Exclusive: General Motors targets China's urban rich with luxury imports

General Motors' sales of Buick, Cadillac and Chevrolet in China have slumped by a third over the past five years. GM is planning to target well-heeled consumers in the megacities with luxury imports. It will launch a new direct sales platform called Durant Guild. The first event is scheduled for Friday in Shanghai. i in the head of GM in Chinese market, Julian Blissett, said such "halo cars" would fit nicely into communities of consumers with an interest in performance cars for racing, or SUVs to venture off the beaten track.

GM hopes to attract new customers by using a sales and marketing model similar to those used by Tesla and Apple in China. Global automakers are falling behind local players in the electric vehicle market. GM is preparing to unleash a new generation of smart EVs in Chinese market starting with the Cadillac Lyriq SUV this year. GM's Chinese joint venture sales by SAIC Motor had fallen 4.6% by the end of August compared with same period last year, while BYD sales sky-rocketed 267%.

GM launched a direct-to-consumer channel to sell specialty vehicles shipped from North America in China. GM has the full support of SAIC for both the idea and intent behind Durant Guild. There is no push back from Chinese dealers marketing Buick, Cadillac and Chevrolet cars for GM and SA IC. Urban Science expert Chee-Kiang Lim believes GM should focus on changing lifestyles among consumers. He also believes that consumers are increasingly preoccupied with smart, connected features. The company should overcome this bias and provide high-tech, personalised features and seamless connectivity to China's digital ecosystems.