automakers in America for decades. Just 40 years ago, about one-third of all luxury cars sold in the United States were Cadillacs. NOW? Less than 7 percent of luxury cars purchased through Americans are Cadillacs, and the company is struggling to keep up with the competition whose sales it once outsold in sales. So what happened?
Cadillos angelesc was founded in 1902. It was created from what was left of the Henry Ford Company after Henry Ford left following disputes with his investors. Engineer Henry M. Lelos Angelsnd was hired to compare the company’s sales possibilities, but instead saw potential. Lelos angelesnd chose to reorganize the company as Cadillos angelesc Automobile Company, naming it after the French explorer Antoine de los angeles Mothe Cadillos angelesc, founder of Detroit, which was the American automobile center and the company’s headquarters. At first glos angelesnce, Cadillos angelesc’s cars gave the impression of being as close as possible to those produced by the Ford company. But they temporarily stood out and gained a reputation for being better made and more reliable. In 1909, the company was purchased by the developing conglomerate General Motors and officially designated its most prestigious division.
Over the next few decades, Cadillac set huge milestones in the auto industry, including the first passenger car with a fully enclosed cabin. Perhaps most impressive was the development of the first electronic self-starter. Up to that point, starting a car required the awkward and strenuous task of cranking up the engine. With some help from inventor Charles Kettering, Cadillac simplified it to just the push of a button. Breakthroughs like this inspired the company to adopt its iconic slogan: “Cadillac: Standard of the World.
Fast forward to 1927. Cadillac established the concept of the “luxury vehicle” with its LaSalle convertible coupe. Before LaSalle, vehicles were created strictly based on their technical needs. With this new vehicle, it was the first time a company hired a designer instead of an engineer for the job. Designed by vehicle stylist Harley Earl to be luxurious and eye-catching, the LaSalle has become a fashionable vehicle that once highlighted Cadillac’s main criteria in vehicle manufacturing.
Cadillac’s good luck and technical advancements continued through the 1930s, but then World War II broke out and the entire auto industry slowed down its production to produce tanks and aircraft engines.
But that didn’t stop the car brand. Cadillac brought models that explained the automobile industry and embodied the prosperity of the “fabulous 50s” and 60s. Although the company was known for its continuous technical advances, it was Cadillac’s iconic rear spoilers that are an essential component of all luxury cars. Not to mention the enormous dimensions of their cars and the Dagmar bumpers, nicknamed in honor of the voluptuous television star.
At the height of its popularity, Cadillac sold five times as much as rival Lincoln and until 1968 sold more than 200,000 cars a year.
But Cadillac was much more than America’s trendiest and best-selling premium car brand. Thanks to competitive marketing through General Motors, driving a Cadillac is a symbol of prestige in America, for everyone from celebrities to professional athletes to presidents.
Matt DeBord: It was the pinnacle of achievement in American society at that point. They also has these zany names like Fleetwood, Eldorado. They came up with these crazy names drawn from the most pretentious notions around European heraldic badges and stuff like that. And the whole idea was to sell people on the notion that they had really made it and they were gonna ascend to some kind of premium status in American society
Irene: In the early 1970s, Cadillac was still a dominant force in the luxury car market, while the concept that “bigger is better” was still alive among buyers. However, as the economy declined and a widespread oil crisis spread, owning giant, consumer sedans have become much less convenient and much more expensive. But more than anything, the rise of imported cars gave Cadillac some serious competition, and the logo began to lose ground as the quintessential U. S. popular.
Matt: When the Europeans showed up, the Germans in particular, with their snazzy little sport sedans, it was a revelation, and a lot of people who liked to drive gravitated toward those. And they were gonna go for Porsches, and BMWs, and Mercedes and that sort of thing. And they also started to think about European automobiles as just being better, and being superior.
And then came the Japanese with their small fuel-efficient machines that are quite reliable compared to American cars. And then other people started chasing them and saying, “Well, it’s a better car, it uses less fuel. “Why do I drive in this giant Cadillac?
