American brands are heading for Europe, and iconic badges such as Hummer, Cadillac, Chrysler and Dodge now gleam from the forecourts of official dealers.
The Yanks have always been here, of course, but General Motors and Ford have tended to produce quite different, locally built, product lines for America and Europe. In fact, most British buyers think Ford and Vauxhall are British, while many Germans believe Opel to be a native manufacturer.
The difference now is that the Big Three manufacturers are embattled in their own market and need to expand production by becoming truly global brands. Although the Europeans will never warm to the hugest Yanks, and the American butts are not yet ready to squeeze into diminutive European city cars, it makes sense to sell suitable products in as many markets as possible.
DaimlerChrysler led this latest charge, starting with the PT Cruiser, a smash hit in both markets. The 300C is another hit, and like the Cruiser, it has won British hearts with its self-conscious retro American styling, calling up iconic images of American Graffiti, jukeboxes and poodle skirts.
Chrysler’s European venture in the 1970s was not so successful. Back then, the European arm of Chrysler was a tangle of failing brands, including the remains of the Rootes Group, Simca and Matra. It sold mainly French cars such as the Chrysler-Matra Rancho and a string of ugly, non-descript tin cans including the Horizon and Alpine. An attempt to take the Hillman Avenger back to America as the Plymouth Cricket was abandoned after two years. Assistance from the British government couldn’t keep Chrysler UK afloat, and it was bought by Peugeot in 1978 – for $1.
Better products have banished these negative images and given Chrysler a firm foothold in Europe, and in the case of the PT and Cruiser, their iconic American styling has actually been an advantage. (So far, the Crossfire and Sebring have not captured so many hearts.) The company has had to make adjustments to suspension and specifications, however, and to offer diesel engines, out-lawed by fierce emissions regulations in the US.
Now Chrysler’s stablemate Dodge is also coming to the US, although it’s the little Caliber, not the huge Ram truck leading the way.
Of course, the Dodge Viper was sold in the UK, but it was given a convenient Chrysler badge. DaimlerChrysler’s current US Chief Operating Officer Eric Ridenour is not happy about that. He says: “We’re never going to do that again. The brand establishes what the car is and who the custo mers are. You can’t then change it.”
He believes the 300C typifies the Chrysler brand. He says: “It’s about refinement, luxury, and detail with superb ride and handling. It’s a premium experience, although it’s not a luxury car. Dodge is bolder in statement; it’s more expressive and quintessentially American.”
Currently the two brands share dealerships, although each area has its own branding. Once they grow large enough, Ridenour wants to see them sold in separate showrooms.
To achieve this success, however, the American giant needs to listen to its dealers to find out what their customers really want. At the unveiling of the Dodge Caliber, an American spokesman revealed what he thought was the car’s neatest feature: speakers that fold down from the tailgate to broadcast music for the ‘perfect tailgate party’. He was met by a sea of blank looks: over here people go to the pub before a match, they don’t stand in a car park grilling burgers.
GM is, of course, represented by Vauxhall and Opel, and recently it has added the premium experience offered by Saab. Now it has sent three giants to the UK: Corvette and Cadillac returned last year after a break of three years, while the star of many CNN reports, the Hummer brand arrives in Europe from January 1, 2007.
The Hummer is like Marmite, people love it or hate it, so it will depend on which camp readers favour whether the next statement is a disappointment or a relief. So far, only the ‘baby’ Hummer H3 goes will be offered on this side of the pond. In the US it appeals to city dwellers who want a car that will fit in their local ‘parking structure’ and a special ‘urban’ version, the H3x offers extra bling to those who can’t afford an Escalade.
The right-hand-drive H3 arrives in the UK in the second half of 2007 and is likely to win the hearts of ultimate off-road enthusiasts, or on-road drivers who want to make a fashion statement.
Six were snapped up at its first appearance in the UK, at the British Motor Show, but it is unlikely to sell in significant numbers before the diesel arrives in 2008. Even then, sales are likely to be in the hundreds rather than the thousands.
The publicity machine’s first job will be to show the H3 beside other 4x4s already accepted on UK roads to show that it’s not the enormous monster people assume it to be.
The Corvette is not expected or intended to be a volume seller. A few hundred will trickle into the UK over the next few years, but at the moment to Z06 has a year’s waiting list.
GM’s most important vital and risky new import is a full range of Cadillacs, heading over by 2009. This will enable GM to offer a hierarchy of vehicles in the UK starting Chevrolet (a curious mix of rebadged Korean Daewoos and the stonking Yankee Corvette) moving up through Vauxhall and Saab to Cadillac. If the strategy works - it will also help establish Cadillac as a global player.
