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Volvo XC90 Excellence Starts at $106k USD

5.6K views 50 replies 25 participants last post by  sam818  
#1 ·
#3 ·
It's a chauffeur car.

It's not like they're going to price it so we poor people who can't afford chauffeurs can buy one.
 
#6 ·
But here you are driving yourself around in a pedestrian Q7. How quaint.
 
#8 ·
Although it will probably sell well in China and the Middle East, I predict that ultimately this model will be deemed a failure not unlike the VW Phaeton.
 
#11 · (Edited)
Again, I do not think that Volvo is trying to make a killing with this Excellence iteration. Margins on it are likely very high, but volume will be low.

It's all about brand image and positioning. They had already spent the hunks of cash that it took to create the platform for the plain jane XC90 - tweaking it into the Excellence to continue their march upward in the industry was probably not a very hard decision to make to go along with their aggressive strategy.
 
#12 ·
I saw Volvo's display at the NY Auto Show this past Wednesday and Thursday and the car is stunning, as is the new S90 in person. Absolutely gorgeous quite honestly.
 
#19 ·
Are you kidding? The dog would have a TON of room.
 
#20 ·
True but we really need the 3rd row! My daughter hates sitting in the middle between her brothers lol She already chose to sit in the 3rd row all by herself :D Plus those times when we are traveling to our summer trailer up north, we can never take any extra friends.
 
#24 ·
Its perfect for the asian market as drivers are cheap.
My wife is Philippina and to have a driver there is about 10.000 peso or ~200euro/month
Its similar in China so i would think a car like this would do great, looking forward to see an S90L
 
#26 ·
I was wondering to whom is this type of car aimed. If I am already in the state of having my own driver and enjoying the ride on the rear seats with champagne, I definitely would not go for XC90, but for Rolls-Royce, Daimler etc. which are in completely different quality league. If I mostly drive the car myself, I would not care about the comfort on the rear seats (unless I am employed as my boss' driver ) :)
 
#28 · (Edited)
No, it's not aimed at the X6M. No one buys an X6M to be driven around by someone else.

Chinese businessmen are the first target, but in the US there are no real "direct" competitors at the price point and in the "SUV" class. The Escalade and Range Rover LWB Supercharged don't have an executive seating package as far as I know. The Autiobiography versions of the RR offer this, but they are closer to the $150,000 and $200,000 price point. BMW's new X7 may be a direct competitor, especially if an activehybrid is offered.

Then there are chauffeur-worthy sedans. The Lexus LS 600h L has the closest powertrain among vehicles commonly chosen for this purpose, but it will cost closer to $130k. You have to "go big" to get the executive seating package in the A8 L - it's only offered with the W12 and that will run you $140k at minimum. The MB S550 can be had for around $100K with the executive seating package, but you can take that to nearly $200K with the V12 and Maybach versions. The new 7-series offers this kind of rear seating at under $100K though - you can have a 740i so equipped at around $100k out the door.

Then there's the top of the line. The Rolls Royce Phantom is well over $400K, I don't even know what the EWB version costs. And the Bentley Continental Flying Spur W12 Mulliner is... I don't know how much those cost, either. But it is worth noting that Volvo isn't really competing as much for the old money folks. Many of them are happy riding around in their classic Rolls and Bentley's which show off family legacy and aren't just about having the nicest and newest things in life.

Edit: Also realize that these vehicles are not always purchased by private individuals. They're often leased by businesses as security vehicles, driven by corporate security rather than a chauffeur, and used to get high level executives from one meeting to the next. The Maybach, RR SVAutobio, Rolls Royce, and Bentley might fly for a private with loads of money to spend, but the more affordable options are usually chosen when there's a corporate board to keep happy.
 
#30 ·
Edit: Also realize that these vehicles are not always purchased by private individuals. They're often leased by businesses as security vehicles, driven by corporate security rather than a chauffeur, and used to get high level executives from one meeting to the next. The Maybach, RR SVAutobio, Rolls Royce, and Bentley might fly for a private with loads of money to spend, but the more affordable options are usually chosen when there's a corporate board to keep happy.
Very good point.

This and bolinp's point about this being a statement vehicle are bang on. This does not have to sell in high volumes to be successful at achieving the objectives that Volvo has for this version of the car.
 
#33 ·
Not only for cars but for everything - I was there few months ago and it is unbelievable how expensive everything is in Australia (comparing to Europe or U.S.) ... no wonder that cars too
 
#40 ·
So looking at EU prices, we here in Canada have it pretty good I think! Prices are still very reasonable vs. US prices and taxes are still not as high as in EU but we do have great health care benefits, etc. For example, our loaded T8 MSRP was $85,900 CAD (not including freight or 13% provincial tax). Yearly licence plate sticker fee to drive a passenger car is only $108/yr (just went up was less).
 
#42 ·
There are significant economic differences that really make these kinds of comparisons worthless.

Want to guess what the average McDonald's employee makes in Denmark?
 
#46 ·
Ok, but at the risk of further derailing this discussion, Europe as a whole is roughly the same size as the US, and has a little over twice the population. In general Europe has higher taxes on people, and in general, those taxes go more towards services for the people.