Mercedes Relies on the New S-Class to Boost Sales in China image

Mercedes relies on its new S-class to boost sales and profit margins, especially in China.

The main focus on the new S-class is on the seats, as Daimler wanted to offer its high-class customers the comfort their got accustomed with in the sumptuous airline seats. Therefore designers created seats that recline to an industry-leading 43.5-degree angle an for the back-seat sleeping the front passenger seat can be pushed forward for more legroom.

“Engineers traditionally focus on the driver seat position,” Zetsche said in an interview. “S-class owners often experience their car from ‘the second row,’ especially in China,” where luxury cars are frequently driven by chauffeurs.

Mercedes relies on the revamped S-class to increase market share, especially in China, where the price for the model starts at $151,000, compared with $92,350 to $212,000 in the US. During the first quarter Mercedes has an operating profit of 3.3%, compared with Audi’s 11.1% and BMW’s 9.9%. the profitability potential for the model line has been increased as the S-class lineup has five variants for the luxury-car buyers, including the extra-long Pullman version.

“The S class stands for luxury, prestige, comfort, and safety,” said August Joas, head of the global automotive practice at consultant Oliver Wyman in Munich. “It’s the absolute flagship model, and a thorn in the flesh of the competition in terms of volume, pricing, and margin.”

Source: Autonews