BMW About to Outsell Mercedes
It is a close race, one that likely won’t result in deep price cutting to move models, but is certain nevertheless to be on the minds of operatives employed by two automakers till the clock strikes midnight for the final time this year. What the race is all about is this: the perennial sales battle between 2 German automakers, BMW and Mercedes, with BMW predicted to pass Mercedes in world sales totals for 2005. The implications are strong for each automaker and will set the tone for the way each company produces and markets cars from 2006 forward.
Mercedes finishing 2nd to BMW is not a comfy taste for DaimlerChrysler, parent of Mercedes and now owner of The Chrysler Group, maker of Jeeps, Dodges, and Chryslers. Only Volkswagen sells more autos than either make, but when it comes to a predominately luxury line up Mercedes and BMW battle alone amongst German makes with Audi a distant third.
Unlike American automakers, Mercedes is not likely to engage in deep price cuts to draw in shoppers and “steal” sales that they would have made in 2006 for 2005 to prevent BMW. Still, purchasers of Mercedes vehicles should find an even friendlier showroom in which to shop when they barter the price on their “C”, “E”, or “M” Classes of vehicles.
So, precisely what has been responsible for the shift in sales? Well, published reports indicate that Mercedes sales continue to rise, but slowly. On the other hand, BMW sales growth are in the double digit class which is what has pushed BMW before Mercedes so far this year. Oddly, it isn’t the luxurious autos in each automakers’ fold that is spelling the difference. Unknown to several Yankees, both BMW and Mercedes sell automobiles that are smaller and less opulent than the vehicles that appear in the states. Vehicles that compete exactly against Volkswagen’s Golfing and offerings from GM, Ford, many Eastern automakers, and others.
Yes, it’s right. Not all BMW or Mercedes models are high end cars. Unlike in the USA where a Cadillac is totally a luxury automobile, both German brands produce automobiles for the rank and file driver too. It is these sorts of cars that have fueled both automakers growth and is likely behind BMW jumping before Mercedes.
To counter BMW’s surge, Mercedes does have an ace up its sleeve: the arrival of one or 2 smaller lines of automobiles to the U.S. market by 2007. If you haven’t figured it out yet, Mercedes has “A” and “B” Class cars that are smaller and less costly than the present “baby” Mercedes, what we call the “C” Class. Mercedes hopes that the US market is prepared for more economical automobiles sporting the venerable Mercedes name and that these sales will push Mercedes back to the lead.
Of course, what’s good for Mercedes is good for BMW as the automaker explores bringing its “1″ and “2″ series autos to the US to challenge for sales. Both lines of autos are positioned against Mercedes “A” and “B” class automobiles and are the same cars that have bumped BMW’s sales figures up.
Now if only Mercedes would consider importing it’s SMART auto to the US market.
If you can have any car in the world, what would it be? Visit thesupercars.org for information and specs on the greatest cars in the world, also take a look at old BMW M5.
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