Posted on 04/09/2013 6:41:15 PM PDT by jjotto
TTAC readers looking for a more pro-GM news source may want to check out Bloomberg for their next dose of pro-GM news. A story on Cadillac’s revived fortunes contains all kinds of enthusiastic copy and positive quotes, but still manages to bury the lede way down at the bottom of the story...
...Uh oh. $3,700 just months after their crucial entry-level car was introduced? A nearly tenfold increase in incentive spending in just a few short months? Not good news at all. The incentives do explain why the ATS had a nice bump in sales right around February. It’s unfortunate that GM would have to spend so much per car to move a product as nice as the ATS.
Of course, Bloomberg handily explains away the unpleasant incentive information...
...The unfortunate thing here is that the ATS itself isn’t necessarily the reason for its lagging sales and heavy incentive spending. Rather it’s the result of the continued degradation of the Cadillac brand in the eyes of the consumer over the past few decades...
A $45,000 entry level car??????
hehe
Entry level luxury (sports) sedan!
BMW 3-, Mercedes C-, Audi A4, Infinti G37, Cadillac ATS, Volvo S60 R-design; all in the $40-50k range. That’s what it’s come to.
... only for the 1%!
The UAW and the Democrats can steal my tax money for their money laundering operation, but I’ll never buy another UAW made car.
That’s way more than we spent for our first new house - 3 bedroom split, 2 1/2 baths, huge yard - in the late 1960’s.
$45,000 dollars is about 30 ounces of gold now. That 30 ounces of gold was worth about $1,000 in 1970. Maybe cars are a bargain these days!
The base motor for the ATS is a 4-cyl turbo.
Segment leader BMW 328, second place Mercedes C250 and third place Audi A4 are also now 4 cylinder turbos too.
That does put a bit of a different perspective on it. When someone is my age there is always more than a little of the senioritis present and we do play the remember when game a lot.
I do know that our combined income of $60,000 in 1970 seemed to have a lot more buying power then than a single $60,000 income does now.
On the car issue, we had a brand new Ford Mustang in 1970 which cost around $3,000 that I liked a whole lot better than most of the new cars and certainly the new Cadillac. But then if I had bought a lot of gold back then I wouldn’t have to worry so much now.
“$60,000 in 1970 seemed to have a lot more buying power...”
Multiply by 6 to account for inflation since 1970. . .
$60,000 in 1970 has the same buying power as $359,019.59 in 2013
http://www.bls.gov/data/inflation_calculator.htm
Yep. The “luxury sports sedan” category entry-level cars (such as BMW 2002, Fiat 124, Volvo 142, etc.) sold for $3000-4000.
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