BrillianTT 2.0

The latest EVO magazine has an article on the R9 or LeMans indicating a price of around 57K (UK Pounds) stating it's targeting to beat the 911 Carerra 4. This would lead me to believe it will sell here for somewhere around 65-70K US. With all the new engine and aluminum body talk it's hard to believe the new TT will be less than the current model, my thoughts are Boxster S/Cayman type ranges of around 50-60K.

That said, most of the competitors in that range are 'true' sports cars on their own platforms and if the new TT is built on the A3 platform I don't see it justifying any price premium over the current model, there is just too much choice out there for those lucky to have 60K to drop on a car right now....we shall wait and see...

John J Szobocsan

An interesting thing happens with the economics of luxury goods. The price demand curve tends to invert; therefore, demand increases for the higher priced item. Mercedes sells SL 55's in large quantities while the SL 500 is slow to sell. This occurs because the consumer is using the higher price as a signaling mechanism of that individual's success. Another example is Bentley versus Mercedes. Bentley sales of the Continental GT are strong because the car is slightly more expensive than most top-of-the-line Mercedes. So how did Mercedes respond. They introduced a higher priced car, the CL/Sl/S 65! Finally consider restaurants on Friday or Saturday evening. What establishments are the most busy? The higher end places or the Subways and McDonalds? Of course, it's always the more expensive restaurants! Hence, a higher price, if delivered within certain parameters, could maintain or even increase sales.

On the restaurant front, a recent economic study proved that it is more "efficient" to offer an expensive meal to a date than giving a gift. The meal could be refused without incurring any costs while the gift is usually accepted regardless of the feeling of the recipient for the gift giver.

juliem

road & track says it is the A3 cabrio fwtw

bubba j

The intro Porsche is $50k. The intro Audi is closer to $20k. Mercedes offers cars near $30k. Why would I buy a Mercedes when I could have a Bentley for the same price?

Mercedes nodded in this direction when they rolled out the Maybach. Too bad they named it after a beer, though I guess it's appropriate for a German brand.

This puts a limit on how much a high roller is willing to spend on a car with that brand. For example, see the Phaeton. If they offered just the W12, and called it an entry level Bentley, they would sell more of them. Of course, the goal is not necessarily to sell Phaetons, but to sell more VW's, period, and halo cars have their own benefits in this regard.

BrillianTT 2.0

You do raise some interesting points, I agree exclusivity or at least the perception of it can create a strong market - it is always interesting to me how certain people will pay premiums to have the first of some models even when they are mass produced vehicles that will be readily available a few months later. Audi/VW as a whole appear to me to have some issues as to where to position themselves as brands and I think with the production released for the VW Roadster to take on the Solstice etc, the new TT will be more aimed at the likes of the Lexus SC430 although whether that has sold well I don't know..

John J Szobocsan

Porsche is basically a two-and-a-half model range. The 911 has several variants, much like the Boxster/Cayman but these models appeal to the sportscar fan. There is an interesting survey conducted by Porsche on the typically buyer profile. The breakdown is really amazing from Bon Vivant to Poseur. The Cayenne represents another targeted market for Porsche: those that own a Porsche Sportscar and need another, more practical, vehicle and those that aspire to own a Porsche but cannot afford to purchase a Porsche sportscar in addition to a more useful vehicle. Mercedes-Benz, Audi, and BMW sell many more types of vehicles to address the various market niches; therefore, while an entry-level vehicle may start at $20K it is not similar to the more expensive offerings. One cannot consider the purchase of a new A8 with a sticker price of $30K, only a A3.

John J Szobocsan

2953, see below, has confirmed that the photo is the TT mk II

joe@vwvortex

if you compare it to say a Golf GTI. A base TT 1.8T 180hp with the EXACT SAME ENGINE as a Golf GTI was about $10k more. Compare a TT 3.2 to an R32. TT 3.2's with the typical options are $45k. Again $10k premium. (using round numbers here). I think Audi boxed themselves into a corner price wise when they had the market cornered back in 2000. To bad to many other good cars have come to market with lower price tags or more performance for the money since that time.

As for the new TT - I expect it to start at about $35k and top out over $50k depending on engine choice.

2953

...<font color="003366"> The A3 cabriolet (if such a vehicle existed) would have rear quarter windows for the folks in the back seat as well as a retractable hard top that would be shared with the VW retractable to reduce engineering development and component piece costs.

If such a vehicle existed.

FWIW, next TT roadster will stick with a fabric top.</font>

juliem

no surprise that R&amp;T is wrong