Many Luxury Cars on the Market

In the old days, there were a handful of companies that made the highest-end vehicles on the road. Aston-Martin, for example, was started way back in 1913 and for decades was one of only a few makers of high speed and high performance. Over the last few decades, things have changed and more and more luxury car manufacturers have jumped into the market.

Targeted Market

Even up through the end of the 20th Century, luxury cars were priced toward a specific market: those who could afford the high price tags customary on big machines. Cadillac, BMW, Mercedes, and the rest were all so expensive that only the elite could consider them. They were designed for high-end customers.

New Market

One of the big changes was the economy itself. Hard times starting in 2007 meant that luxury car companies needed to branch out and diversify. As the economy clawed back, newer models were introduced that came under $50,000 without sacrificing status (a tricky balance in the luxury world).

Technology

Part of what allowed them to do this is a new series of breakthroughs in manufacturing and technology. As creating cars became cheaper, even at the high standards of luxury brands, the price could come down on some models.

Finding New Customers

The reason this was only for some models is because dropping the price on all models could dilute the reputation. These “starter luxury cars,” are an entry-level car designed to introduce consumers to the brand and  as she or he ages and earns more, may trade up to the higher end luxury cars.