Automotive News Canada - February 2020 - v2 - 16

16

* F E B R U A R Y 2020

What are plant awards worth?
Product is taken
away from GM
Oshawa and
Ingersoll facilities
despite being two
of the automaker's
'best' globally
By JOHN IRWIN
TORONTO BUREAU

built in Brampton, Ont.,
was the highest-ranked midsize sporty car in the 2019
IQS study. The Chevrolet
Equinox, built at a GM plant in
Ingersoll, Ont., was the highest rated compact utility vehicle. The Ford Flex, discontinued last year, and Lincoln
Nautilus, built in Oakville,
Ont., achieved high ranks in
their respective segments, and
the Dodge Grand Caravan,
assembled at an FCA plant in
Windsor, Ont., was the second-highest ranked minivan.
In November, Dodge rode the
Challenger and Grand Caravan
into its first-ever top-10 finish
in the Consumer Reports Auto
Reliability Survey.

CANADA'S ASSEMBLY
plants earned plenty of accolades last year, but that's
unlikely to translate into largescale investment.
"Does the quality of the
workplace matter? Sure,
but it's one of a dozen facMORE PRESSING CONCERNS
tors, if not dozens," said
Dennis DesRosiers, president
Such accomplishments are
of DesRosiers Automotive
frequently touted by automakConsultants. "I'll tell you, the
ers in their marketing and
cost of electricity is a hell of a
advertising, and governments
lot more important than these
and unions often point to them
ratings."
to show that their plants build
To be sure, J.D.
quality vehicles.
Power's 2019 Initial
"But do they mean
Quality Survey (IQS)
anything in reality?
and Plant Assembly
Less so today than
Line Quality Awards
ever," DesRosiers said.
and Consumer Reports'
Unifor President
Auto Reliability Survey
Jerry Dias said recent
were kind to many of
awards for vehiCanada's plants and the Dennis
cles built at General
DesRosiers:
vehicles they produce.
Motors' Oshawa, Ont.,
The cost of
Toyota's Cambridge
and Ingersoll plants did
electricity
North assembly plant
means more not stop the automaker
was given a platinum
than quality from ending production
award for assembly-line ratings.
at Oshawa and moving
quality, the highest pos- F I L E P H O T O
production of the GMC
sible rank, for having
Terrain to Mexico from
17 problems per 100 vehicles
Ingersoll in 2017.
produced there. The adjacent
"The natural, comCambridge South plant won
mon-sense approach is that if
a bronze award for having 21
you had the most productive,
problems per 100.
best-quality facilities that you
Vehicles assembled in
would somehow be rewardCanada also achieved high
ed," Dias said. "But that's not
marks: The Dodge Challenger,
the case. If you look at the GM

Vehicles built in Canada,
such as the 2020 Dodge
Challenger, scored well
in 2019 quality-award
programs. P H O T O : F C A

plant globally, two of their best
plants are in Oshawa and in
Ingersoll."
Unifor represents workers
at the two plants.
"Unless you're prepared to
work for $2 per hour, it doesn't
matter how productive you
are or how [much] quality you
build," he said.
"It all seems to be about the
bottom line."

QUALITY AIDS INVESTMENT
That's not to say that quality or a plant's reputation is
meaningless; look no further
than Toyota's Ontario facilities, which were awarded $1.4
billion in investments from the
company in 2018 even as news
of job cuts loomed at other
automaker facilities in Canada.
Scott MacKenzie, Toyota
Canada senior national manager of external affairs, said the
automaker's leaders in Japan
have a great deal of trust in the
Canadian manufacturing team,
as evidenced by Toyota's decision to produce the Lexus NX
in Ontario beginning in 2022.
"It's a safe environment to trust someone to
make a high-value product,"
MacKenzie said.
"We're good at launching
cars. Launching cars can be
problematic, but we're good
at that. Our quality record is
strong; there is trust there."
- ANC

Cadillac plans to stand apart,
literally, from other GM brands
For new Managing
Director Shane
Peever, that means
different approaches
depending on the
market size
By STEPHANIE WALLCRAFT
TORONTO CORRESPONDENT

