Pricing

[antsy]

Interesting sales data on the Cadillac ATS has become available, turns out the ATS is having difficulty commanding prices on par with BMWs 3-Series. Average transaction price for ATS settles at $39,459 while the 3-Series enjoys a $5,000 cushion at $44,764. Cadillac also offers shoppers $500 more in incentives.

Expect the ATS to make up its ground quickly enough with the ATS-V and ATS coupe expected to come online shortly.

I wonder if a part of this is that shoppers are switching to ATS because of its lower transaction costs. I know part of the reason that attracted me to the ATS was that Cadillac promised BMW type dynamics from a car with American soul. Saving $7,000 wasnt bad either

[Truthiness]

Since the ATS is such a new model, I think Cadillac should be happy with its sales numbers even though it had to lower the price to compete with BMW. Cadillac Spokesman David Caldwell says that 74 percent of ATS buyers are new to the brand, and 20 percent of buyers are under 35. This is great news, and over time perhaps the ATS will gain the clout that will allow Cadillac to raise the price. I think that gaining new customers, especially young ones, is great news for Cadillac. Did Cadillac really think it would just overtake BMW sales with the ATS so easily?