Europe: are German luxury autos going to lose exclusivity? image

Just taking a look at an earlier post today, you can see that German premium cars are selling like never before. So there’s an underlying question – could the rising deliveries dent their proverbial exclusivity?

After just three months have passed from 2015, BMW, Audi and Mercedes collectively delivered globally around 1.3 million units, jumping 9 percent from the same period a year ago. Records fell at all three brands, with BMW keeping the first place at 451,600 deliveries, followed by Audi at 438,200 units and Mercedes-Benz with 429,600 vehicles. This time around though, we do have a derogation from the norm, because we’re not taking into account the underlying profits – if sales are the top speed and profit the acceleration let’s say we’re this time only interested on going fast on the Autobahn.

The incredible sales gains are actually taking a toll on their promoters – the appeal of a German luxury car is that you usually need some massive efforts to get behind the wheel of one – so owning it is also a matter of pride and prestige. “The issue in luxury is people don’t always want the No. 1 selling vehicle,” comments Lara Koslow, chief of the Consumer and Customer Insight Center at Boston Consulting Group. “They don’t want to be one of many; they want to be one of few.”

To ramp up worldwide sales, all three makes have resorted to building more affordable models – they all have entry-level models under $30,000 in the United States, the largest luxury auto market in the world. To tackle the problem, the carmakers simply built more variations of each model – for example BMW’s 3 Series has 13 different models to choose from (don’t count trims, just body styles and engine choices).

Via Automotive News Europe