BETWEEN A REWORKED
and expanded product lineup, new standalone dealership
openings and experiments such
as the Cadillac Live online
showroom, Shane Peever has
been juggling multiple moving
parts since taking on the job
last June of Cadillac Canada
Managing Director.
Three new standalone
Cadillac dealerships, separate from
other General Motors
brands, have opened
since the beginning of
2019: Carter Cadillac
in Calgary, Wolfe
Cadillac in Edmonton
and Roy Foss Cadillac
in Woodbridge, Ont., north of
Toronto. This extends the count
to five including two standalones established in Quebec
under a previous image program. Peever said ground has
not yet been broken on other
new projects, but several are in
development.
"We do have some discussions ongoing with dealers in
Winnipeg and the Prairies,
but Toronto, Montreal and
Vancouver will be the next
focus areas for sure," Peever
told Automotive News Canada.
"We've found that it's working quite well from a consumer standpoint. We've seen sales
increases at all of our standalone facilities, and we've also
seen a huge reaction to the
experience because luxury buying is about more than just the
product."
Cadillac recognizes that a
fully rebuilt and rebranded
facility requires more investment than volume warrants in
certain markets, said Peever,
adding that the brand is looking
into alternate treatments for
those situations.
"Anything that you see will
either be separation within the
existing showroom for some of
our smaller dealers, pulling out
of the main facility to create a
boutique in some cases where
it's a showroom with a service
lane that's dedicated to Cadillac
facilities, all the way through to
the full standalone operations."

WHICH MODELS ARE LEADING
CADILLAC'S 23-PER-CENT
YEAR-OVER-YEAR INCREASE
IN CROSSOVER SALES?

XT4 is leading the charge for
sure. We weren't sure how it
would play out with the whole
new Y-strategy [for packaging]
that we have. You can choose
either sport appearance or traditional luxury appearance,
and we've seen a little bit more
[sales] on the premium luxury
side.

Cadillac's Shane Peever says
smaller populations can't
support a separate Cadillac
store, so in those situations
the brand is exploring
"alternate treatments."
PHOTO: GM CANADA

We're seeing more female
buyers on XT4 than we had
anticipated. I think the more
traditional luxury look
and feel has resonated.
There's a bit more in
premium touches on the
interior of the vehicle,
a little bit more brightness, a bit more chrome.
That seems to be appealing a little bit more into
that demographic.

ON WHETHER THE REFRESHED
LINEUP IS AIDING CONQUESTS:

Conquest buyers have been
right in line with expectations,
which is really nice to see.
Where we are seeing more conquest is with the sport model
attracting a slightly younger
demographic.

ON WHY CADILLAC WAS RANKED
NO. 1 IN DEALER SATISFACTION
BY THE CANADIAN AUTOMOBILE
DEALERS ASSOCIATION FOR 2018:

The approach . . . is one of
incredible transparency and
partnership. We're on quite
a journey to grow the brand
with the onslaught of all-new
models that are coming, the
discussions about new facilities, which requires significant
investments from our partners, and then, of course, our
all-electric future. We need to
make sure that we're communicating with our dealers effectively, regularly and transparently in a way that we perhaps
never have done in the past.

ON WHETHER CADILLAC LIVE
IS MEETING EXPECTATIONS:

I would say [Cadillac Live is]
not quite meeting expectations
in terms of how many leads
we're pushing to dealers, but
overall it's succeeding on the
consumer-experience side. The
ones who are engaging with it
are having a phenomenal experience, leaving incredible positive comments, and there's a
good, high rate of people that
are being referred to dealerships that want to take the next
step. We've sold several vehicles from the leads that are generated from it.
We've seen a good uptick in
the number of test drives from
Cadillac Live, and we're discussing ways with all of our
dealers to interact even more,
to get more out of the Cadillac
Live experience. - ANC


http://www.kumhotire.ca/

Automotive News Canada - February 2020 - v2

Table of Contents for the Digital Edition of Automotive News Canada - February 2020 - v2

