Unrestricted Global Thermonuclear War Of Luxury Erupts

Bertel Schmitt
by Bertel Schmitt

Few topics attain as much attention as something only a few can afford: Luxury cars, with special emphasis on who sells the most.

While some snootily state that a lot of these cars can’t possibly be listed as luxury comment, Connolly leathernecks battle in the burlwoods. The war for luxury-leadership is fought on a global scale, where Dr. Z. exhorts his troops to fight back the onslaught of the Bavarian Barbarians. Month after month, skirmishes for market share erupt on U.S. shores as well.

Edmunds sends the latest dispatches from the frontlines of conspicuous consumption:

“The battle of giants for the lead in the U.S. luxury market got even more interesting in July, as No. 1 BMW crept a little further into the lead over No. 2 Mercedes-Benz during the month; Lexus remained hamstrung by supplies; and other players were jockeying for the No. 3 spot. BMW brand sold about 135,000 vehicles year to date through July, and last month upped its edge over the Mercedes brand, which sold about 130,000 during the first seven months. Lexus brand sales were off by 19 percent in July and are off by 19 percent for the seven months, even though availability has begun to return to form. Audi and even Lincoln staged their own surges during the month as the entire segment began easing into the traditional summer sell-down.”


Carmakers appear to be unfazed by a near-bankrupt government, record unemployment, and homes that refuse to work as ATMs. “Despite the recent economic news, our BMW Group sales in July continued their good momentum,” said Jim O’Donnell, president and CEO of BMW. Audi splurged and announced that it will be “the official automotive partner” this year’s Emmy Awards in September.

However, Hollywood declined to a side-show. World War L will be decided in garage-to-garage battles in Guangzhou, Chongqing, Shanghai and Tianjin. As you can see, in China’s countryside, they already advanced a step above the hoi-polloi …

Bertel Schmitt
Bertel Schmitt

Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.

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 5 comments
  • Windswords Windswords on Aug 09, 2011

    Bertel, What is your definition of a luxury brand? If you include Buick and Acura (and Lincoln for that matter) then you should include sales of Chrysler and some Jeeps. Are a Regal and TSX luxury cars but a 300c and a Jeep GC Limited are not?

    • See 2 previous
    • Bertel Schmitt Bertel Schmitt on Aug 09, 2011

      It's not my definition. The chart is by Edmunds. Where I worked, we would call Audi, BMW, Daimler etc. "Premium" brands. "Luxury" is reserved for Bentleys, Rollers et al.

  • Eldard Eldard on Aug 10, 2011

    If Buick and Lincoln are luxury cars, then I am a Prada heir.

  • ToolGuy Why would they change the grille?
  • Oberkanone Nissan proved it can skillfully put new frosting on an old cake with Frontier and Z. Yet, Nissan dealers are so broken they are not good at selling the Frontier. Z production is so minimal I've yet to see one. Could Nissan boost sales? Sure. I've heard Nissan plans to regain share at the low end of the market. Kicks, Versa and lower priced trims of their mainstream SUV's. I just don't see dealerships being motivated to support this effort. Nissan is just about as exciting and compelling as a CVT.
  • ToolGuy Anyone who knows, is this the (preliminary) work of the Ford Skunk Works?
  • Kwik_Shift_Pro4X I will drive my Frontier into the ground, but for a daily, I'd go with a perfectly fine Versa SR or Mazda3.
  • Zerofoo The green arguments for EVs here are interesting...lithium, cobalt and nickel mines are some of the most polluting things on this planet - even more so when they are operated in 3rd world countries.
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