Marie Kondo got nothin’ on General Motors.
America’s largest automaker has begun tidying up its luxury division. GM plans to offer a mostly-electric lineup by 2035, and Cadillac will lead the charge. In late 2020, the company offered many Cadillac dealers a choice: They could welcome an all-electric lineup. Or, they could take a buyout to close their doors.
One-Fifth of Dealerships Took Buyout
Now, Automotive News reports that one-fifth of Cadillac dealers have chosen to “walk away from their franchises.” The remainder are helping take the brand in a new direction. That includes returning it to prominence in some areas it had once had a strong presence. The list includes “Beverly Hills, Calif., where it hadn’t been since the 1980s, and its former home base of Manhattan, N.Y.”
The move leaves Cadillac with more than 700 dealers – still a network larger than most of its luxury competitors. BMW and Mercedes, for instance, sell cars through fewer than 400 dealers each in the U.S.
Some successful Cadillac dealers are expanding, opening new locations to showcase the brand’s upcoming electric vehicle (EV) lineup.
All-EV Lineup Coming to the Ones That Stayed
The Cadillac Lyriq, an all-electric midsize SUV GM claims will have a 300-mile range (the EPA hasn’t verified that yet), will be the first Cadillac EV. It rides on GM’s new Ultium platform – a combination of chassis, electric motors, battery, and suspension components. Engineers can use the platform as the basis for many new car designs. The Celestiq sedan will follow it. That flagship car uses 4-wheel steering and a roof of electrochromatic glass, allowing drivers to adjust its tint.
Walking into one of the dealerships Cadillac is keeping will be a very different experience once the EV transition is complete. Automotive News reports, “General Motors is requiring retailers that stay with the brand to invest an average of $200,000 on chargers, tooling, and training for electric vehicles.”
