Audi to Update A8 in Bid to Challenge Mercedes S-Class
Audi will refresh its A8 flagship later in 2013 with new LED headlights and technology, aiming to close the gap on the Mercedes S-Class in the luxury saloon segment.
Audi will introduce an upgraded A8 saloon later in 2013, targeting the same luxury segment as the newly updated Mercedes S-Class. The move is part of Audi’s strategy to strengthen its position in the premium market and attract buyers from rivals BMW and Mercedes-Benz.
The revised A8 will feature new LED headlights, reflecting Audi’s focus on technology and design to appeal to high-end buyers. The update comes as Mercedes launches its latest S-Class, a model that has traditionally set the benchmark for luxury saloons. Audi’s A8, while respected for its quality and quattro all-wheel-drive, has trailed the S-Class and BMW 7 Series in global sales.
Audi’s push for a more competitive A8 is part of a broader strategy to reach 1.5 million vehicle sales in 2013, two years ahead of its previous target. The company expects higher demand for its Q5 and Q3 SUVs, as well as the updated A3 range, to support this goal. The A3 sedan, which will also gain new technology including 4G LTE connectivity, is intended to broaden Audi’s appeal in key markets. For more on the A3 sedan’s launch, seeAudi launches 2014 A3 Sedan and S3 Sedan with new engines and tech.
Competition in the luxury saloon segment
Audi’s A8 faces stiff competition from the Mercedes S-Class, which sold 80,300 units worldwide in 2012, and the BMW 7 Series, which reached 59,200 units. By contrast, Audi delivered 38,600 A8s in the same period. The S-Class remains the segment leader, helped by its reputation for comfort, technology and refinement. The A8’s planned update is intended to narrow this gap, particularly in markets where brand loyalty is strong and buyers expect the latest features.
- Mercedes S-Class: 80,300 units sold in 2012
- BMW 7 Series: 59,200 units sold in 2012
- Audi A8: 38,600 units sold in 2012
Audi’s management has said it will continue investing in new products and technology, even as market conditions remain challenging. The company’s stated aim is to achieve operating profit at the upper end of its 8 to 10 percent margin target. The A8 upgrade is a key element in this plan, as the luxury saloon segment remains critical for brand image and profitability.
What the A8 update means for buyers and the market
For buyers, the A8’s new LED headlights and technology upgrades are aimed at closing the perceived gap with the S-Class, particularly in terms of cabin innovation and exterior presence. Audi’s emphasis on advanced lighting and connectivity is designed to appeal to customers who value both comfort and the latest features. The update also signals Audi’s intent to challenge the S-Class more directly, rather than ceding ground in a segment that shapes luxury brand reputations.
