Porsche makes $28,000 per car...

overst33r

Diamond Member
Oct 3, 2004
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Text

A new study has found that German sports car maker Porsche earns an incredible average of $28,000 in profit on every vehicle it sells. The figure ? printed in Germany's Welt am Sonntag newspaper, citing a study by B&D Forecast ? dwarfs the per-car earnings of virtually any other automaker.

Comparatively, luxury and sports car maker BMW makes about $3,200 per car. Audi nets a less impressive $1,580, and Chrysler and Volkswagen earn just $900 and $400, respectively.

I can only imagine how much they made on the Carrera GT. I expected more from Audi since they are a bit more dominant in Europe than BMW last time I checked. I wonder how much MB alone averages, without Chrysler.
 

DainBramaged

Lifer
Jun 19, 2003
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I'm assuming that a lot of this number must come from their high-end cars. No way that they could make a $28K profit on a Boxster.
 

ponyo

Lifer
Feb 14, 2002
19,688
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Doesn't surprise me one bit. Porsche prices are high to begin with and they nickel and dime you for every and any options. Even the ones that should've been standard.
 

overst33r

Diamond Member
Oct 3, 2004
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Originally posted by: DainBramaged
I'm assuming that a lot of this number must come from their high-end cars. No way that they could make a $28K profit on a Boxster.

Yea, I think most of it comes from the 911 carrera line, although there probably wouldn't be a Porsche without the Boxster.
 

vi edit

Elite Member
Super Moderator
Oct 28, 1999
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It's been pretty well published that Porsche makes the most money per car than any other manf. I never new it was that high though.

I new VW was in trouble, but I didn't know that it was only $400 a car. That's bad. Really bad. But at least they aren't losing money per car *cough* GM *cough*
 

vizkiz

Senior member
Sep 20, 2005
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Originally posted by: mariok2006
Text

A new study has found that German sports car maker Porsche earns an incredible average of $28,000 in profit on every vehicle it sells. The figure ? printed in Germany's Welt am Sonntag newspaper, citing a study by B&D Forecast ? dwarfs the per-car earnings of virtually any other automaker.

Comparatively, luxury and sports car maker BMW makes about $3,200 per car. Audi nets a less impressive $1,580, and Chrysler and Volkswagen earn just $900 and $400, respectively.

I can only imagine how much they made on the Carrera GT. I expected more from Audi since they are a bit more dominant in Europe than BMW last time I checked. I wonder how much MB alone averages, without Chrysler.

They didn't make nearly as much on the Carrera GT as you think. In the late 90's, they orignally planned it as a race car and put in a LOT of R&D. Then they got a new president/chairman/whatever and were told to cancel the race car to work on the off-road car (Cayenne), since they could make money producing the Cayenne, and racing would cost them money.

They decided to put it out as a production car and to recoup the money they would have lost on R&D, testing, etc. It was overpriced at $440k base price ($448k sticker price for most of them) because it had to cost that much for both Porsche and their dealers to make money on the car. Many of them in mid/late 2005 and on were discounted by the dealer because they couldn't sell them, not with newer cars coming out that were going to be nearly as fast for much less money. If it came out in 2002 as a 2002/2003 model like it was supposed to, all 1500 units worldwide would have been snapped up. Instead, they delayed it until 2004/2005 and they sat. People simply got tired of waiting and canceled orders. They ended production in May at 1200 units.

We sold our last one at a $30k discount to the buyer ($418k) for this reason. Porsche still has 50-something NEW 2005 Carrera GTs sitting on dealer lots waiting to be sold in the US alone.
 

OVerLoRDI

Diamond Member
Jan 22, 2006
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Originally posted by: vi_edit
It's been pretty well published that Porsche makes the most money per car than any other manf. I never new it was that high though.

I new VW was in trouble, but I didn't know that it was only $400 a car. That's bad. Really bad. But at least they aren't losing money per car *cough* GM *cough*

Really more than any other company? What about extreme luxury cars, such as Bentley, Rolls, or extreme performance cars like Ferrari, Lambo, etc?
 

JulesMaximus

No Lifer
Jul 3, 2003
74,586
986
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Originally posted by: mariok2006
Originally posted by: DainBramaged
I'm assuming that a lot of this number must come from their high-end cars. No way that they could make a $28K profit on a Boxster.