Irene: Although the 1980s started out quite well for Cadillac, with sales continuing to increase, the company reacted poorly to this increase in imports. To compete with all the new foreign compact cars, the company began to reduce its entire range to create a team. of smaller, fuel-efficient cars. But its cars soon became indistinguishable not only from other General Motors brands, but from others as well.
And as the company hastily pushed out these smaller cars to try and match the influx of luxury imports, Cadillac encountered a number of failures, the prime example being the Cimarron, the smallest car Cadillac had ever produced to that point. It sold so poorly that it was axed from their lineup by 1988, just six years after its launch.
Matt: It’s a Chevrolet with a Cadillac badge. It looks like a Chevrolet. It’s just a terrible little car. If you were looking for a Chevrolet, that’s fine. But if you were looking for a Cadillac, you looked at it and said, “What’s that F?” So it’s just a shame. But this is an attempt by General Motors and Cadillac to maintain the brand in a more competitive environment where part of Cadillac’s price proposition had disappeared.
Irene: Consumers have identified the decline in quality of Cadillac cars, and this has been reflected in the company’s sales. Cadillac’s share of the U. S. luxury car market fell from 31 percent in 1980 to just 22 percent in 1990. As Cadillac fell, its competitor Lincoln reaped the benefits. Lincoln’s share percentage doubled over the decade to 20%. And in 1998, for the first time in 59 years, Lincoln sales surpassed Cadillac’s.
In the 1990s, Cadillac lost its appeal among the younger market. The usual joke is that all Cadillac owners were “between 60 and dead. “The U. S. luxury car market was now largely dominated by Mercedes, followed largely by Toyota’s new Lexus brand and by BMW, whose sales were developing rapidly. But in 1999, the arrival of what would be one of Cadillac’s most iconic cars would prevent a general collapse and help renew the brand.
The 1999 Cadillac Escalade’s answer to the rise of full-size SUVs and the good luck of Lincoln’s Navigator. Not only did the Escalade perform well in terms of sales, but it has also become a pop culture icon in its own right, making its way into videos. and music videos, and is also part of a popular selection among featured car buyers.
Things were starting to look up. Cadillac saw a bump in sales, a rise in popularity with the youth market thanks to the Escalade, and somehow survived General Motors’ 2009 bankruptcy that saw multiple brands dissolve.
Unfortunately, the 21st century has not been completely kind to the once glorious name of Cadillac. While Cadillac’s array of modern sport sedans and performance models has been well received by reviewers and the media, the numbers say otherwise. In 2018, the brand saw its US luxury car market share dip to a lowly 7%, selling only 154,702 cars that year, which put it behind even Acura. And its sales among American buyers only continue to plummet.
How can a company that continues to produce high-quality cars with high-level technology, such as its Super Cruise self-driving system, continue to decline its sales?Well, Cadillac has been slow to get on board with the crossover SUV craze, which now accounts for 60% of luxury car sales in the United States.
But despite its troubles in the United States, the company may have found its answers in the global market, especially in China.
Matt: The US market is at peak levels right now as far as sales. So there’s not a whole lot of additional room for growth. And you say, “Wait a minute. Where are we gonna see all the growth in the future?” And General Motors looks across the ocean and sees China, whose market is already much larger than the US market, in excess of 20 million in annual sales and could probably go to 30 million, or 40 million eventually. People don’t have a lot of cars in China. And General Motors is looking at this situation and saying, “People in China are going to get richer in the future, and they’re going to want to identify their status as a wealthy person with an automobile. Why shouldn’t that be a Cadillac?” So they’re just thinking, “Well, why don’t we put Cadillac in there?” Well, they put Cadillac in there 10 years ago, and it’s been extremely impressive.
Irene: Between 2016 and 2017, Cadillac’s sales in China soared by more than 50%, helping Cadillac record its second-largest global sales figure in the company’s 115-year history. The company already plans to expand its network of resellers to 500 in China by 2025.
Matt: We’re seeing an increase in Cadillac, we’re seeing a drop in Cadillac, and the drop could be anything that can’t be stopped in the market where the logo was created. I mean, it’s one of the original General Motors logos. But they may simply create a logo that means anything somewhere else in the world.