The UK is seen as the most important market in Europe for this plan, not only because of its size (second largest in Europe) but because British buyers tend to be more open to new brands, whereas the French and Germans stick to their domestic products. (Which, it could be argued, may be why Britain no longer has any domestic manufacturers.)
The Cadillac name is familiar to the British, but the cars now being offered are quite unlike the image of 1950s’ befinned land yachts imagined by Baby Boomers or the chrome-laden Escalade loved by the hip hop generations. They are also a leap forward from the wallowy Cadillac Seville offered to and ignored by the buying public from 1998 to 2002.
Cadillac products have undergone a design renaissance since design guru Bob Lutz kicked away layers of bureaucracy and focus groups that had resulted in safe by dull porridge machines for decades. The new range is modern, sharp and head-turning, and over the past five years it has become America’s fastest-growing luxury brand, ahead of BMW, Mercedes, Audi and Lexus. A UK spokesman commented: “These are cars I don’t have to apologise for.”
The first to arrive was the CTS, which landed in 2005, followed a year later by the 3-series pretender, the Europe-only BLS (standing for B-class Luxury Sedan, and not the suggestion put forward by pun-crazy motoring journalists). Next year the STS 5-series rival and what will probably be the star of the line-up, the handsome and family-friendly SRX SUV complete the line-up.
Cadillac executives faced some serious problems when coming up with these invasion plans, however. First, right-hand-drive versions of the SRX and STS would not be available until 2007. Second and more important it would be 2009 before diesel engines were developed for these American vehicles.
The Europe-only BLS has been criticised as a piece of cynical badge engineering because it is heavily based on the Saab 9-3 – but against this background, it has a vital job to do.
Because it would use the existing Epsilon platform which underpins the Saab 9-3 and Vauxhall Signum, a right-hand-drive diesel model could be produced within a mere two years, and go on sale in the UK in 2005. It could then be sent out as a messenger to get the Cadillac name into the market, ready for the arrival of the big boys.
It’s also a decent car. Some tweaks are promised for 2007 to sharpen up its rather numb steering, and its ride can be choppy, but the BLS is sportier to drive than a 9-3, and its styling will appeal to a more outgoing customer.
It starts at below 20,000 pounds for a fairly stripped down model, but the luxury trim offers all the goodies a driver could ask for including leather seats, reverse-park sensors and optional sat-nav. Engines choices so far are 2.0 or 2.8-litre petrol or 1.9-litre diesel.
Budget restrictions haven’t allowed for a large TV campaign, but the baby Caddy and its Yankee brother the CTS have been seen at the British Motor Show, county fairs, supermarkets and motorway service stations. Corporate sales will be sought next year with the help of GM’s established fleet business.
For individuals, a premium buying and servicing experience is promised, with a pick-up and drop service on offer while dealerships remain few and far between.
This is down to the official importer of Cadillac, Corvette and Hummer to Europe, the Dutch-run Kroymans group. For the UK, Kroymans has a contract with the Pendragon Group, which now offers Cadillac sales through 10 dedicated showrooms within its premium Stratstone arm. Stratstone dealerships offer Aston Martin and Ferrari among other snooty makes, so its personnel are well trained in pampering their clients. Another eight dealers will be added next year.
Firm sales projections are being kept under wraps, but are described as ‘modest and realistic’ before the diesels arrive. Figures released by GM show that Cadillac sold 2645 units in Europe in the January to September period 2005. (Corvette sold 1,046 and Hummer 1,230 over the same period,) A spokesman reckoned, however, that once the entire range was available with right-hand drive and diesel engines in 2009, there was the potential to sell 2-3000 Cadillacs per year in the UK. Another unofficial estimate puts the figure at 20,000 Cadillacs and Corvettes sold throughout Europe per year by 2010.
So far Ford is the only one of the Three bucking the trend of bringing Yanks to the UK. It tried selling the huge Explorer 4x4 over here, but found it ‘didn’t suit the market’ and gave up in 2002. A number of Ford GTs also found lucky owners in the UK. The Ford Focus is sold successfully on both sides of the Atlantic, but the models are slightly different and are built locally. There are rumours that a new smaller American vehicles could use the architecture of the S-Max MPV, however a spokesman told us there were no current plans for further transplants.
We’ll watch this space to see if the revamped Lincoln luxury brand follows Cadillac to Blighty. But no one’s holding their breath.
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