Audi outsells BMW in April on China, Germany, U.S. demand

[-=Hot|Ice=-]

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BERLIN (Reuters) -- Audi outsold premium-car sales leader BMW in April as high demand in China, Germany and the United States boosted vehicle sales.​

Deliveries of Audi cars and SUVs increased 14.4 percent last month to 125,200, the Volkswagen premium brand said on Wednesday.​

BMW brand car sales rose 7.4 percent to 121,476 in April while Mercedes-brand sales grew 3.6 percent to 104,344.​

"Audi will remain the No. 1 challenger to BMW over the next four to five years," said Frank Schwope, an analyst with NordLB in Hanover. "They're firmly rooted in lucrative markets and benefit greatly from VW resources."​

An Audi spokeswoman said the brand's monthly sales last surpassed BMW in January 2011.​

Audi has narrowed the gap with BMW on year-to-date deliveries, which rose 11.7 percent to 471,300. BMW sales rose 10.1 percent gain to 478,030 while Mercedes brand's volume increased 9.7 percent to 418,246.​

Audi is vying with Mercedes to seize the sales lead in luxury autos from BMW by the end of the decade. The carmaker has a goal of doubling deliveries to around 2 million by 2020.​

China, U.S demand​

In China, Audi's No. 1 market, sales rose 44 percent last month to 34,221. Sales in Europe increased 4.9 percent to 66,750, despite the region's economic problems that have depressed consumer confidence.​

In Germany, Audi's second-biggest single market, sales were up 9.4 percent to 24,301, ahead of the United States, where sales grew 15 percent to 11,521, making the brand's No. 3 market.​

UK sales rose 5 percent to 8,885, ahead of France, where demand was up 13.7 percent to 5,535. In Russia, sales increased 16.5 percent to 3,287.​

Audi contributed 44 percent to VW group's first-quarter operating profit of 3.21 billion euros ($4.17 billion).​

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Read more: http://www.autonews.com/article/20120509/ANE/305099877#ixzz1uUXj5W00​

 

[Merc1]

Uh-Oh. It is starting to happen...maybe. Lets see if they can keep it up. Poor Mercedes is out of the race for now.


M

 

[DblPen]

Audi's time will come sooner or later, but i dont think its that bad, BMW just cant keep up with VW's recources. Also profit margins is probably way more important to luxury car makers than sales. Lets not forget about ofcourse about BMW's ace - BMWi brand.

 

[Beemer B773ER]

Well hopefully the 3 series continues its strong sales, and considering the 3er/Li was only unveiled a week ago in China, once it hits the showrooms there it should narrow-down Audi's sales lead in the Chinese market.

Profit-wise I'm sure Audi's ahead....and by the turn of the decade Audi will likely have the sales crown too.

 

[Tumbo]

The Audi sells will boost even more now that they have so many models coming, and especially sales of the A3 and the facelifted Q5.

 

[Human]

Audi's time will come sooner or later, but i dont think its that bad, BMW just cant keep up with VW's recources. Also profit margins is probably way more important to luxury car makers than sales. Lets not forget about ofcourse about BMW's ace - BMWi brand.

Agreed, and in that respect BMW's profit margins are exceptional.

In true business perspective (I am a Deputy Managing Director @ my company which in turn are part of a huge retail conglomerate and the largest sourcing company of it's kind in SA) so not from a BMW enthusiasts point of view but GERMAN Auto industry point of view - I honestly vouch for the industry and the future dominance of the German Auto industry, going forward.

Thus as much as I hope BMW retains it's Premium title, in the end it does not matter who's on top and it even hurts seeing M-B slide downwards currently. They are all competitors yes and should keep each other fit for competition keeps you fit and aware that you cannot rest on your laurels. High profits will only be sustained as all 3 German companies do what Germans do, being innovative and setting the trend.

In the end all 3 of them support a Trillion $ industry. Huge companies that forms the supply chain for all 3 (VAG, Daimler & BMW) e.g. Siemens, Bosch, Continental-Teves, Thyssen-Krupp, ZF, Getrag etc, employ thousands and creates jobs for engineers in the thousands daily. The EU economy largely rests on Germany's Auto industry.

Be it Audi tomorrow or M-B next year or maybe BMW for the next 5 years, they are actually made by the SAME supply chain, just different in style and design but ALL using the same parts and component suppliers.

This my fellow members is my hobby, what I do and live for = business. And in my spare time Automotive business is Naas's hobby - now you know the 'geek' in me

Regards,
Naas

 

[K-A]

Damn! That's crazy.

My impression, especially from being in Europe recently (Audi's aren't truly catching in the U.S just yet, at least not to M-B/BMW levels), as to why Audi's are getting so popular:

In this new age of "austerity", of the "anti-bling" being established, after the early to mid 2000's were bling-centric, in this age where even affluent people are looking to be less showy.... enter Audi. Audi has ALWAYS gotten its kicks by being the "car you buy when you don't want to brag about your wealth, want to look a little cool, different, and state that you appreciate the finer things, yet don't have to shout about them". I noticed this when my Brothers ex Girlfriend said she loved Mercedes, but wouldn't buy one because she felt it might look to be "too much" to other people. She acknowledged Mercedes' superiority to Audi in her eyes, but said she'd rather pay the same prices for the Audi so it would be less of a "statement".

