Audi is making a bold move upmarket, prioritising prestige over volume sales.
Following an 11.8% decline in deliveries in 2024, which saw Tesla surpass the Four Rings for the first time, Audi is focusing on higher profit margins rather than chasing numbers.
Speaking to Auto Express, Jose Miguel Aparicio, Audi UK’s new chief, confirmed the strategic shift: “We are making a step upwards in terms of premiumness, increasing the prestige, desirability and perception of the brand, and more interested in the quality of business than the quantity.”
This repositioning will lead to a "significant increase in price" across Audi’s range, reflecting its move into more exclusive territory within the Volkswagen Group’s hierarchy.
However, higher prices alone won't suffice - Audi is determined to enhance its brand desirability to justify the shift.
Flagship expansion planned
Audi has already signalled its intent by discontinuing its most affordable models, the A1 Sportback and Q2, leaving the A3 as the new entry point.
At the upper end, the brand is reportedly planning a more luxurious successor to the A8, inspired by the Grandsphere concept, while the Urbansphere concept hints at an SUV positioned above the Q7 and Q8.
Despite these forward-looking plans, the current-generation A8 may remain in production longer than expected.
Reports from Auto Motor und Sport suggest a second facelift could extend its lifespan, delaying the Grandsphere-based successor until later this decade.
Luxury rivals taking similar steps
Audi isn’t alone in its upmarket push.
Jaguar is shifting entirely to electric luxury, a move that has divided its traditional customer base.
Meanwhile, Stellantis-owned DS Automobiles is openly targeting Bentley, signalling a broader shift in the premium segment.
Though Audi previously committed to becoming EV-only by 2033, it has since revised its approach, opting for a more flexible strategy.
With luxury brands reassessing their positioning in a changing market, Audi’s high-end evolution may define its future success.
