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GM's New Trucks

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We Catch the Summer Reveal of All-New Chevrolet Silverado and GMC Sierra
GM’s leader Rick Wagoner took some time from his work on the turnaround project and the ongoing Renault-Nissan tie-up evaluation to introduce new products critical to GM’s future profitability and success. VehicleVoice contributors Jim Hossack and Stephanie Brinley, from AutoPacific‘s Market Research and Industry Analysis offices, were on hand for a first look. Brinley helps with the overview, while long-time full-size truck owner Hossack tells us what’s missing.

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The current full-size Chevrolet Silverado (image here) and GMC Sierra, developed under GM’s GMT800 program and first introduced for 1999MY, launched to strong reviews and well-deserved praise. Sales increased throughout the lifecycle and combined they outsold their rivals. Even in 2005, GM outsold the Ford F-series by about 80,000 units, according to AutoPacific’s Sales Forecast Service.
The GMT900 pickups offer significant improvements to body, chassis, and powertrain. GM developed them with the eye to improving on every level an already successful truck. We saw them in pre-production form, but didn’t get the chance to drive them. Based on our first look, the trucks will arrive boasting a best-in-class standing. The 1500 series gets to showrooms in November 2006. Heavy-duty (2500 and 3500) models arrive during the first quarter of 2007. Unlike the previous generation, which rolled out over two years, all versions of the GMT900 trucks roll out in five months.
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The Good Stuff
On a bright, hot August morning, dozens of Silverado and Sierras drove up in front of us at the GM Milford, Michigan, proving grounds. Showing off their versatility and working natures, the display trucks towed boats and equipment, hauled hay and horse trailers. The message was clear: Choice and capability. Whatever you need these trucks to do, they can do it. Whatever form you need, they have it. Short beds, medium beds, long beds, crew cabs, regular cabs, extended cabs with a cool new 170-degree opening rear door, all are available from the GM trucks. It was a dizzying array, but all these options keep loyal buyers happy and to prove that GM is dedicated to full-size pickups.
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GMC Acadia: The First Full-Size Crossover

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Back in April the Saturn Outlook was introduced at the 2006 New York Auto Show, and VehicleVoice contributors and AutoPacific staff brought you up to speed quickly (click here). Now we’ve got the chance to bring you the first look at its sibling, the GMC Acadia.

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Unveiled this week, the 2007 Acadia arrives at dealers later this year. Though GM could be said in some ways to be bringing a me-too car-based SUV to the market, as it arrives after the Chrysler Pacifica, Ford Freestyle, Mercedes-Benz R-Class, and Audi Q7, to name a few, the Acadia and Outlook offer seating for eight and a tow rating of 4500 pounds. Though the Acadia may be perceived as a mid-size SUV product, it in fact throws a shadow more near a full-size SUV like the GMC Yukon than a mid-size SUV like the GMC Envoy or the Pacifica. As Jim Hall, AutoPacific’s Vice President of Industry Analysis points out, the Acadia, and its Outlook sibling, is the first full-size crossover SUV.
While Acadia can’t tow as much as the truck-based GMC Yukon or Ford Expedition (both updated for 2007), it can carry more stuff and presumably will give a more comfortable riding experience. Perhaps most important for the real world, Acadia has more space even with the third row up than either car- or truck-based SUV competition. At 19.7 cubic feet behind the third row, Acadia has room for eight (depending on seating configuration) and room for their luggage. (Click here for by-the-numbers comparison of Acadia, Yukon, Expedition, R-Class, Pacifica, and Audi Q7.)
Acadia will be offered in front- or all-wheel-drive versions, with only one powertrain to choose. This is a 267HP 3.6L DOHC 24v V6 mated to a six-speed automatic transmission. Though 267HP sounds good, the Acadia is large and heavy, with AWD models weighing in about 4900 pounds.


