Aiming High: Will Audi Be The Most Successful Premium Brand By 2015?

Audi enjoyed a significant increase in sales in all regions during May. Worldwide the premium manufacturer sold more than 87,000 vehicles last month – a record figure, and an increase of more than 10 percent compared with the same month of the previous year (79,114). Sales also rose in Germany, where 24,416 units were sold, up 3.5 percent on May 2006.

Sales in Europe grew by some 6.5 percent (more than 63,900 vehicles compared with 60,012). Major drivers were Great Britain with a growth of 26.5 percent (8,476 compared with 6,703) and Russia, where Audi sold 1,357 units, 80.5 percent more than in the same month of last year (752).

Approximately 10,500 vehicles were delivered to customers in North and South America, a rise of around 20 percent (2006: 8,831). Of these, 8,788 units were sold in the USA, enabling Audi to post record growth of 23.4 percent in this country (2006: 7,120).

In Africa and the Near and Middle East, Audi sold roughly 18 percent more vehicles than in the same month of last year (approx. 2,500 compared with 2,126). Growth in the Middle East was 33.3 percent up on May 2006 (545 compared with 409).

In the Asia-Pacific region, Audi sales rose by some 26.1 percent to approximately 10,300 vehicles (2006: 8,145). China (including Hong Kong) alone accounted for 7,717 vehicles, up 30.1 percent (2006: 5,932).

Ralph Weyler, Member of the AUDI AG Board of Management with responsibility for Marketing and Sales: “The results from all regions are extremely gratifying. The record figures are a decisive signal, particularly in the USA and China, our most important export markets. I am especially pleased, however, that we are so popular in the new growth markets. Given these consistently positive results from both traditionally strong and young markets, I am confident that we will achieve our objective of being the most successful premium brand by 2015.”

IamEvilHomer - 6/5/2007 1:46:41 PM

+1 Boost

they are saying premium brand what did you mention lexus?

oh if you have chrome and flashy lights on a turd you think it is a premium brand.

I am sorry it has been over an our that someone posted a lexus comment in an Audi post

dlin - 6/5/2007 10:22:19 PM

-2 Boost

AUDI will certainly be the "Best interior" brand.
Premium brand? Too many others ahead.

r_driver04 - 6/6/2007 1:16:02 PM

+1 Boost

dlin
People say the same about VW too. All Audi is a pumped up VW. Just like Lexus is an amped Toyota and on and on the list goes.

Like a hornets nest I can hear the responses already.

dlin - 6/6/2007 11:54:10 PM

+1 Boost

?

AUDI is of course a premium brand as Lexus is. Although fans of each brand doesn't like each other, I always find these 2 brands are very similar in some aspects. They all look very well built and has very nice interior, and all drive so so, w/ the exception of maybe RS4 and upcoming IS-F.

Agent009 - 6/7/2007 11:23:24 PM

+1 Boost

Hate to say it, but I agree they share a lot of traits.

Neverfollow - 6/5/2007 1:43:22 PM

+1 Boost

The numbers speak for themselves. Of course no one can predict what will happen 7-8 years from now with any certainty, but people used to say the same about Lexus back in 1990 when the product first launched in the US.

IamEvilHomer - 6/5/2007 1:47:41 PM

+7 Boost

no al gore said the world will end in 7-8 years because of George Bush

r_driver04 - 6/5/2007 3:51:46 PM

+2 Boost

But how much longer has Audi been around compared to Lexus?

IamEvilHomer - 6/6/2007 1:53:10 AM

+4 Boost

r driver

you can argue that audi has been around in some form for oaver 100 years
but the big pus for the usa started in the 90's
about 10 years after the 60 min scam

IamEvilHomer - 6/6/2007 1:53:40 AM

+2 Boost

push

r_driver04 - 6/6/2007 1:05:59 PM

+1 Boost

Homer

The point is they've been in production longer than
Lexus. Right?

r_driver04 - 6/6/2007 1:07:18 PM

+3 Boost

Homer

I think Al was right about Bush. But that's about it.

IamEvilHomer - 6/7/2007 2:11:49 PM

+1 Boost

yes what does that have to do with the price of tea in china

janno - 6/5/2007 1:44:23 PM

+1 Boost

I don't think Audi will ever pass merc and BMW in sales they are just so mutch better placed in the market and sell a lot more than Audi, BMW's cars are also a lot more desirable than Audi and Merc(at least for me) and here in South Africa where I live BMW are so mutch more Classy than Audi.

