Audi strikes back, "BMW is Arrogant"
06-20-2007, 06:01 AM
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Audi strikes back, "BMW is Arrogant"
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"BMW is Arrogant" (From Motor Authority)
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Last week we published a report, which revealed that BMW execs weren't very concerned about Audi as a potential threat in the luxury market because it doesn't build any RWD models and it has to discount its cars to lift sales numbers.
It hasn't taken long for Audi to strike back with its own claims that it is one of the fastest-growing premium brands and that BMW has already been discounting its volume selling 3-series. Speaking at a press event last week, GoAuto reports that Audi's Australian managing director Joerg Hofmann acknowledged that different manufacturers were reacting differently to Audi's increased competition, with some reacting less intelligently than others.
"We are never arrogant. That is the difference between Audi and some other brands," Hofmann explained, an obvious reference to BMW. As for the comments that premium cars must be RWD, Hofmann commented that "a premium product has nothing to do with the drivetrain." Instead he explained that innovation was more important to luxury car buyers and that Audi has a history of creating innovative products such as quattro AWD, aluminum spaceframe construction and direct-injection FSI technology.
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"BMW SAYS AUDI IS NOT A THREAT" (Previous Post)
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Audi has certainly lifted its game over the past five years, releasing more models, increasing its market share and picking up a horde of quality gongs, so you'd think fellow German luxury brand BMW would be feeling the heat. Not so, says BMW Group Australia managing director Guenther Seemann, speaking recently with GoAuto, mainly because it doesn't build RWD cars.
Seemann explains that BMW has only two main competitors, "one comes from Stuttgart and the other comes from Japan". He also suggested that Audi's recent sales increase was spurred by heavy discounting and that this tactic will eventually harm the brand and reduce customer loyalty.
The market seems to disagree. Audi sales are up all over the globe and this has surely come at the expense of numerous BMW sales. Seemann admits Audi is doing well, but believes it hasn't earned the trust of its customers that a premium brand commands.
"It took us many years to build the trust in our customer. It takes many years to achieve what we always wanted to achieve, to become number one or number two in the world." It appears that, in the eyes of BMW, Audi's four rings have a long way to go until it becomes a genuine rival to the blue and white propeller.<ul><li><a href="http://www.motorauthority.com/news/industry/audi-strikes-back-bmw-is-arrogant/">Audi Speaks Up</a></li></ul>
"BMW is Arrogant" (From Motor Authority)
----------------------------------------------
Last week we published a report, which revealed that BMW execs weren't very concerned about Audi as a potential threat in the luxury market because it doesn't build any RWD models and it has to discount its cars to lift sales numbers.
It hasn't taken long for Audi to strike back with its own claims that it is one of the fastest-growing premium brands and that BMW has already been discounting its volume selling 3-series. Speaking at a press event last week, GoAuto reports that Audi's Australian managing director Joerg Hofmann acknowledged that different manufacturers were reacting differently to Audi's increased competition, with some reacting less intelligently than others.
"We are never arrogant. That is the difference between Audi and some other brands," Hofmann explained, an obvious reference to BMW. As for the comments that premium cars must be RWD, Hofmann commented that "a premium product has nothing to do with the drivetrain." Instead he explained that innovation was more important to luxury car buyers and that Audi has a history of creating innovative products such as quattro AWD, aluminum spaceframe construction and direct-injection FSI technology.
----------------------------------------------
"BMW SAYS AUDI IS NOT A THREAT" (Previous Post)
----------------------------------------------
Audi has certainly lifted its game over the past five years, releasing more models, increasing its market share and picking up a horde of quality gongs, so you'd think fellow German luxury brand BMW would be feeling the heat. Not so, says BMW Group Australia managing director Guenther Seemann, speaking recently with GoAuto, mainly because it doesn't build RWD cars.
Seemann explains that BMW has only two main competitors, "one comes from Stuttgart and the other comes from Japan". He also suggested that Audi's recent sales increase was spurred by heavy discounting and that this tactic will eventually harm the brand and reduce customer loyalty.
The market seems to disagree. Audi sales are up all over the globe and this has surely come at the expense of numerous BMW sales. Seemann admits Audi is doing well, but believes it hasn't earned the trust of its customers that a premium brand commands.
"It took us many years to build the trust in our customer. It takes many years to achieve what we always wanted to achieve, to become number one or number two in the world." It appears that, in the eyes of BMW, Audi's four rings have a long way to go until it becomes a genuine rival to the blue and white propeller.<ul><li><a href="http://www.motorauthority.com/news/industry/audi-strikes-back-bmw-is-arrogant/">Audi Speaks Up</a></li></ul>
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