GM puzzled over what to do with Pontiac
The NADA annual convention is underway in New Orleans, and naturally the future of several GM brands is a red-hot topic of conversation. GM sales/service/marketing veep Mark LaNeve told Automotive News, "There's nothing that can be said today that can calm the nerves of a Saturn, Hummer or Saab dealer." That reeks of saying a lot, without saying anything -- none of it particularly good for the dealers in question. It gets no better when the topic shifts to the multiple-personality-disorder patient better known as Pontiac. Automotive News says that GM is trying to find a way to make it better compliment Buick and GMC. On that note, LaNeve offers the following: "We haven't quite figured out exactly between sports cars and entry-level cars, but it'll be a very narrowed and focused brand." Prepare to be disappointed.
GM doesn't need Pontiac to be an entry-level brand. It has Chevy for that. Pontiac's niche should be performance, but despite two legit performance cars in the lineup today -- Solstice and G8 -- the renaissance of the erstwhile "Excitement Division" remains stricken by an identity crisis. After all, Vibe, G5, G6, and the G3 are hardly stirring in the emotional sense. Mark LaNeve can give lip service to sports cars, but a brief walk down memory lane brings us to one of the great and telling lines in the history of Pontiac press releases: "The Vibe, G3, G5, and G6 prove that you don't have to sacrifice sporty design and responsive driving to achieve impressive fuel economy." This, from the people who used to make the Trans-Am. Translation: Pontiac is plenty interested in gussied-up, basic volume cars. 
The unfortunate reality is that if GM were to make Pontiac a "narrowed and focused" brand specializing exclusively in sports cars, an angry mob of BPG dealers would probably storm the RenCen with torches and pitchforks at the ready. It's boring mainstream clonemobiles like the G5 that give them something they can try and sell to the average car shopper -- which they can't exactly do with the Buick (quasi-lux niche) or GMC (truck niche) brands. GM will save face by not killing off Solstice and G8, but don't be surprised if and when they're allowed to ultimately die on the vine while "sporty design" and "impressive fuel economy" become new, permanent euphemisms for "excitement."
Reader Comments (Page 1 of 5)
KC 11:58AM (1/25/2009)
So basically it will be business as usual for Pontiac then? Sell re-badged low end Chevy's and every now and then introduce a new genuine sports sedan or coupe to survive one generation and fade into oblivion. Such revolutionary thinking.
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firstplace 2:04PM (1/25/2009)
they need to kill pontiac. Just turn all there good stuff into chevy's. For that matter they will soon need to kill off buick in the US (all the buyers are in old age homes anyway).
Sea Urchin 2:58PM (1/25/2009)
GM deserves it.
Look, GM spent BILLIONS revitalizing Pontiac, just so a few years later to kill the whole brand with Pontiac Montana. I mean would you ever again buy a Camaro, if GM sold a very powerful Minivan named Camaro?
GM yet again revitalized Pontiac with Solstice and G8..............just to kill it again with G3. Point is, Pontiac can not be a performance brand while there are all these non performing cars, but the sickest part is that GM spend billions on basically nothing. Also, just so all of you know, before the credit crunch a Pontiac dealer on average sold 1 G8 every two months, what the numbers are now i do not even want to know, Solstice is also a money losing car. If a company has to lose money, they may as well revitalize it with cool car................GM did that....but they also killed it. So for Pontiac to matter it will need to get yet another 2-3 performance cars.
The scariest part is that Saturn is in the same field. 3 Years ago Saturn sold a car for 11K, now Saturn sells a 40K-45K Outlook (when optioned) The cheapest Saturn is now close to 17-18 K with Astra. In my opinion ALL Saturns should priced within Honda Civic- Honda CR-V range.
As far as i know Pontiac outsells Saturn, plus Saturn dealers are independent. Pontiac on the other hand is part of Buick-GMC-Pontiac family, so by killing Pontiac dealers will not have to shut down entirely and GM will not have to buy them out. That will not be the case with Saturn.
iomatic 4:53PM (1/25/2009)
As sexy as a mullet.
