Ferrari lowering production to preserve exclusivity after selling TOO MANY cars

May 9, 2013 | by | 0 Comments
Ferrari has cut production after selling too many cars

Ferrari has cut production after selling too many cars

Ferrari has announced it is going to reduce production to preserve exclusivity after it sold TOO MANY cars.

The Italian supercar firm has bypassed the global recession and experienced unprecedented growth recently, achieving record sales and profits.

But boss Luca di Montezemolo has revealed that because the brand’s exclusivity is paramount, they will reduce the number of cars they build this year.

Production will be “less than 7,000 cars”, down from the 7,318 they sold last year.

This may frustrate some wealthy potential clients who continue to queue up to get their hands on a car with the iconic Prancing Horse badge.

Sales for the sports car firm are already up four per cent for the year – as profits surge by a staggering 36.5 per cent.

Speaking at Maranello, the firm’s headquarters in Italy, Mr di Montezemolo said: “With Ferrari, exclusivity is paramount.

“To own a Ferrari is a dream. It is like a beautiful woman, you must desire her, you must wait for her.

“To keep things exclusive, we decided in 2013 to build a lower number of cars.”

Despite this, Ferrari still plans to recruit 250 staff this year and invest 15 – 18 per cent of turnover in product development.

Mr di Montezemolo, 65, said the company wouldn’t diversify its model range by building an SUV or four-door model and ruled out any move into the electric sports car market.

The sharp suited Italian, who has been chairman of Ferrari since 1991, said the decision to slow production would also help prices in the firm’s used market.

But despite the proposed drop in sales and vast investment, Mr di Montezemolo wants overall profits up and has called on sales staff to improve their service.

He added: “My 12-year-old daughter can speak fluent English. She could take a reservation on a Ferrari, it is that easy.

“It is important that dealers must learn that to grow they must concentrate on quality, not quantity. Selling less cars can still mean higher profits.”

This would be through encouraging customers to spend more customising their cars through Ferrari’s Atelier and Tailor Made services

Ferrari recorded a e244 million (£206m) profit last year, with the firm’s merchandising continuing to be a star performer.

The sports car company sells everything from pencils to polo shirts and has 60 partnership licenses with the likes of Hublot and Sony.

Every minute, 95 items wearing the Prancing Horse are sold around the world.

Category: Auto

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