IamEvilHomer - 6/5/2007 1:49:43 PM

+2 Boost

i think audi is close to BMW internationaly ( i am sure there will be plenty of post to follow to prove me wrong or right)
Do they sell more then Lexus? Does Lexus sell outside of the US?

MB is still the king

S4cabriofoxone - 6/5/2007 6:08:28 PM

+3 Boost

Yes, Audi cars are neck-and-neck with M-B and BMW worldwide. They could beat Mercedes next year- but will take a close third this year, probably.

jon21 - 6/5/2007 2:18:30 PM

-13 Boost

Ah....NO! Lexus, BMW and Mercedes will be the top three premium brands around the world.

AlexTx - 6/5/2007 2:41:31 PM

+9 Boost

Not Lexus...
Audi sells worldwide more than double the car Lexus does...

Willis - 6/6/2007 4:18:28 AM

+5 Boost

Don't even begin to mention Lexus in "global sales". Please, what a joke that is.

S4cabriofoxone - 6/6/2007 12:42:42 PM

+3 Boost

No, Audi hasn't really been a US luxury brand for even two decades. They weren't great cars in the '80s, besides the obvious Quattro.

truecarlover - 6/6/2007 6:05:19 PM

+2 Boost

'bulldogz'- time on the market has nothing to do with it. In that sense - Lexus could be seen as the rising star - then the question is - will it burn out?
Mercedes would be the originator who lost focus and is not back on track to take it's crown. Audi could be seen as one whose been around awhile and is now finally starting to get it's team together for a championship run. BMW would be like the scrappy guy who fought for a long time to take the title and won (from Mercedes) and now is trying to hold on to it's crown.

Agent009 - 6/5/2007 3:02:47 PM

+8 Boost

Sales totals for US and Europe Through April

US EU Total
BMW 92,670 215,013 307,683
Audi 29,134 227,073 256,207
Merc 76,916 241,325 318,241
Lexus 99,486 14,528 114,014

Don't forget the pacific rim and Russian markets they tend to be rather large markets for the Euro leaders.

chewy - 6/5/2007 6:01:34 PM

+5 Boost

Nice breakdown. All the infor that is needed.

Rupert - 6/5/2007 6:47:59 PM

+4 Boost

Look how many more cars they sell in Europe than the US...I don't think the US has been the most important market for them in a long time.

rg12345 - 6/5/2007 9:47:23 PM

+6 Boost

It's funny to actually see the Lexus numbers :) US is their only market, basically. And still far away even from Audi, globally, which is only number 3 after MB and BMW. Lexus has a lot to learn from his competition .. US alone will not be enough to win this war.

Monk - 6/6/2007 1:04:58 AM

+4 Boost

agreed...look at that!
lexus sums up to less than half of merc
the only reason why people are so crazy about it is because it's popular in the U.S.
I totally respect Lexus...it's done exceedingly well in the time it's lived, but the stats show

Will_ - 6/6/2007 7:55:24 AM

-1 Boost

Lexus has no A-Class, B-Class, 1-Series, A2, A3, nor have their 3-Series fighter(s) been in the worldwide market long. How can we expect Lexus to EVER reach those number without such cheap vehicles for the masses?

The numbers don't lie, of course. But the fact that Lexus is where they are with the very few models they have in comparison to those other brands is astonishing to me. Let's not forget all the other markets that Lexus is expanding in.

S4cabriofoxone - 6/6/2007 12:44:21 PM

+1 Boost

"Lexus has no A-Class, B-Class, 1-Series, A2, A3, nor have their 3-Series fighter(s) been in the worldwide market long."

You just summed up why they're not a force in Europe. If they want to sell there, they need cheap cars, as blatant as that is. If they're too stubborn to produce a hatch, they won't do well at all.

r_driver04 - 6/6/2007 1:13:57 PM

+1 Boost

Lexus is not concerned with such small conquest. They have Toyota to handle these trivial task. And Toyota's done it quite well.

BMW and Merc are corps. unto themselves and can't compete against Toyota. Lexus is just a branch of Toyota. Lets put Lexus against Mini or SMART.

