Cadillac Readying Entry-Level Model
The Mercedes-Benz CLA and Audi A3 are spurring other automakers to react.
Though the CLA-Class saw a slight price bump for the 2015 model year to push it over $30,000, the entry-level model from the German automaker along with the Audi A3 have spawned a new segment in the luxury market. Cadillac CEO Johan de Nysschen has acknowledged those entry-level models and the impact they had on ATS sales, which dropped 22 percent last year to 29,890 units sold. In comparison, the CLA sold 27,365 units in its first full year while the Audi A3 delivered 22,250 in about eight months.
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The American automaker’s CEO said that developing an entry-level sedan is a “big priority” for Cadillac but unlike the front-wheel drive competitors, the new model will be built on the same rear-wheel drive platform that underpins the ATS. Currently the ATS is priced at $34,985 including destination compared to the CLA, which starts at $31,750 and the A3, which is $31,690.
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[Source: Automotive News]
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Jason Siu began his career in automotive journalism in 2003 with Modified Magazine, a property previously held by VerticalScope. As the West Coast Editor, he played a pivotal role while also extending his expertise to Modified Luxury & Exotics and Modified Mustangs. Beyond his editorial work, Jason authored two notable Cartech books. His tenure at AutoGuide.com saw him immersed in the daily news cycle, yet his passion for hands-on evaluation led him to focus on testing and product reviews, offering well-rounded recommendations to AutoGuide readers. Currently, as the Content Director for VerticalScope, Jason spearheads the content strategy for an array of online publications, a role that has him at the helm of ensuring quality and consistency across the board.
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since it's going to be on the ATS platform, how about de-contenting the current ATS to the same pricepoint? Or offering more at the 34K price. The ATS base radio and no fold down rear seats are a deal killer for most folks I try to sell the base models to. The radio looks like something out of a 1978 Malibu, like they're trying to embarass you into spending another grand for the CUE system. Keep the price the same and add CUE as standard, with fold down rear seats and you have a winner. oh, and dump the 2.5 litre.....
The world is anxiously awaiting a lower priced Cadillac. How small are they going to go. The ATS is plenty small now and compares in size to the others.