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AutoPacific's 2006 Ideal Vehicle Awards Announced

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An “ideal” is defined as an excellent or perfect example. In the first Ideal Vehicle Awards, announced today by automotive research and consulting firm AutoPacific, owners rate their new 2006 model year cars and trucks by how closely they come to their ideal. The cars or trucks that owners would change the least are the most ideal.
Those carmakers that best understand their customers and create the vehicle their core buyer group desires has come closest to the ideal.
The top-rated vehicle and top-rated car is the Mercury Montego in the Large Car/Luxury Car category. In fact, Ford Motor Company sweeps the first three positions overall with the Ford Crown Victoria and Ford Five Hundred in second and third place. The top-rated truck is the Honda Odyssey Minivan.
The top-rated brand overall is Hyundai out-pointing Mercury and Lincoln for the most ideal vehicle honors.
Ford Motor Company and American Honda have three segment winners apiece. BMW and Hyundai have two each.
Of the sixteen Ideal Vehicle Award (IVA) categories, Japanese brands have seven segment winners, American brands have four, European brands have three and Korean brands have two winners.
The top-rated product segment is Large Car/Luxury Car confirming that Americans continue to value large, comfortable cars suitable for suburban and highway cruising.
Top-rated 2006 Ideal Vehicle brand: Hyundai
Top-rated 2006 Ideal Product Segment: Large Car/Luxury Car
Top rated 2006 Ideal Vehicles by segment:
PASSENGER CARS:
Premium Luxury Car: Lexus LS
Entry Luxury Car: BMW 3-Series
Large Car/Luxury Car: Mercury Montego
Premium Mid-Size Car: Hyundai Sonata
Mid-Size Car: Mercury Milan
Image Compact Car: Toyota Prius
Compact Car: Ford Focus
Sports Car: Porsche 911
Sporty Car: Acura RSX
SUT, SUV, and MINIVAN:
Sport Utility Truck: Honda Ridgeline
Luxury Sport Utility: BMW X5
Large Sport Utility: GMC Yukon
Premium Mid-Size Sport Utility: Nissan Murano
Mid-Size Sport Utility: Hyundai Santa Fe
Compact Sport Utility: Subaru Forester
Minivan: Honda Odyssey
In addition to identifying segment winners, IVA also establishes numerical ideal vehicle ratings for virtually every passenger car and light truck (except pickups) in the United States market. This results from calculating owner input across 11 specific areas related to a vehicle’s exterior size, passenger roominess, cargo space, driver’s seat comfort, drivers seat visibility, interior technology, power, ease of getting in and out, interior storage compartments and tires and wheels. The 2006 ratings reflect input from buyers and lessees of new vehicles acquired September 2005 through January 2006. Pickup trucks are not incorporated because of numerous body styles included within each pickup line.


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Chevrolet Silverado Wins AutoPacific 2006 Vehicle Satisfaction Award for Heavy-Duty Pickup Trucks

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The Chevrolet Silverado Heavy Duty wins the AutoPacific Vehicle Satisfaction Award among Heavy Duty Large Pickups.

A workhorse near the end of its run, the Silverado HD nosed out Dodge Ram Heavy Duty and Ford F-Series Super Duty entries. Much of its win has to be credited to its up-graded Duramax diesel for the 2006 model year.


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SUV Jihad Continues as SUV Segment Atomizes

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Back in November 2005, a VehicleVoice Blog commented on the existence of a periodic jihad on sport utility vehicles in the USA and worldwide. The introduction of General Motors’ GMT900 SUVs – the Chevrolet Tahoe and Suburban, the GMC Yukon and Yukon XL, plus the Cadillac Escalade and Escalade ESV have set the earth-is-flat crowd wailing again.

Audi Q7 Latest Target of SUV Jihad… This Time From British – Austrian Axis

But June 2006 intro of the Audi Q7 in the USA following its earlier introduction in Europe also will be watched closely. As Audi is about the last major brand to add an SUV to its lineup, it is a fresh target for the anti-SUV crowd. The March 2006 issue of CAR Magazine is a case in point. Georg Kacher, a 6-foot, 13-inch Austrian based in Germany, writes, “Big, heavy, chunky, aggressive, unwieldy – SUVs deplete our resources, tear up the countryside and flatten whatever they hit.

