Which German Brand Has The Best Resale Value – Audi, BMW or Mercedes?
German luxury vehicles have deep roots in the South African market. Some buyers see them as status symbols, while others work relentlessly to reward themselves with the associated luxury, comfort and performance of owning one. The common denominator here is that many people aspire to own one, but in our economic climate it’s important to consider, among other things, the resale value of these German luxury vehicles.
A recent analysis was conducted by Darryl Jacobson, managing director of True Price. They analysed hundreds and thousands of prices paid per vehicle at various auctions around the country, specifically for Audi, BMW and Mercedes vehicles. The results are as follows.
Mercedes takes the crown in terms of resale value after the data indicated an impressive figure of 70.10% of the original list price. Jacobson says he was not surprised to see the three-pointed star fare so well. “Everyone – both young and old – loves a Mercedes-Benz. Mercedes-Benz vehicles have long held their value, and I strongly believe that they always will. It has been interesting to see younger buyers avidly bidding on Mercedes-Benz vehicles in the last 10 years; the company has done an astoundingly good job of making its product range relevant and enticing to a large audience,” he notes.
Audi slots in at second place almost perfectly between Mercedes and BMW, at 62.49% of the original list price. “We see a lot of bidding on Audi models on auctions,” Jacobson reveals. “It’s the vehicle of choice for many younger professionals. It’s also popular with families, who maintain that the vehicles are spacious and comfortable while offering good aftersales support from the dealer network. An Audi is perceived to be a ‘safe bet’ on auction. Dealers also know that they should be able to move the vehicle fairly easily.”
Third place is allocated to BMW at 58.65%, indicating that they have the worst resale value in relation to the rest of the German trio. “This will no doubt surprise many die-hard BMW fans. But it does make a certain amount of sense. Although the BMW vehicles are still popular on auction, they seem to have lost their lustre when it comes to exclusivity, desirability and the bragging rights that go with owning one of these vehicles. In fairness, the 3 Series is still very sought after. The 5 Series is not quite as desirable, and the 7 Series has always been challenging when it comes to resale values. Plus, buyers feel that the X derivatives (the X3 and X5 especially) are too expensive,” Jacobson explains.