Audi A1 sales sluggish - dealers blame high price

 Audi A1 sales sluggish - dealers blame high price
Audi A1 S-Line 27.08.2010

Audi has sold just 20,000 units of the A1 since its launch in August

Audi dealers are worried about sluggish sales of the new A1 and are putting the blame squarely on the model's high price.

Audi has sold 20,000 units of the A1 since its launch in August. The Ingolstadt-based automaker claims deliveries will total 30,000 by the end of the year. By comparison, its main competitor, the MINI, has sold 42,000 units in the last three months.

But Audi has set a production level of 100,000 units a year for the A1 and has already built 45,000 A1s so far this year at its plant in Belgium. Audi officials set a goal last January of selling 80,000 units of the A1 in its first year of production.

Dealers in Germany, Audi's domestic market, are complaining that the A1 has too high a sales price at €15,800 for a car in its segment. For example, in Germany prices for the much-larger VW Golf start at €16,500.

Audi denies there is a sales problem with the A1 but has moved up the launch the 5-door body-style A1 to next year from the previously scheduled 2012 introduction date in the hopes of boosting sales by offering a second variant.

Source: autonews.com (sub req)

Add a Comment

Comments (47)

Subscribe to comments
 catchmyshadow catchmyshadow
i am pretty sure that lots of younger people love this car and would like to buy it but they cannot afford it. I don`t know if older people (30+) with money in their banks would buy such a car. If u look at the MINI, it attracts younger people but as an Icon of the past also many, many older (30+) women (mainly) as well and those customers have a solid job and can afford it. i mean my mother (62) looooves her MINI to death. i gave her one as a birthday present 2 years ago when she turned 60 and she is totally in love and when she is talking about it, she still behaves like a 5-year old. lol. as an Audi driver (and lover) i showed her some pics of the new A1 when it came out this year. The first thing she said is, that it is too aggressive and angry looking and looking at it doesn`t make her happy. The MINI does. here is the story: http://www.motor-talk.de/forum/ich-habe-meiner-mutter-den-traum-vom-mini-erfuellt-t2078156.html it?s unfort. in german, but if u scroll down the thread, u will find some pics of my mother and the car.
December 17, 2010 4:14 pm
 enzoferrari enzoferrari
The main issue with the VW A1 is it is a Polo in disguise.This car is not original.It shares components with a Skoda for Pete's sake. Jeremy Clarkson summed it up accurately. VW cannot con the buying public.
December 18, 2010 1:37 am
 KeyboardWarrior KeyboardWarrior
I completely agree. The price of this car is just a RIP OFF! This is a VW Polo selling almost at the same price as the VW Golf! The exterior styling is not really appealing to everyone and it is more to the female side. I think it is hard for this car to match the exclusivity of the Mini brand and it certainly will not do it by changing the skin of the Polo and slapping an Audi badge on it. In fact I think it cheapens the Audi brand. Furthermore, I sat in the A1 a few weeks ago and I am horrified with the interior of that car. The only thing that signals this car should be in a higher class is the badge, all the other materials and fit and finish is so VW Polo. Now, with all these thing, how can they expect to sell?
December 18, 2010 8:19 am
 ReadHere ReadHere
Totally agree! The big difference between Mini and Audi A1 is this: I can imagine a millionaire driving a Mini, but not an A1! A1, the cheapest Audi. Mini, iconic and funny, even not comparable with any BMW. (VW and Audi managers are too arrogant to realize the simple things, and it costs a lot of money to investors)
+1
December 20, 2010 1:20 am
 alexh87 alexh87
ok thats a pretty random story but im glad your grandmother loves her mini
December 17, 2010 5:43 pm
 catchmyshadow catchmyshadow
my mother not grandmother, but yeah she loooves it. i would never drive one btw, not because it is a BMW/MINI, it is too girly imho.
December 17, 2010 6:05 pm
 Hellbound Hellbound
catchmyshadow, you wouldn't drive the JCW variant? I wouldn't mind owning one, or even wait for the coupe in JCW guise.
December 17, 2010 6:55 pm
 catchmyshadow catchmyshadow
when i bought the MINI, i test drove several versions, incl. the JCW. It?s a fun car to drive, felt a bit like a GoKart, which wasn`t a bad thing. but the exterior didn`t do it for me. still too round, too cute and too small for my taste.
