Audi Worried BMW Getting Too Far Ahead of the Game?

Audi just need to keep to the game plan. Keep making solid segment choices that are profitable. BMW X6, 5 Series GT and overlapping models are just jabbing at the wind to see what sails.

— inspirion7:

| BMW X6, 5 Series GT and overlapping models are just
| jabbing at the wind to see what sails.

So why is Audi following BMW by releasing the Sportback concept (A6/A8 coupe)? If that's just BMW's jabbing at the wind, Audi should not copy them, should they?

Why is then Audi making the raised A4 and A6 allroad which overlap their portfolio even more than X6 does in case of the BMW?

Finally, why is Audi releasing their new Q1 micro SUV, following the X1 by BMW?

Audi diesels in the USA are a bad German joke. It takes 19.7 barrels of crude oil to run the VW Touareg 3.0 TDI over 15k miles [1]. The giant Cadillac Escalade Hybrid is more efficient at 17.1 barrels [2]. The Lexus RX450h hybrid requires 11.8 barrels of crude, not far from twice less [4].

And the Audi Q7 3.0 TDI with the very the same engine uses even more fuel.

PS. This crude oil barrels number comes from EPA 20 combined mpg for the VW Touareg TDI. This number proves to be very accurate, with real life mpg being 11,95 l/100km=19,68 mpg [3] (24 drivers over 430k miles as of today).


[1] http://www.fueleconomy.gov/feg/2008car1tablef.jsp?id=26557
[2] http://www.fueleconomy.gov/feg/compx2008f.jsp?year=2009&make=Cadillac&model=Escalade%20Hybrid%202WD&hiddenField=Findacar
[3] http://www.spritmonitor.de/de/uebersicht/50-Volkswagen/458-Touareg.html?fueltype=1&power_s=160&power_e=170
[4] http://www.fueleconomy.gov/feg/compx2008f.jsp?year=2010&make=Lexus&model=RX%20450h%20AWD&hiddenField=Findacar

— MrBratwurst

*Audi following BMW by releasing the Sportback concept?

First of all, it's Mercedes who first introduced this segment with their CLS. Other companies followed them:
Porsche Panamera (coming soon)
Aston Martin Rapide (coming soon)
Maserati Quattroporte (2004-present)
Lamborghini Estoque. (No official decision)
BMW with the CS Concept (NOT GOING INTO PRODUCTION).
Audi Sportback Concept (Upcoming Audi A7)
Get your facts straight.
The BMW X6 and 5 Series GT are pointless cars just to increase annual sales. I don't see Audi competing with that.

Speedoholic, I fully agree, it was the Mercedes that introduced the coupe-alike four door saloon. And it was an excellent decision, in my opinion, turning the rather sedate cars into pure beauty queens.

5 GT is some sort of BMW response to this. It may have more liftback DNA but still complies with the luxury sedan-derived car with a curvy rear end.

X6 pointless? I don't think so. You have to take premium SUV buyers preference into accounts. They want their cars to be bigger and intimidating but also demand car-alike handling and sporty image at the same time. X6 offers these virtues.

— TheLanciaFan:

| Don't compare the Escalade, Touareg and that sissy RX to each other.

Escalade is a large SUV, RX and Touareg are midsize SUVs. Last two are perfectly comparable, the former has a size disadvantage yet is more fuel efficient than Touareg TDI.


| They're in different weight classes to begin with

There is no such thing as weight class. At least Society Of Automotive Engineers don't classify cars this way so your suggestion has zero relevance. By the way, Touareg is a diesel and that's why it's heavy. Diesels are heavy by design which is they significant disadvantage.


| and in totally different classes overall.

SAE disagrees with you. Your desperate attempts to excude the inefficient Touareg diesels are futile.


| The Escalade hybrid is a JOKE

It kills the Touareg TDI in terms of fuel efficiency and size.


| and the RX has an electric motor that helps keeps fuel economy
| up in urban environments

This enery has to come from somewhere and the only source is the fuel tank. Smart hybrids use it much more efficiently than obese diesels.


| The Touareg has not such thing

Yet is even more expensive, I mean overpriced.


| yet it is very efficient for its size, weight and power output.

Touareg TDI is much slower than the Lexus RX450h: 0-60 in 7.8 vs 6.4 in the RX450h (so I don't know about what power output are you talking about). It is also just as big as the RX (Touareg: 4754 mm, RX450h: 4770 mm). Yet Touareg is brutally less fuel efficient (almost twice).


| Stop your Lexus propaganda please.