Yea, I think most of it comes from the 911 carrera line, although there probably wouldn't be a Porsche without the Boxster.

They've been making the Boxster for what? 7-8 years now? You realize that Porsche has been in business since the late 1930s don't you?
 

JS80

Lifer
Oct 24, 2005
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Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.
 

RGUN

Golden Member
Dec 11, 2005
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Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.


What? Which models do you claim have no direct competitors?
 

K1052

Elite Member
Aug 21, 2003
53,169
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Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.

That and the world won't be running out of doctors anytime soon. I swear that they hand every one of them the keys right out of med school or something.:confused:
 

JS80

Lifer
Oct 24, 2005
26,271
7
81
Originally posted by: RGUN
Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.


What? Which models do you claim have no direct competitors?

how about you pick the models and state the direct competitor?
 

AgaBoogaBoo

Lifer
Feb 16, 2003
26,108
5
81
Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.
You're a good guy and I hate to disagree with you, but have you driven the Porsche 911?

Let me give you an idea of what I've driven whether AT'ers choose to believe it or not - Lexus IS350, many Corvettes, BMW M5, many M3's, Acura NSX, some 350Z's/G35's, Volvo S60R, Subaru STi, Mitsubishi Evo, MR2 Spyder, Honda S2000, Audi S4, Mustang GT, Lexus IS300, etc.

I'm a Honda lover, however when it comes to this price range, I don't think the 911 can be beat. The only one that comes close is the BMW M5 and that's because of just how awesome it is, you don't feel the acceleration at all.

The 911 - Sit into the car and wow, this is almost worth the money even before you turn it on. The 996 911 has everything laid out perfectly and at your finger tips, no need to look around. You sit low to the ground in pretty much the most ideal position possible, IMO. The amazing engine behind you possibly with a turbo and a superb transmission at your hand.

Take it out of the stealership and even the 30mph curving roads are amazing... hit 90mph on tiny bridges without any effort, I only took the car to maybe 4 or 5 thousand RPM, I wasn't even trying to figure out where the limit was - it was entirely beyond me.

Now that I've written this, I think you're right that it's a rip off - the reason I perceive this to be worth it is because not many others, IMO, come close to this, it's a true niche market that a lot are drawn towards. Personally, because of this situation, I don't even have to convince myself that it's worth the money - if I was in a situation where I had this kind of cash on hand with everything else taken care of already, I'd love to grab one.

I don't have problem paying a premium for a product of this level - in order to get what you want after a certain level, there will be a premium and I think they've got me convinced :p
 

AgaBoogaBoo

Lifer
Feb 16, 2003
26,108
5
81
Originally posted by: JS80
Originally posted by: RGUN
Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.


What? Which models do you claim have no direct competitors?

how about you pick the models and state the direct competitor?
How about the Porsche 911 and the new Z06?

Does that not count maybe? I'm not sure of exactly the kinds of buyers getting each so I could be wrong, but that's the closest I can think of. The BMW M5 and others are 5 door sedans, which while are very fast, aren't the design that 911 buyers want.
 

RGUN

Golden Member
Dec 11, 2005
1,007
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76
Originally posted by: JS80
Originally posted by: RGUN
Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.


What? Which models do you claim have no direct competitors?

how about you pick the models and state the direct competitor?


Well the first to come to mind would be the Boxster and the BMW Z4.

Im quite sure I could easily come up with direct competition for every car Porsche makes.
 

JS80

Lifer
Oct 24, 2005
26,271
7
81
Originally posted by: AgaBoogaBoo
Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.
You're a good guy and I hate to disagree with you, but have you driven the Porsche 911?

Let me give you an idea of what I've driven whether AT'ers choose to believe it or not - Lexus IS350, many Corvettes, BMW M5, many M3's, Acura NSX, some 350Z's/G35's, Volvo S60R, Subaru STi, Mitsubishi Evo, MR2 Spyder, Honda S2000, Audi S4, Mustang GT, Lexus IS300, etc.

I'm a Honda lover, however when it comes to this price range, I don't think the 911 can be beat. The only one that comes close is the BMW M5 and that's because of just how awesome it is, you don't feel the acceleration at all.

