Audi Threatens BMW’s Seven-Year Lead in Luxury Car Sales As August 2012 Global Sales Rise 14.9%

Audi AG (NSU) trimmed Bayerische Motoren Werke AG (BMW)’s lead in 2012 luxury-car sales to just 2,110 vehicles in August, threatening BMW’s seven-year hold on the top position in premium auto deliveries.
The Volkswagen AG (VOW) luxury brand boosted eight-month sales 13 percent to 961,000 vehicles, compared with BMW’s 7.8 percent increase to 963,110 autos, according to the two companies’ monthly sales reports. BMW, the world’s largest-maker of luxury cars, led by 40,513 vehicles through August of last year.

VW is reaping the benefits from pouring 20 billion euros ($25.6 billion) into research and development at Audi since 2002. The luxury brand now sells 12 model lines, twice what it had in 2003, including three sport-utility vehicles, the A1 compact and the R8 sports car. Audi, which ranks second in premium-vehicle deliveries since overtaking Daimler AG (DAI)’s Mercedes-Benz in 2011, has a goal of beating BMW by 2020.

Audi is likely to overtake BMW several years ahead of that target unless “there are surprising shifts in market share which I don’t expect, especially in China,” said Daniel Schwarz, a Frankfurt-based Commerzbank analyst. “They are the strongest growing luxury brand, and they just launched the A3, which is close to being their best-selling car in a peak year.”
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mclaren428 - 9/10/2012 11:52:24 AM

+6 Boost

"August car sales increased 15% from a year earlier, boosted by strong demand for Q3 and A1 sportback models, and said it expects the new A3 model to push sales in the coming months."

Going by one of the first lines in the official press release, it appears the sales race is coming down to who can push the most "cheap metal" entry level cars into the market (A1,Q3,A3). Since BMW, and Mercedes are reluctant to offer a A1 rival they seem content selling more niche high end models to counter. A1 starts at 16K in Europe, while the cheapest Mercedes, A and B classes start at 23K, and 26K respectively, and the cheapest 1 series is 23K. The title for #1 premium brand seems to lose its meaning when total numbers do not necessary reflect who is actually selling the most high end cars.

I95SPEEDINGTICKETS - 9/10/2012 1:01:28 PM

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I guess Mini Sales do not count in the BMW sales totals ?

mclaren428 - 9/10/2012 1:16:33 PM

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Correct. Mini sales go to mini. If you look at the numbers and percents being compared. They are for BMW badged cars only.

chewy - 9/10/2012 1:45:57 PM

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And BMW and Mercedes are scrambling to create competitive vehicles. The A1 and A3 and Q3 are far from Audi's best selling vehicles. The A4, A6, Q5 sell more units than the A1 and A3.

mclaren428 - 9/10/2012 2:06:10 PM

+4 Boost

I'm not sure about Mercedes, but I know BMW has no plans for an A1 rival. They are introducing a FWD 1 series, but that will be (a 1 series) priced to compete with the A3. I know the A1 sells at least 120K a year (which easily covers the gap from Mercedes to BMW), the article above actually states the A3 equals 14% of sales, which equals about 200K a year.

mclaren428 - 9/11/2012 9:00:56 AM

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Link you attached stated the one car was the Megacity (I3) which will be smaller than a 1 series but will be a premium electric car priced around $40-50K, and the other car mentioned it stated was purely speculative.

VISO - 9/11/2012 12:30:03 PM

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What are you talking about? A nicely optioned Audi A3 costs around $38000.00. Not exactly an econ price. BMW and MB do the same with premium entry vehicles. Nothing wrong with that. Also, Audi's A6 is its best selling model globally. Bias glasses much dude?

mclaren428 - 9/11/2012 12:46:06 PM

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Lol, the A6 volume is around 200-250K annually... A4/5 account for over 30% which is 350-400K annually.

mclaren428 - 9/11/2012 1:57:57 PM

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I know the 3 series is a big volume seller for BMW, and so is the 1 and 5 series.. But down market in the segment of $15-20K cars where the A1 falls (starting just 2K over a polo), BMW has zero, and Audi sells 120K units.

mclaren428 - 9/13/2012 8:10:33 AM

+2 Boost

BMW is still number one wihtout having to go the sub-premium A1 route. They are able to sell more high price premium cars. If BMW did go down market they would also sell at least 100K units, if Mini sales are anything to go by, and whould be over 100K units a year ahead of Audi ..Im not saying the A1 is the only reason Audi is doing ok. But seriouly take the A1 sales away (which BMW and Merc have no cars in that price range) and Audis annual sales numbers would be around or below Mercedes.

GermanNut - 9/10/2012 12:02:48 PM

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Audi's global sales are growing at a much faster rate (12.7%) than BMW's (7.8%) this year and for the past 5 years, which explains why Audi has narrowed the gap so quickly.

Audi's surging popularity in the U.S. and China, the world's second largest and largest car markets respectively, will help Audi overtake BMW in global sales well before Audi's 2020 intended target.

With the launch of Audi's brand-new, high-volume A3 model in Europe and on the horizon in the U.S., Audi will maintain its sales momentum.

For those thinking the slowdown in China will hurt Audi, the new plant in Puebla, Mexico with 150,000 car capacity will help to offset any potential slowdown.

VISO - 9/11/2012 12:33:43 PM

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What a stupid uneducated comment. NO further reponse required

GermanNut - 9/10/2012 3:28:43 PM

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As if BMW sells a lot of "luxury" cars. The 1-series is priced to compete with the Audi A3.

BMW, MB, and Audi are all guilty of going down market in price to achieve higher sales numbers.

Yonder7 - 9/10/2012 6:15:03 PM

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GermanNut: I agree with you , so far the only Luxury car coming from Germany right now seems to be the Porsche , but looks like they will follow their fellows..