Mercedes Says Consumers Could Care Less Who Is The Best-Selling Luxury Brand

But Mercedes expects to ultimately claim the title, not that it matters much beyond industry bragging rights, says Steve Cannon, CEO of Mercedes-Benz USA.

“We don’t expect to be No.1 this year, and I’m fine with that,” he tells WardsAuto. “We’re not going to ratchet up incentives and do other things to get to the top. I’m a competitive guy and I’d take No.1, but I want to get there naturally.”

The home office in Stuttgart, Germany, feels the same way, Cannon says. “There has been zero pressure. They are happy with our performance in the U.S. No one is saying, ‘Steve, here’s a pile of money, go out and win a sales title.’”

GermanNut - 12/17/2012 12:25:25 PM

-1 Boost

Mercedes only says consumers could care less who is the best-selling luxury brand because they are going to finish second in the U.S. behind BMW and third globally behind BMW and Audi.

However, I do agree that using incentives to boost sales figures is a poor strategy.

It will be interesting to see what effect using incentives will have on BMW's bottom line. Sure, BMW may win the sales title but at what cost? If winning the U.S. and/or global sales title means hurting your profit margin by 2 percentage points, it definitely isn't worth it.

PLAY - 12/17/2012 1:26:27 PM

+7 Boost

It's true. I am not going to buy a car just because it sells hand over fist. I am going to buy whatever I believe to be the best product for the money. Ferrari doesn't sell a million cars year, but if I had the cash I would get one.

AgentOrange - 12/17/2012 3:18:46 PM

+1 Boost

Yes - avoid performance cars which are fun to drive - because they are not unique..
Trust me - you should not buy a BMW. Not because it's not unique, but because you obviously don't appreciate the car for what it is.

enthusiastx11 - 12/17/2012 3:02:14 PM

+3 Boost

consumers don't care. they buy for many reasons, but automaker volume ranking is hardly high on the list.

MPowerDK - 12/17/2012 3:14:50 PM

+5 Boost

I guess only few cares I dont care if MB BMW or Audi will be number one in the world, I dont get why people care, I guess they must be really fans of their brand?

cidflekken - 12/17/2012 5:14:35 PM

0 Boost

Well, I think it depends on how you look at it. Yes, consumers aren't going to research the latest sales number results before they make a choice.

However, higher sales, means more cars out on the streets for consumers to see and get people's opinions on. The more and more people tell others about their BMWs for instance, then more and more people will have an impression (whether favorable or unfavorable) about that make/model. And consumers tend to very "I have one, so I now belong" mentality, especially in the US. Consumers tend to want what everyone else has or to follow perceived trends.

Phantom4 - 12/17/2012 7:02:33 PM

+3 Boost

I could care less who sells more..

BTW, why is every Audi ever made tagged?

MBguy - 12/18/2012 12:33:11 AM

0 Boost

Ummm... I think everyone is missing the point.

When a car company is able to say "We're the #1 Selling Luxury Brand in America" ... This translates into LOTS of attention and helps bring people to the brand.

And helps a lot of people make up their minds (especially if they don't know enough about cars to be able to make the decision on their own).

In their minds, being in first place in sales implies the brand is "Best in Quality."

I95SPEEDINGTICKETS - 12/18/2012 12:30:06 PM

+1 Boost

In America........ you are correct.

Nowhere else in the world is such retarded Marketing Strategy known to work but in the USA.

The ease with which Manufacturers can convince folks to part with their hard earned money for sub par vehicles just because some "Celebrity" endorses it or there is a claim that it is the "Best Selling" in its class is awe inspiring.

HughJass - 12/18/2012 9:18:36 AM

+1 Boost

True but its the car makers that care since they like to brag about it.

lexworld - 12/18/2012 3:01:15 PM

+1 Boost

....It's really all about the test drive baby. The majority of people love to drive a car that's supremely smooth and quiet. The world is noisey and violent enough without having the stress of driving with road noise included every time you drive your car. Tranquility while driving a high quality automobile a very valueble commodity. The mass majority are smart on this one.

lexworld - 12/18/2012 3:15:48 PM

0 Boost

...Being No 1 at anything these days usually has profitability as a close second. Not to mention more money means you can splurge a bit and do what Lexus did. Make a friggin $400K exotic to boost nameplate prestige and bring an even more serious $700K+ exotic in the near future to display a higher level of superiority to the competition. Dont trip! Their are other very serious players in this game of who really has deep pockets!

shui3000 - 12/18/2012 10:28:31 PM

+1 Boost

Could NOT care less. If you could care less, then your not caring as not at maximum level. Who does the editing around here?

delan - 12/18/2012 11:33:31 PM

+2 Boost

THANK YOU!!!! Jeez!

skytop - 12/21/2012 11:23:36 AM

+1 Boost

Do people determine what car they will purchase based on slight sales total differences between the two best car makers in the world?

Do you judge what steak you will purchase in a restaurant based on which company slaughtered the most steers?

Another RIDICULOUS QUESTION from Auto Spies.