	omarrana I hooked up my accelerator to my brake lights. I hit the gas, people behind me stop, and I'm gone.
	View My AgentPage

Mercedes to take over BMW in global sales

omarrana submitted on 05/28/2007 Official AutoSpies Timestamp: 10:25 AM
from: www.egmcartech.com

[23] user comments | category: Misc News

Print this Page |

Digg It |

del.icio.us

Tags: Mercedes, BMW, DaimlerChrysler

Tag Links: Mercedes, BMW, DaimlerChrysler

Mercedes to take over BMW in global sales

“We will drive our operating margin so far that we will be leading the premium market.” Those are the words of DaimlerChrysler CEO, Dieter Zetsche, in an interview with German car magazine Auto Motor und Sport two weeks ago. Now analysts are saying it could happen as soon as this year.

BMW passed Mercedes in the global sales category in 2005, and has held the lead as Germany’s premium auto maker ever since. But now some industry analysts are saying that even though BMW was ahead of Mercedes in the first four months of 2007, the Daimler AG owned company could take the lead from BMW with in the next year or two.

With Chrysler out the way Daimler has more time to concentrate on the Mercedes. The company is now aiming to raise profitability to its premium car group to the head of its class. According to Morgan Stanley analyst Adam Jonas, BMW will sell 1.236 million vehicles in 2007, compared with 1.165 million vehicles for Mercedes. “So Mercedes isn’t going to take the title this year, we don’t believe,” Jonas told Automotive News. “But next year it will have a lot better chance.”

Another analyst predicts that Mercedes could pass BMW as soon as this year, if the launch of the 2008 Mercedes C-Class goes well in the US. He also says that now Daimler can invest more in product innovation and product investment with Chrysler out of the way. “No longer being chained to Chrysler is considered a great liberation, and the organization can concentrate so much more on the development of superior cars.”

In the first quarter of 2007, Mercedes’ profitability amounted to 6.6 percent while BMW reported a 7.6 percent increase. Zetsche hopes to boost revenue at the future Daimler by 5-6 percent per year. Read Article

Comments:

Images hosted in your AgentSpace can now be posted in the comments section using the following syntax (case matters):
[img]IMAGE URL[/img]
Example: [img]http://agent004.myautospies.com/users/150/Sample-Gallery/sample1.JPG[/img]

mp2dtw - 5/28/2007 3:36:32 PM

0 Boost

Not to be picky, but:

take over: obtain, usually by force; take control

overtake: pass

reply to this comment

Lexus - 5/28/2007 3:38:58 PM

-2 Boost

I thought Audi was going to overpass BMW? well...I guess both Audi and MB is are trying really hard to pass BMW.

reply to this comment

printhan - 5/28/2007 3:53:26 PM

-2 Boost

haha.. instead of making sales and designing cars, everyone worry about BMW more than anything (lexus, audi, MB and infiniti)

reply to this comment

mp2dtw - 5/28/2007 4:08:23 PM

+5 Boost

For Pete's sake, loyalty is admirable, but you do sound like a paid Toyota PR person on speed sometimes.

Some of us want something different from what Toyota/Lexus/Scion/Subaru/whatever else have to offer.

reply to this comment

tattedtwice - 5/28/2007 4:44:33 PM

+4 Boost

Not in this, and maybe even the next, lifetime. They've haven't cracked 500k globally, while the German Big 2 (i.e., REAL premium brands) are ALL more than double that, right now (the 3rd big German, Audi, is on its way to a mill annually).

No way in hell will lexus ever crack a million, let alone overtake the REAL premium brands worldwide. They may have done it here, but the american consumer is easy to fool; in other countries, where they have taste, appreciate cars with soul, and LIKE being able to feel the road, BMW, Audi and m-b will continue to reign.

