Automotive News Canada - February 2017 - 13

* FEBRUARY 2017

Cadillac will add models to meet luxury surge in Canada
Brand looks
to expand in all
segments 'outside
of what we're in'
By STEVE MERTL
VA N C O U V E R

CORRESPONDENT

DETROIT, Mich. - MAHMOUD
Samara, Cadillac Canada managing director, was smiling
a lot at the January's North
American International Auto
Show here.
General Motors' premium brand reported a global
spike in sales for 2016 of more
than 11 per cent to 308,692. In
Canada, sales rose 2.1 per cent.
Utility vehicles are driving Cadillac's performance,
with 2016 XT5 and SRX sales
up a combined 57 per cent
over 2015, and the Escalade
full-size SUV sales up 229 per
cent, the company says.
"A lot of the customers have
opted towards that option,
namely SUVs and crossovers,"
Samara said in an interview at
the Detroit show.
Cadillac management
has seen solid sales in all its
major Canadian markets, even
Calgary, which despite a weakened oil and gas sector posted record sales, Samara said.
Overall, the western region
saw sales grow by 70 per cent,
he said.

utility vehicles, Samara said.
Cadillac targets customers of
the German luxury makes,
which means that people
interested in the BMW X1 and
X3, the Mercedes-Benz GLA
and the Audi Q3 are ripe for
conversion.

URBAN/CITY GROWTH
"A lot of customers attracted to those vehicles are the
urban city customers, which
is where the growth is coming
from," Samara said.
Utility vehicles are expected to dominate the market for
some years as millennials -

generally, people born between
1982 and 2001 - embrace
activity-oriented lifestyles, he
said.
"I think the winning recipe is the manufacturer that
is going to design SUVs and
crossovers that drive like
sedans . . . because you want
the space but you don't want
to compromise on the driving
experience and agility."
Samara said Book by
Cadillac, a subscription service launched in New York
that allows customers to drive
different models, will eventually expand into Canada. - ANC

Cadillac sales are on the move - the SRX and XT5, pictured,
were up a combined 57 per cent in 2016 - but product will be
added to capitalize on the number of millennials entering the
luxury market. ( P H O T O : C A D I L L A C )

MASTER OF ICE, SLEET AND SNOW

EXPENSIVE TASTES
Canadians have developed
a taste for luxury, Samara
said. Forty-two per cent of all
luxury buyers are entering
the market for the first time,
almost double the rate of the
U.S. market.
"Canada has more going
into luxury than any country
in the world," he said.
Cadillac unveiled no new
models at the Detroit show,
but the company has an ambitious US $12-billion global
product plan, with new models
arriving as early as 2018.
"Today Cadillac is expanding in four segments," he said.
"Before the end of the decade
we will be expanding in eight
segments. We are looking at all
the segments outside of what
we're in."
Cadillac will prioritize
those with the best potential
for growth, such as compact

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IMMEDIATE SNOW AND ICE TRACTION - Zig zag circumferential grooves improve lateral
stability and help prevent sliding while cornering.
WINTER PERFORMANCE ON WIDER TEMPERATURE RANGE - Silica end-locked compound
delivers performance across winter temperatures while promoting low rolling resistance.

Canadians have developed a
taste for luxury, according to
Cadillac Managing Director
Mahmoud Samara.

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Table of Contents for the Digital Edition of Automotive News Canada - February 2017