[Glen]

Its the end of the first quarter and Mercedes-Benz has reported that it has seen its profits increase by 41% compared to the same period last year.

With a goal of 10 percent profitability in the next few years, Mercedes-Benz is very close to that with profitability right now sitting at 9.2%. That is especially impressive when you consider that last year profitability was at 7%. 459,708 units were sold in the first quarter, that's up 18% from last year.

A lot of Mercedes-Benz' growth is because of their strategy to introduce models that are lower priced, and also the new version of the C-Class and the new Smart car.

With numbers like those BMW, Audi and Lexus should all be taking notice.

http://www.autonews.com/article/201...ler-profit-surges-41-on-record-mercedes-sales

 

[stephen]

Not surprised at all with this as they've been coming out with some new strong products.

A next generation E-Class is set to come out, another volume product that'll continue to push their profits.

 

[Glen]

I just wonder if it is going to be enough for them to overcome their rivals in sales. Ultimately it makes sense that they would be able to outsell rivals if they start churning out cheaper volume models. Obviously those are going to sell in higher numbers especially in the context of the luxury industry.

 

[HDGFND]

if anything the e-class is one of the stronger vehicles in its class and bound to come out on top of the pack or right near the top.

plus factoring in what MB has been doing with its new vehicles, its looking good for them

 

[Glen]

I'm sure the other brands have some new stuff coming out that should counter some of this, but it is looking quite good for Mercedes. Their product line expansion has been playing really well to current trends.

 

[stephen]

Merecedes wants to dominate every segment with how aggressive they've been with coming out with vehicles
Seems like their numbers will sky rocket.... if all goes well.

 

[HDGFND]

Merecedes wants to dominate every segment with how aggressive they've been with coming out with vehicles
Seems like their numbers will sky rocket.... if all goes well.

They know a lot of folks aspire to own a 'high-end' vehicle.

Saying you own a "new mercedes" to a lot of people feels good.

MB is onto something here.

 

[Glen]

Do you guys have any worries about Mercedes-Benz losing its reputation for luxury vehicles if they keep building more and more cars down market?