Automotive News Canada - February 2020 - v2 - Intro
Automotive News Canada - February 2020 - v2 - 1
Automotive News Canada - February 2020 - v2 - 2
Automotive News Canada - February 2020 - v2 - 3
Automotive News Canada - February 2020 - v2 - 4
Automotive News Canada - February 2020 - v2 - 5
Automotive News Canada - February 2020 - v2 - 6
Automotive News Canada - February 2020 - v2 - 7
Automotive News Canada - February 2020 - v2 - 8
Automotive News Canada - February 2020 - v2 - 9
Automotive News Canada - February 2020 - v2 - 10
Automotive News Canada - February 2020 - v2 - 11
Automotive News Canada - February 2020 - v2 - 12
Automotive News Canada - February 2020 - v2 - 13
Automotive News Canada - February 2020 - v2 - 14
Automotive News Canada - February 2020 - v2 - 15
Automotive News Canada - February 2020 - v2 - 16
Automotive News Canada - February 2020 - v2 - 17
Automotive News Canada - February 2020 - v2 - 18
Automotive News Canada - February 2020 - v2 - 19
Automotive News Canada - February 2020 - v2 - 20
Automotive News Canada - February 2020 - v2 - 21
Automotive News Canada - February 2020 - v2 - 22
Automotive News Canada - February 2020 - v2 - 23
Automotive News Canada - February 2020 - v2 - 24
Automotive News Canada - February 2020 - v2 - 25
Automotive News Canada - February 2020 - v2 - 26
Automotive News Canada - February 2020 - v2 - 27
Automotive News Canada - February 2020 - v2 - 28
Automotive News Canada - February 2020 - v2 - F1
Automotive News Canada - February 2020 - v2 - F2
Automotive News Canada - February 2020 - v2 - F3
Automotive News Canada - February 2020 - v2 - F4
Automotive News Canada - February 2020 - v2 - F5
Automotive News Canada - February 2020 - v2 - F6
Automotive News Canada - February 2020 - v2 - F7
Automotive News Canada - February 2020 - v2 - F8
Automotive News Canada - February 2020 - v2 - F9
Automotive News Canada - February 2020 - v2 - F10
Automotive News Canada - February 2020 - v2 - F11
Automotive News Canada - February 2020 - v2 - F12
Automotive News Canada - February 2020 - v2 - F13
Automotive News Canada - February 2020 - v2 - F14
Automotive News Canada - February 2020 - v2 - F15
Automotive News Canada - February 2020 - v2 - F16
Automotive News Canada - February 2020 - v2 - F17
Automotive News Canada - February 2020 - v2 - F18
Automotive News Canada - February 2020 - v2 - F19
Automotive News Canada - February 2020 - v2 - F20
Automotive News Canada - February 2020 - v2 - F21
Automotive News Canada - February 2020 - v2 - F22
Automotive News Canada - February 2020 - v2 - F23
Automotive News Canada - February 2020 - v2 - F24
Automotive News Canada - February 2020 - v2 - F25
Automotive News Canada - February 2020 - v2 - F26
Automotive News Canada - February 2020 - v2 - F27
Automotive News Canada - February 2020 - v2 - F28
Automotive News Canada - February 2020 - v2 - F29
Automotive News Canada - February 2020 - v2 - F30
Automotive News Canada - February 2020 - v2 - F31
Automotive News Canada - February 2020 - v2 - F32
https://www.nxtbook.com/nxtbooks/crain/canada_202101
https://www.nxtbook.com/nxtbooks/crain/canada_202012
https://www.nxtbook.com/nxtbooks/crain/canada_202011
https://www.nxtbook.com/nxtbooks/crain/canada_202010
https://www.nxtbook.com/nxtbooks/crain/canada_202009