This will stir the pot I'm sure........

truecarlover - 6/6/2007 6:01:36 PM

+1 Boost

'S4' - I wouldn't call those cars "cheap". Those are "small cars" - but they aren't "cheap". I understand the point you were trying to make though.
'Will' - In actuality - it's much easier to buy/lease a luxury car nameplate here in the U.S. than in other parts of the world.

Agent009 - 6/7/2007 11:20:07 PM

+1 Boost

Lexus really needs a larger small car line-up to compete outside the US on the level of the Germans. A pretty basic fact

JUGNU - 6/5/2007 3:02:48 PM

+4 Boost

This is ridiculous. Why every time these Audi guys come up with this stupid statement,
"Audi will be the most successful premium brand by 2015".
This is the 100th time I have read this.

Why do u think like this? Why r u so negative, Be positive. Wish for every make, so that there is a strong competition and finally u get the best product.

I wish the best make win.

JUGNU

r_driver04 - 6/5/2007 3:54:21 PM

0 Boost

Audi hasn't been able to attain that honor since its inception. So what trend states that the future holds something different for them? Don't forget that other make will also be progressing as well. Good competition is all we can really hope for. Audi makes a good car but so do alot of other makes.

S4cabriofoxone - 6/5/2007 6:11:08 PM

+1 Boost

You know, changes do occur. Not so long ago, Mercedes-Benz was the #1 luxury automaker in the world; BMW surpassed them recently (2004? 2005?). Anything can happen- perhaps Infiniti will be #1 in 2015, if the Russians buy 1,000,000 of them. Who knows?

Will_ - 6/5/2007 4:06:09 PM

-2 Boost

And people call Lexus fans overzealous, and too ambitious. All this Audi whining is annoying.

And stop attacking Lexus! They ARE the fourth-largest luxury automaker in the world, it's not like Lexus is totally off the radar. Newsflash: they're also steadily growing marketshare, worldwide.

SevorbeupstryIsBack - 6/5/2007 4:18:24 PM

+5 Boost

The only reason why Lexus exists is because you Americans keep buying them. Why? Pretty logical.
They cater to American values: a lot of car for little money (value-for-money). Sure, this is true in Europe as well, except overthere, they place more emphasis on brand heritage as well!

But of all Japanese luxury cars, only Lexus is the clear winner because they have the perfect mix of quality, reliability and style. Rationally speaking, a Lexus is one of the best cars to buy at this moment. But emotionally speaking ... their cars lack finesse, soul, inspiration and drama. No thanks for me! But I can understand why someone would buy one.

SevorbeupstryIsBack - 6/5/2007 4:12:21 PM

+2 Boost

Euhrm.. no. But they will come close. What used to be the battle between BMW and Mercs now has a new competitor to worry about: Audi.

gsh23 - 6/5/2007 4:39:33 PM

-4 Boost

well sure if you include crapboxes like the audi A2 and A3. and lets face it, theres nothing premium about a diesel even if it has an audi, bmw, or benz badge slapped on it. i hear the S class is getting a new 2.2L diesel. oooh maaan, i sure can smell the class!

Rupert - 6/5/2007 6:50:09 PM

+5 Boost

Nothing premium about diesel?
Pray sir, why?

And the A2 was a very advanced car, aluminium structure, clever floorplan, very aerodynamic.

I hear Lexus has a 2.2 diesel as well!

rg12345 - 6/5/2007 9:50:13 PM

-2 Boost

Diesel is good today. Almost good enough to drink it without dying after that-altough the taste is far away from the unleaded fuel one. It's also not very good to start a fire, much much more easier to do it with gasoline.

Willis - 6/6/2007 4:24:21 AM

+1 Boost

gsh23,

You are a complete moron. Enough said.

r_driver04 - 6/6/2007 1:23:05 PM

0 Boost

Wow. A guy doesn't like diesel and he's labelled a moron. Sorry dude.

r_driver04 - 6/6/2007 1:26:03 PM

0 Boost

Caltrans..A3 is a joke.

AUTO_UNION - 6/5/2007 5:38:58 PM

+5 Boost

I have also heard this news so many times and it annoys me a bit!

But let's face it some people here are affraid that audi will dethrone their favourite car brand. So they try to convince therselves and others that it just won't happen even if the evidence tells them a different story!

One advice: If you really don't want this to happen go and find some poor people on the street and buy them a BMW!

Agent009 - 6/7/2007 11:11:42 PM

+1 Boost

Fear is a factor all to itself.