Following is a transcript of the video.
Irene Kim: Owning a Cadillac in America means good luck and achievement. The company dominated the market, outselling all luxury automakers in the United States for decades. Just 40 years ago, about a third of all luxury cars sold in the United States were Cadillacs. NOW? Less than 7 percent of luxury cars purchased through Americans are Cadillacs, and the company is struggling to keep up with competitors whose sales it once outsold. So what happened?
Cadillos Angelesc was founded in 1902. Se created from what was left of the Henry Ford Company after Henry Ford left following disputes with his investors. Engineer Henry M. Lelos Angelsnd was hired to compare the possibilities of selling the company, but instead he saw potential. Lelos angelesnd chose to reorganize the company as Cadillos angelesc Automobile Company, naming it after the French explorer Antoine de los Angeles Mothe Cadillos angelesc, founder of Detroit, which was the American automobile center and the company’s headquarters. At first, the cars gave the impression of being as much as possible the same as those produced by the Ford company. But they temporarily stood out and gained a reputation for being better made and more reliable. In 1909, the company was purchased through the developing conglomerate General Motors and officially designated as its most prestigious division.
In the decades that followed, Cadillac set major milestones in the automotive industry, adding the first passenger car with a fully enclosed interior. The progression of the first electronic start is most impressive. Until then, starting a car required the delicate and arduous task of starting the engine. With the help of inventor Charles Kettering, Cadillac made it simple at the touch of a button. Advancements like this have encouraged the company to adopt its iconic motto: “Cadillac: World Standard. “
Fast forward to 1927. Cadillac established the concept of the “luxury vehicle” with its LaSalle convertible coupe. Before LaSalle, vehicles were created strictly based on their technical needs. With this new vehicle, it was the first time a company hired a designer instead of an engineer for the job. Designed by vehicle stylist Harley Earl to be luxurious and eye-catching, the LaSalle has become a fashionable vehicle that once highlighted Cadillac’s main criteria in vehicle manufacturing.
Cadillac’s success and technical progress continued through the 1930s. But then World War II hit, and the entire car industry slowed production in order to produce tanks and aircraft engines.
But this did not stop the car brand. Cadillac brought models that explained the auto industry and embodied the prosperity of the “fabulous ’50s” and “’60s. “Although the company was known for its constant technical advancements, it’s Cadillac’s iconic rear spoilers that are a must-have component in all luxury cars. Not to mention the enormous dimensions of its cars and the Dagmar bumpers, nicknamed after the voluptuous TV star.
At the height of its popularity, Cadillac outsold its rival Lincoln and until 1968 managed to sell more than 200,000 cars per year.
But Cadillac was much more than America’s maximum trendy and best-selling premium automobile brand. Thanks to competitive marketing through General Motors, driving a Cadillac has a prestige symbol in America, for everyone from celebrities to pro athletes to presidents.
Matt DeBord: It was the pinnacle of good fortune in American society at the time. They also have extravagant names like Fleetwood, Eldorado. They invented those extravagant names taken from the most pretentious notions about European heraldic insignia and things like that. And the concept was to let other people know that they had actually succeeded and that they were going to achieve some kind of privileged prestige in American society.
Irene: In the early 1970s, Cadillac was still a dominant force in the luxury car market, as the concept that “bigger is better” still held sway among buyers. However, as the economy has declined and a widespread oil crisis has spread, owning giant, gas-guzzling sedans has become much less practical and much more expensive. But more than anything, the rise of imported cars gave Cadillac serious competition, and the logo began to lose ground as quintessentially popular in America.
Matt: When the Europeans came along, the Germans in particular, with their fancy little sports sedans, it was a revelation, and a lot of other people who liked to drive turned to them. And they went through Porsche, BMW, Mercedes and that kind of thing. And they also began to see European cars as simply bigger and superior.
And then the Japanese arrived with their little fuel-sipping machines that are really quite reliable relative to American cars. And so people started looking at these and saying, “Well it’s a better car, it gets better fuel economy. Why am I driving around in this giant Cadillac?