I state facts backed by scientific institutions. It's hybrid and Lexus haters problem they cannot accept it. No one requires people to accept reality. Living in delusion is also an option.

Audi has so far, and I will say so far been successful in producing product that sells and sells well. Their slow and methodic pace is evident of how Audi thinks through product development. The A4 Allroad was a follow-up to the successful A6 Allroad and not an overlap. A3 Hatchback here is relatively new but what Audi should focus on is what it does best and stop trying to out do BMW. Yes they seem to be chasing BMW but at the same time, I don't see them making the same product saturation BMW is.

Mr. Bratwurst - since you are big on facts please research for us the tow rating and off road abilities of the Touareg vs. the RX.

— inspirion7 (View Profile)

| Audi has so far, and I will say so far been successful
| in producing product that sells and sells well.

And BMW wasn't?


| The A4 Allroad was a follow-up to the successful A6 Allroad
| and not an overlap.

Yeah, we have the Audi A4 Avant, a slightly taller A4 Avant called the Allroad and a slighty slightly taller A4 Avant called the Q5. No overlap at all.


— JustaCar:

| please research for us the tow rating

RX450h can tow 3500 lbs, or this trailer:
http://www.gillettesinterstaterv.com/gillettesinterstaterv/productphotos/DSCF0032.JPG

I think it fairly enough. Yes, the T-Reg can tow twice the weight but these cars are meant to be luxury limos replacement, not pick-up replacement. When did you last see a heavy trailer full of, say, manure, behind a premium car?


| and off road abilities of the Touareg vs. the RX.

"Audi reckons just two percent of off-roaders ever go off road. That means of the 6,000 Q5s Audi plans to sell next year, 600 will be petrol powered and just 12 will ever get out into the muddy stuff."

Source: http://www.imotormag.co.uk/carreviews/148845/audi_q5_20litre_petrol_review.html

Touareg off road capabilities are then just pure waste.

Yes inspirion7, Audi should stop worrying and should try to remember the story about the tortoise and the hare.

Audi should take it slow, concentrate on the most desirable segments so they can outdo BMW. Never produce too many models, take Mercedes-Benz as an example (R Class)

The R-Class sells at a "decent" pace in Europe. If you want a luxurious, comfortable and solid family friendly vehicle for long-distance traveling it is hard to beat the R-Class. Mercedes has already adjusted sales expectations to that of a low volume vehicle. It sells in "decent" numbers in that case.

The reason the R-Class didn't do well here in the US is because it was marketed in the wrong way and Americans let their perceptions of "minivans" get into the way.

All in all the R-Class is a good car. I was considering one for my family as I am getting to that age where I am retiring and looking for something extremely comfortable for those planned cross county vacations.

I don't think Edmunds would agree with you. They lived with it for 1 year:

http://blogs.edmunds.com/roadtests/PastVehicles/2006Mercedes-BenzR500/

Audi do not need to be worried. Most of new cars coming from MB or BMW are low volume...there is not money on those segments. If Audi keep the pace with the current line that they have, they will continue growing. Don´t get me wrong , I love MB and BMW, but I think they are doing to many expesive cars lately, (5 GT for 70,000.00$ for a car so ugly is not smart, but time will say who is right).

So did Audi execs make these statements or is this the author's personal opinion?
Interesting how the web is a perfect vehicle for spinning opinion into fact.

This is seriously LOL worthy. BMW fans need to use the author's personal opinion to distort reality.

We all know BMW is worried that their decision to produce pointless and ugly models will hurt their own profitability and sales. Look at the 5-series GT and rumored 3-series GT. The only thing those cars will do is increase costs, sell horribly, and reduce BMW's profit further into the red.

We all know BMW is worried about Audi catching and surpassing it in sales very soon. Just look at BMW's 4.1% sales decline globally for 2008 vs. Audi's 4.1% increase. Look at BMW's 20.1% global sales decline through May 2009 vs. Audi's smaller 12.1% global sales decline. Look at BMW's $73 million quarterly loss for 1Q 2009 vs. Audi's $300 million profit. Look at BMW's 90% pofit decline for 2008 to a tiny $300 million vs. Audi's 30% profit increase to $2.1 billion.

Look at BMW outselling Audi by 200,00 cars in 2008 versus just 33,000 cars through the first half of 2009.

Look at Audi accomplishing this feat with no 6-series competitor, a brand new X3 competitor and far fewer RS models vs. BMW's M models.

We all know who is worried....and it isn't Audi.

GermanNut: Honestly you did the homework, I'll say you are right, to argue against it is pointless.

