Jay Sorensen, president of IdeaWorks, a company that tracks airline services and frequent flier programs, said the move is beneficial for both American and Cadillac.
"For American, it highlights the airline as a top luxury brand," he said. "For Cadillac, it helps the brand be seen by elite travelers and every day passengers."
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The move is the latest by Cadillac to try to kick start its brand, which is struggling to attract buyers as its competitors are enjoying strong years. Cadillac sales year-to-date are down 4.2 percent, while BMW, Mercedes, Lexus and Audi are all seeing sales grow between 9 and 16 percent, according to Autodata.
Part of the problem for Cadillac has been on the product side, where new models have been inconsistent. Among entry-level luxury models, its ATS outsells the Audi A3 and Mercedes CLA Class, but sales are still down 20 percent this year. Meanwhile, Cadillac's extended-range electric car, the ELR, has been a complete bust. Just 885 have been sold this year.
Along with its partnership with American Airlines, Cadillac is attempting to re-establish itself with luxury buyers by moving its headquarters to New York.
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