The time seems right for a Hummer revival.
As General Motors dealt with bankruptcy in 2009 at the same time the US economy was facing a major downturn, the Hummer brand was put out to pasture. At the time, gas prices were reaching record highs while most Hummer models on sale had terrible fuel economy ratings. It simply wasn't the right time for Hummer, but fast forward to 2019 and the landscape looks different as buyers have once again gone SUV-crazy.
We pitched the idea of a Hummer revival a few years ago, but now GM seems to be considering a revival of the deceased brand. In an interview with Bloomberg, GM President Mark Reuss expressed his enthusiasm for a Hummer revival.
GM is in the midst of an electric vehicle revolution and the American automaker is exploring all avenues to provide an appealing EV product. Cadillac is expected to spearhead GM's shift to EVs, becoming an all-electric Tesla rival in the process. Turning Cadillac into an electric brand should be a great way to create a stronger brand identity but on its own, the move might not be enough to dethrone Tesla. That's where Hummer comes in.
We've seen how successful Jeep has become in recent years and the Hummer brand could be a strong competitor with rugged styling and off-road capability. "I love Hummer,” Reuss said during a press conference. "I’m not sure. We’re looking at everything.”
We know GM is working on a new EV platform called BEV3, which will underpin a variety of car, crossover, and SUV models under several of the automaker's brand portfolios. The company plans to introduce 20 new EVs by 2023 and will then turn its sights on building an electric pickup truck. Thing is, an electric truck is still several years away and a Hummer brand revival would also take several years to accomplish.
If GM does decide to move forward with the Hummer revival, it must use a different strategy than last time when it set up standalone dealerships. That's because when Hummer stopped selling cars, those dealers became furious since they had to invest in building separate facilities just to stay open. If the Hummer brand were to return, it would likely be marketed and sold in Cadillac or Buick-GMC dealerships.