Luxury Love: Bargain Basement Leases Entice Luxury Wannabes To Buy In Record Numbers

or maybe the cost of vehicles in general are increasingly becoming outrageous....

"One reason luxury auto sales surged last month is the slew of leases being offered with low monthly payments. To quote one dealer, "I can put customers in a BMW 3 Series for $400 or $425 a month over three years. That's a deal customers can't turn down.""

BMW's strategy of chasing increased sales volume at the expense of profitability is a very poor one especially considering China is going to surpass the United States next year in luxury sales volume.

You don't see Audi mentioned in this article because Audi refuses to buy market share in the U.S. luxury segment by offering huge incentives and cheap lease deals to attract buyers.

Then again, a higher percentage of Audi customers have a college degree and they have higher annual median household incomes when compared to their BMW and Mercedes-Benz counterparts so they don't need rock-bottom, profit-killing lease deals to afford their cars.

GermanNut I rarely post comments like this but you sir are a dumbass...especially when you have to say Audi drivers are more likely to have higher annual income and college education... I would like to see your source of dumbass information and also when Audi can produce a proper S Class contender...than you can speak.

RneekChic, you sir are the dumbass.

"Some other interesting Audi statistics:

Median age is the lowest among all Luxury brands at 48 years, with BMW 49, MB 54 and Lexus 62 Percentage of customers that are college graduates is the highest at 84% vs BMW 81%, MB 77% and Lexus at 73%
Household Median income is the highest at $192,000 vs. $183,000 for both BMW and Mercedes and $141,000 for Lexus.
Percentage of Audis being leased vs those that are purchased has been trending lower from 53% in 2007 down to 40% in 2013. All three competitors have a lease penetration of more than 60%.

Just some interesting food for thought..."

Where's the link?

"Audi refuses to buy market share in the U.S. luxury segment by offering huge incentives and cheap lease deals to attract buyers."

Oh really,


http://www.audiusa.com/myaudi/offers-programs

http://www.iraaudi.com/global-incentives/index.htm

http://www.audinatick.com/specials/new.htm

http://www.primeaudi.com/audi-lease-finance-specials-in-ma.htm

http://www.audiburlington.com/specials/incentives.htm

http://www.tracyaudi.com/index.htm

http://www.audibrooklyn.com/new-audi-lease-specials.htm

http://www.audiofhuntington.com/global-incentives/index.htm

http://www.audirochester.com/index.htm

http://www.audinashua.com/global-incentives-search/2014-Audi-A4-Sedan-Offers-US2014AUD142bdf21cbb7b13f7a530cb.htm

Are you really that naive, there's ten, would like 50 more Audi lease deals and incentives.

I think the strategy is to overprice the vehicle. Some will pay the price. Others will STILL buy the car - some as a cheap lease, and others will buy a "certified" used model.

Very clever - they either get a buy profit once or a smaller profit TWICE on the same vehicle.

"It's a good thing because dealer profitability goes up because you're not paying the rent, paying the floorplanning on these things. What happens then is you take all of that incentive game and all the discounting and all that stuff out. What we have now is low supply, extremely fast turn rate, extremely low incentives, and all that equals profitability. This is a crucial, crucial thing."

Audi of America CEO Scott Keogh on Audi's strategy in the US market.

Rates starting at 1.9% APR* on MY 2013 and MY 2014 TDI® models (A6, A7, A8, Q5, Q7)

Model Incentive*
2014 A6 TDI $1,500
2014 A7 TDI $1,500
2014 A8 TDI $3,000
2014 Q5 TDI $500
2013/2014 Q7 TDI $1,000

Model Incentive*
2013/2014 A4 & S4 Sedan $1,000
2013/2014 allroad $1,000
2013 A5 & S5 Coupe $1,000
2013 A5 & S5 Cabriolet $1,000
2013/2014 A6 (excluding S6) $1,500
2013/2014 A8 (excluding S8 and W12) $3,000


2013, 2014 A4 & S4 Sedan $1,000
2013, 2014 A5, S5 & RS 5 Coupe $1,000
2013, 2014 A5, S5 & RS 5 Cabriolet $1,000
2013, 2014 allroad $1,000
2013, 2014 A6 & S6 $1,500
2013, 2014 A7 & S7 $1,500
2014 RS 7 $1,500
2013, 2014 A8 & S8 $3,000
2013, 2014 TT, TTS & TT RS Coupe $1,000
2013, 2014 TT & TTS Roadster $1,000
2013, 2014 Q5 $1,000
2013, 2014 Q7 $1,500

2013/14 A8 & S8 $1,030

http://www.audiusa.com/myaudi/offers-programs

I can show you the lease specials if you want

Audi CEO Rupert Stadler:

Q: Do you keep your incentives low because, unlike BMW and Mercedes, you are not fighting to be the top-selling premium brand in the United States?

A: If we wanted to buy market share, we could do it tomorrow. That's easy, but that is not our strategy.

It is clear based on what both Audi AG CEO Rupert Stadler and Audi of America CEO Scott Keogh have stated: Audi will not use huge incentives to buy market share.

Given that Audi's profit margin is consistently higher than both BMW and Mercedes-Benz's, Audi executives are taking action to their words. Audi has built it's growth on cost savings due to being part of VAG and price preservation by not offering huge lease deals. Therefore it is very easy to see why Audi leads in terms of profitability when compared to BMW and Mercedes-Benz

"by not offering huge lease deals."

What's all this then?

$299 W/ $995 DOWN 2014 A4 2.0T SEDAN QUATTRO

$399/MONTH $595 DOWN 2014 Q5 2.0T QUATTRO SUV

http://www.paulmilleraudi.com/coupons/sales

Special Audi A6 Lease for $519 a month for 36 months with $4,013 due at signing and $0 Security Deposit.

Special Audi A8 Lease for $859 per month for 36 months
http://www.iraaudi.com/global-incentives-search/index.htm