Mercedes puts up fight in China
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BMW and Mercedes — China’s No. 2 and No. 3 luxury brands — were virtually dead-even in that market last month, selling roughly 35,000 vehicles apiece.
But Mercedes sales jumped 32 percent year on year, while BMW deliveries fell more than 7 percent. Audi, China’s top-selling luxury brand, boosted sales 9 percent to 49,576 vehicles.
Mercedes has been on a tear in China since 2013, when it shook up management and consolidated its two warring distribution channels.
BMW is feeling the heat. In April, the company replaced its China sales chief, and now it’s hustling to introduce new models. BMW is introducing a long-wheelbase X1 in China to compete with the Audi Q3 and Mercedes GLA.
Those three models are battling for share in China’s red-hot market for compact crossovers.
For the first four months, Audi remained on top, with sales of 189,611 vehicles, while BMW delivered 162,221 units. Mercedes is still No. 3, with sales of 142,266, but it is steadily closing the gap.
We suspect BMW realizes that objects in its rearview mirror are closer than they appear.
Questions & Answers
Q.What actions did Mercedes take in 2013 that helped its performance in the Chinese market?
What actions did Mercedes take in 2013 that helped its performance in the Chinese market?
Mercedes shook up its management team in China. It also consolidated its two previously warring distribution channels, which appears to have contributed to its strong sales growth since then.
Q.Which specific BMW model is being introduced to compete in China's compact crossover market?
Which specific BMW model is being introduced to compete in China's compact crossover market?
BMW is introducing a long-wheelbase X1 model in China. This new vehicle aims to compete directly with existing models like the Audi Q3 and the Mercedes GLA in the compact crossover segment.
Q.How did BMW's sales in China perform last month compared to Mercedes?
How did BMW's sales in China perform last month compared to Mercedes?
BMW's deliveries in China fell by more than 7% last month. In contrast, Mercedes' sales in the same market jumped by 32% year on year, putting them at a similar monthly sales volume.
Q.What is Audi's current sales position and total sales volume in the Chinese luxury market?
What is Audi's current sales position and total sales volume in the Chinese luxury market?
Audi remains China's top-selling luxury brand. For the first four months of the year, it recorded total sales of 189,611 vehicles across the market.
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