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Originally Posted by Berean
Note to Angel: The following is not directed at you personally, so no need to get defensive. Just quoting you as an example of this type argument.
I've heard this argument many times on this board, and I just don't get it.
The MORE options a customer has in a class of car from the same manufacturer, the better. As long as you're "poaching" sales from yourself, there's no problem.
If the logic is that you can poach sales from yourself holds, then having different models within a class must also be bad.
You could just as easily say the SS poaches sales from the V6. It does. But who cares, GM gets a sale regardless.
If the SS wasn't an option, many SS owners would still have bought a V6. But some wouldn't have and GM would lose some sales without an SS option.
Since GM ditched the Pontiac brand and they won't be offering a Firebird, I guarantee they have lost sales as a result. Not everyone who wanted a Firebird will buy a Camaro in it's place. Less options in the same class equals less sales.
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All that might be true in a perfect world where GM doesn't have to spend gobs of money to research, design, test, certify, create production facilities for, line up suppliers for, market, etc., etc., etc. each new product they make. But they do, and it's wildly expensive, and if you take away sales from the Camaro which may well still be paying off GM's investment costs just to cut into its market share for some (probably quite a bit less popular) reimagined new-design Chevelle, you get... the Volt. Except that even the will-never-turn-a-profit Volt would probably end up being a better return on its investment than a new Chevelle.
If you want a new muscle car, your best bet is the ZL1 (I seriously doubt GM will jump at the opportunity to make the competition between the Corvette Z06, Camaro ZL1, and CTS-V into a
four-way race for sales). If you really must have something else with an SS badge on it, maybe GM could create some new trim of the Malibu with an Ecoboost-like turbocharged V6 in it and more agressive styling - plus SS badges - and call it... whatever. Malibu SS. Chevelle. Chevelle Malibu. That doesn't matter, what does matter is that you're not going to need a lengthy and expensive design process - re-engining it and changing the styling is much faster, much cheaper, can use the same facilities with minor changes, won't incur the wrath of CAFE (you guys wishing for a big block are either fanticizing or planning on doing it yourself - right?) and could probably end up being fairly profitable.
Quote:
Originally Posted by Berean
Another case in point. GM sells the exact same truck along side each other branded as GMC and Chevy. They don't care which one you choose as long as you choose one. Eliminate one of the choices and GM will lose sales. Someone who wanted a GMC truck may look at the Chevy, but he also may look at the Ford. Now his choice is between a Chevy and Ford, not a Chevy and GMC.
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What?? I think you mean the choice is between
GM and Ford. If that buyer chooses Chevy or GMC over Ford, GM wins one over its top level competitor, but that doesn't mean there isnt in-house competition or that one of GM's subdivisions didn't still lose - and if that happens enough, from GMC to Chevy or Ford or anyone else, bad things happen to the struggling division. In-house competition still matters very much - just ask the 2011 product lineup for Pontiac and Saturn.