2.3 Roadster Conv. Automatic Cd Player Wheels Sport Only 66k Miles Harman/kordan on 2040-cars

Auto blog

BMW says SUVs killed the sports car market

In many ways, we're living in a golden age of automotive performance. After all, it's possible to show up at a Dodge dealer, hand over about $60,000 and storm away with a 707-horsepower Challenger Hellcat. Or for those who prefer a touch more luxury, the BMW M4, Mercedes-AMG C63 and latest Cadillac ATS-V offer between 425 and 503 horsepower, depending on your pick, with a bit more poshness. However, none of these powerful vehicles fit the classic definition of a two-place, droptop sports car, and according BMW head of sales Ian Robertson, that's because the segment is very much in the doldrums.
According to Robertson, two factors seriously wounded the classic sports car market. First, the global economic crisis of a few years ago put a serious hurt on sales, according to Bloomberg. Further worsening the situation, the boom in popularity of luxury SUVs and crossovers in the past few years hasn't allowed for much recovery. Even car-hungry China hasn't helped much because of the smog in many cities and preference among some of the very rich there to be chauffeured.
Combined, Audi TT, BMW Z4 and Mercedes-Benz SLK sales peaked around 114,000 units a year in 2007, but they are only expected to reach 72,000 annually by the end of the decade. Robertson is pretty pessimistic about the market's comeback too. "Post-2008, it just collapsed. I'm not so sure it'll ever fully recover," he said to Bloomberg.

These are the top luxury cars bought by people entering the segment for the first time

Let's say you just got a big promotion at work or the kids are moving out of the house, and you finally have some extra money. You decide to blow it all at once and treat yourself by upgrading your ride. Naturally, you look to a luxury automaker. What do you choose?
Models like the Audi A3 and Mercedes-Benz CLA-Class may be tailor-made to introduce buyers to the premium segment, but a new study finds that they don't garner the highest rates of non-luxury customer conquests. It turns out that a Volvo leads among folks moving up to a premium brand, and it isn't even one that's made anymore, at that.
A recent study by Polk and IHS Automotive looked at what models had the highest rates of buyers upgrading from a non-luxury segment. The information comes from its new vehicle registration data through April 2014. All ten top models boasted conquest rates of over 50 percent, but the Volvo C70 led the field with 68.01 percent of its customers coming from non-premium brands.

BMW to announce location of new plant in Mexico in July

Volkswagen manufactures in Mexico. Soon Audi will as well, and Mercedes-Benz is said to be working on a deal to assemble some of its cars at a Nissan plant in Mexico too. That leaves BMW out of the mix of German automakers building cars South of the Border, but that may soon be rectified, as well.
According to Automotive News, the Bavarian automaker is preparing to announce the site of its first Mexican assembly plant as soon as July, now just two months away. BMW already builds cars for North American consumption at its plant in Spartanburg, South Carolina, but has reportedly been keen to capitalize on cheaper labor and the benefits of the North American Free Trade Agreement to supply vehicles to the United States and Canada especially.
When BMW does announce the site of the plant - reportedly narrowed down to either Hidalgo or San Luis Potosi - it is tipped to work its way up to 100,000 vehicles per year at the new location, potentially to include the 3 Series as well as smaller, front-drive models, including Minis.