Quote:
Originally Posted by taek
Quote:
Originally Posted by FCX5
It is interesting that people are reporting that dealer lots that used to be full are now empty, yet even for Mercedes, their unit sales was down 30%, so technically the lots should be 30% less full, not empty. Manufacturers are getting better at minimizing cars on lots, which helps drive up demand by creating a greater sense of shortage than there is…basically shortage of anything and everything is helpful right now.
|
Mercedes' average transaction price went from $59,899 in 2020 to $75,369 in 2021, even with 30% less unit sales they are making a killing.
Turns out that demand for luxury vehicles wasn't as elastic as people thought. When someone who is used to BMWs & Benz is faced with these cars being $10k more, he doesn't actually switch to a Hyundai Santa Fe. He'll still buy the premium brands. |
Not elastic in the short term. But we'll see. Apparently people in Mercedes (and BMW) showing up at food banks and then needing rent subsidy and stimulus checks etc is a thing…
https://www.dailysquib.co.uk/world/3...-food.html/amp