Tag: Luxury

By on December 1, 2010

Lincoln’s recent styling direction has certainly generated its fair share of controversy here at TTAC, and certainly Lincoln’s sales need to improve if dealers are going to swallow the loss of Mercury. Accordingly, Ford has hired Max Wolff, former head of exterior design for Cadillac to reshape the look of Lincoln. Which is an interesting choice considering that Cadillac’s exterior designs, though distinctly superior to Lincoln’s of late, have not been without their controversies. Besides, what are you supposed to expect from a designer who’s been sticking to Cadillac’s Art&Science playbook for years? But there’s a bigger question here: is Lincoln a mere makeover away of success in the brutally competitive luxury space? Would an MKS in a freshly-tailored suit be a real threat to the E Class or 5 Series? And if not, what should Mr Wolff be wrapping in his Cadillac-sharpened sheetmetal?

By on December 1, 2010

Does the new BMW Six Series improve on Bangle’s wild-eyed vision of an avant-garde gentleman’s coupe, or is it as bland as the music it’s introduced to here? Personally, I’d vote for the latter, but then I always thought that the last Sechser was one of Bangle’s more successful designs, injecting some much-needed vitality in the otherwise ultra-conservative world of German full-sized coupes. But then I’m still decades away from being in the target demographic for the Six Series… what say you?

By on November 22, 2010

The Nissan Murano may start at a reasonable $28,500, but stepping up to the recently-announced CrossCabriolet version will set you back a healthy $46,390 (before $800 destination charge) according to Nissan ‘s website. That makes it the second most-expensive Nissan after the GTR, and it comes in only one trim level (with navigation, heated everything, a Bose system, HID headlights and more). So, why wasn’t the CrossCabrio released as an Infiniti again?

By on November 17, 2010

Just two years ago the $40,000 Genesis was an audacious step upmarket for Hyundai. Tepid sales of the semi-premium line suggest that the market still isn’t quite ready for an expensive car from Korea. And yet, for 2011, the company is attempting an even larger leap with the $58,900 Equus ($65,400 in Ultimate trim). This is territory into which even storied manufacturers like Cadillac and Lincoln fear to tread (with cars at least). Does Hyundai’s large premium sedan come close enough to established competitors, while undercutting them enough in price, that potential buyers will overlook the badge? Or is it a step too far too soon destined to sell in very small numbers?

(Read More…)

By on November 17, 2010

According to a recent projection, GM will be selling over 2m vehicles on its Gamma (Aveo) platform by 2016… and thanks to Cadillac’s Urban Luxury Concept, we know what the most profitable iteration of that platform could look like. Yes, it’s the new-wave Cimarron of the future, inspired by such pedigreed city-car competitors as the Aston-Martin Cygnet and the Bugatti Petit Sport Sang de Navet. And with Lambo doors and a grille that would put a crunk rapper to shame, the littlest Caddy certainly does everything it can to distract from its humble (presumably budget Korean hatchback) roots.  Because, as lead designer Frank Saucedo puts it

There is no minimum size for a Cadillac driving experience.

But there is a minimum volume per platform target… and the importance of this metric almost guarantees that, in some way or another, the Cimarron will ride again.

By on November 15, 2010

Nick Taylor’s layman’s observations of American cars in China are a great first impression view.  But first impressions can be deceiving. It is true that the Chinese auto market is very much similar to the U.S. market. They love 3 box “real cars” (trend recently shifting a bit), they love SUVs, they love big cars if they can afford them.  “American” cars, mostly Buicks, Chevys and a smattering of Fords on Chinese roads are mostly made in China.  Just like the “German” or “Japanese” cars that are made mostly in China.

China as an export market for U.S. cars is a whole other matter. China has a 25 percent tariff on imported cars. That pretty much limits car imports to segments where price doesn’t matter, or where a high price acts as a differentiator from the riff-raff: Luxury cars. And this is where Europe reigns supreme. (Read More…)

By on November 8, 2010

Yes, our recent acquisition of complete 2009 fleet sales data came a little late in the game, but we’re still finding all kinds of fun facts buried in it. For fans of limited government, perhaps the most interesting revelation is that the government fleet sales data shows that American governments (it’s unclear whether these are state, local or federal agencies) bought some sweet cars last year. Some sweet, expensive cars. Let’s take a look at some of the most surprising government fleet purchases of 2009, accompanied by our guesses for how each purchase was used.

(Read More…)

By on November 8, 2010

Any way you slice Toyota’s sales figures for the past 5 years, its obvious that despite a ballooning product portfolio Lexus is in a world of hurt. Sales are down, the other import brands have improved their quality and buyers seem to be embracing a more performance-oriented (or is that German-oriented?) luxury style. But rather than re-orienting the Lexus brand to directly take on surging BMW, Audi and Mercedes sales, Toyota has doubled down on its major competitive advantage: hybrids.The recently-launched HS250h was Lexus’s first stab at an entry-premium hybrid, but after just a few months on sale it’s already going nowhere fast. With CAFÉ changes looming, Lexus may eventually benefit from an all-hybrid luxury line-up, but in the meantime the very idea of a luxury hybrid needs a shot in the arm. Is the CT200h hatchback hybrid the answer?

