Mercedes, Audi closing gap to BMW. BMW still no.1 though

The BMW group continues to hold its lead in the global luxury car maker race. However, the gap is now being closed by Mercedes-Benz and Audi and the competition between the three German titans is heating up. Officials at Stuttgart have a reason to smile as Mercedes-Benz had the highest growth rate of the three at 9% in Q3-2014. Including Smart, the group retailed 4,31,000 units.

For Q3-2014, Volkswagen AG's Audi registered a growth of 7.2% over the corresponding period last year, selling 4,29,925 units. Both car makers have witnessed sales being supported greatly by the rising demand for compact SUVs like the Mercedes-Benz GLA and compact sedans like the Audi A3. With younger buyers veering towards their small to mid size offerings, both brands are creating a brand loyalty. With this, the manufacturers hope to retain their customers when they plan to upgrade.

BMW introduced models like the 2-Series Active Tourer to better its entry level credentials. Clubbed together with Mini and Rolls Royce, BMW delivered 5,09,669 units. Raw numbers may still be ahead, but BMW is feeling the heat. Audi plans to invest 22 Billion Euros by 2018 in new models while Mercedes-Benz is developing crossovers like the upcoming GLE Coupe to rival the BMW X6. 

Source: Bloomberg