My prediction.

reply to this comment

Rupert - 5/28/2007 7:18:23 PMView My AgentSpace

+4 Boost

Audi is at what 900000 a year? The Q7 lifted sales a lot, about 90000, a lot for an expensive car.

reply to this comment

LexusLunatic - 5/29/2007 2:54:56 AM

+3 Boost

toyotaman they are successful here in the united states because their marketing is aimed at us consumers. in europe they have the german premium brands to compete with. lexus is just as domestic as an american car because they were first introduce here. i think once america found a company that was sold with better quality than their cadillac/buick/chrysler/lincoln people started turning to lexus.

in europe they have jaguar, mercedes, bmw, and audi to choose from and they are all within europe and all fill up with european flavor. lexus had toyota flavor but a lot more elegant but still not as luxuriously put together like the europe cars.

lexus is doing great now and if they keep it up they can gain some sales globally but i think its a hard task to compete against long runners like that at least for now. it is like hyundai going for a premium market that is how toyota had to start too. lexus is already a success story because they captured the us title but it does not mean it is the best cars to be sold here.

i think numbers does not mean much because ford sold so many cars but their cars are not the best but people continue to buy them. that goes for lexus in america. i like lexus because of their styling and improvement overall example Es350 is no longer an elderly man car. that engine is powerful and i have seen many younger people own one. for the cost of no extra limb it is a good place to be.

reply to this comment

neutral - 5/30/2007 12:50:25 AM

+1 Boost

Not to agree or disagree with anyone....but as a German car fan my entire life....I fear the Japanese luxury brands the most. Especially Lexus. The Germans need to maintain focus on controlling the markets in the rest of the world with a vicious stranglehold. America will always be a battlefield, with not only the Japanese luxury cars that Americans like so much but also the resurgent American luxury makers like Cadillac and Lincoln.

reply to this comment

BigShow50 - 5/28/2007 5:19:11 PM

0 Boost

In response to what "Sport" has posted above, well before Daimler picked up on Chrysler back in 1997, what the hell were Mercedes trying to do before 1997 which is the last 103 some odd years?!?!? Personally that quote is more of an excuse rather than redemption. Weather there was a merger or not between the 2, I personally do not think the level of quality for Mercedes would have been any better but more so worse. Simply upper executive management were a fault, and unfortunately Chrysler took the crap end of the stick during their exit...

reply to this comment

LexusLunatic - 5/29/2007 6:48:27 AM

+1 Boost

i completely disagree about your mb comment. mb has been around the block many times and their quality is coming back. i think the high end mercedes have never been as bad as people say they were. sure they weren't the greatest like audi but it was definitely premium quality.

of course lexus will eventually make a global impact and be known world wide but i think if it was not for mercedes lexus would not have the drive to build such great cars. i think their target from germany was mercedes benz because that was their goal and to beat mercedes. but i think its a hard task to do because mercedes is a benchmark luxury brand known world wide. europe is more rich in traditional luxury than japan is. even then lexus is not entirely japanese. it is basically a domestic united states-japanese brand since they intro it here first.

mercedes is also one of my favorite brands aside from lexus. i think we owe them more credit because they mr benz pave the way for the automotive industry from back in the day to this point.

BigShow50 - 5/28/2007 5:23:42 PM

+1 Boost

Lexus will become a global competitor on day, at the rate they are going it can happen much sooner that expected.(Sooner meaning at least another 8-10 years) Keep in mind my german friends, we can speak about Mercedes and BMW being global competitors all day long, but remember they have been in the luxury game for at least 80 years plus. So for where these 2 are today, did not happen overnight...

reply to this comment

LexusLunatic - 5/29/2007 9:18:53 PM

+1 Boost

do not make an excuse to make lexus sound better. just accept they are great but 80 year behind bmw or mercedes does not matter. look back in time and think how many rich people were there. not many. now there are more wealthy people and more choices. just happen not all lexus owner are rich but are well off. they can afford a lexus and that's what make lexus good. they cater to people who may not have deep pockets. thats why i love them. they are great in all way. so what if it not exclusive and prestige like europe but at least the car is still matching quality. but that is also why no celeb own one.

S4cabriofoxone - 5/28/2007 11:38:09 PMView My AgentSpace

+2 Boost

Audi and Merc both want this to happen... key word is "want." As much as they'd like BMW to sit still and wait for them to drive by, they're going to have to work very hard to sell more cars. Although it would not a large percentage of their current sales to surpass BMW (with Audi at about 1 million and Merc at 1.1), it's harder than it looks.

reply to this comment

BMWRU - 5/29/2007 12:33:04 AM

+1 Boost

Alright. Good. Now let's do it, shop queen.

reply to this comment