General Motors wants GMC to become more upscale while distancing itself from Chevy. According to Mark Reuss, the line between the two brands has become pretty blurry and has weakened GMC’s image as an upscale truck brand that commands a premium price tag.
“We need to make sure that we drive the differentiation in the product and the price to create that separation that we know we can on GMC and Chevrolet,” Reuss said. “I don’t think we have the margin opportunity set up quite right with GMC.”
Most of GMC’s lineup shares its DNA with the Chevrolet brand, but have different sheet metal and some extra features. Honestly, if you ask us there isn’t really any difference between Chevrolet and GMC vehicles besides the badge unless you really go all-out and purchase a ‘Denali.’
During the first 4 months of 2011, GMC sales increased 32% to 121,993 units while Chevrolet sales rose 23% to 289,083 units.
Reuss believes that GM’s two-brand strategy to pickups hasn’t really been executed well. He believes that GMC should tap deeper into Denali to move the brand more upscale.
“I think we can do premium Chevrolets, and take GMC and move it even further up,” Reuss told Automotive News.
– By: Omar Rana
Source: Automotive News