BMW is preparing for a surge in sales this year, as it believes it will benefit off the back of real estate price increases.
Although the new car market is struggling, with new car sales at its lowest in 10 years, the luxury car market has remained stable.
Recent CoreLogic figures revealed the median property price across Australia grew by 0.9 of a percentage point in January, with strong results in all capital cities.
Additionally, BMW saw an increase in sales last month, with sales of SUVs priced between $60,000 and $70,000 up by 27 per cent, a 28 per cent spike in sales between $70,000 and $100,000, and a 14.5 per cent jump in SUVs with a price tag more than $100,000.
“At a macro level, we can see some kind of revival in the luxury segment,” BMW Australia boss Vikram Pawah told Car Advice.
“We’ve seen a direct correlation with house prices, particularly in the Sydney market, and premium car sales.”
Other luxury brands did well in January, too: Audi had a sales increase of 12.9 per cent; Ferrari was up by 12 per cent; Bentley was up by 15 per cent; Rolls-Royce and Aston Martin were up by 100 per cent; and Porsche was up by 121 per cent.
“I can’t talk about the overall luxury market because it’s dependent on what other brands are doing… but I can tell you we will grow, better than what we did last year, that’s for sure. We are going to buck the trend,” Mr Pawah said.