During my recent travels, I found it noteworthy that the Cadillac Escalade, the brand’s most popular and most expensive model, was so abundant in LA. This is especially significant given that I never saw another late model Cadillac on the road in LA other than Escalade.
It’s almost as if Escalade is something other than a Cadillac
California is considered the car culture capital of the U.S. More vehicles are sold there than in any other state. Entry-level Escalades have a base price over $80,000, with top-of-the-line models commanding a price over $160,000. To see a substantial number of these vehicles in LA means that the Escalade has gained cultural significance in a region that has come to define automotive cultural substance.
According to a 2021 AutoPacific study, the median age of a Cadillac buyer is 60, but the median age of an Escalade buyer is a lot younger at only 41. Baby boomers buy nearly 48% of all Cadillacs, but only 19.6% of baby boomers buy Escalades. A substantial 59% of Escalade buyers are Gen Y buyers (born between 1977 and 1994). The median household income of the general Cadillac buyer is $140,000, but the Escalade buyer has a median household income of $190,000. The Escalade buyer is also more multicultural than other Cadillac buyers, with 18% of Escalade buyers being Black versus only 8.7% for the overall for Cadillac.
Interestingly, it's almost as though the Escalade is not a Cadillac, which is both a blessing and a curse for General Motors. This dichotomy presents an opportunity, however. As GM transitions to an electric vehicle future, California represents the company’s best opportunity to expand Cadillac's reach beyond the Escalade into the most important U.S. automotive market.
California's zero-emission vehicle (ZEV) market is robust, with 17.7% of all new cars sold in the state being ZEVs and 42% of all ZEVs sold in the U.S. being sold in California. In addition to the currently available all-electric Lyriq and the newly announced electric Escalade IQ, another Cadillac electric vehicle (EV) is slated to launch soon as well. If Cadillac can sprinkle a little "Escalade" into all of its new EV entrants, maybe their appeal to Californians will spread to a more substantial national stature as well.