In Europe, this is very much fast-tracked, as Europe has always been less "showy" than in the States, and the EU zones is in a state of economic turmoil, cost cutting, and a broader line between affluence and the "regular folk". Audi greatly benefits from this, because people can still buy nice cars, but don't have to shout about it. Mercedes and BMW have been getting even more avantgarde and "showy" with their designs lately (well, BMW with the Bangle era, yet stepped back with this new era, while Mercedes is going crazy with the flashy stuff currently), and Audi keeps with pure, simple and athletic designs, and enough LED graphics to give just a little flash so people can get their fix, yet they keep it understated even mundane in some cases, and make people who buy them feel "cool, because I have something prestigious, yet not everyone knows it.... except for us cool ones".

That, IMO, is their game plan that's working to their favor right now.

 

[Merc1]

All that is really silly IMO. I buy what I want, don't care how it looks to someone else. Unless I was a boss at a company or something and I'm laying people off or something like that where it is directly upon me, otherwise I don't care.


M

 

[Wolfgang]

Explaining Audi vs MB:

Audi is firing on all cylinders in China, with about twenty thousand more vehicles sold, which explains much of the discrepancy to Mercedes, which is ahead in the USA and Germany.

China sales April 2012
Audi 34,221 plus 44%
Mercedes 14,667 minus 11.2%

Due to the run-out of the high-volume B-Class, as well as the recent launch of the M-Class and the start of the locally manufactured GLK, these very popular models only had a limited availability in China (incl. Hong Kong) last month.

http://www.daimler.com/dccom/0-5-7171-1-1489561-1-0-0-0-0-0-12037-0-0-0-0-0-0-0-0.html

 

[K-A]

All that is really silly IMO. I buy what I want, don't care how it looks to someone else. Unless I was a boss at a company or something and I'm laying people off or something like that where it is directly upon me, otherwise I don't care.


M

I don't care either, I like to look good and "appropriated" to me and me only. However to lots of people it's a big deal, especially those working in "tit for tat" coporate/office environment, overly conscious about neighbors perceptions, have clients they choose how they make statements to,and various other social situations. I hear it all the time.

 

[ACE]

BMW's profit margins are exceptional.

Exceptional = Unusual; not typical. In what way are BMW's profit margins "exceptional" compared to say Audi?

The EU economy largely rests on Germany's Auto industry..

bwahahahahaa! What utter drivel... The auto industry isn't even the biggest sector of the German economy, let alone the EU. The German Auto industry is less than 2% of the EU economy. Do some research before claiming to have "expertise".
http://en.wikipedia.org/wiki/Economy_of_the_European_Union
http://en.wikipedia.org/wiki/Economy_of_Germany

 

[Tumbo]

 

[Human]

Exceptional = Unusual; not typical. In what way are BMW's profit margins "exceptional" compared to say Audi?



bwahahahahaa! What utter drivel... The auto industry isn't even the biggest sector of the German economy, let alone the EU. The German Auto industry is less than 2% of the EU economy. Do some research before claiming to have "expertise".
http://en.wikipedia.org/wiki/Economy_of_the_European_Union
http://en.wikipedia.org/wiki/Economy_of_Germany

What I meant in context (admittedly I did not mentioned it in the correct context) was the total of the Auto industry and it's total employment base:

e.g Daimler; VAG; BMW; Opel (All brands within these (Daimler; VAG; BMW; Opel) respective groups + commercial vehicles) + (their total employment base in each of the respective groups, manufacturing plants, finance divisions, logistics and dealerships across the EU)

Then the supplier base e.g: Siemens, Bosch, Continental-Teves, Thyssen-Krupp, ZF, Getrag, Draexlmaier, BASF, BEHR, BERU, Eberspracher, Elringklinger, Edscha, FTE, FAG, Freudenberg, Geiger, HUF, Hammerstein, Hirschmann, Kostal, Kuster, KolbenSchmidt, Kiekert, Leoni, LUK, Magna Steyr, Muhr & Bender, Mahle, Otto Fuchs, Peguform, Pelzer, Reinz, Rehua, Rieter, SACHS, Sonderhoff, Seeber, Stakiewicz, Sidler, TRW, Varta, Voest Alpine, Webasto, Wiedemann Plastics, ZF, Zuena Starker, Zizala, Goetze, Victor Reinz etc.....

^
ALL and more of the above has: their total employment base in each of the respective groups, manufacturing plants, finance divisions, logisticsand dealerships across the EU)


We are talking MILLIONS of jobs etc. bla, bla....

