The reason Toyota spawned the Lexus brand was so that the high end luxury cars didn't have to share a showroom with Corollas and pickup trucks. Cadillac is already separate from Chevrolet, so there's no need for a new brand name. Time will take care of perceptions, as long as they keep building quality cars. BMWs current reputation with the non-enthusiast started with the yuppies and E30, and then moved up the chain as the aging yuppies bought bigger and more expensive models - first the E34 and E39, then on to the E60. The CTS is already a good car, and if the ATS sells well, eventually people will be ready for an top end model.