Intensified Competition for Imported Car Leadership... Will the Leader Change After 7 Years?

Sales Gap Between BMW and Benz Duopoly
Only Hundreds of Units Difference Until Last Month
Overall Imported Car Market Share
BMW 28.6% Benz 28.3%
BMW Offers Various Models and Trims Including Sedans and SUVs
Benz Focuses on Mid-to-Large Models, E-Class Sold 23,000 Units This Year

[Asia Economy Reporter Choi Dae-yeol] The rivalry for the throne between the two giants of imported cars, BMW and Mercedes-Benz, has intensified. They have been alternating in the number one spot in monthly sales, with the sales difference only a few hundred units up to last month this year. For BMW, it looks set to reclaim the title of the best-selling brand, which it had lost since 2015. Mercedes-Benz also plans to overturn the standings by the end of the year, leveraging its key models.

According to the brand-specific new registration data from the Korea Imported Automobile Association on the 8th, BMW recorded 64,504 units from January to October this year. Mercedes-Benz's new registrations totaled 63,791 units. Their market shares in the overall imported car market stand at 28.6% and 28.3%, respectively, with the combined share of the two brands exceeding half, making the duopoly in the domestic imported car market even more pronounced. This is the third time, following 2017 and last year, that two specific brands have accounted for more than half the market.

Since the start of brand-specific imported car statistics in 2003, BMW has mostly held the position as the best-selling imported car brand. It lost the top spot to Mercedes-Benz in 2015. BMW experienced a setback due to fire incidents in 2018 but has consistently remained among the leaders.

The new BMW 7 Series, scheduled for domestic release at the end of the year

Since their main targets differ, the sales strategies of the two brands also show some differences. BMW offers a wide range of models and trims across sedans and sport utility vehicles (SUVs), broadening consumer choices. Despite supply chain disruptions caused by COVID-19 and the Ukraine invasion affecting European automakers, BMW actively imports models with some specifications omitted to meet customers who want quick vehicle delivery. Their strategy of selling some electric vehicles and limited edition models online has also been well received.

On the other hand, Mercedes-Benz focuses on mid-to-large-sized models. The mid-large sedan E-Class and flagship S-Class account for more than half of the brand's total sales. There are no minus options with omitted specifications. The E-Class, launched in 2020, has become the best-selling imported car model by outperforming strong new competitors. Following last year, it has sold 23,133 units up to last month this year, comfortably maintaining the number one spot.

Sales of the E-Class in Korea exceed those in its home country Germany and the U.S., where large cars are preferred. Except for China, which has exclusive models, Korea has the highest sales volume. The S-Class also sold over 10,000 units domestically last year and has sold 11,076 units up to last month this year, ranking third in model-specific sales. Korea is the third-largest market for the S-Class.

Mercedes-Benz S-Class

As German luxury car brands sell well in the Korean market, their headquarters are also putting in significant effort. BMW brought in a pre-production model of the flagship 7 Series ahead of its domestic launch at the end of the year to showcase it to Korean customers. The world premiere event for the facelifted 5 Series currently on sale was also held in Korea.

Although somewhat eased, delivery backlogs remain, so rankings are expected to fluctuate depending on the supply of popular models until the end of the year. Both BMW and Mercedes-Benz are actively communicating with their German headquarters to secure vehicle supply.

With the supplier-favored market continuing after COVID-19, promotional activities such as price discounts, which had disappeared, are gradually expanding again. An industry insider said, "For some models, immediate delivery is possible, so each dealer is actively offering discounts and promotions for inventory management."

This content was produced with the assistance of AI translation services.