Buick, GM’s low-key pseudo-luxury brand, is suddenly hot | CNN Business (2024)

Buick, GM’s low-key pseudo-luxury brand, is suddenly hot | CNN Business (1)

The inexpensive 2024 Buick Envista is leading a sales resurgance for the brand.

CNN

In its earliest days Buick had a reputation for engineering innovation and raw speed. Swiss-born race driver Louis Chevrolet made his name, in part, driving Buicks on race tracks around the country.

In the 21st Century, though, Buick, which celebrates its 125th anniversary this year, has been a quiet spot in GM’s North American brand strategy. It’s long been popular in China where, despite increasing competition, it still sells far more vehicles than in the US. Not quite a luxury brand but not quite mainstream either, Buick offers luxury style at bargain prices. Recently, with some fresh designs, car shoppers have started noticing and sales have rocketed upward.

Last year, Buick sales rose more than 60% in the US compared to 2022. Things cooled off somewhat this year compared to a white-hot 2023, but sales were up again in the first quarter of 2024. Buick is one of the fast growing car brands in America.

“It’s all new, it’s actually good looking. It’s one in five of their sales and it sells quickly,” Edmunds.com analyst Ivan Drury said of the Envista. “It sells faster than the vast majority of GM products.”

Buick’s high-design history

Buick’s latest iteration of an eye-catching design is striking a chord. Since before World War II, GM has treated Buick as a design showcase. The 1938 Buick Y Job, a long, low convertible, is generally regarded as the auto industry’s first “concept car.” Production cars like the elegant, flat-sided 1963 Riviera helped move auto design forward from the chrome-encrusted ’50s, according to the The Atlas of Car Design by Jason Barlow.

A sharp-looking entry-level model has certainly helped, accounting for the largest chunk of the increase, according to data from Edmunds.com. The Buick Envista introduced last summer is, essentially, a modified version of the well-received Chevrolet Trax, GM’s cheapest crossover SUV. The sleek Envista looks distinctive enough that hardly anyone would guess the relationship. With prices starting at around $23,000, the Envista costs only a couple of thousand dollars more than the Chevy.

Buick, GM’s low-key pseudo-luxury brand, is suddenly hot | CNN Business (2)

The 1938 Buick Y Job is generally considered the auto industry's first "concept car."

Buick’s new look, the one that’s drawing buyers to the Envista and the recently redesigned Encore GX, was previewed by the 2022 Buick Wildcat EV concept car. It includes a curved blade-like front, smooth sides, and slim wedge-shaped lights.

“No one came to us – I don’t think we even said it to ourselves – that there was a problem with the old [design style.] It was just through the constant experimentation and looking toward the future, and what can we do with that, we came up with a solution that we thought would move the brand forward,” said Bob Boniface, head of Buick design.

Despite the fact that the Wildcat concept is a two-door electric car, the fundamental design cues were intended to be easily transferable to gas-powered four-door SUVs, too, said Bob Boniface, head of Buick design. Aspects will appear on a redesigned Enclave three-row SUV and an Envision model coming to market later this year.

The fresh designs of the Envista and Encore GX have attracted buyers into showrooms, some of whom have been buying other Buick models, said Duncan Aldred, who currently oversees both the Buick and GMC brands at GM. He pointed out that the Enclave and Envision, models that, for now, still sport Buick’s older design style, also had significantly increased sales.

“I think what we’re getting is the halo effect of the new design language,” he said.

Almost 70% of Buick buyers are new to the brand, according to GM. In fact, data on trade-ins for the Envista, as with the Chevy Trax, indicate that it’s often a buyers’ first new car, which is a good thing for Buick and for GM, since it means its bringing in a fresh crop of customers, Drury said. It’s doing exactly what an “entry level” model should do.

Facing headwinds

To be fair, Buick’s relatively small size makes its sales figures somewhat volatile and it’s had ups and downs before, according to historical data from Cox Automotive. But the trend lines are clearly positive at the moment. In 2023, Buick sold 167,000 vehicles in the US, moving it up just ahead of Cadillac among GM’s four brands in this market.

Buick, GM’s low-key pseudo-luxury brand, is suddenly hot | CNN Business (3)

The Buick Wildcat EV concept, shown here in a rendering, provided a preview of Buick's latest "design language."

Shifts in the American automotive market have presented a particular challenge for Buick. Within GM’s North American brand structure, Buick has traditionally been paired with GMC with both those brands placed under the leadership of one person and mostly sold at the same dealerships. For the past decade, that’s been Aldred, a lanky Englishman with a Liverpool accent who had previously worked for GM in Europe.

The original idea behind putting these brands together was that, with Buick’s cars and GMC’s trucks and SUVs, a Buick-GMC dealer would have a full line of vehicles to offer virtually any customer who came in. But the American auto market has shifted so hard toward trucks and SUVs that Buick now sells only SUVs and no cars at all.

