Chevy's Got A Crossover!

Anthony Fontanelle
May 30, 2007

The General Motors Corp. is winning over customers with its trio of new large crossovers for its GMC, Saturn and Buick brands. But where is Chevy’s crossover?

Among GM’s brands, Chevy was left with no crossover - one of the hottest segments in the auto industry today. To fill the void in the brand’s lineup, GM is planning to release a Chevy crossover, likely to be named the Traverse. The crossover will be using the same basic architecture as the Saturn Outlook, GMC Acadia and the Buick Enclave. This information was divulged by individuals familiar with the plan. The Traverse will blend SUV attributes with a car-like drivability and fuel efficiency. The crossover is slated for production next year.

"It seems like they're realizing, 'We have a home run here, we'd better get these to our volume dealers,'" said dealer Steve Cook, who sells Chevrolet, Buick and GMC vehicles at his Vassar dealership. "With Chevy being my main line, it would help to have one."

The idea for a Chevy crossover was considered several years ago but was abandoned because the Detroit automaker was reaping in large slice of profits from the hot-selling TrailBlazer. But volatile gas prices sent customers away from midsize SUVs in droves. The automaker intends to stop selling the TrailBlazer by 2010.

GM's product line correction comes as the company is overhauling its auto development system to allow it to react more quickly to shifting consumer demands and bring vehicles to the market sooner. The Chevrolet Silverado is doing great in the market, thanks to improved auto parts like Chevrolet pickup spark plug wires, engines and radiators.

GM spokesman Chris Preuss declined to discuss product plans but said that Chevrolet has a gap in its lineup. "With the decline in the midsize of the utility segment, we haven't had anything to fill the void," Preuss said. "The (crossover) package was so well done, they've appealed to customers."

Meanwhile, Chevrolet sales have fallen six percent. A crossover might not have shunned the dive, but the fact the TrailBlazer accounts for nearly a third of Chevy's sales indicated a crossover offering might have helped keep some purchasers.

While acknowledging that Chevrolet would have benefited from having a crossover sooner, especially as fuel prices trouble auto purchasers, the situation isn't dire, said Troy Clarke, GM's president of North America. Demand for the crossovers is robust and GM is coming out with a slew of new vehicles in the next couple of years.

Also vital to reflect on is that crossovers remain a comparatively small piece of the auto business, said Jesse Toprak, the chief economist for Edmunds.com. The segment accounts for approximately eleven percent of vehicles sold in the United States.

Cook, the GM dealer, is driving an Enclave, and regularly accumulates questions from flattering friends and neighbors. But the Enclave is a bit pricey, starting at about $33,000, and Cook thinks a cheaper Chevrolet version could draw more business. "I think a lot of dealers felt cheated," he said.

Source:  Amazines.com