Audi makes nicer cars than BMW with a superior all wheel drive system. However they still are not reliable and if they get that fixed and stop being so stupid using thin brake rotors that can never be resurfaced, and beef up the cars a little more to handle American pot holes and use more Japanese electronics that work properly they have a shot of not only pulling ahead of BMW but also Mercedes.

If you look at the Lexus RX350, it is duck uggly and more isolated than a Buick, but it will run 300,000 miles with nothing that will ever go wrong. That's the problem with the German companies they don't know how to make the things last as long!

Why do you think Audis are not reliable? Because the brake rotors cannot be resurfaced?
At least Audi brakes work well, unlike any Lexus (Toyota) product. And Audi frames don't rust to the point where the rear axle falls off the car.
Check the latest JD Power dependability study and you'll see that the difference between Audi and Lexus is 0.3 defects per vehicle - hardly anything to hang your hat on. The line about Audis not being reliable is getting old - time to retire it.

— JustaCar:

| At least Audi brakes work well, unlike any Lexus (Toyota) product.

With the hand on my heart, the very first arbitrary result I checked:

60-0, in feet:
Lexus GS350: 114 [1]
Audi A6 4.2: 120 [2]

Your credibility has just reached zero.


| Why do you think Audis are not reliable?
| Check the latest JD Power dependability study and you'll
| see that the difference between Audi and Lexus is 0.3 defects per
| vehicle - hardly anything to hang your hat on.

Lexus had 126 defects per 100 cars. Audi had 159 defects. [3] That's 26% more.

If you consider this small, go lower your salary by 26%. We'll see whether this is still gonna be a "negligible" differece.

Audi reliability problems also prove to be extremely expensive to repair.

5-year total estimated REPAIR costs.

FLAGSHIPS:
Lexus LS430:.. $2,775[1]
Audi A8 4.2:.. $7,414 [2]
BMW 745i:..... $7,011 [3]
Mercedes S500: $7,011 [4]

Large premium cars:
Lexus GS430:.. $2,775 [5]
Audi A6 4.2:.. $6,892[6]
BMW 545i:..... $7,011 [7]
Mercedes E500: $7,011 [8]

Midsize premium cars:
Lexus IS350:...$2,506 [9]
BMW 330i:......$6,327 [10]
Audi A4 3.2....$5,006 [11]

Source: my comment under this article
http://autospies.com/news/What-To-Do-About-Lexus-How-Would-You-Turn-Them-Around-44959/

| The line about Audis not being reliable is getting old
| - time to retire it.

Data proved it more actual than ever.


[1] http://www.edmunds.com/insideline/do/Drives/Comparos/articleId=130686/pageId=145836
[2] http://www.edmunds.com/insideline/do/Drives/Followup/articleId=116521/pageId=101302
[3] http://www.jdpower.com/corporate/news/releases/pressrelease.aspx?id=2009043

Wow, so that is why Lexus is flying off the lots. Cost of ownership is definitely going to place a holt in Mercedes and BMW sales tomorrow.
Bottom line: Audi is on a pace to dominate segments in the premium car sector, period. BMW and Mercedes will continue to advance and add customers as it always have, and we don't know about Lexus, the premier Japan auto maker that is trying to find its way. Lexus, like Toyota is trying to force its way and when a company does that, they will experience blow-back.


Lexus Sales Report

April Year to Date
2009 2008 % CHG 2009 2008 % CHG
IS 2,913 5,420 -44.2 12,216 21,936 -43.4
ES 4,125 6,831 -37.3 16,445 27,430 -39.1
GS 516 1,708 -68.6 3,102 7,846 -59.8
SC 93 216 -68.6 403 1,076 -62.0
LS 830 2,115 -59.2 4,051 10,029 -59.0
Total Cars 8,477 16,290 -46.0 36,217 68,317 -46.2
RX 7,462 8,082 -4.1 32,614 36,690 -9.7
GX 668 1,394 -50.2 2,878 7,904 -63.0
LX 315 827 -60.4 1,477 3,547 -57.7
Total Trucks 8,445 10,303 -14.9 36,969 48,141 -22.0
Total Sales 16,922 26,593 -33.9 73,186 116,458 -36.2

The new RX 350 is doing its part for the bottom line—as the only Lexus built in North America, the press release breaks it down individually—the new SUV is up 1.6% over last year. That makes the RX 350 the first positive number since the LX 570 back in December 2008.

All other numbers are showing minor 3-5% improvements over last month, but it’s still a grim scene. One thing to look for in next month’s numbers is the debut of the IS-C. Can it repeat the 2010 RX success and bring IS sales closer to the black?


