If Fleet Sales Are Bad New for the Domestics Then Audi And BMW Are In Worse Shape

Now here's a story that won't take many Europeans by surprise. Just as GM, Chrysler and Ford get knocked for selling tons of vehicles to rental fleets in the States, BMW and Audi do basically the same thing in Europe.

In fact, those two German firms lead the list of automakers who rely the most on fleet sales in their home market. This according to auto motor und sport magazine, which has reported that Audi and BMW "have the fewest private customers of all brands in Germany," with just 33.5% and 32.8% respectively. Mercedes was least likely to send a vehicle to Deutsch Hertz, with 50.1% going to private owners. VW rang in at 47.5%, Ford at 41%, and Opel tallied 39%.

To put those numbers in perspective, in the U.S., Ford sells about 66% of its vehicles now to private buyers, and 34% to fleets, which is almost the complete opposite of BMW and Audi in their home markets.


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S4cabriofoxone - 4/12/2007 4:39:18 PM

-3 Boost

Why does this article focus on BMW AND Audi's fleet sales, if it's only BMW that has the least amount of private customers in Germany?

Need I explain it?

1970toyotamarc - 4/12/2007 5:08:31 PM

+7 Boost

I wouldnt mind an explanation, because as I read it, Both Audi and BMW suffer from a similar percentage of private buyers. What are you reading differently?

I dont know enough about fleet sales in Europe to even know whether or not this is an issue. But the article does seem to be correct in lumping BMW and Audi together on this one.

Sauceboy01 - 4/12/2007 5:58:48 PM

-4 Boost

haha bmwking

d1sinfo - 4/12/2007 5:19:11 PM

0 Boost

I am sure it is a tad more than just that.

Will_ - 4/12/2007 5:30:29 PM

+6 Boost

Why does this surprise anyone? Of course the fleet sales of brands domestic to their countries will be higher than other brands. Can you imagine if Enterprise started buying fleets of Hondas or Toyotas? What would New York (the greatest city in America apparently) be like if there were nothing but BMW and Mercedes yellow taxis? (Yes, I am aware there are many Toyota Sienna and Lexus hybrid taxis, but most are primarily Crown Vics.)

Threepoint1415926 - 4/12/2007 6:29:38 PM

+1 Boost

Most yellow Crown Vickies are used police interceptors. They're super cheap and that's why they are purchased. If a cab company could get a cheaper fleet somewhere else, I'm sure they would, no matter the brand. Remember, they're in the business of making money. Uncle Sam is in the business of spending it.

BTW, I believe that the Crown Vicki is in its last year this year. Next year it will only be sold as fleet.

Designer1 - 4/12/2007 6:20:49 PM

+5 Boost

Interesting, so I don't think its correct now to say Lexus is not succesful in Europe, cause most of the BMWs and Audi's are rentals. And I didn't see any mention of the Japanese cars being in rentals with that high percentange vs. privately owned. So next time Lexus success in particular is compared in Europe, these percentages should be take out of the privately owned BMW/Audi's, etc... so the game would be fair. ;-)

S4cabriofoxone - 4/12/2007 8:39:50 PM

0 Boost

This is just Germany, not all of Europe. My friend, your dreams have overcome the reality. Lexus is a far cry from BMW, Audi and Mercedes in Europe.

rg12345 - 4/14/2007 12:47:38 AM

+1 Boost

Well just because "you don't think" is not gonna help me or others to see different. I see Germany as a small country. So maybe we could compare Germany to Japan. BUT NOT WITH US! OK ???

david999 - 4/12/2007 6:25:02 PM

+7 Boost

There are a lot of fleet sales because of the prestige factor.

chewy - 4/12/2007 6:52:27 PM

+2 Boost

I think this might include "company cars" that Europeans have.

EL34 - 4/12/2007 8:20:36 PM

0 Boost

I hear the E-Class makes a damn good taxi.

S4cabriofoxone - 4/12/2007 8:40:55 PM

-1 Boost

In Israel two years ago, I got a ride in a current-gen E280 taxi. It was just as nice as any other E-Class. Better yet, the cabbies were able to buy their Benzes.

jt716 - 4/12/2007 8:53:00 PM

+3 Boost

Yeah in Singapore E200 taxi Classic it was pretty sweet but they charge a ton more then the reg cabs

SupraNeverBack - 4/12/2007 9:16:07 PM

+2 Boost

WoW, so much Prestige!

JRobUSC - 4/13/2007 7:44:12 AM

+1 Boost

I don't know what "fleets" BMW and Audi are selling their cars to in Germany, because I never saw BMWs that had fleet logos on them (i.e. rental cars or taxis). I lived in Germany for three years and traveled all over Europe -- the biggest "fleet" are the taxis, and practically every one of them was a Benz. BMW and Audi would have to be selling a lot of vehicles to fleet services that didn't advertise what they were to catch up the Mercedes and their taxis. Mercedes does the same thing here in the states (as does Audi, but not BMW), selling cars to Enterprise and other rental agencies. The BMW dealer here would even give out C-class loaners from Enterprise when they ran out of BMW loaner cars. Something tells me those stats are misleading, could they be counting company cars?

rg12345 - 4/14/2007 12:46:02 AM

+1 Boost

Like always, people on this forum never read before they spill out their words. Of course Audi & BMW do that in Germany. It's their own country, they get help from the goverment, from their people and so on. Or you think the police in Germany will ever go with an american or Japanese car ? Same like our police in US sticks to the stupid Ford and Chevy. And it's natural, why spend money (on cars) that will end up in other countries ?????

You can not compare Audi & BMW situation with the Ford & GM situation. Because if you look at how big the US is compared to Germany you will figure it out. Same, just compare the number of cars sold in US vs Germany. You could compare US vs Europe, but Germany is just one country out of so more many other.

Sachsi2 - 4/14/2007 1:52:59 AM

+1 Boost

Fleet is just a poor choice of words here. The vast majority of upscale cars in Europe are fake business vehicles because of the high taxes. Consider that only the VAT which businesses credit against collected VAT (mind you, it's credited not just deducted) runs about 20%, it becomes obvious why people can't afford upscale vehicles from after-tax money.
It goes to such extremes that the percentage of business customers for something as generic as the Passat is over 80% at the dealership in my hometown.

Come to think about it, the number of luxury vehicles owned by private individuals vs businesses is probably a pretty good indicator of economic freedom and opportunity ... and sadly Europe has rather little of both these days.

lex600 - 4/14/2007 5:21:28 AM

+1 Boost

This is not just happening in Germany. There are other european contries with mostly mercedes taxi. So much for german luxury brands. Most of them go to taxi companies true out european contries.

Will_ - 4/15/2007 6:18:03 AM

+1 Boost

^Do you realize how stupid you look now?