Balancing Premium and Affordability
Audi's recent push towards a more premium brand positioning globally has raised questions about potential price hikes for customers. However, Audi Australia is taking a more nuanced approach, aiming to enhance the brand's premium appeal without alienating its customer base.
Australian Market Realities
Jeff Mannering, Audi Australia's director, acknowledges the need to remain competitive in the local market:
"You can't actually price yourself out of the market, because who buys your car is actually dictated by the customer. So if you were really expensive, you might say it's more premium, but you've got to be in line with competition."
This stance contrasts with the UK approach, where Audi's boss has indicated a clear shift towards increased prestige and exclusivity.
Enhancing Value Without Inflating Prices
Audi Australia's strategy focuses on adding value to vehicles without necessarily increasing prices significantly:
"You can add value to a car to keep it refreshed, so you don't have to go up with huge amounts of inflation. You just add options, and you make it a value proposition for the customer," Mannering explained.
Diverse Range for Diverse Customers
The brand aims to cater to various customer segments within the luxury market:
- Entry-level options will remain available
- Mid-range vehicles for those seeking balance
- High-performance S and RS models for enthusiasts
Peter Strudwicke, product planning manager for Audi Australia, noted the continued popularity of performance models: "We have quite a high mix of S and RS models, and I think that will definitely continue."
Q6 e-tron: A Case Study in Range Diversity
The upcoming Q6 e-tron exemplifies Audi's strategy, offering multiple variants to suit different customer needs and budgets:
- Q6 Performance
- Q6 Quattro
- Q6 S
"There's always a person that's looking for the mid range, and there's always a customer that's looking for the entry into the range itself," Mannering stated.
Market Position
While Audi finished third in Australian luxury car sales behind BMW and Mercedes-Benz last year, its best-selling models were the more affordable A3 and Q3, along with the mid-sized Q5 SUV. This sales distribution suggests a continued demand for accessible luxury options in the Australian market.
As Audi navigates its global premium push, the Australian arm of the company appears committed to maintaining a delicate balance – enhancing the brand's prestige while ensuring it remains attainable for its diverse customer base.
