Buick Envista targets young buyers ahead of EV transition

ANN ARBOR, Mich. — By the end of 2024, Buick will have overhauled its vehicle lineup and, it hopes, be on its way to cementing its image among younger consumers as an aspirational brand of premium SUVs.

The accelerated cadence of fresh products Buick is bringing to the market — five new, updated and redesigned models over 18 months, including its first electric vehicle — is the first step toward getting new and younger buyers behind the wheel of its crossovers on the way to becoming an all-EV brand by the end of the decade, Buick leaders told sibling publication Automotive News.

The Envista subcompact crossover, which debuted in April to replace the Encore as Buick's entry-level vehicle, will be a key test of that strategy. Internally dubbed Buick's "conquest champion," the Envista is positioned as a step up for Buick sedan owners who don't want the size of an SUV and as an accessible premium entry for consumers leaving other brands, said Sam Russell, Buick's marketing director.

"We really see this as our calling card to customers that may have never considered a Buick before. Because it sits not only in a unique space in terms of pricing, it sits in a unique space in terms of its styling. There's nothing quite like it in the marketplace," Russell said at a media drive for the 2024 Envista.

"If you're not out to consider or shop an SUV," he added, "you'll overlook us."

Buick aims to keep that from happening by catering to consumers who Russell said have been "orphaned" by automakers phasing out sedans and who aren't interested in driving bigger, boxier utilities. Buick stopped building sedans several years ago, and the market since has shifted to more expensive vehicles, in part, because of a shortage of microchips that led manufacturers to prioritize their most profitable offerings.

Amid the upward pricing trends, General Motors is making a strategic affordability play with some of its newer entrants, including the sub-C$25,000 Chevrolet Trax built on the same platform as the Envista in South Korea.

The Envista and its Encore GX sibling, which has been freshened for 2024, both start at less than $30,000, including shipping. The Encore GX is Buick's all-wheel-drive entry model, while the Envista is 11 inches longer and nearly three inches lower than the Encore GX. The Envista's marketers say its proportions allow for sedan-like handling with SUV functionality.

Nearly 70 per cent of Buick's customers in 2023 were new to the brand, Russell said. Buick's customer loyalty scores also are its highest since 2004 — through June, roughly 36 per cent of previous owners bought another Buick, according to the brand — which gives it a fresh opportunity to introduce its premium lineup to consumers whose perception of Buick might be 20 years out of date, Russell said.

The foundation the brand is working to build now will carry over to Buick's future EVs, he said.

"These are the right products for the brand as we want it to be represented today," Russell said. "They are all very much new products as far as how we're executing our design language, how we're executing the integration of the technologies in the vehicle, how we're executing our overall premium positioning, in terms of what we offer for the prices people pay."

Buick would not provide sales estimates, but a spokesperson said the brand expects the Envista could even become Buick's top seller. It has a good shot at that, said Paul Waatti, manager of industry analysis for AutoPacific Inc.

The Envista maintains the affordability of the outgoing Encore but is "leaps ahead in terms of product positioning and style," Waatti said. And it reflects an ongoing evolution at the low end of the market away from sedans or hatchbacks without much personality, joining newer small crossovers such as the Trax or even Ford's Maverick compact pickup.

"It's really a great time to be an entry-level buyer," he said, "because you're not restricted to what was previously the entry-level model."

Since February, Buick has shown the Envista and Encore GX, as well as a freshened Envision compact crossover. The brand has not confirmed the last two of its five launches, other than noting that one will be electric, the other will have an internal combustion engine, and both will launch in 2024.

Buick previously said its first EV will arrive in 2024 using the Electra naming convention. Automotive News also has reported that the Enclave full-size crossover — the only gasoline vehicle in Buick's lineup for which an update has not been announced — is slated to be redesigned next year.

As part of the product revamp, Buick is emphasizing the modern technology and safety features in its vehicles, including an eight-inch driver information screen and 11-inch infotainment screen behind one piece of glass, and GM's Super Cruise hands-free driver-assist system, which makes its Buick debut in the 2024 Envision.

The strategy is to give consumers technology that can enable and simplify their lives — an approach it will maintain as Buick goes electric, Russell said.

The brand has said it will transition to all EVs by 2030, though Buick's combustion vehicles will coexist alongside its EVs "for some time," Russell said.

"As with every forecast, I imagine market dynamics will shift. The economic environment will shift and strategies will shift to accommodate those changes to make sure that the brand continues to win in the marketplace and does what's right for the customers," he said. "But right now, that's kind of how we have it set up, is that over the next six years we will transition away from ICE and into an all-EV future from 2030 and beyond."

Buick struggled last year with supply constraints that held back sales. Brand leaders have said 2023 represents a rebound year for Buick. Its U.S. sales rose 68 per cent in the first half of the year, led by the Encore GX. In Canada, total Buick sales were up 67 per cent, also led by Encore GX sales.

"The Envista should be a good test for the brand's long-term longevity in the U.S.," said Sam Fiorani, vice president of global vehicle forecasting for AutoForecast Solutions.

If Buick can get more younger consumers into the brand with the Envista now — particularly those with the means to purchase in the premium market — those buyers could be ready to move to a Buick EV in a few years, he added.

"When you lure in the younger buyers for a vehicle like the Envista, you're already tapping into a market that is more open to the idea of an electric vehicle," Fiorani said.

Envista production began in May, and the first deliveries to dealerships should begin this month, Russell said. He added that the launch campaign for the Envista could appear toward the end of the year once dealerships have enough inventory to support advertising-driven demand.