Brent Dewar: Chevrolet Is General Motors
October 08, 2009
The future success of the new General Motors Company rests largely on the bowtie of 
Chevrolet. With the automaker winnowing its brands from eight to only four, Chevrolet carries the load for sales and market share around the world.
And the weight of Chevrolet rests on the shoulders of Brent Dewar, who was named the vice president of Chevrolet Global after the automaker emerged from bankruptcy in July. He headed Chevrolet in the early part of the decade as the automaker made plans to take the brand global.
"Chevrolet needs to be the General Motors Company," Dewar told AutoObserver.com in an exclusive interview recently.
Chevrolet Must Fill Voids
Indeed, agrees Dewar's boss, GM CEO Fritz Henderson. During Wednesday's press briefing on the new GM's progress in its first 90 days, Henderson reiterated the importance of Chevrolet.
"Buick, Cadillac and GMC play a critically important role, but in terms of driving share, it has 
to be Chevrolet," Henderson said. "I won't say I'm satisfied with the progress, but I'm seeing signs we're getting traction. Chevrolet can fill the void of Pontiac and Saturn."
Henderson said GM can retain market share with Chevrolet's new 2010 Equinox substituting for the Saturn Vue and Pontiac Torrent, and the Chevrolet Malibu for the Pontiac G6 and Saturn Aura.
"With the introduction of the Chevrolet Cruze next year, Chevrolet has the opportunity to not only maintain but boost share," Henderson said.
Specifically, Dewar says his marching orders are for Chevrolet to account for 70 percent of GM's sales worldwide. So far this year, the Chevrolet brand comprises 52.3 percent of GM's global sales.
In the U.S., the gap to the goal is narrower. Chevrolet has played an increasingly larger role within GM. In 2002, Chevrolet vehicle sales accounted for 54.1 percent of GM's total U.S. sales. So far in 2009, Chevrolet sales represent 64.3 percent of GM's total.
Hitting Chevrolet's 70-percent goal by taking up some of the 9 percent and 4 percent of GM sales that come from soon-to-be-defunct Pontiac and Saturn, respectively, should be doable, says Edmunds.com analyst Ivan Drury.
"If all would-be Pontiac and Saturn buyers turned to Chevys, the brand's percentage of GM's U.S. vehicle sales could soar to 78 percent," said Drury. Overlapping models with some incentives and savvy marketing thrown in -- along with the addition of new models like the Chevrolet Cruze and Chevrolet Volt -- could help Chevrolet meet its goal, Drury noted.
"Chevrolet has been General Motors," said Dewar. "At times, we let the parent brand get in the way of the automotive brands. But now Chevrolet needs to be the General Motors company."
Globally, Dewar says Chevrolet will have to remain strong in South America, where he spent six years in Brazil, some of which working for Henderson. At the same time, Chevrolet must continue to grow in fast-paced India and China.
Chevy also must double sales from 500,000 to 1 million in Europe, where Dewar was last stationed before returning to North America. The second 500,000 in Europe will be more challenging than the first, which came largely from young buyers looking for affordable transportation, Dewar said. The next 500,000 must be achieved by going directly against Europe's most 
formidable competitors, including Volkswagen.
And, Dewar insists, Chevrolet will grow in the U.S., despite it being a mature market. Chevrolet will do so largely by filling the void left by Saturn and Pontiac. Chevy also will beef up the brand's line with vehicles from around the globe and models in new segments, like the Chevrolet Orlando compact crossover. Then Chevy must develop cheerleaders for the brand and the models.
Creating Enthusiasts
Dewar's vision is to create enthusiasts for each segment of vehicles in which the brand participates. "Great consumer brands have to develop products in retail environments in which they create enthusiasts for the brands," he said, pointing to Apple as an example of a company that builds lifelong fans -- Dewar among them -- for its products.
Dewar gives Chevrolet a grade of A in two of those five categories: performance, which includes the Chevrolet Camaro and the Chevrolet Corvette; and trucks, notably the Chevrolet Silverado.
He admits Chevy "needs improvement" in the modern family category, a category he has moved to since his wife, whom he met during his stint in Brazil, adopted a now-3-year-old daughter from China. The Chevrolet Malibu and Chevrolet Traverse enhanced the brand's stature in the segment, in which safety, security and affordability are critical. The Equinox, Traverse and upcoming Orlando (as well as future Tahoes and Suburbans) will boost Chevy's grade in the category, Dewar vowed.
But "not making the grade" goes to the youth and environmental segments -- the two categories for which Dewar sees the greatest growth opportunities.
Chevy Tries To Go to College
Dewar wants Chevrolets to be on college campuses across the globe -- with gusto. "We have lots of Chevrolets on college campuses -- but by default," said Dewar, acknowledging the Asian automakers have done a better job attracting college students.
"A flaw in the American auto industry is that we've missed creating the little boy's dream or little girls' dream about a car," said Dewar who experienced that dream as an 8- or 9-year-old.
Dewar was the fourth in a family of five children raised in Canada, where the family transportation was a station wagon -- what nameplate Dewar can't recall, but he remembers it as bland. What he does remember in vivid detail is watching the Wide World of Sports when an ad for the new Chevrolet Corvette aired. "It was the first time in my life -- on that day on that television show -- that I thought 'wow.'"
Dewar immediately insisted that his father -- a non-car guy Dewar describes as knowing no more than how to put the key in the ignition -- buy a Corvette. To amuse him, Dad said, "sure." Recalls Dewar: "I thought for sure we were getting a Corvette!"
Chevrolet's goal must be to capture the imagination and build the enthusiasm of youth as it did with the Corvette of Dewar's youth with vehicles they can afford. Chevy's first efforts will be with its first mini-car, the upcoming Chevrolet Spark and the next-generation Aveo, followed by unnamed smaller cars from around the globe, Dewar said.
In addition, Chevrolet must talk to the youth market differently than it has, with heavy use of social media.
"If you're on the 5 o'clock news talking about the Chevy Spark, you might get a few grandparents who will buy it, but we have to be relevant with our products, their positioning and the tonality of our communication," he said. "I see that as a radical shift in how we approach the market."
Chevy Growing Various Shades of Green
Dewar sees the environmental category as another huge growth potential for Chevrolet.
Dewar is an admitted life-long environmentalist who eats no meat, he's a runner and, when stationed at GM Europe in Zurich, he took public transportation twice a week to reduce his personal carbon footprint. He says the trick for Chevrolet is to find the right balance between environment, fuel efficiency and economics.
That equation varies by customer and category. Dewar noted in 2010, Chevrolet will launch the new Cruze small car promised to deliver 40 mpg, the revamped heavy-duty pickup with a new diesel engine and the eagerly awaited extended-range Chevrolet Volt.
"All three are great stories of propulsion," said Dewar, "around which we can develop an enthusiast culture." -- By Michelle Krebs, Senior Analyst and Editor at Large
Photos by GM
1 - Brent Dewar, with the Chevy bowtie as a backdrop, is on his second tour of duty as head of the division.
2 - The Chevrolet Cruze joins the line in 2010.
3 - The Chevrolet Orlando enters a new segment for the brand.
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