GermanNut - 6/5/2007 8:07:59 PM

+4 Boost

I think it is most definitely possible for Audi to become the #1 selling premium brand by 2015.

First they have the model onslaught which includes the Q7, R8, A5, A7 Q5 and Q3 vehicles. This will spawn a whole array of high-performance RS models which includes another RS6, a likely RS5, an even more powerful R8 along with a possible RS badged TT variant.

The marketing is going to be stronger than ever before given that Audi has switched marketing companies, the reliability is improving with each year and the products are covering everything from diesel, to luxury to ultra high performance RS badged models.

The percentage sales increase on a yearly basis is much higher than BMWs or MBs currently and Audi is continuing to introduce an array of new models which target newer niche markets, they will introduce everything from diesel to high -performance RS cars, better marketing and improved reliability.

The company is on a mission....

Monk - 6/6/2007 1:06:58 AM

0 Boost

hold on, just because you have the most diversified range of cars doesn't mean you sell the most...

r_driver04 - 6/6/2007 1:27:16 PM

+1 Boost

Good point Monk, look at GM.

truecarlover - 6/6/2007 10:16:59 PM

+1 Boost

ummmm Monk....have you seen how many different models BMW and Mercedes have? Have you seen how many models Lexus has in the U.S.? If you want to sell a lot these days - then you have to have a lot of models. Personally I think each one of the makes has a redundant or useless vehicle or two - but that is the car industry today.

SevorbeupstryIsBack - 6/6/2007 7:18:59 AM

+2 Boost

1) America is alot bigger than other countries.
2) you sound like a spoiled kid
3) you are not making any sence

Come again?

S4cabriofoxone - 6/6/2007 12:46:22 PM

+3 Boost

SoCaL, Audi sells better than BMW in Europe, and better than both BMW and Merc in China.

Lexus - 6/5/2007 10:11:32 PM

+1 Boost

Have you guys/girls forgetting someone? Kia, just kidding :) lol. Yeah don't just count Lexus out yet.

IamEvilHomer - 6/6/2007 1:59:07 AM

+4 Boost

idiot never left

look at his last 100 comments and they are the same

SevorbeupstryIsBack - 6/6/2007 7:28:46 AM

+4 Boost

To Toyotaman: Stultorum infinitus numerus est!

AUTO_UNION - 6/6/2007 4:59:22 AM

+4 Boost

Toyotaman:
I hope you were only sarcastic, if not ,may god help you!

M53R - 6/6/2007 7:33:53 AM

+1 Boost

Why not?

Even though I dont think they will be able to do that by 2015. Think about it.... Audi sells less than BMW worldwide that is why their sales are increasing rapidly. BMW sells alot and so there is no big space for improvement, therefore their sales dont increase that much.

By the time Audi becomes as big as BMW, they will have similar numbers. Dont forget, Audi is not the only one moving up and expanding.

Rupert - 6/6/2007 11:30:26 AM

+4 Boost

China.
Audi is the best selling luxury brand there.

In Europe, Audi's YTD sales exceed both M-B and BMW.
Audi is in a strong position, with good brand identity, coherent design and good engineering.

And who knows, by 2015 Russia and India may become luxury markets, as long as Putin decides not to point his missiles at Europe.

r_driver04 - 6/6/2007 2:03:35 PM

+1 Boost

Funny, I thought Schwinn was.

Agent009 - 6/7/2007 11:14:18 PM

+1 Boost

Very good point rupert, China and Russia are big markets for Audi and not as hot for the others.

answer - 6/6/2007 12:58:58 PM

+4 Boost

I'll never understand everyone's obsession with their brand being number one.

A) Who cares.
B) It can lead to executive arrogance in the company.
C) Increased sales volume means you see your same car at every intersection.

PS- And for those saying Audi sucks, have you seen the R8? That's one of the best damn cars to come out in recent years.

Agent009 - 6/7/2007 11:10:22 PM

+1 Boost

I can't stand seeing a car just like mine at the same light. Drives me nuts. I'd like to think I was more original than that and my tastes should reflect it.

r_driver04 - 6/6/2007 2:00:58 PM

-1 Boost

toyoman's got a point. Audi is mostly front drive.....which sucks for you real driving types out there. Unless you get Quattro, Audi guys are just spinning their wheels.

