SUVs to Gain Significant Momentum across Global Luxury Cars Market

Luxury SUVs facilitate greater height, ground clearance, and cargo space.  They are designed to offer better off-road performance and visibility and work well for families and when carrying extra-large or heavy goods. It enhances the experience for adventurous people, by offering enough ground clearance, as well as allowing them to go unclean and rough roads. Moreover, SUVs provide safety, convenience, styling, and practicality. To cater to the mounting consumer demand for these cars, more & more automakers are actively working on equipping their product offerings with the latest technologies with advanced features.

According to the report published by Markntel Advisors, “Global Luxury Cars Market Research Report: Luxury Cars Market Report By Vehicle Type (Sedan, SUV, and Hatchback), By Drive Type (IC Engine and Electric Vehicle), By Size of Vehicle (Premium compact segment cars, Entry level luxury/ Compact executive cars, Mid-size luxury/executive cars, High-end luxury/full-size luxury cars, Ultra luxury cars and luxury SUV/ crossover vehicle market, Performance luxury market), By Engine Capacity (Upto 3,000 cc and Above 3,000 cc), and Others Forecast (2024-2030)”, The Global Luxury Car Market size was valued at around USD 2.5 trillion in 2023 and is projected to grow at a CAGR of around 35.76% during the forecast period, i.e., 2024-30. The market growth is primarily driven by the booming automotive industry worldwide, backed by the burgeoning demand for autonomous vehicles, increasing urbanization, growing disposable incomes of people, and rising safety concerns among vehicle owners.

Rising adoption of Luxury Electric Cars

The increasing popularity of electric cars is emerging as a key trend in the global market. Favoring the diversion of the global population towards these luxury electric cars. Along with this, the government intervention in offering tax rebates & subsidies, and implementing more charging stations to promote a low-carbon economy has swiftly elevated the sales of electric variants. Furthermore, the considerable life span of fossil-fuel cars is less than zero-emission vehicles seeks comprehensive attention from the customers. Also, the advanced security features facilitate and strengthen the adoption of luxury electric cars.

Segmentation Analysis

The global luxury Car market is segmented into four segments based on type, type, vehicle type, and user type.

• On the basis of Vehicle Type, the market is segmented into Sedans, SUVs, and Hatchbacks, in 2024, Luxury SUVs are expected to dominate the Global Luxury Car Market
• On the basis of Drive Type, the market is segmented into ICE (Internal Combustion Engine) and electric vehicles, in 2024, ICE is expected to dominate the Global Luxury Car Market

Top Global Market Players

Volkswagen Group, Tata Motor Ltd., Tesla Inc., General Motors, and Ford Motor Company, are the major players in the market.

Market Development

• September 2023: The Toyota Motor Corporation introduced the new, high-end Century model. The goal was to introduce the new model by the end of 2023. The new Century model would provide complete worldwide customization.
• In February 2023, Tesla Inc. successfully overtook the Bayerische Motoren Werke AG, alias BMW, and earned its position as the top-most luxury EV car-selling brand in the United States of America. In general, Tesla Inc. achieved this success with the help of the recent Model 3 EV vehicle, which transcended the sales of the BMW 3 Series and the Mercedes-Benz C-Class.
• January 2023: In India, BMW unveiled the much-awaited i7 car. The Mercedes-Benz EQS, which debuted in 2022, would compete with the i7, which is based on the flagship 7-Series.

Regional Analysis

Geographically, the countries covered in the global luxury Car market are the U.S., Canada, Mexico. Europe, Germany, U.K., France, Spain, Italy, Turkey, Russia, Belgium, Netherlands, Switzerland, Denmark, Sweden, Norway, Finland, Poland, and Rest of Europe, China, Japan, South Korea, Australia, Malaysia, New Zealand, Singapore, India, Thailand, Indonesia, Philippines, Taiwan, Vietnam, Rest of Asia Pacific, U.A.E., Saudi Arabia, Egypt, Israel, South Africa, Oman, Bahrain, Kuwait, Qatar, Rest of Middle East and Africa, Brazil, Argentina, and Rest of South America.

Asia-Pacific region fosters a substantial market share

The increasing luxury population i.e., high-& ultra-high-net-worth individuals comprises large and extra space with comfortability. Also, the launch of various models with varied price ranges & easy financing schemes across the region are augmenting the size of the luxury car industry. Additionally, the inclination of especially the Chinese population toward vehicle quality that comprises advanced technology, connectivity, and digital interactions, coupled with the rapidly growing adoption of EVs across the country accelerated the requirements for Luxury cars in the specific region.