You make the sum of the total investment in the EU economy and come back to me

 

[Deckhook]

It's a dog eat dog world big business with each constantly trying to get the upper hand of the other. Sales are like a see-saw with one's sales boosted from the latest models until the others introduce their new products. Long term I do think Audi are in a stronger place than either of the others but I don't see either BMW or Mercedes giving up without a fight.

 

[ACE]

What I meant in context (admittedly I did not mentioned it in the correct context) was the total of the Auto industry and it's total employment base:

e.g Daimler; VAG; BMW; Opel (All brands within these (Daimler; VAG; BMW; Opel) respective groups + commercial vehicles) + (their total employment base in each of the respective groups, manufacturing plants, finance divisions, logistics and dealerships across the EU)

Then the supplier base e.g: Siemens, Bosch, Continental-Teves, Thyssen-Krupp, ZF, Getrag, Draexlmaier, BASF, BEHR, BERU, Eberspracher, Elringklinger, Edscha, FTE, FAG, Freudenberg, Geiger, HUF, Hammerstein, Hirschmann, Kostal, Kuster, KolbenSchmidt, Kiekert, Leoni, LUK, Magna Steyr, Muhr & Bender, Mahle, Otto Fuchs, Peguform, Pelzer, Reinz, Rehua, Rieter, SACHS, Sonderhoff, Seeber, Stakiewicz, Sidler, TRW, Varta, Voest Alpine, Webasto, Wiedemann Plastics, ZF, Zuena Starker, Zizala, Goetze, Victor Reinz etc.....

^
ALL and more of the above has: their total employment base in each of the respective groups, manufacturing plants, finance divisions, logisticsand dealerships across the EU)


We are talking MILLIONS of jobs etc. bla, bla....

You make the sum of the total investment in the EU economy and come back to me

I did it already, it's <2% of the EU Economy. You're digging yourself into a hole here... It is clear that you don't even have a basic (1st year university) grasp of Economics or how to calculate GDP so claiming to have "expertise" in the subject is a bit delusional. The value of the inputs (what the all of those suppliers produce and sell to auto manufacturers) is not going to be more than the value of the outputs (what auto manufacturers sell) otherwise these companies would be making a loss. The annual value of what German Auto manufacturers sell is about EUR250 billion, out of an EU total of over EUR12.6 trillion, i.e. less than 2%.

Anyway, let's get back on topic, it's about Audi and BMW April sales.

 

[Human]

I did it already, it's <2% of the EU Economy. You're digging yourself into a hole here... It is clear that you don't even have a basic (1st year university) grasp of Economics or how to calculate GDP so claiming to have "expertise" in the subject is a bit delusional. The value of the inputs (what the all of those suppliers produce and sell to auto manufacturers) is not going to be more than the value of the outputs (what auto manufacturers sell) otherwise these companies would be making a loss. The annual value of what German Auto manufacturers sell is about EUR250 billion, out of an EU total of over EUR12.6 trillion, i.e. less than 2%.

Anyway, let's get back on topic, it's about Audi and BMW April sales.

I did not try to do the GDP (private consumption + gross investment + government spending + (exports − imports) sum of each country in the EU. More the production approach (net product or value added method) So then let's say the market value of all four German manufacturers final products and services during a financial year and its contribution to the EU economy and more to the point the total investment by all German Auto Manufacturers in human resources, the value they ad in various ways form contributing their 2% to GDP through to innovation and tech. And in the end why I care about the well being as a German car fanatic of all the German Auto Manufacturers going forward:

Thus as much as I hope BMW retains it's Premium title, in the end it does not matter who's on top and it even hurts seeing M-B slide downwards currently. They are all competitors yes and should keep each other fit for competition keeps you fit and aware that you cannot rest on your laurels. High profits will only be sustained as all 3 German companies do what Germans do, being innovative and setting the trend.

Thus Sustainability and growth, through better planning, products, profitability and keeping each other fit by being competitive.

So, my apologies then to the EU's GDP and totally underestimating the relatively low contribution of the German Auto Industry. And thank you for the facts there ACE

 

[Wolfgang]

BMW Plan 80% Raise in Chinese Production Capacity



BMW have made a formal request to the Chinese government to gain permission for a production increase of 80%. Currently, BMW’s joint venture with Brilliance Automotive Ltd. has two factories in the city of Shenyang, the Tiexi and Dadong plants.

Contrary to its name, Dadong plant is the smaller of the two, with a yearly production of around 100,000 units, which BMW hopes to raise to 160,000. The Tiexi plant currently produces 200,000 units a year and plans are to increase production to 360,000.

The BMW-Brilliance alliance is currently producing the 5-Series, 3-Series and the X1 for the local market. So far, this year, BMW have sold 107,211 units in China, some of which have been imported, a huge improvement of 35% compared to the same period of last year.

BMW’s supremacy on most of the world’s market will definitely be mirrored in the Chinese market, and thanks to special (long wheelbase) market-specific versions, they will probably reach the top of the sales charts and stay there for the foreseeable future.

http://www.autoevolution.com/news/bmw-plan-80-raise-in-chinese-production-capacity-45222.html