Is $10,000 Off An Escalade Enough To Keep People Away From Navigators?

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The Lincoln Navigator is catching up, but Cadillac isn't giving in.

The new Navigator is a fresh entry into the full-size SUV segment, and Lincoln is selling them faster than it can make them. In fact, the Navigator is so good that GM has to offer discounts in order to stay competitive. GM is no stranger to big discounts, so the company is offering up to $10,000 to keep Escalade owners from switching to a Navigator. A nationwide $10,000 deal applies to lessees of all 2016 model Escalades, while owners are being offered a $7,500 discount - this according to Automotive News.

These discounts are valid through May 31 according to a GM memo. Jim Cain, a GM spokesperson, referred to the discount as "an exclusive private offer" designed to "keep people in the family." Cadillac has plenty of reasons to want to keep its customers from switching to Lincoln. The Escalade isn't a particularly high volume model, selling just 22,994 units in 2017, but it produces around $1 billion in annual profit for GM. The Navigator is still being outsold by the Escalade, but sales have increased by 63% so far in 2018. In fact, dealerships have been struggling to keep up with demand, as Navigators average just 10 days on the lot before being sold.

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GM's plan seems to be working, because Escalade sales are up and the average transaction price has been rising slightly. We still prefer the new Navigator, but $10,000 off a new Escalade could be enough to sway our decision.

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