Audi Volkswagen Korea is launching an unusual discount offensive after resuming sales in about two years. Mercedes-Benz and BMW, which are in the first and second place in the industry, seemed to be conscious of this. It is a huge boost for consumers who have been hesitant to buy a car in the bleeding competition between German luxury import companies.

According to the import car industry on April 18, once Audi Volkswagen Korea came up with a new car offensive, both Mercedes-Benz and BMW were in a promotional competition.

Audi Volkswagen Korea resumed domestic sales later this month after it was suspended for sale in 2016 due to manipulation of emissions and forged documents. Audi has branded the new A6, while Volkswagen has put the standard cars like the new Passat GT on the front. These cars are the second highest number of imported cars in Korea by 2015, before they are suspended. It is also scheduled to return Volkswagen`s sport utility vehicle (SUV) `Tiguan`, which topped the top spot in the first half of the year.

Audi Volkswagen Korea has launched an aggressive promotion to exacerbate the "manipulation ripples". It is very rare for the auto industry to discount new cars. Volkswagen Korea began offering basic 10% discounts to all Passat GT models released in February. If the existing vehicle is within 7 years or 140,000 km, selling it to the used car division will reduce the additional 4 million won regardless of the vehicle type. If you get all the discounts, you can buy the most expensive 2.0 TDI 4 motion prestige at a discount of over 9 million won. In addition, the coupon for 1 million won and the warranty period of powertrain warranty will be 5 years or 120,000 km.

Meanwhile, Audi Korea launched an operating lease program that guarantees a 36-month interest-free installment, a 55% surplus, and a new car exchange program that will be replaced with a new car during a one-year accident. If you purchase the 2018 A6 35 TDI (KRW 61.7 million) with no interest installment, you will pay 40% of the advance payment (about KRW 210.2 million) and pay KRW 870,000 per month for 36 months. In the imported car industry, the interest-free installment program is unusual. In the past, Audi Volkswagen Korea was aware of the aftermath of the exhaust gas manipulation in 2015, and at that time, raises the sales volume by using an interest-free installment.

Mercedes-Benz and BMW have been having a lot of fun for two years after Volkswagen has left the car as a result of the exhaust gas manipulation. Last year, German cars accounted for 56.7 percent of the imported car market, with a total of 130,236 vehicles out of a total of 233,088 vehicles sold. Despite a 4.5% drop from 61.2% (or 138,785 units) in 2016 to 225,279 units, the sales of German cars in 2017 combined with the sales volume of both Mercedes-Benz and BMWs have increased. The actual sales volume of the Mercedes and BMWs last year increased by 20% from the previous year to 68,861 vehicles and 59,924 vehicles.

This year`s trend continues and in the first quarter of this year, imported domestic cars registered 22.6% more than the same period of the previous year, totaling 67,405. Among them, Mercedes-Benz and BMW accounted for 32.09% (21,633 units) and 27.56% (18,577 units), respectively, with 60% share. However, when the Audi Volkswagen resumed its full-scale sales, both Mercedes-Benz and BMW began operating discount programs worth around KRW 10 million. In the case of BMW, if it cannot cut down KRW 10 million won already in online clubs, it is said that it is called "hogeng" (pushover).

Meanwhile, Mercedes was a brand that did not offer good discounts. However, it seems to have added to the promotion in earnest after winning the first place in imported car industry in 2016. As a result, BMW ranked first in the year and last year`s first quarter, including the domestic carmaker, ranked fourth in the overall sales. A representative from the Mercedes-Benz exhibition in the metropolitan area told reporters, "We currently offer discounts of up to KRW 10 million for each brand car model, such as C-Class and E-Class," he said.

By Kim Yang Hyuk mj@


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