GM uses Chinese success to reinvent LaCrosse

With help from its design team in China, General Motors Corp. is trying to reinvigorate the Buick brand with its 2010 LaCrosse luxury sedan.

The LaCrosse, set to debut at the North American International Auto Show next week, marks the second turnaround of the Buick nameplate for the Detroit automaker. Last year, GM rolled out a new 2009 Buick Enclave sport utility vehicle.

Due to Buick's popularity in China, the company's design team there took the lead in remodeling the LaCrosse, said Russ Clark, GM's executive director of product for Buick, Pontiac and GMC.

"We've learned there's a lot of matching (in North America) to what the Chinese market might expect out of Buick," he said. "They were keenly involved in the vehicle, particularly the interior design, the amount of space and room and attention to detail in the backseat."

Clark said Buicks in China are often used to carry company executives, hence the attention to detail in the backseat in terms of comfort and accessories. Options on the LaCrosse include a rear-window power sunshade and two seatback display screens connected to a DVD system.

Sales of Buicks in China reached 332,000 units in 2007, according to data supplied to IHS Global Insight, a consulting firm. The LaCrosse was the second-best seller there, with 71,500 cars sold. Figures for full-year 2008 year were unavailable

By comparison, GM sold 137,197 Buick branded cars and light trucks in the U.S. in 2008, down 26.4 percent from 2007. The company sold 36,873 LaCrosses in 2008, down 23 percent from 2007. In December alone, LaCrosse sales dipped 59 percent to 1,451 units.

The 2010 LaCrosse is fully remodeled, with a sleeker exterior and higher-quality interior that includes ambient lighting around the dashboard. As one of the four core brands for GM, Buick is looking to broaden its appeal. It has shrunk its product lineup from eight vehicles to three sedans and crossovers — the Enclave, Lucerne, and LaCrosse_ over the past five years, Clark said.

He said conversations with Enclave owners revealed that many of them learned of the car by simply seeing it the street. They didn't know much about the models, except for Tiger Woods appearing in the vehicle's commercials.

Still, Buick faces the challenge of drumming up awareness of the new style and design of its models, and is looking to attract a younger demographic to the Buick brand in the U.S., a brand which has been derided in the past as one for older customers.

"A lot of people don't take Buick seriously because it has a lot of baggage, but there is potential," said Rebecca Lindland, an auto analyst with the consulting firm IHS Global Insight.

The average age of Enclave buyers is lower than traditional Buick customers as GM tries to reach young, affluent buyers, GM said.

"It's a good example of where a beautiful vehicle can overcome a brand with baggage like the Buick brand, and I think the LaCrosse can do that as well," Lindland said. "It has very lovely proportions and lines. It certainly doesn't look like your standard Buick."

While baby boomers may have eschewed the Buick brand as too stodgy, Generation Y may help Buick make a comeback in the U.S., she said.

"Younger buyers aren't that passionate in their denial of the brand," she said. "There is an opportunity to revitalize this brand and products like the Enclave and LaCrosse are good examples of that."

The LaCrosse is equipped with a direct-injection engine and GM estimates the car, due out later this year will get 18 miles per gallon in the city and 27 on the highway.