The 911 - Sit into the car and wow, this is almost worth the money even before you turn it on. The 996 911 has everything laid out perfectly and at your finger tips, no need to look around. You sit low to the ground in pretty much the most ideal position possible, IMO. The amazing engine behind you possibly with a turbo and a superb transmission at your hand.

Take it out of the stealership and even the 30mph curving roads are amazing... hit 90mph on tiny bridges without any effort, I only took the car to maybe 4 or 5 thousand RPM, I wasn't even trying to figure out where the limit was - it was entirely beyond me.

Now that I've written this, I think you're right that it's a rip off - the reason I perceive this to be worth it is because not many others, IMO, come close to this, it's a true niche market that a lot are drawn towards. Personally, because of this situation, I don't even have to convince myself that it's worth the money - if I was in a situation where I had this kind of cash on hand with everything else taken care of already, I'd love to grab one.

I don't have problem paying a premium for a product of this level - in order to get what you want after a certain level, there will be a premium and I think they've got me convinced :p

Yes, I have driven my friend's dad's 911 once. Needless to say it's probably the finest car I've ever driven. i only say it's a rip off because i don't think i can mentally live with myself knowing I just allowed a car company to make $28k off me. but that's just cheap ass me.
 

overst33r

Diamond Member
Oct 3, 2004
5,761
12
81
Originally posted by: JulesMaximus
Originally posted by: mariok2006
Originally posted by: DainBramaged
I'm assuming that a lot of this number must come from their high-end cars. No way that they could make a $28K profit on a Boxster.

Yea, I think most of it comes from the 911 carrera line, although there probably wouldn't be a Porsche without the Boxster.

They've been making the Boxster for what? 7-8 years now? You realize that Porsche has been in business since the late 1930s don't you?

Through consultation with Toyota, Porsche greatly decreased the cost of manufacture, and introduced large scale sharing of components between its models. Indeed, the Boxster has the exact same bonnet and front wings as the 996, and shares a large portion of other components and interior. Its original 2.5L M96 engine is the same basic design as the original 3.2L M96 engine used in the 996. It's widely seen that the combination of the new Boxster/911 styling and the reduced build costs through component sharing that saved Porsche from becoming owned by another car company.

http://en.wikipedia.org/wiki/Porsche_Boxster

I cannot remember which company was going to buy them out, could it have been VW?
 

JS80

Lifer
Oct 24, 2005
26,271
7
81
Originally posted by: AgaBoogaBoo
Originally posted by: JS80
Originally posted by: RGUN
Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.


What? Which models do you claim have no direct competitors?

how about you pick the models and state the direct competitor?
How about the Porsche 911 and the new Z06?

Does that not count maybe? I'm not sure of exactly the kinds of buyers getting each so I could be wrong, but that's the closest I can think of. The BMW M5 and others are 5 door sedans, which while are very fast, aren't the design that 911 buyers want.

I would say it doesn't count because of the price difference.
 

JS80

Lifer
Oct 24, 2005
26,271
7
81
Originally posted by: RGUN
Originally posted by: JS80
Originally posted by: RGUN
Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.


What? Which models do you claim have no direct competitors?

how about you pick the models and state the direct competitor?


Well the first to come to mind would be the Boxster and the BMW Z4.

Im quite sure I could easily come up with direct competition for every car Porsche makes.

I admit Boxster has competition but it's a relatively new line and they don't make $28k off the boxster.
 

AgaBoogaBoo

Lifer
Feb 16, 2003
26,108
5
81
Originally posted by: JS80
Originally posted by: AgaBoogaBoo
Originally posted by: JS80
Originally posted by: RGUN
Originally posted by: JS80
Porsche is the biggest rip off in the world. I guess it helps their cause they have no direct competitors.


What? Which models do you claim have no direct competitors?

how about you pick the models and state the direct competitor?
How about the Porsche 911 and the new Z06?

Does that not count maybe? I'm not sure of exactly the kinds of buyers getting each so I could be wrong, but that's the closest I can think of. The BMW M5 and others are 5 door sedans, which while are very fast, aren't the design that 911 buyers want.

I would say it doesn't count because of the price difference.
Well, if they are similar, and the Z06 is a lower price, isn't that competetion? Or are you saying that it's low enough to just kind of be ruled out?

We need Zenmervolt to chime in here.