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Wagons a logical choice, says Benz

Wagons-ho: Benz SUV sales are down about 35 per cent this year.

Benz boss argues case for station wagons, despite threat to luxury SUV sales

29 May 2008

THE managing director of Mercedes-Benz Australia is confident that the car-based two-wheel drive wagon may finally see a renaissance as the popularity of large SUVs wanes in accordance with rising fuel costs and issues relating to CO2 emissions.

“Wagons are very good looking cars these days. Also they do make a lot of sense, especially in the (market’s) need for a wagon, that so far has been pushed heavily towards SUVs,” Horst von Sanden told GoAuto at the launch of the new-generation C-class Estate last week.

Mercedes-Benz offers two passenger car station wagons: the C-class and E-class Estates. It also offers two SUV wagons, the ML-class and GL-class, with the GLK-class compact SUV also due in 2010.

Mr von Sanden said that many buyers still want practicality but were questioning whether a SUV is what they really need.

“The time is now to go back to ‘what do I really need?'. I don’t need to compromise on design, shape, I get everything that I get from an SUV (in a wagon) – except of course the off-road ability’ – but that’s what only a very low percentage of our SUV buyers need, realistically,” he said.

“What they need is a very versatile car, for all their activities - leisure activities, family activities - and we can do all of that with a wagon as we can a SUV.” Mr von Sanden admitted that the SUV’s days were not quite over yet, with the take-up of 2WD passenger car-based wagons not experiencing an upward surge.

 center imageLeft: Mercedes Benz C-class Estate.



“It has been so far very low - it’s far below 10 per cent,” he conceded. “It has to do still with that image of wagons as a tradesman’s car. Certainly with the change in design philosophy with our designers turning wagons into real lifestyle cars, that will certainly change.” The new C-class wagon emulates the C-class sedan with its option of Avantgarde and Elegance trim lines that dispense with the Classic’s traditional Mercedes grille and three-pointed star on the bonnet for a more stylish grille and other features.

At the top of the C-class Estate wagon is a 6.2-litre V8 C63 AMG Estate, which will be on sale in September.

Mr von Sanden believes the introduction of the new C-class Estate will sow the seeds of change in buyer’s tastes.

“We get very positive feedback and good enquiry already for C-class wagon, so obviously in that smaller segment there is strong demand for these versatile cars, and our dealers are very optimistic in their outlook of the C-class wagon in the Australian market,” he said.

“I am sure that with the C-class wagon we will be able to get out of the 10 per cent mark, of total sales of C-class.

“The more people that get into those cars, the more acceptance there will be in the market. It always takes a number of cars on the road before they really make an impact, and people really accept it on a broader base.

“There was a fair bit of hostile comment in the press about SUVs in general – you know, ‘Do we need such big cars? Are they safe? The reversing problem’ – which certainly many, many manufacturers resolve today with reversing cameras.

“But I think there is a bit of a hostile feeling in society in general and whether that is justified or not doesn’t really matter. Perception is reality. Therefore I think some people today think twice, ‘Do I really need a SUV, and do I expose myself to potential criticism from neighbours, friends or the public?’ And if that happens, I think a wagon is the logical choice.” As for cannibalising sales from the SUV wagons also available in the Mercedes-Benz showroom, Mr von Sanden said: “For us it is about giving customers choice.” Mercedes-Benz SUVs have declined in year-to-date sales over the same period last year, with the total of GL-class and ML-class sales reaching just under 1000 units to the end of April last year.

This year, the total is 650 vehicles, the ML-class particularly hit hard with sales down 37 per cent. Mercedes-Benz expects to sell 300 C-class Estates to the end of this year, and 500 in 2009.

Read more:

M-class turns ten

First look: Mercedes-Benz massages M-class

First Oz drive: New C Estate is one premium loader


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