Luxury doesn’t sell as well as it did before the struggling economy and the rising environmental awareness. Today, factors such as social correctness and fuel economy are huge considerations of potential buyers.
For example, the Mercedes-Benz S600 with a V-12 under the hood, the Porsche Carrera S with 355 hp, or the Cadillac Escalade ESV Platinum that has a 13 mpg rating all have to try harder to get attention. Brand executives say that rational factors play a greater role in purchasing decisions. To attract buyers, luxury brands need to have new selling points. Johan de Nysschen, president of Audi of America, said that sales of high-end luxury cars such as the Audi A8, BMW 7-Series and Mercedes-Benz S-Class have dropped radically. Sales of the Lexus LS dropped 44% in 2009 while the Mercedes S-Class fell 37%.
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