Irene: Although the 1980s started off quite well for Cadillac, and sales continued to rise, the company responded poorly to this increase in imports. To compete with all the new foreign compact cars, the company began to reduce its entire range to create a group of smaller, fuel-efficient cars. But its cars have become temporarily indistinguishable not only from other General Motors brands, but also from others.
And as the company rushed to market these small vehicles in an attempt to meet the influx of luxury imports, Cadillac encountered several failures, the most successful example being the Cimarron, the smallest car Cadillac had yet produced. It sold so poorly that it got rid of diversity in 1988, just six years after its release.
Matt: It’s a Chevrolet with a Cadillac badge. It looks like a Chevrolet. It’s just a terrible little car. If you’re looking for a Chevrolet, that’s fine. But if you were looking for a Cadillac, you would look at it and say, “What is that F, basically? So it’s just a shame. But it’s an attempt through General Motors and Cadillac to keep the logo in a much more competitive environment where part of Cadillac’s pricing proposal was gone.
Irene: Consumers have identified the declining quality of Cadillac cars, and this has been reflected in the company’s sales. Cadillac’s share of the U. S. luxury car market fell from 31 percent in 1980 to just 22 percent in 1990. As Cadillac fell, its competitor Lincoln reaped the benefits. Lincoln’s percentage doubled over the decade to 20%. And in 1998, for the first time in 59 years, Lincoln’s sales surpassed Cadillac’s.
By the 1990s, Cadillac lost any appeal it had with the younger market. The running joke became that all Cadillac owners were “somewhere between 60 and death.” America’s luxury car market was now heavily dominated by Mercedes, with Toyota’s newly introduced Lexus brand close behind, followed by BMW, whose sales were quickly rising. But in 1999, the introduction of what would become one of Cadillac’s most iconic vehicles would prevent a total collapse and help revamp the brand.
The 1999 Cadillac Escalade’s reaction to the rise of full-size SUVs and the good luck of Lincoln’s Navigator. Not only did the Escalade perform well in sales, but it has also become a pop culture icon in its own right, appearing in videos and music videos, and also fitting into a popular selection among celebrity car buyers.
Things were starting to look up. Cadillac saw a bump in sales, a rise in popularity with the youth market thanks to the Escalade, and somehow survived General Motors’ 2009 bankruptcy that saw multiple brands dissolve.
Unfortunately, the 21st century has not been entirely compatible with Cadillac’s once glorious brand. Although Cadillac’s line of fashionable sports sedans and functional models has been well received by critics and the media, the numbers say otherwise. In 2018, The brand saw its share of the luxury car market in the US drop to 7%, selling just 154,702 cars that year, including Acura. And its sales to American buyers are only falling.
But why? How does a company that continues to churn out high-quality cars with top-level technology, like its self-driving Super Cruise system, continue to dip in sales? Well, Cadillac took a long time to join the crossover SUV craze — something that now makes up 60% of luxury car sales in the US.
But despite its problems in the US, the company may have found its answers in the global market — particularly in China.
Matt: The U. S. market has been at record levels lately in terms of sales. So there’s not much room for further expansion. And you say, “Wait a minute. Where will we see all the expansion in the future?And General Motors looks across the ocean and sees China, whose market is already much larger than the United States, with annual sales of more than 20 million and could probably reach 30 or 40 million in the long term. And General Motors is pursuing this scenario and saying, “People in China will get richer in the future and will need to identify their prestige as a rich user with a car. “Why shouldn’t this be a problem?” Cadillac?” So they just say, “Well, why not put a Cadillac in there? “Well, they put a Cadillac in there 10 years ago and it was incredibly impressive.
Irene: Between 2016 and 2017, Cadillac’s sales in China soared by more than 50%, allowing Cadillac to record its second-highest global sales figure in the company’s 115-year history. The company is already making plans to expand its network of brokers to 500 in China by 2025.
Matt: We’re watching Cadillac rise, we’re watching Cadillac fall, and the fall could be anything that can’t be stopped in the market where the logo was created. I mean, it’s one of the original General Motors logos. But they might just create a logo that means anything somewhere else in the world.
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