Specially built vehicles like this carry a price premium of tens of thousands of dollars over their standard counterparts.
For example, the Huracán EVO RWD Coupe is priced at $213,597. The brand hasn’t announced a US price for the Sterrato, but the European price is €263,000 ($282,200).
It also provides additional revenue streams that bring in thousands of dollars via extras like off-road tires, fire extinguisher packages, fog lights, carbon fiber trim lines, roll cages and the aforementioned decals.
Automakers can charge more for ‘special’ versions of vehicles they already build, so lower production numbers lead to better profit margins. This is a particularly important benefit for companies considering an initial public offering.
“Limited Edition shows that [a company like Lamborghini] said Michael Dean, Senior European Automotive Analyst at Bloomberg Intelligence.
Ferrari is adept at creating demand for highly specialized, very low-volume vehicles, but they cost a lot.
It’s also about introducing new technology, continuing to build our brand, and supporting our margins. So it’s no coincidence that Porsche’s choice of modern trailfinder has the highest profit margin of any vehicle in the Volkswagen Group.
Dean ranks the 911 as one of the world’s most profitable cars, with margins ahead of all Ferrari models, which are set to sell over 40,000 units in 2022. This compares to his 12,500 at Ferrari.
“We expect the 911 alone to contribute €2.6 billion ($2.7 billion) next year, compared to €2.4 billion for Ferrari as a whole,” said Dean.
In addition, such an elite and status-giving car gives superfans an excuse to buy another from their favorite brand.
“That’s what really sets them apart. Think of the flex you can do with either of these,” says Degen. “Oh, Lamborghini, it’s not enough for him to have a Huracán. I have a car that does what a Lamborghini shouldn’t do.”
Dean says Porsche and Lamborghini could probably charge more for special editions than they do now. Aston He includes Martin, Ferrari, Lamborghini and Porsche. ”
So far, so good. In October, Porsche reported that in his first nine months of 2022, operating profit increased his 41% to over $5 billion.
Automakers are predicting a strong 2023, thanks to their ability to push selling prices even higher.
Around the same time, Lamborghini also announced significant gains in its first nine months, with operating profit up 69% to $612 million.
The increase in profitability was primarily due to higher average revenue per vehicle due to increased product mix and customization, the automakers said.
Still, not all manufacturers want off-road fun. On a Jan. 9 earnings call, Rolls-Royce chief executive Thorsten Muller-Etvös said his brand is an adventurous variation, even if it looks very lucrative to others. said he had no intention of stepping into his racket.
Rolls-Royce reported a record year on Monday, delivering 6,021 vehicles in 2022, an 8% increase from 2021.
“When we go into a particular segment, we stick to what we have, so that’s the real thing,” said Müller-Ötvös.
“We don’t do transitional things just to catch one trend or the other. It doesn’t look like a real Rolls-Royce.”