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So why does a company like Audi, renowned for advanced engineering enter this bad karma segment?”
Because the market is allegedly craving a mud-crawler made in Ingolstadt, and because Audi firmly believes it can add a new dimension to the SUV game.”
As with many non-USA automotive journalists and even American buff book scribes, Kacher’s loathing of SUVs is mis-directed.
SUVs respond more to customer pull than manufacturer push. After the demise of station wagons (or estates as the Europeans so lovingly call them) and the image black hole called Minivans, came sport utility vehicles. These jack-of-all-trades vehicles carry people and stuff with aplomb. Well… more aplomb today than at any time in the past when they were admittedly crude trucks with a closed in cargo area. They go anywhere, anytime, with anyone, carrying anything within reason. They come in all flavors from the late and not particularly lamented Ford Excursion to the Suzuki Vitara. Populated between the Excursion and Vitara are SUVs of every ilk. Some are suited for suburban streets only. Some are rock crawlers. Some are designed to tow horse trailers and boats.
The beauty of SUVs is the breadth of choice within the segment. The SUV buyer has the luxury of choosing between more brands and more models than ever before. Like the overall auto industry, the larger SUV segment is atomizing into smaller and smaller niche entries.
Choice is good and Audi is welcomed.


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2007MY Chevy Suburban Continues Value Pricing

Pricing for 2007MY Suburban Follows Tahoe with a Drop in MSRP
According to an announcement from Chevrolet, a comparably equipped 2006 Chevrolet Suburban LS was $2550 more expensive than a 2007MY LS. This may well be true for the new Suburban’s MSRP, but the transaction price for the outgoing SUV was far lower than MSRP, sometimes varying appreciably from month to month. GM’s new approach to pricing is logical, whether customers can be weaned off incentives or not. If your vehicles almost never sell for full price and there is a significant difference between transaction prices and MSRP, the MSRP is clearly set above what customers are willing to pay. Moving MSRP and transaction prices closer together, in the long term, should improve the image of the brand. Some buyers will feel smart for getting the “great deal” incentives can appear to be, but others are turned off by constant loud and dramatic incentives.
While a 2006 Suburban 1500 4WD started at about $42,500, the LTZ package (which included the 6.0L engine) also added almost $11,000 to the price. For 2007, Chevrolet says the 4WD LTZ starts at $48,455. Though the trim package components may have shifted a bit, both LTZs get the bigger engine and there is a price drop between the models.

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The reduced pricing strategy is supposed to help Chevrolet and GM reduce their dependence on rebates, incentives, a deal-of-a-lifetime sale periods, like last fall’s Employee Pricing for everyone and even the $5500 hundred sitting on the hoods of 2006 Suburbans through at least the end of February. Dropping the price by something in the neighborhood of $2500 can earn some goodwill as well as setting themselves up for potentially smaller rebates if they are needed down the road. Whether this really works with customers now conditioned to blow-out sales and large incentives remains to be seen.
Read on for the official Chevrolet 2007 Suburban pricing release.


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2007 Ford Expedition and Expedition EL

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With Ford and GM easily dominating the full-size SUV segment and both companies offering heavily revised and improved entries for the 2007 model year, it is a good time to be a large-SUV buyer. Beyond the updates to Expedition and the GM lineup (GMC Yukon/Yukon XL, Cadillac Escalade and Escalade ESV, Chevrolet Tahoe and Suburban), Chrysler joins the fray with the Aspen and change is in the wind for the Toyota Sequoia soon as well. Though the sheer number of people buying full-size SUVs is shrinking in the current climate of fuel-cost concerns and an uncertain economy, there are still customers whose lives demand the level of utility that can only be found in a vehicle this large, and these buyers have lots of new toys to pick from this fall.
Ford has released much of the information on the new Expedition, which reaches showrooms in fall 2006 in two lengths. With the 2007MY, Ford buyers can go from Escape to Edge to Explorer to Expedition to Expedition XL in their search for their own “just right” sized SUV.

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VehicleVoice contributor and AutoPacific president George Peterson has had considerable experience with the Ford Expedition, having leased four in a row until he decided he was in a rut. Will the new Expedition be enough of a change to get him out of his CAR and back into an SUV? Time will tell.


