The brand currently has approximately 900 stores across the country.
Cadillac owned 882 dealerships across the United States. 153 of these were standalone, single-brand showrooms. In 2008, the brand owned a staggering 1,400+ franchises in the United States. Approximately 500 of these were lost shortly after General Motors’ bankruptcy. If a new report is correct, it is likely that this number will drop to half by 2022.
Automotive News reports GM plans to dramatically reduce the number Cadillac dealers in America. Approximately 20 percent of current franchises are expected to leave by 2021. As previously reported, 150 people have said goodbye to GM. A Cadillac brand sells less than 180 vehicles annually in the US, while BMW and Mercedes-Benz showrooms sell over 900.
If you look at the current situation, 700 Cadillac dealerships are multi-brand. This makes it easier to keep Cadillac and to adapt to its changing strategy. General Motors recently told Cadillac dealers that they could either invest $200,000 on retooling, charging stations and worker training or accept a buyout.
“When you’re able to double with a couple of other brands and have shared costs, you can still sell your units,” George Karolis (president, The Presidio Group), commented to Automotive News.
Cadillac dealers in more populous markets and states seem to be more willing to invest in the new strategy of selling only electric cars by the end the next decade. It is more difficult for dealers to return large investments in smaller states, where EVs will be less appealing.