Meet the New Benz S-Class
A luxury car with an 80,000 euro starting price. No other vehicle class earns the Stuttgart car maker as much money per unit despite representing only 5% of the company’s overall revenues. Germany’s Handelsblatt reports.
Düsseldorf, Germany. Daimler Benz is unveiling the new generation of its flagship S-Class. The sedan, which first hit the market more than 40 years ago, is seen as the car maker’s hope in times of declining profits and internal strife. This is primarily due to the fact that more money can be earned via larger models as opposed to compact cars. It is for that reason that experts believe that the new S-Class stands a good chance at succeeding. Besides low consumption, the car should score points by offering a high level of security via various driver assistance systems.
Although the car is not being revealed until this evening in Hamburg – with much fanfare and numerous celebrities on the guest list – the prices are already fixed. The price tag of the new S-Class, Series 222, S350 BlueTec sedan starts at 79,789.50 €. That the prices have been established seems credible since the car can already be ordered from the dealer, with first deliveries scheduled for late July. A first edition model equipped with numerous extras will, however, set the buyer back by another 19,000 euros or more.
The S-Class is the most important new release by Mercedes-Benz this year. The group hopes to gain new momentum in order to achieve its objectives. “The more than 15% yield per vehicle is expected to move the S-Class to the level of Porsche,” estimated auto analyst Frank Schwope of NordLB. Porsche, a subsidiary of Volkswagen, has become a benchmark in terms of profitability.
The largest market for the S-Class luxury sedan is China, where Daimler recently was close to losing its the connection to its upper-class competitors BMW and Audi.