GMC, which sold more than three times as many vehicles as Buick last year, brings in big profits for General Motors. For vehicles that often have little substantial difference from Chevrolet trucks and SUVs, buyers willingly pay thousands more for the GMC version and even more for pricier sub-brands like Denali and off-road-tuned AT4 models.

Buick has borrowed that sub-brand stategy from GMC. Buick has Avenir which indicates a slightly more posh versions of Buick models. Last year, Avenir models, which get some fancier interior materials, more features, and distinctive paint colors, made up almost a third of Buick sales, the highest levels yet, Aldred said.

The question now, of course, will the positive vibes last this time for GM’s sometimes awkward middle child.

Buick, GM’s low-key pseudo-luxury brand, is suddenly hot | CNN Business (2024)

FAQs

Is Buick considered a luxury brand? ›

Yes! Buick models are luxury vehicles. This brand is a go-to for drivers looking for a more affordable, high-end car or SUV with plenty of premium amenities.

What is the GM luxury brand? ›

Cadillac Motor Car Division, or simply Cadillac (/ˈkædɪlæk/), is a division of the American automobile manufacturer General Motors (GM) that designs and builds luxury vehicles. Its major markets are the United States, Canada and China. Cadillac models are distributed in 34 additional markets worldwide.

What US car company controls the brands of Buick Chevrolet and Cadillac? ›

General Motors (U.S.) owns Buick, Cadillac, Chevrolet, and GMC. Hummer is now a GMC sub-brand. GM has a formal partnership with Honda to co-develop EVs.

Is Buick a luxury brand in China? ›

It's long been popular in China where, despite increasing competition, it still sells far more vehicles than in the US. Not quite a luxury brand but not quite mainstream either, Buick offers luxury style at bargain prices.

What is the reputation of Buick? ›

Buick ranks among the most reliable domestic automakers. These are good, safe, reliable models with the lowest transaction prices.

Is Buick an old person brand? ›

Traditionally, brands such as Buick, Cadillac, and the Lincoln-Mercury line were the top choices for older buyers, however sales of cars to older buyers have increased more towards the basic versions of mainstream vehicles.

What is GM's best brand? ›

The company owns several of the most iconic U.S.-built car brands, including Buick, Chevrolet, and Cadillac. Chevrolet is GM's most successful brand, with its Equinox model ranking sixth among the best-selling crossover and sport utility vehicles of the country in 2023.

What brand is discontinued by GM? ›

Former GM automotive brands include LaSalle, McLaughlin, Oakland, Oldsmobile, Opel, Pontiac, Hummer, Saab, Saturn, Vauxhall, Daewoo, and Holden.

Which GM brand is the cheapest? ›

Buick Is GM's Budget Brand Now, Not Chevy.

Does China own Buick? ›

Buick (/ˈbjuːɪk/) is a division of the American automobile manufacturer General Motors (GM).

Is Buick owned by Ford? ›

For starters, Buick is owned by General Motors (GM), who also owns GMC, Cadillac, and Chevrolet.

Who makes Buick engines? ›

The Buick V8 is a family of V8 engines produced by the Buick division of General Motors (GM) between 1953 and 1981. All were 90° water-cooled V8 OHV pushrod engines, and all were naturally aspirated except one turbocharged version of the 215.

Why do Chinese love Buick? ›

In the 1990s, Buick partnered with a key local manufacturer, joining forces to create brand new vehicles that stood out from the competition. This move also left a lasting positive imprint on the Chinese collective memory. In addition, Buick has enjoyed a fruitful partnership with the Shanghai Automotive Industry.

Why are Buicks so popular? ›

One of the main reasons why Buick is so popular is due to their commitment to innovation and technology. In 1908, Buick introduced the first closed-body car which revolutionized the automobile industry. Furthermore, they were one of the first companies to incorporate safety features like seat belts into their vehicles.

Why is Buick still around? ›

Buick is one of the many brands under the General Motors umbrella. The automotive behemoth decided to cut staple American manufacturers like Hummer (now back as an EV) and Pontiac over a decade ago, for not being strong enough brands. However, GM decided that Buick was worth keeping around.

Is Buick more luxury than Cadillac? ›

Is Buick More Luxurious than Cadillac? Buick offers luxury vehicles positioned above other GM brands, such as Chevy. But Cadillac is considered more luxurious compared to Buick.

Is Buick more luxurious than Chevy? ›

The Buick line of vehicles are simply more luxurious and come with a much more generous offering of standard equipment. On the other hand, the Chevrolet lineup is more expansive, boasts more space, and more towing capacity.

Is Buick a status symbol? ›

While no longer the status symbol they were in the postwar heyday, Buicks remain competitive vehicles, delivering satisfaction to many drivers today. If you're unsure if buying a Buick is the right choice for you, then consider a car subscription from FINN.

Where does Buick rank in cars? ›

Rankings are based on the brand's average Overall Score, which is a combination of road test scores, predicted reliability and owner satisfaction data, along with safety for all of the models from each manufacturer. Overall, Buick slotted in 13th, thanks to its 69-point score.

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