One last point—it looks like Lexus prices will be seeing a minor increase, with an average adjustment of 1.2%



BMW on track to outsell Lexus
06/03/2009


BMW’s year-to-date sales, for the first five months of the year, have exceeded rival Lexus‘ sales for the first time this decade, meaning the German automaker is on track to be the best-selling premium import brand in the United States. BMW’s sales are down 30.5 percent, but that’s still better than the 37.5 percent drop Lexus has seen.

BMW’s year-to-date sales were 76,819 vehicles at the end of last month, while Lexus sold 73,168 cars. BMW hasn’t been the top-selling premium brand in the U.S. since 1997. Lexus has held that title since 2000.
Fellow German Mercedes-Benz hasn’t seen as big of a drop in demand as Lexus, either. The German brand’s sales are down 29.9 percent to 69,933 so far this year.

MrBratwurst - here you go again choosing random data to justify your opinion. Where did you get your barking comparison and why did you compare a V8 Audi to a V6 Lexus.? How about comparing braking performance for the LS and A8? How about citing a comparison test where brake fade is tested? Do a search since you are big into facts.

And your argument about reliability still does not hold water. A difference of 0.3 defects per car is exactly what it is - less than 1. If you use that to prove your opinion that Audis are not reliable then you are just proviong your bias. And please don't bring repair costs into the discussion, they are not an indication of a car's reliability. Yes german cars are more expensive to buy and service, and most people that appreciate them are obviously willing to pay the difference.

Bratwurst:
2008 January Had a collision with GS350 {I was in A6 3.2} both cars 2008 models.
A6 had Slight dent and scratches and was driven away by Audi Tech, GS was wrecked, Chasis Bent, front Suspension Housing totally collapsed. Police Officer could not believe the difference in damages to both vehicles.

So look at stats all you want, i know from experience which vehicle i will always choose over the other.

BMW AND BRAKE ROTORS, (and Audi)

BMW has been working on lowering the cost of maintenance on the cars for decades (take a look a the maintenance schedule for a mid-eights BMW, dismal) The one thing the have not compromise on is the brake rotors. BMW believes the two biggest safety factors on a car are 1st the driver and 2nd the drivers ability to avoid and accident. Stopping the car is a primary component of this. Its true BMW uses thinner brake rotors for a very specific reason; brake fade. Thicker and “turnable rotors hold heat longer and dissipate heat slower the thin rotors (especially vented). This is important on descending steep grades and heavy stop and start traffic. So you can either save the save the customer a few bucks or save more than a few customer lives.

pennfootball, Audi doesn't just have a shot of pulling ahead of Mercedes, they WILL pull ahead of Mercedes and most probably BMW too.

MB outsold Audi by roughly 97,000 cars for all of 2008. Through the first five months of 2009, Audi has narrowed that gap to just 8,000 vehicles.

Furthermore, MB is in big trouble. Their sales have stagnated at roughly the 1.1 million mark for the last 5 years. In 2008, Mercedes-Benz saw a 5.1% global sales decline. Audi saw a 4.1% global sales INCREASE. This year MB sales globally have dropped 21% whereas Audi has only fallen 12.1% globally.

Also, MB reported a staggering $1 billion first quarter loss. Audi reported a $300 million profit.

MB has created too many models and their profitability has sank. Not to mention MB is hugely reliant on the crumbling U.S. market and far, far behind Audi (the market leader) in the world's largest car market by sales volume - China.

this article is a crock of shiznit, Audi isnt worried about BMW. BMW is worried about having leased too many cars that when the leases are up there inventory will be neck high. which will plummet the price of their cars. audi by far has the most solid cars,performance, and interior. -this has been said a thousand times. this is first time ive seen something written like this. amoldero is a bitch

This article is full of crap. bmw is more worried about Audi more then the other way around, and Audi will not follow bmw with weird concepts. There is no need for it. Audi is outperforming BMW in all business markers of profitability and business acuity. This article is useless and fabricated by some pointless bmw twit.

The article does not quote ANY official from Audi. This is someone's opinion and not a stated fact from Audi.

It's very hard to believe that Audi would be worried of BMW after the ongoing tremendous success it has had with its latest products, expanded and successful marketing campaigns, movie participation, motorsport programs and major gains in market share of the luxury market worldwide.

The A5/S5 and Q5 are incredible successes, as well as the Q7 TDI. The new Supercharged A6 is amazing, not to mention the R8 and TT-RS.

Whoever wrote this article is definitely tired of eating Audi dust and looking for a way to vent.