Get it? Spinning there wheels. That's rich!! It is to laugh.

truecarlover - 6/6/2007 5:53:48 PM

+3 Boost

How does anyone think they can predict what will happen in the car market by 2015??? All well run companies set goals - and Audi's goal is to be #1 by 2015. Why do some people get upset by that? On another note - over the past 10 years - other than Toyota - who has made such great gains as Audi in the WORLD market - in terms of sales gains and increase in profitability?? Haven't you learned never to say never?? 5-10 years ago did anyone think Audi would have as much world luxury market share as it does right now? Give credit where credit is due. As far as them being so low in the U.S. - remember football(soccer) is by far #1 worldwide in terms of sport - but soccer is only an afterthought among pro-sports in America.

truecarlover - 6/6/2007 10:28:50 PM

+2 Boost

SoCal - you haven't been around the business world lately have you.? You said a lot of "probably's". Have you ever read any recent press releases from any companies? If you look at the bottom they will always tell you that their goals are based on market conditions, laws, wars, etc. etc. - Yeah it's boring to read but it's put there legally because no company can guarantee what will happen. You are not God - so you can't guarantee either. Just like no one predicted that Lexus would sell so many vehicles in the U.S. If you want to play analyst and make predictions then look at the trends.... Audi is not inching towards Mercedes and BMW in terms of worldwide sales....they have been making giant strides...look at the figures over the past 5-10 years - and that is not to mention profitability per unit. If you didn't understand the football analogy - I can't expect you to understand that. I analyze all day at work. You said you work in a dealership right? When I want some advice on tools I'll check you. This is business - not personal. Next time you tell a New Yorker to be silent - make sure you know what you are talking about.

henbmw - 6/6/2007 8:51:20 PM

+2 Boost

It's basically up to the Chinese. They are buying cars like Americans buy cheeseburgers.

Larry - 6/7/2007 12:01:14 AM

0 Boost

another audi 2015 post, a prediction about 8 years now, an amazing fact bmw group made more 2006 net profit than the entire VW group (Audi,Bentley, VW, Skoda,Lamborghi etc.) 4.12 Billion Euro for BMW Group vs. 2.75 Billion Euro VW Group. Mercedes Benz is very close to BMW brand sales and you don't see Mercedes Benz talking about 2015.

Agent009 - 6/7/2007 11:18:26 PM

+1 Boost

You also forget BMW has the highest development cost of the Germans (due to it's independent status). This can very well hinder them in the race.

Remember the arms race during the cold war? Russia couldn't keep up with the spending and something had to give.

IamEvilHomer - 6/7/2007 2:13:38 PM

+2 Boost

relax socal
breath deep

Neverfollow - 6/7/2007 2:27:12 PM

+2 Boost

Audi did not gain autonomy from VW until 1994. Lexus began in 1989. Since then, Audi has focused primarily on the European market. They grew the market in Europe so well that now they feel they have reached a point of saturation. In order to keep the expansive growth going, Audi is now focusing on the US and China. Products such as the Q7 and upcoming Q5 are focused primarily at the US. How many SUVs does Lexus have? Don't worry, there are even more yet to come from Audi. Focus will continue on safety, quality, design, performance and technology and appealing more to US and Chinese tastes going forward.

Agent009 - 6/7/2007 11:22:37 PM

+1 Boost

True about never focusing on the American market. Their arrogant management has bungled it time and time again. Lets hope they figure it out this time.

IamEvilHomer - 6/8/2007 2:48:02 AM

+2 Boost

amazing

unlike you i don't have to brag about my job at mcdonalds

IamEvilHomer - 6/8/2007 2:50:29 AM

+2 Boost

is that 6 figures before or after the dot?

a 24 year old ask that is so proud of 100k wow you are a normal salesperosn in los angeles

Agent009 - 6/7/2007 11:08:08 PM

+2 Boost

SoCal- Hmm only 24. Still wet behind the ears bubba. I have owned cars longer than you have been able to drive. So while you may know a bit, you really haven't had the opportunity to have a really diversified portfolio of vehicles yet.

It simply is not possible in that time frame. You may differ with me now, but in 10 years you will look back and say "what was I thinking?"

Larry - 6/8/2007 8:21:45 AM

0 Boost

Agent 009, about your comment that BMW has the highest Development cost do you have any proof. What I do know is the VW Group is in the process of laying off at least 20,000 workers and needed Porsche cash to save the group, Mercedes is also needs to lay off workers, BMW is not laying off any employees. Agent 009 you do a great job of posting lies.