Luxury brands are never divided into one or two tiers, and the so-called second-tier luxury brands are only defined by the market according to sales volume.
Lexus, Cadillac, Volvo and other luxury brands are actually in the same camp as BBA, because sales can not keep up with BBA, and brands with annual sales of less than 200,000 are classified as second-tier.
The sales volume of the domestic luxury market is clearly stratified, and the annual sales of the three BBAs can easily reach 700,000 yuan, but the sales volume of the fourth luxury brand has dropped to 200,000 yuan.
There are many factors that affect sales, mainly brand value, for user groups with a budget of 200,000 to buy a car, more to see is the subsidiary value brought by the brand, such as social link value, functional value, status value, this social cognition is different, more people still need the brand to drive life demand.
Taking a step back and looking at luxury brands such as Lexus, Volvo, and Cadillac, there is a huge gap in the face of BBA, that is, the brand influence is seriously insufficient.
Especially in the second-tier market, the awareness and recognition of BBA in third- and fourth-tier cities is very high, Mercedes-Benz is still the choice of the first echelon, followed by BMW, Audi, and many user groups do not have high enough awareness of Lexus, Cadillac, and Volvo, and are not sure enough.
China is still a huge market for third- and fourth-tier cities, and the huge sales of BBA definitely do not rely on the first-tier cities of Beijing, Shanghai and Guangzhou, but on the crazy coverage of third- and fourth-tier cities.
Obviously, brands such as Lexus, Volvo, and Cadillac, which may not even have auto trade channels in third- and fourth-tier cities, cannot catch up with BBA.
If you want to survive in the originally small but fiercely competitive market, you must make up for the product growth point and the best advantages.
So we see that the second-tier luxury brands are better equipped and lower, and the typical one is Cadillac, which is simply a C-class car with a D-class car compared to a BBA, and it is even lower.
For example, the Cadillac CT6, with a size of more than 5 meters 2, is a D-class car in the traditional sense, only 10cm shorter than the BMW 7 Series, but its entry-level model terminal is only about 320,000, compared to the 7 Series's starting price of 900,000, **only about 35% of BMW.
So when we talk about luxury cars, what exactly are we talking about?
First of all, the top stream of the brand, followed by the strength of the product, and finally the competitiveness of the first class, the top luxury brand is the strength of the user group, and the third-rate brand is the terminal.
The so-called second-tier luxury brands are more in the fight for the best, followed by the spelling configuration, and the lack of brand breadth and depth makes them unable to attract more users in front of BBA at the same price, so they will be defined as second-tier luxury brands by users.
To put it bluntly, it is impossible to form an effect in high-end user groups.
If they are given a chance, they also want to take the brand-oriented business strategy, Lexus ES and Land Rover Aurora are not without mark-up sales, indicating that the brand itself also wants to be among the first-class, but in the face of BBA's squeeze, these products will soon be beaten back to their original shape.
The fundamental reason is that the brand cannot influence more people, the product power cannot keep up with the needs of the times, and it is only a matter of time before the first war is fought.