I've had my brother buy an A4, a friend buy a Q5 and both of us are going for our second Audis, just because they are gorgeous, practical, sporty, awesome looking, modern and best in class design. Much improved reliability, quality, resale value and safety are just added reasons why these cars are selling so well.

Go Audi R15 TDIs!!!

BMW is a market leader in cars that nobody asked for or need (aka, throwing turds to see what sticks.. ) Audi needs to just continue with what they're doing and pay no mind to the ultimate badgewhore machines.

Yes "Sector" I am ultimate badgewhore because I drive a naturally aspirated V10 4 door sedan called an M5 that Audi still has yet to bring to North America. I always find those brash statements to be from pissed off people that have spent their entire lives trying to convince people not to buy a BMW. I just encouraged my father in law to by an A5 when my instincts were to take him out in a 6 series... but Audi hit the spot with the A5.. so you go with what makes sense.

Maybe we can all be friends and agree on one thing - all these manufacturers are better then GM and Chrysler.

Maybe we can all be friends and agree on one thing - all these manufacturers are better then GM and Chrysler.— uhn2000

And that is something to agree on? How about Audi and BMW make some fringin' great cars that auto enthusiast love and depends on your taste you are willing to pluck down half the cost of some homes to own?

Audi is following its own strategy of producing high quality, eye-catchingly designed cars and SUVs that combine performance with fuel efficiency. Audi is not focusing as much on the United States as BMW and MB because it realizes China is now the world's largest car market by sales volume and it is far and away the market leader in China. Most importantly, Audi is creating cars that the consumer will actually WANT to buy because it serves a purpose and looks attractive.

BMW has started to follow MB's strategy of creating model niches that serve to cannibalize sales of other models while increasing costs and reducing profitability.

Wasn't Jack arrested in the end of "A Few Good Men".

How is Audi doing? (you guys know this is one of my favorite subjects)

http://www.audiusa.com/audi/us/en2/Company/News/AUDI_AG_Records_Sales_of_Over_One_Million_Cars_for_the_First_Time.html


May 7, 2009
Audi increases sales in China by 21 percent

AUDI AG delivered 12,156 vehicles in China (including Hong Kong) in April. This marks an increase of 21 percent compared with the same month of the preceding year, and is a new sales record for the company. To continue its success in China, Audi is constantly expanding its dealer network: On April 22, the largest Audi terminal in Asia opened in Shaoxing.

The new Audi A4L contributed significantly to the sales record: Audi delivered 3,003 units (an increase of 78 percent) of the long version of this midsize sedan to customers. Sales of the Audi A6L also went up considerably, increasing by 12 percent to 7,976 units. Both of these models are produced locally in Changchun. “These results clearly confirm Audi as the market leader in the premium segment,” said Peter Schwarzenbauer, Member of the Board of Management for Marketing and Sales at AUDI AG.

The Audi A5 posted a 76.3% increase over last January with 603 units sold in January 2009. The Audi R8 broke its January sales record with over 107 units sold, an increase of 75.4% over January’s sales a year ago.


*Sales company wins award for exemplary sales and marketing ideas
*The trade magazines “kfz-betrieb” and “Gebrauchtwagen Praxis” choose the winner of the “Sales Award 2009”

With its innovative and successful marketing and sales concept the Audi Center Essen has won the “Vertriebs-Award 2009” (Sales Award 2009) amongst 200 German dealerships presented by the trade magazines “kfz-betrieb” and “Gebrauchtwagen Praxis”. “This prize shows that Audi not only builds fascinating cars but is equally successful in marketing and sales,” said Michael-Julius Renz, Sales Manager Germany of AUDI AG.


I'm tired now.

Why do you guys that deboost me HATE the truth?

I have only one thing to say...


You want answers?

"I want answers, I want the truth."

"You can't handle the truth!"

"Son we live in a world with walls and those wall have to guarded by men with guns. Who's goin' do it, you? You Lieutenant Wineburg?

I have a greater responsibility than you can possibly fathom. You weep for Santiago and curse the Marines.
You have that luxury, that luxury of not knowing what I know. Santiago's death while tragic, probably saved lives and my existence, while grotesque and uh-comprehensible to you, saves lives. You don't want the truth because deep down in places like at parties, you want me on that wall- you need me on that wall.

We use words like honor, code, loyalty. We uses these words as a back bone in a life defending something. You use them as a punch-line. I have neither the time nor the inclination to explain myself to a man that rises and sleeps under the blanket of the very freedom I provide and then question the manner of which I provide it. I would just rather you said "thank you" and went on your way, other wise I suggest you pick up a weapon and stand a-post. Either way, I don't give a damn what you think you are entitled to."
-The great Jack Nicholson