Why Going Downmarket Hasn't Hurt Luxury Brands

With the ability to get into a new Audi, BMW or Mercedes for less than the average new car on the market there has been a lot of talk of each of the brands dropping down. Whether through lower power trims or through physically smaller models the entry is under 30,000 for two of them and the other gives you a 5,000 discount. With such a seemingly low barrier to entry many have wondered if the brands are diluting themselves and their heritage and if their top of the line models are still special. While many are calling out the brands for selling out it doesn't seem like the buying public is concerned. Neither the recently introduced A3 sedan nor the earlier debut of the CLA has hurt either brand's sales of its top of the line models.
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benzforlife - 8/26/2014 2:08:05 PM

0 Boost

I don't know about Audi or BMW, but Benz has nothing to worry about ---- WHY???
They have done an outstanding job supplying the world with the greatest ever flagship models.

S sells 65000 during the last years of production and over 100000 in the beginning of its cycle, these are numbers that the other German carmakers never see

CL, soon to be back to S-coupe and the legendary SL virtually have no competition,

of course Cadillac just announced another SL competition coming soon, but they have not learned from the past 2 loser models

E-class is the leader, it was selling so good that they had to come up with an E-based CLS to avoid too many E models on the road later to become a victim of depreciation and that also added an exclusive touch

C may not be the king but is 2-nd place after BMW 3

GL is the highest selling flagship SUV above all those who were there in the market long before GL was born less than a decade ago

ML is a loser due to its loser design, better design will get that car to the point where Lexus RX will be in trouble

They did a good job where they were supposed to shine and with these kinds of achievements Benz will enjoy the success of the smaller model.

S and E buyers will buy cheaper models for their college student kids. Why not??? smaller, economic and lot safer than anything Japan ever put on the roads, with Civic and Corolla getting closer to 20K and small Benz models are mid 30's, for wealthy it's ok, after all today's 30-40K is pretty much the 20K of 80's and 90's

On the streets of LA the new C-class is slowly being visible all over the place, that thing is shoot up the sales charts very soon too

chewy - 8/26/2014 3:32:50 PM

+1 Boost

I think the S class actually outsold the CLA or came really to it a few times this month.

MattDarringer - 8/26/2014 8:21:32 PM

+1 Boost

The strategy is to have products that scoop buyers away from near premiums. Audi wants you in an A3 so they can get you into an A4 at the end of your lease.

chewy - 8/26/2014 11:25:51 PM

+1 Boost

That makes sense as a pretty good strategy to have.

richard112360 - 8/27/2014 9:32:07 PM

+1 Boost

What's the big deal.? In Germany E class Mercedes Benz's are commonly used as taxi's. They are everywhere.