Death of a loser.

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The Phaeton is dead. At least in the US.
That’s a surprise!

No one in their right mind would have ever thought a $67 000 to $80 000 VW could work. And all these people were right.
It as amazing how big a company’s ego can become.
Not to say the Phaeton is a bad car. But it doesn’t bring anything new to the table.
When the 1st Lexus LS came to the US, it was $35 000. Much cheaper than any of its competition. With better quality.

But if you already have a very poor quality record, design one of the most boring car in the market, and price the same as established luxury brands ( a Jaguar XJ is $61 000!)… You have no chance.

For once, justice has been served.

They don’t really seem to learn that much from their mistakes though… The new Passat V6 can reach almost $40 000!

Conversation 9 comments

  1. It nudges the $41k barrier actually.

    What’s VW/Audi thinking really…

    I remember when A6 first came out, the base model started at around $31k. You could’ve had a nicely equipped FWD for less than $36k. It was a nice alternative to the 5 series back then. No more.

    Now the new Audi starts at $41k. A6 is priced identical to the 525ix similarly equipped. Go figure.

  2. That also means the A6 isn’t taht much more than the Passat.
    Insane.. Who is running the show over there???

  3. All the flaws of the Phaeton can be summed up in one word… depreciation. Case in point:〈=en&cardist=12
    Cut and paste.

    $45k asking price for a 1 year old Phaeton with 11k miles. That is absolutely insane considering the car cost $70k just 12 months ago. Let hope this is a sign that VW is finally giving up on moving the brand up market. Maybe they’ll finally bring the Polo or maybe the Seat or Skoda brands to this country. Wishful thinking. Even the VW loyalists are starting to hate this company.

    PS really great blog you have going here Vince. Keep up the good work.

  4. I bet 18 months from now the Mercedes R class will go the way of the Phaeton. Have you see a single one on the road with actual plates (not dealer plates) on it? They have been running ads on TV for 2 months now but nobody seems to be buying them. Who in their right mind would buy a $60k minivan? Like the Phaeton, the R class is another example of a brand trying to over extend itself in this country.

  5. ^^^ I’ve seen 3 R-class in the past month. I think there is a market for R-class believe it or not.

    It’s perfect for well-off empty nestors who like traveling long distance, and would like something as spacious as mini-van, but want so prestige factor.

    I don’t think many people will cross-shop SUV with this, so mercedes is carving out a new market. They’re going after the people who have E or S-class on their driveway, but also own a decked out $38k Honda Odyssey touring model for long haul.

  6. You can’t compare the R-Class with the Phaeton, at least I’ve seen them. I have no idea why VW came up with the Phaeton, trying to take sales away from A8 but failed miserably. Oh and it looks like a Passat.

  7. prestige factor aside, i think vw could have done well in this segment. the problem is that the next car down is the passat, they should have went a little slower, they should have made the flagship a 5 series, e class competitor for less money, maybe priced like an rl, with v6t and v8 engines, than after years down the road a phaeton. but oh well maybe they learned

  8. I agree with the post regarding the VW faithful. We’re starting to lose faith. It’s like the company has completely ignored the customers who have stuck by them. Too bad. VW-Europe has some really interesting vehicles (Polo Fun comes to mind).

  9. I just don’t see many people plunking down $60 large for the R class minivan. G wagon and Cayenne are one they. They have some kind of bling factor associated with them. You see them all over rap vides and baller parking lots. But a minivan? Then you get to the R63 AMG… good luck with that.

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