(Read More…)

By on November 8, 2010

One by one, automakers announce that China either is or will be their largest market in the world. First and foremost, there’s  GM. The General officially sells more cars in China than back home (some nitpicking caveats remain.) Volkswagen’s Audi said its China sales are expected to exceed German sales next year. If you want to sell luxury cars, you need to ship them to China. China already is the world’s largest market for the Mercedes-Benz S-Class , and China might soon outclass the Germans in all Mercedes classes. Nobody buys more Porsche Cayennes than the Chinese. With all these records by other makers, BMW can’t possibly remain on the sidelines. (Read More…)

By on November 4, 2010

Toyota drops in China, Canada, The United States, Japan and (almost certainly) Europe, too. You’d think good news would be scarce. And you’re right, it is! But wait, there’s one! (Read More…)

By on November 1, 2010

Given that European luxury brands have generally had their way with Detroit-based competitors in the US market, it should come as no surprise that Cadillac has failed to make any appreciable headway in the European market. The brand has been launched and re-launched in Europe four times in the last twelve years, according to Autocar, and its latest relaunch was supposed to boost sales to 20,000 per year by 2010. Despite that ambitious goal, Cadillac has fallen flat with European buyers, having moved about 1,300 units this year. As a result, the latest re-launch of Cadillac has been accompanied by dramatically scaled-back expectations: 2,500 units per year within the next “several” years (Cadillac expects the new ATS to make up about 1,500 units of this volume). Only limited numbers of CTS sedans and wagons will be converted to right-hand drive for the UK, and diesel engines for the CTS range are on hold. But even with a more modest approach to Europe, Cadillac is widely expected to keep struggling in Europe. After all, Lexus spent some $2.8b attacking the European luxury market, but sales which peaked at 60k in 2007 have retreated to a mere 30k units. As Cadillac gets stuck into its fourth re-launch, analyst Ferdinand Dudenhoeffer is not optimistic

The brand Cadillac has no fascination for Europeans and no customer base. Why should I go from Audi, BMW, Volvo or Mercedes to Cadillac? Lexus has shown us how much investment is needed to do that… My forecast is, they (Cadillac) will not be in the market in Europe by 2020. Some people might buy one in the U.S. and export it to Europe. That’s it
By on October 28, 2010

Everyone knows that buying a Bugatti Veyron has a lot more to do with projecting “because I can” status than with the car’s actual abilities. After all, there is no shortage of supercars available for a fraction of the Veyron’s $1m+ pricetag that offer more capability than anyone would ever be able to actually use on the road. Rather, the point of a car like the Veyron is purely symbolic: as the fastest, most technologically complex production car on the market, it speaks to the superlative nature of its owner. And as rolling proof that you can drop a cool mil anytime you want, and still be able to afford the Veyron’s private jet-level maintenance costs, nothing beats a Bugatti. Unless, of course, you buy your Veyron in India. Automotive News [sub] reports that, thanks to India’s 110 percent import tax, a newly-available Bugatti Gran Sport will cost plutocrats of the subcontinent a hefty $3.6m. And, the problem of driving one on Indian roads aside,  it’s not as ridiculous a proposition as you might think. According to the report

the combined net worth of India’s 100 wealthiest people climbed to a record $300 billion this year, equivalent to a quarter of India’s gross domestic product,

By on October 18, 2010

America’s “jobless recovery” is a strange economic phenomenon: though businesses are returning to profitability, jobs are not trickling down to lift all economic boats. Though the causes and consequences of this economic conundrum are beyond the scope of a humble car blog, a snapshot of luxury/premium brand sales (via Truecar) show a similar dynamic at play in the world of car sales: luxury sales are recovering while year-to-date sales of mainstream standbys like Honda and Toyota are sitting flat (up 1.1% and 1.4% respectively). Of course the other dynamic at play in the first three quarters of 2010 is the recovery of domestic brands, but even among those successes, the luxury-premium brands are doing best (witness Cadillac sitting atop this chart, and Buick’s even faster recovery (up 57.5% YTD)). At least if you look at year-over-year percentage improvement rather than overall volume levels. Unlike past eras of economic and energy uncertainty, luxury cars, not spartan compact pickups and fuel efficient hatchbacks, are spurring recovery in the auto sector.

By on October 14, 2010

So, how does the maker of the world’s cheapest mass-market car go about building India’s first home-grown upscale crossover? First, go buy several small European automakers…

(Read More…)

By on October 5, 2010

We were not amused (to coin a phrase) at Ford’s decision to tax fans of the hatchback by adding $500 to the price of its five-door Fiesta and forthcoming Focus. And rather than following Ford’s example, GM has priced its CTS-V Sportwagon some $475 cheaper than its $63,465 CTS-V sedan, by starting prices for the unique muscle wagon at $62,990 (including destination). Needless to say, we love the wüchtig, 556 HP CTS-V, so the prospect of a distinctively be-hatched version for less money is like catnip here at TTAC HQ. On the other hand, our beef with Ford has to do with its refusal to offer the practicality of a hatch at the base price point, and that argument doesn’t really hold water in the tire-smoking world of supercharged V8 rocketships. Moreover, $475 doesn’t exactly make much of a difference when you’re talking about a car that costs the equivalent of four base Fiestas. Still, we like to think of this as a win for the wagons… if only in principle.

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