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Auto blog
VW makes $23K on every Porsche sold, more than Bentley or Lamborghini
Fri, 14 Mar 2014It's a good time to be in the luxury car business. In Volkswagen Group's financial report for the 2013 fiscal year, it is revealed that that Porsche enjoyed an operating margin of 18 percent. That means the Stuttgart brand made on average about $23,200 per car sold, according to BusinessWeek. Bentley wasn't far behind, and Audi (which was combined with Lamborghini) posted a 10.1 percent margin. This compares to only around 2.9 percent for the Volkswagen brand.
"Luxury brands are on fire," said Dave Sullivan, an industry analyst at AutoPacific. He said that the average profit margin is between six and eight percent. Brands like Porsche and Bentley have the benefit of competing in rarefied markets. Buyers looking at one their vehicles have fewer models to shop against and don't care as much about price. They can also charge more for options, which further boosts income, according to BusinessWeek.
In a way, we should be more impressed by the continued success from Audi. Its models generally have direct competitors in every segment from the other premium automakers. Plus, their buyers aren't the captains of industry who are shopping for a Bentley. Still, the Four Rings is leading rivals in sales so far this year.
Audi reveals new beefed-up A8 L Security
Tue, 14 Jan 2014
Audi claims is the lightest armored vehicle of its kind.
If there were ever a sedan that deserved the descriptor of "luxury," surely it's the Audi A8. Particularly in long-wheelbase form. But for many of Audi's wealthy customers around the world - namely those in developing markets - there can be no greater luxury than security. And for just those customers, Audi has announced the new A8 L Security.
Audi's next-gen "matrix beam lighting system" under threat from Washington
Thu, 07 Feb 2013Automotive News reports Audi may have a hard road ahead of it when it comes to convincing federal regulators to allow the company's new matrix beam lighting. The system uses small cameras to detect other vehicles on the road and darkens specific elements of the high-beam pattern to provide maximum nighttime visibility without blinding other drivers. Audi has been displaying this technology on its concept cars for a couple of years now (including the Crosslane Coupe Concept shown above at its 2012 Paris Motor Show reveal). Audi hopes the technology will effectively do away with the industry's current high and low beam settings, but the National Highway Traffic Safety Administration doesn't allow such a system under its current laws. Federal Motor Vehicle Safety Standard 108 specifically says headlamps are not to shine in this dynamic of a way.
Audi has asked has asked NHTSA for more clarification to determine what, if any elements of the matrix beam lighting technology can legally be used on US-specification vehicles. But American buyers may have to settle for systems that automatically dim their high beams until the rules get a bit more clarification.