Premium brands like BMW have stockpiles of unsold cars.
It looks like the presidential candidate’s attacks on the 1% have had more of an impact then previously imagined because the rich have swallowed their silver spoons and done their best to hide any signs of wealth. One indication of this is the 17% decline of luxury car sales in America for these first three months of 2016. This strange drop in luxury car sales comes in spite of February’s 7% increase in sales numbers for all cars that left this past month as the highest car selling February in 15 years.
So what the hell is causing people to suddenly spend their hard-earned cash on lesser cars while the luxury segment declines? One reason is the fact that crossovers and SUVs, which now cost less to own due to dirt-cheap gas prices, are such a huge success that they have taken a decent chunk out of car sales. While there are now a number of luxury manufacturers that have plush crossovers, the segment is still playing catch-up with the everyday crossover sector, so options aren’t as plentiful. Sales are expected to pick up here on after because typically January and February are the two months of the year with the lowest auto sales.