How do you grow your business if you are allowed to sell only 7,000 cars a year? Ferrari is in that tough spot. Last year, they sold 6,500 cars with the prancing horse. To protect Ferrari from being mistaken for a brand that everybody drives, a ceiling of 7,000 has been established. (Don’t ask me why 7,000.) So how do you grow your business if you can’t sell more cars? Simple: Charge more. “Personal touches like cashmere-covered seats and gold-colored exteriors” can add 20 to 60 percent to the price, writes Bloomberg.
Ferrari is late to jump on the customization bandwagon. Customization is not only a nice profit center for high-end carmakers, but also for down-to-earth brands like Volkswagen. Volkswagen Individual GmbH will be happy to sell you a lowly Golf at twice the price. Why leave money on the table for the customizers?
Back to Ferrari: What happens when 7,000 Ferraris get sold? Ferrari will stop making them until next year. UNLESS: Unless the waiting list extends beyond 18 months. Then, the “absolute limit” will be raised to 10,000 vehicles. Can’t say that Ferrari isn’t customer-centric.