December 17, 2010 11:17 pm
 KeyboardWarrior KeyboardWarrior
The cooper S is not for girls, neither is the new Countryman
December 18, 2010 8:20 am
 Intense Intense
too pricey
December 17, 2010 5:46 pm
 KeyboardWarrior KeyboardWarrior
I agree. A massive rip off and con as this is just a Polo afterall.
December 18, 2010 8:21 am
 Intense Intense
I reconsider my comment, don't think it's the price ... perhaps the reliability/cost of ownership :D
December 17, 2010 6:03 pm
 Hellbound Hellbound
Hmm, a decently specced A1 would be close to ?20k. I'd rather walk into a VW dealership and haggle down the price of a Golf TDI 170 GTD.
December 17, 2010 7:11 pm
 alexr alexr
A lot of analysts are saying much the same thing as the comments here. That the A1 is not distinct enough, like the MINI is, to warrant such a high price. It's really just a smaller Audi and that may not be enough to attract the kinds of young buyers it needs. Mini's are expensive too, compared to the likes of more practical models such as the Renault Clio or VW Polo. But they have a mystique that those models don't have. And the A1's success or failure depends on it creating the same kind of thing.
December 18, 2010 2:26 am
 KeyboardWarrior KeyboardWarrior
You are forgetting the fact that a Mini is a premium product, the majority of its components are coming from the BMW 1 and 3 Series. The Audi A1 is completely different, it is a VW polo with a different skin and an Audi badge, trying to pass on a cheap product to be premium. This is where the problem lies. Seat, VW Polo selling at BMW prices to catch the fools.
December 18, 2010 8:23 am
 BrianWCF BrianWCF
@KeyboardWarrior: Your exaggerated generalization that the A1 is a re-badged Polo is quite off base. Just because the platforms are the same doesn't necessarily equate them to being the same cars. Also I would hardly call the interior of the A1 the same as the Polo.
December 20, 2010 2:37 am
 BrianWCF BrianWCF
@KeyboardWarrior: please define your use of "cheap product"? You're insinuating that the original PQ25 inner structure that is shared between the A1 and Polo is of inferior quality. Can you give me precise figures that brings you to this conclusion? Or are you just simply biased towards BMW products?
December 20, 2010 2:41 am
 BrianWCF BrianWCF
"Mini is a premium product, the majority of its components are coming from the BMW 1 and 3 Series." So, just because it shares components with BMWs makes it a premium product? I think you're buying into BMW marketing a little too much. You're slicing and dicing differences between the MINI and A1 at points that are completely intangible to most consumers. The bottom line is that the premium compact segment is a niche segment targeted to young buyers with more discerning tastes and have higher incomes. Both A1 and MINI are based on mass market platforms but include luxury branding, higher quality materials, lots of toys/features and performance powertrains and suspensions. This is what makes them premium. Your argument that the A1 is less sophisticated than the MINI and therefore a "ripoff" is nonsense. This article is about the A1 not having a strong enough marketing angle like the MINI to compete in this quirky popularity contest.
December 20, 2010 3:15 am
 Speed Demon Speed Demon
The fact that it looks like SHIT doesn't matter???
December 18, 2010 2:28 am
 Andre10000 Andre10000
The problem is not just the price of basic model but also additional equipment. On Audi.de konfigurator I cant get anything decent below 30k ?.
December 18, 2010 2:57 am
 zot959 zot959
This car looks great, maybe you should try and come up with a better design before you criticize this one. Designing a good looking 3 dr hatch is very very difficult. Price is the only issue I can see. The Mini is not as good looking as this car and is just living off of its past.
December 18, 2010 6:58 am
 KeyboardWarrior KeyboardWarrior
The 1 Series hatch with sports package is good looking, VW;s new 3 door hatch is also good looking. But this is toy car looking.
December 18, 2010 8:24 am
 Microice Microice
As a new car to the segment i'm not really surprised its not selling as expected. But wouldnt it have made sense to compare sales with DS3 which is also new unlike mini which has been around for a while and thus has a rep already... Would i buy it? No all small cars to me a jus too girly
December 18, 2010 3:21 am
 James2911 James2911
Perhaps the Polo is such a good car from what is basically the same manufacturer, and it is hard to justify the A1's extra cost.
