Autoblog

The importance of luxury SUV and crossover sales explained

George Kennedy — Thu, 11 Oct 2012 18:00:00 EST

Filed under: Car Buying, SUV, Crossover, Earnings/Financials, Luxury

When we see a vehicle like a Lamborghini Urus or the Bentley EXP 9 F concept, we may at first scratch our heads, wondering why an automaker would take this route. When the accountants see these vehicles, they see one thing: dollar signs. No matter what angle you come at it from, SUVs and crossovers are cash cows for carmakers, especially luxury brands. It's a truth that Kicking Tires laid bare in a recent article.

One shining example given highlights this phenomenon by way of recent sales figures by Infiniti. September deliveries of the JX fullsize crossover shown above represented 24 percent of Infiniti's sales. In fact, Infiniti's four crossovers (FX, QX, and don't forget the EX) accounted for 39 percent of the Japanese luxury brand's sales. 10 years ago, the brand sold only one SUV, the QX4. In a four-model lineup, the gussied-up Nissan Pathfinder SUV accounted for a fifth of its sales in 2002. Fast-forward to the present, and Infiniti "truck" sales in 2012 were up 63.3 percent, while car sales were up just 2.5 percent.

The article goes on to point out similar trends based on the proliferation of the X3 and X1 in BMW's lineup, Acura's crossovers making up half of its sales in September and how the Cayenne outsold the rest of the Porsche lineup combined. There are a lot more sales facts and figures if you read through to the article, but the gist of it is: luxury SUVs and crossovers sell big, and they can float a brand's sales when other vehicles are not moving off the lot.

Even so, judging by today's earlier Automotive News Europe report, it appears that even luxury SUVs aren't immune from sales pressures - the aforementioned Lamborghini and Bentley SUVs may be delayed due to Europe's tortured new car market.

The importance of luxury SUV and crossover sales explained originally appeared on Autoblog on Thu, 11 Oct 2012 18:00:00 EST. Please see our terms for use of feeds.

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Range Rover settles into middle age, hits the big 4-0!

Sam Abuelsamid — Tue, 01 Jun 2010 17:31:00 EST

Filed under: SUV, Land Rover, Luxury

Range Rover turns 40 - Click above for high-res image gallery

Since the mid-90s, the the luxury SUV segment has become an increasingly crowded field with almost every brand trying to get a piece of the pie (and in many cases several slices of various sizes). Way back in 1970, though, there was only one. Forty years ago this month the very first Range Rover rolled out of a UK factory and its continued rolling ever since.

Unlike the Jeeps, International Scouts and Land Cruisers of the day, the Range Rover managed to combine the luxury amenities and on-the-road ride qualities of a Jaguar with the rock crawling prowess of those other brands. Range Rover built such a reputation that at one time Jaguar even considered building its own competitor. Fortunately, Land Rover came into the Ford family before that happened and now both brands have passed into Indian hands. The realities of the modern world mean that future Range Rovers will undoubtedly change, getting lighter and perhaps adopting hybrid technology. For now at least, the badge still represents the epitome of British luxury blended with jungle crawling capability.

Gallery: Range Rover at 40

[Source: Land Rover]

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Range Rover settles into middle age, hits the big 4-0! originally appeared on Autoblog on Tue, 01 Jun 2010 17:31:00 EST. Please see our terms for use of feeds.

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End of the road for $25,000 luxury SUV tax loophole

Siddharth Raja — Mon, 02 Jul 2007 12:58:00 EST

Filed under: Car Buying, SUV, Government/Legal

Small business owners in the market for a new HUMMER or Cadillac Escalade can enjoy up to a $25,000 tax deduction because of a loophole that affects all vehicles weighing over 6,000 pounds. However, the opportunity might not be around for long if Congress members led by Oregon's Earl Blumenauer are able to pass a bill that's expected to be voted on by the House of Reps next month.

Under the new proposal, provisions for legitimate business use will remain, such as discounts for farm vehicles, vans, flatbed trucks and school buses. The original provision in the tax code was to aid farmers and small business owners purchasing heavy work vehicles to recover some of their costs, but this was before popularity of overweight luxury SUVs became widespread. Now the loophole is providing a tax break for small business owners wanting to purchase a luxury vehicle.

Understandably, carmakers and dealers are strongly opposed to any changes, regarding the new proposal as a tax increase for small business owners.

[Source: ABC News]

End of the road for $25,000 luxury SUV tax loophole originally appeared on Autoblog on Mon, 02 Jul 2007 12:58:00 EST. Please see our terms for use of feeds.

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