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Buick Shows Off its Enclave

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In this case, the Enclave is not really a country lying within the boundaries of the Buick, but the company’s preview of a vehicle to replace the Rendezvous crossover SUV (and Rainier?). Buick’s replacement for the Rendezvous moves to a new platform (the Lambda platform) and will carry the new Enclave name. The choice of “Enclave” demontrates how tough it is for any car company to identify catchy names for its vehicles.
The Enclave is due in early 2007 as a 2008 model-year vehicle and was shown at GM’s first press conference at the 2006 North American International Auto Show in January. VehicleVoice and AutoPacific correspondents were there to get the scoop. And while getting the scoop several agreed that the Enclave may, indeed, be the first Buick they would actually consider and that this Buick may actually appeal to other than geriatric buyers.
2006 Concept: The New Vision of Buick Style
The 2006 Enclave concept closely previews the vehicle, though it still offers a significant amount of concept eyewash. Unless there is too much confusion and laughter, Enclave is the name the product is due to wear in production. The Enclave concept focuses on furthering Buick’s luxury position, with a highly sculpted and detailed design. Buick describes the Enclave name as evoking images of style, luxury, and the privacy of a quiet, protected space. The style and luxury association with the word Enclave seems a bit of a stretch when compared with the definition of the word, but the Buick concept does succeed with demonstrating images of style and luxury.

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While the concept of the Enclave may be suspiciously similar to the Chrysler Pacifica, the Enclave styling is much more upscale and serious looking. Additionally, there is likely little risk that Enclave will be confused with a Minivan or station wagon.
The interpretation of the Buick grille is nicely proportioned to the rest of the nose, and moving the portholes from the fender to the hood gives them the appearance of being functional, whether they are or not. The chrome accents are nicely done and not overdone. Among the styling elements that are more concept than production is the way the front and rear fascias completely hug the twenty-one-inch wheels. More bumper would be needed for production, and it is unlikely twenty-one-inch wheels would be offered. The jewel-like headlights incorporate GM’s version of cornering headlights, and those will be included on the production car.
Note: All Enclaves will have portholes (Cadillac calls them “gills”). Six-cylinder vehicles will have three portholes per side while eight-cylinder vehicles will have four per side.


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Crossover SUVs to Outsell Traditional SUVs in 2006

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Crossover SUVs will outsell Traditional truck-based SUVs beginning in 2006. This forecast comes from George Pipas, Ford’s Manager of Sales Analysis and Reporting in a presentation in Long Beach, CA on December 12, 2005. Refer to the VehicleVoice Blog on December 8 citing a USA Today article on similar observations.

A Few Comments on What a Crossover SUV Is

Pipas’ analysis charts the meteoric rise of Traditional SUVs during the 1990s and the similarly meteoric rise of Crossover SUVs since 1996 when the first crossovers – the Honda CR-V and Toyota RAV4 – were introduced. Of course, defining SUV categories is getting murkier and murkier. VehicleVoice (http://www.vehiclevoice.com) and AutoPacific (http://www.autopacific.com) have used the “at-a-glance” rule to define SUVs. If you can, at-a-glance, tell that a vehicle is an SUV, then by golly it is an SUV. In this way you are not confused about whether it is car-based or truck-based. (Pipas contends that only about 70% of Crossover SUVs meet this at-a-glance requirement with 30% easily confused as cars, hatchbacks, or wagons.)
Escalade Blog.jpg Traditional SUV 2007 Cadillac Escalade – Category Expected to Decline as a Percentage of Overall SUV Universe
The auto industry thinks differently and often gets caught up in definition problems. They have variously called car-based SUVs “hybrids” (a term since adopted by gasoline-electric ‘hybrid’ powerplants) or “crossovers”. In our research, we have found that folks really have not yet adopted the crossover term and still like to refer to SUVs as SUVs. But enough about splitting hairs about what is a crossover and what is not.


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Toyota to Overtake GM as Top Carmaker

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An article in the Saturday, November 19, 2005 Wall Street Journal projects that Toyota may overtake General Motors as the highest selling carmaker in 2006.
While Toyota (Toyota, Lexus, Scion) may not sell more than GM (Chevrolet, Pontiac, GMC, Buick, Cadillac, Hummer, Saturn, Saab) in the United States, it may sell more worldwide. Toyota is concentrating much of its sales expansion in North America where it is pulling sales from General Motors and Ford. GM is bolstering production capacity in China and South America where it sees room for growth where Toyota is not yet strong.
The Wall Street Journal article is one of many recent media reports confirming the results of VehicleVoice research and forecasts by AutoPacific. VehicleVoice research shows a continuing deterioration in General Motors’ (and Ford and Chrysler traditional brands) market share in the United States under the concentrated onslaught of the Japanese Big Three. AutoPacific’s forecast of United States sales shows Toyota, Honda and Nissan increasing market share by adding new assembly capacity and models.


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