https://www.nxtbook.com/nxtbooks/crain/canada_202008
https://www.nxtbook.com/nxtbooks/crain/canada_202007
https://www.nxtbook.com/nxtbooks/crain/canada_202006
https://www.nxtbook.com/nxtbooks/crain/canada_202005
https://www.nxtbook.com/nxtbooks/crain/canada_202004
https://www.nxtbook.com/nxtbooks/crain/canada_202003
https://www.nxtbook.com/nxtbooks/crain/html_test
https://www.nxtbook.com/nxtbooks/crain/canada_202002_v2
https://www.nxtbook.com/nxtbooks/crain/canada_202002
https://www.nxtbook.com/nxtbooks/crain/canada_202001
https://www.nxtbook.com/nxtbooks/crain/canada_201912
https://www.nxtbook.com/nxtbooks/crain/canada_201911
https://www.nxtbook.com/nxtbooks/crain/canada_201910
https://www.nxtbook.com/nxtbooks/crain/canada_201909
https://www.nxtbook.com/nxtbooks/crain/canada_201908
https://www.nxtbook.com/nxtbooks/crain/canada_201908_v2
https://www.nxtbook.com/nxtbooks/crain/canada_201907
https://www.nxtbook.com/nxtbooks/crain/canada_201906
https://www.nxtbook.com/nxtbooks/crain/canada_201905_v2
https://www.nxtbook.com/nxtbooks/crain/canada_201905
https://www.nxtbook.com/nxtbooks/crain/canada_201904
https://www.nxtbook.com/nxtbooks/crain/canada_201903
https://www.nxtbook.com/nxtbooks/crain/canada_201902_v3
https://www.nxtbook.com/nxtbooks/crain/canada_201902
https://www.nxtbook.com/nxtbooks/crain/canada_201901
https://www.nxtbook.com/nxtbooks/crain/canada_201812
https://www.nxtbook.com/nxtbooks/crain/canada_201811
https://www.nxtbook.com/nxtbooks/crain/canada_201810
https://www.nxtbook.com/nxtbooks/crain/canada_201809
https://www.nxtbook.com/nxtbooks/crain/canada_201808
https://www.nxtbook.com/nxtbooks/crain/canada_201807
https://www.nxtbook.com/nxtbooks/crain/canada_201806
https://www.nxtbook.com/nxtbooks/crain/canada_201805
https://www.nxtbook.com/nxtbooks/crain/canada_201804
https://www.nxtbook.com/nxtbooks/crain/canada_201803
https://www.nxtbook.com/nxtbooks/crain/canada_201802
https://www.nxtbook.com/nxtbooks/crain/canada_201801
https://www.nxtbook.com/nxtbooks/crain/canada_201712
https://www.nxtbook.com/nxtbooks/crain/canada_201711
https://www.nxtbook.com/nxtbooks/crain/canada_201711_v2
https://www.nxtbook.com/nxtbooks/crain/canada_201710
https://www.nxtbook.com/nxtbooks/crain/canada_201709
https://www.nxtbook.com/nxtbooks/crain/canada_201708
https://www.nxtbook.com/nxtbooks/crain/canada_201707
https://www.nxtbook.com/nxtbooks/crain/canada_201706
https://www.nxtbook.com/nxtbooks/crain/canada_201705
https://www.nxtbook.com/nxtbooks/crain/canada_201704
https://www.nxtbook.com/nxtbooks/crain/canada_201703_v2
https://www.nxtbook.com/nxtbooks/crain/canada_201703
https://www.nxtbook.com/nxtbooks/crain/canada_201702
https://www.nxtbook.com/nxtbooks/crain/canada_201702_v2
https://www.nxtbook.com/nxtbooks/crain/canada_201701
https://www.nxtbook.com/nxtbooks/crain/canada_201612
https://www.nxtbook.com/nxtbooks/crain/canada_201611
https://www.nxtbook.com/nxtbooks/crain/canada_201610
https://www.nxtbook.com/nxtbooks/crain/canada_201609
https://www.nxtbook.com/nxtbooks/crain/canada_201608
https://www.nxtbook.com/nxtbooks/crain/canada_201607_test
https://www.nxtbook.com/nxtbooks/crain/canada_201607
https://www.nxtbook.com/nxtbooks/crain/canada_launch2016
https://www.nxtbookmedia.com