Nightcrawler 10:53PM (1/25/2009)
@sea urchin
"Pontiac can not be a performance brand while there are all these non performing cars"
I don't follow that line of thought. Chevy sells non-performance cars, but I'm sure you think of the Corvette and Camaro as desirable sports cars. And your comment about selling a Camaro minivan stopping people from buying a Camaro again didn't make sense either. Chevy sold their own version of the Pontiac Montana if you recall, and yet people will still buy a Camaro. So why would the fact that Pontiac sold a minivan prevent them from buying a G8 or a Solstice? It's not as if the Pontiac minivan was named the Firebird and now they are coming out with a sports car Firebird, which is what your analogy seems to suggest.
harlanx6 12:09PM (1/25/2009)
It's a redundant Chevrolet, isn't it?
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FThorn 11:59AM (1/25/2009)
Easy. Kill it. I've worked for Pontiac (dealer).
I think GM can do with Chevrolet about everything they need to do. Chevrolet cars, Cadillac, and Trucks (whether Chevrolet or GMC badged) should do it all, imo.
It will work for Chrysler, too. Chrysler, Dodge and Jeep.
Toyota cars, trucks, and Lexus.
Nissan cars, Infinity and (Dodge) trucks.
Honda cars, trucks (kinda sorta, but girly) and Acura
This is how they all are naturally aligning themselves. Why fight it?
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raptorspike 1:08PM (1/25/2009)
I think that Pontiac should be abandoned. I don't think they have one original car in their lineup. GM should be Saturn, Chevrolet, Cadillac, and GMC Heavy Duty. They cover every spectrum without any overlapping. You have the budget (Saturn), midline (Chevrolet), luxury (Cadillac), and the work trucks (Chevrolet for small, GMC HD for big duty).
3seriesisking 1:31PM (1/25/2009)
Hear hear! Death to Pontiac!
djmojave 3:46PM (1/25/2009)
I agree...dump Pontiac, keep saab, keep Buick (for China) pair back Cadillac (no SUV's, no wagons, coupes) Keep Chevy. Also consolidate all trucks under a"commercial roof" No trucks in car showrooms. Then GM will see how lousy their line up really is.
ajmalzx 5:20PM (1/25/2009)
Agreed man... This is why exactly GM is losing money. They don't know when to cut their losses and go. You know the market don't like you when you brought in a great car(commodore) and they still didn't buy your product.
In fact I don't get the whole American car industry, why do you need multiple brands when one will do just fine. GM cars, GM trucks and GM minivans everybody know it's from the same platform. Mercedes make both the SLR and a compact minivan (B class anyone?) and yet they don't feel the need to make a sub brand(for their cheap cars) just because "it might dilute/ruined the brand image/perception". If you make great cars, people will buy it regardless if you put a Yugo badge in front of it. Case in point Skoda.
imoore 12:59PM (1/27/2009)
Honda trucks,girly? Uh, no. Many of the ladies I know won't even look at a Ridgeline. Honda's worst idea ever.
FThorn 2:43PM (1/27/2009)
You're absolutely right. That comment was a slight to women everywhere. Please accept my apology.
brothergrimofgrimandgrimy 11:59AM (1/25/2009)
REDRUM
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ack154 12:05PM (1/25/2009)
Did they just try to say the G3 has a sporty design?
Wow.
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Dazza 12:08PM (1/25/2009)
I say sell Pontiac and Saturn to the Chinese. They'll instantly give the nameplates a direction.
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MGBYG 12:24PM (1/25/2009)
They love them some Buick in China.
Don't think Pontiac is pronounceable in Mandarin.
George 12:34PM (1/25/2009)
There isn't really anything to sell. The models are standard GM platforms built in GM plants so there aren't really any specific assets that Pontiac has.
Dazza 3:16PM (1/25/2009)
Unlike Saturn, Pontiac isn't a separate legal entity. All GM could sell would be the rights to the brand name.
Nightcrawler 10:58PM (1/25/2009)
"There isn't really anything to sell. The models are standard GM platforms built in GM plants"
Well, the Vibe is actually a standard Toyota platform. Which is probably a good thing I guess. The Vibe certainly isn't the answer to GM's problems, but I don't think it's part of the problem either.