DoctorTuna

I found an interesting article about the ongoing luxury car slump. It really has turned into a buyers market with today's economy. The first paragraph unfortunately doesn't even include Acura as one of the luxury divisions but does later mention the TL.


http://online.wsj.com/article/SB1220...feature_articl es

I considered posting this thread in off topic but I thought the RL group would find this interesting.

neuronbob

Acura has held up pretty well until the last year or so despite the slump because of the TL and MDX.

The fact that even Acura is suffering is indicative of the overall economic environment (and soon, Acura's design decisions, but that's another thing altogether).

jhr3uva90

Notice that Acura isn't included with the luxury brands. I think that says something about the general public's perception of Acura.

CL6

Interesting but I wouldn't trust the WSJ to declare what's 'luxury' and what's not. Since when did a 55k BMW 3 Series not qualify?


Sales in the "lower luxury" car segment, which includes the BMW 3-Series, Acura TL, Infiniti G35 and Lexus ES and IS models, are down 10.3% for the year through Aug. 31, according to Autodata figures.

lumpulus

Looks like it's time to trade.

kssod

recent paper had brand new 08 MB S550 4matic for $78k, sticker was $95K. Every brand seems to be hard hit. i even saw on Jagtalk a XF for 2k under invoice.

static808

Wow, only if I had some disposable income to grab that S550...

Acura definitely needs to define itself as a luxury nameplate. Not sure why Infiniti has "jumped" over Acura. I guess the $60million in advertising has changed people's perception of Infiniti.

DoctorTuna

I'll jump in here and just give my quick impression. I agree, the advertising has made a big difference when you look at population perception. I realize that most on this forum will roll their eyes on this one but a big part of that perception is an available RWD and V8 option. I know we probably don't really need it, but it is what it is when it comes to this.

Having recently traded my RL for a G37 coupe I can say as most RL owners can attest I didn't buy the Infiniti because of advertising hoop-la, I certainly wouldn't have bought an RL if that were my main influence!! For me I found a vehicle that drove like a BMW but was priced like an Acura with some of the best lease rates in the industry, no-brainer for me. Plus the dealership "luxury" experience was a step above my long time experience with Acura. It has been said before, Acura needs to do very specific things to change the "luxury" perception, otherwise they will continue to be left out from the automotive luxury definition.

jhr3uva90

I agree with DoctorTuna. Having a full-sized car with a V8 engine and RWD would help.

Also, Acura has 3 sedans that are all based on the same platform as the Accord. It limits what you can do design wise, although the new TL pushes those limits. Platform sharing reduces costs, but it does not boost brand perception. It is interesting to me that the more recognized luxury brands like Lexus limit the platform sharing (only one Lexus sedan shares a platform with a Toyota-brand vehicle). I think Acuras should have their own platform and go upscale. That could help become a true luxury brand instead of a way to extend current platforms.

taitando

The downturn in the economy is definitely hitting all areas, including the luxury market. IMO people aren't as inclined to spend more money on luxury items when they're trying to save money for basic necessities like food, shelter, and transportation. With the average American indebted with little to no savings, and the value of their homes continually decreasing, it's time to think "necessity" versus "luxury". Sure that ____________(insert luxury brand here) is nice, but a __________(insert non-luxury brand here) can get the job done while costing less overall. In addition, modern cars no matter what brand, seem to be coming with more features similar to luxury cars more than ever before (Stability control, Auxiliary ports, Navigation, Ipod interface, etc...)

If you want another indicator of a bad market, take a look at used luxury cars. I can't say how it is nationwide, but in my area, dealers have a glutton of cars on lots. This makes for good deals as a buyer, but terrible for people selling or trading. Kinda similar to our housing market.

CL6

For the 08 S Class there is $10,000.00 back from MB if you either buy it or lease it from a bank besides MB Financial. Still, I wouldn't buy one... depreciation and all.

I think Infiniti is an also-ran but their new back-up overhead camera thing is damn cool!