December 18, 2010 3:27 am
 Dr.Mabuse Dr.Mabuse
Bingo. My father is looking seriously at the Polo, and when we saw the A1 price announcement, it really comes off as a bit of a joke. I'm sure the car is great, but the Polo delivers the goods just as well. VW sausage economics!
December 18, 2010 5:26 am
 iToast iToast
That?s no wonder! The design of the A1 is starnge and inharmonious. And it?s too expensive for a newcomer! The MINI is cult That?s the point Audi ignored in the pricing.
December 18, 2010 3:41 am
 charlemagne charlemagne
too expensive; not a good looking little car; at least three (cheaper) versions of the same sh!t on the market, let's say the European market : Polo gti, Fabia rs, Ibiza fr... And there are plenty of little "hot-hatches" , everyone has at least one in their production range: PSA, Fiat, Opel/ Vauxhall, Honda, Mini and so on... who's buying all these? I don't thnik this is a strong segment of the motor industry to invest in. Audi, you should go for that A2 instead (light, small, sofisticated eco-friendly city car)
December 18, 2010 4:20 am
 zot959 zot959
If this is ugly name a better looking 3 dr hatch. The second gen. Current Mini is not even as good looking as the model before this one.
December 18, 2010 7:01 am
 zamzungas zamzungas
glad to hear that, they cant conquer mini market with polo and justin timberlake :)
December 18, 2010 4:52 am
 gecko9585 gecko9585
I'm a diehard mini driver, the 2006 version. its not a perfect car but it triggers emotions. and that's wath the audi is missing. the audi is just a new scaled a3 ore a4 ore a6...... and with the agressiv "eyes" audi will sell the older affluent customer. especially the women. the mini is both, male and female. but if you see the car, will guess directly if the driver is a girl or a man. no one says ever to me, your car is a girly car :-) the a1 is the trying to bring luxury in the compact class. if i want a luxury car, i wan't buy such a small car. (sorry for my english, i'm german ;-)
December 18, 2010 4:59 am
 Andre10000 Andre10000
Chill dude, your english is fine.
December 18, 2010 6:22 am
 DeleteThisAccount DeleteThisAccount
Maybe the problem is not the car in itself, maybe it's more the fact that Volkswagen have become too upscale for their own Volk. There is enough prestige in the VW badge for you to buy a full spec Polo and you won't feel inferior to Audi A1 drivers, not that you should in any case. Furthermore, if you are looking for a stylish sporty city car you have more appealing options like the Mini S, the Alfa Mito Quadro (personal favorite), Fiat 500 Aba, Citroen DS3, even the in-house Polo GTi will get the job done.
December 18, 2010 7:05 am
 joelynn joelynn
30,000 in 4 months, when the plan is for 100,000 a year isn't far off target- its a little slow but hardly a disasterous failure
December 18, 2010 7:06 am
 Kid_Voltron Kid_Voltron
definitely not ...but looking at the way things are going...it's going to be one uphill battle ...
December 21, 2010 3:37 am
 Sacto8780 Sacto8780
Here's the biggest problem of all: Audi's refusal to sell the A1 in the US market. Hopefully, with the five-door A1 coming very soon (and possibly a more powerful engine), the A1 will arrive in the US market. After all, the A3 five-door hatchback has done fairly well in the US market, and the five-door A1 will likely do the same.
December 18, 2010 8:04 am
 N20_Purge N20_Purge
I see LOADS of Polos around town. The A1 is pretty much a Polo at a higher price, so people are likely to go for the model which comes at a cheaper price. Oh, and lets not forget the A1 is targeting people who go for cars such as the DS3, MINI and 500. That's a tough task.
December 18, 2010 8:20 am
 Hellbound Hellbound
I think the arrival of the awd RS1 will add a tiny bit of kudos to the range. Only problem is I've just checked the prices of A1's on sale in the UK right now and there's a diesel competition line model on sale for ?25k! I think the RS1 will end up having a laughable price tag.
December 18, 2010 10:47 am
 kimbo kimbo
So an Audi A2 was a big mistake. They've admited they shouldn't use aluminium alloy space frame, as it made the whole car extreme expensive. So they made A1 from steal and started to sell it with big price tag as well. Will they ever learn?
December 18, 2010 2:26 pm
 2nice 2nice
I don't understand why so much fuss about a car that is not special in any way at all .. MINI is much more interesting, nothing to compare here ..
December 18, 2010 3:36 pm
view more comments