What's Wrong With This Picture: Another Brick In The Wall Edition
January 19th, 2010 3:03 AM Share
The Standard Of The World meets cold reality, as the prominent Detroit-area Cadillac dealer, Dalgleish Cadillac, calls it a night. The Detroit News, which eulogizes the dealership “with bitterness, hope and history bound together,” reports that the Dalgleish Cadillac building will become a high-tech business incubator run by Wayne State University’s Tech Town.
Published January 19th, 2010 2:25 AM
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I am highly suspicious that all this culling of dealers will actually save the company any money. I suspect it is typical "catch-up" being played by the U.S. auto companies. "What do the Japanese do? Oh, they have less dealerships and sell more cars. We better do that then." Do they really think making it less convenient to buy their cars will increase their sales? If they really cared about selling more cars and keeping lasting relationships with customers they would cull dealerships by one metric only...customer satisfaction.
I think it sucks that this old Caddy shop is in the can. Didnt they have the choice to be a GMC / Buick shop too.. or at least pick up another? I also know GM is eliminating the single dealerships, and focusing on the sets where they can make more money. I am remembering one in the within 40mi of where I am, the owner has a Caddy shop, and a Saab shop, across the street from a Volvo shop, a BMW shop, and a MB shop. I know the German shops are massive and are quite expensive, where as the Volvo shop is a corner deal by itself. This is just how it is. I just feel bad for the owners.. that they couldnt / didnt see this coming fast enough. P.S As far as that Caddy grill in the trash.. I will leave my most unkind words out.
The fact of the matter is the dealership is located in downtown Detroit and there are only four other franchised dealerships located within Detroit's city limits. One Ford, one LM and two Chevrolet. Most likely the only reason this dealership survived as long as it did is because GM HQ is also in downtown Detroit and GM was probably funneling employee sales from HQ employees through this store. I know for a fact this is what is done to keep the LM store in business. Within the Detroit city limits is simply not a viable location for a franchised dealer due to the economic demographics. Closing this store is more a matter of lack of business than anything else. I might also mention the entire city of Detroit has only one large chain grocery store.
This dealer was doing fine with GM's move from the New Center. Their sales were stong, as were their shop services. Their customer service ratings were extremely high. What was not in their favor is: There is a Chevrolet-Buick dealer across the street, so in GMs mind this is a duplicate GM service & body shop. They used to sell Oldsmobile from 1954 to 2004. They are a single family owned location; i.e. not a multi dealer chain (this is common with most closing, none Saturn dealers, not in rural areas) . Its the type idea that central Detroit customers will go north or west to get their services. There is a Cadillac dealer in Warren, Dearborn and St Clair Shores. By the way, Novi only has one large national chain grocery store. But 5 across the street just like any sprawled area around the metro area... how many chain stores sit on a Detroit boarder (?)