Mercedes Expanding AMG Brand, Asking Dealers To Pay For Upgrades
Mercedes-Benz will open performance centers at specific dealerships across the U.S. to expand the AMG brand from enthusiast sub-brand to mainstream performance line, Automotive News is reporting.
Dealers may have to pay up to $200,000 for extra showroom space and training, the report said. The automaker expanded its AMG brand this year with the Mercedes-Benz C450 AMG and GLE450 AMG, which are performance variants of those cars but stop short of the full-performance models.
The move is similar to how other luxury automakers watering down expanding their performance lines, such as Audi’s S-line and BMW’s M-division.
Last year, Mercedes-AMG sold more than 11,000 models in the U.S. Sales of AMG-branded cars are expected to rise significantly with the expanded brand.
The dealerships would need to add 2,000 additional square feet to existing dealerships. Roughly 100 dealerships would add the performance centers, with half of those being “professional” centers with larger studios. The centerpiece, according to the report, would be an 8-foot “Powerwall.”
According to the report, dealers will be compensated for the investment through higher incentives paid out for those vehicles.
More by Aaron Cole
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Cadillac has been forced their poor dealers to spend FAR more upgrading their showrooms, and their vehicles (Escalade excepted) JUST SIT THERE FOR MANY, MANY MONTHS/YEARS.
Wow. Brings new meaning to the term "old money." "I say, mah dear, shall we retire to the portico for some mint juleps?" EDIT: Dangnabbit, that was supposed to reply to Flybrian.
Will the AMGs have a dipstick so the owner can check the oil, or just an electronic gauge? Will it be possible to change the transmission fluid, or will it be "lifetime"?
Dumb. brand becomes diluted. AMG becomes unspecial I would rather see reinvigoration in the 55 (under 63?) or 500/600 (or 550 even? than this looks like Mercedes jumped the skark first