Future Trends in Luxury Car Marketing and Sales
Four trends that will impact sales and marketing in the luxury car market in the next three to five years are the movement toward electric luxury vehicles, growing demand from developing countries, self-driving luxury cars and luxury vans and buses.
ELECTRIC LUXURY VEHICLES
- According to market researchers Industry Research Co., WiseGuyReports, Mordor Intelligence and Technavio, a key trend that will impact worldwide luxury car marketing and sales from today through 2025 is growing demand for electric luxury vehicles.
- Specifically, the larger movement towards electric vehicles across the automotive sector, resulting from mounting environmental concerns and regulations, is creating new demand for luxury cars that offer this feature.
- Not only is the trend towards electric luxury vehicles expected to shift the focus of production to electric variants within the luxury car market, but it is anticipated that this movement will accelerate growth in the market for luxury vehicles, at least through 2024.
- Meanwhile, according to automotive trade, Automotive Network, Tesla has been the market leader in sales of electric luxury vehicles, while General Motors and Honda are increasingly competitive and will likely help lead the change associated with electric luxury cars worldwide.
DEMAND FROM DEVELOPING COUNTRIES
- Market researchers WiseGuyReports and Mordor Intelligence report that growing demand from developing countries will increasingly drive luxury car marketing and sales globally from today through 2025.
- Specifically, developing countries, such as India, as well as other Asia-Pacific nations are expected to experience "moderately fast growth," and thereby increase the market for luxury car sales worldwide.
- Notably, Mercedes and BMW are currently leaders in the sale of luxury vehicles in developing markets, such as India, and are expected to continue leading this market change.
- For example, Mercedes India reported a 16% growth in luxury sedan sales in 2017 compared to its previous year, with the company's C-Class and E-class vehicles representing the greatest percentage of sales.
SELF DRIVING LUXURY VEHICLES
- According to market researcher, Mordor Intelligence, and automotive trade, Automotive Network, the development of next-generation smart mobility technologies, including autonomous driving, are expected to be a significant trend worldwide in the marketing and sales of luxury cars from today through 2024.
- Specifically, features such as self driving technology are expected to increase sales of luxury vehicles more generally, as well as further accelerate sales of electric luxury cars that also have such features.
- Meanwhile, according Automotive Network, Tesla and Cadillac are at the forefront of this trend, with Tesla in particular leading the change by incorporating self-driving capability in all vehicles produced within the company's factories.
LUXURY VANS AND BUSES
- Market researchers Technavio and Coherent Market Insights suggests that luxury vans and buses represent a growing trend in the marketing and sales of luxury vehicles worldwide from today through 2023.
- Specifically, growing demand for luxury vans and buses is expected to create new growth and sales in the luxury vehicle market, at least through 2023, stimulate the introduction of new luxury van and bus models and lead to upgrades of existing successful van and bus models.
- This increase in demand for luxury vans and buses is primarily driven by fleet operators such as VIP or limo services, as well as companies looking to increase market penetration for bus line services.
- Meanwhile, according to Coherent Market Insights, Volkswagen, Daimler, and General Motors remain and are expected to continue as leaders of this change and growing market segment.
Please note, for the purpose of this analysis, trends that will impact luxury car marketing and sales in the next three to five years have been defined those trends or drivers that have been identified by multiple credible sources as a major trend or driver, and which are forecast to influence luxury vehicle sales anytime during the next three to five year period.