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Report: Porsche profits $28,000 per car

01/22/2007, 4:19 PM

By admin

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.

Porsche’s overall earnings for 2006 were $2.7 billion. Overall sales totaled 96,794 vehicles.

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01/22, 4:22 PM

posted by:

kosai03

I love Porsche :)

01/22, 4:24 PM

posted by:

bun_a_gm

Proof Porsches are overpriced. Beautiful cars ….but overpriced.

01/22, 4:24 PM

posted by:

edgarp

It’s always been known that when you’re buying a porsche, you’re buying a driving experience and a nameplate. They don’t have to spend much on marketing or interior design (and materials) because that’s not what the car is all about.

Makes sense to me. You’re buying a very specialized machine.

01/22, 4:25 PM

posted by:

meanpants555

This is impossible. No way. Misquote for sure. It’s insane. I don’t believe it.

01/22, 4:25 PM

posted by:

maximus

with that knowledge, go negotiate!!

01/22, 4:27 PM

posted by:

meanpants555

I just find it hard to believe a car manufactured in Europe of such high quality, with bomb proof materials and engineering can be so profitable.

01/22, 4:27 PM

posted by:

mbftw

You can’t negotiate that much if the dealers pay for lets say…20,000 of that profit there.

01/22, 4:28 PM

posted by:

Blakkarr

Just shows how much people will pay for a name.

I remember when a 911 would go for as much as a Corvette, maybe a little more. Now a 911 starts well past where a Corvette ends, price wise, Viper turf actually. Brilliant marketing, branding, and taking full advantage of their street cred. The cars could be junk, which they aren’t, but people will pay if they think it’s that good.

01/22, 4:29 PM

posted by:

GMnumberDUHforever

Not a lot of people know this, but Porsche engineers actually took apart a new Solstice so that they could copy every single component to build the replacement for the Carrera GT. Only the GM Gods know that the only company able to build a car with such lofty performance statistics is General Motors.

01/22, 4:29 PM

posted by:

meanpants555

The VW Tourag would have to offer a similar level of profitability and some how I doubt that; this agitates me.

01/22, 4:30 PM

posted by:

CTS DRIVER

then they could sell double the volume, if they wanted.
thats rite maximus negotiation time, drop the price on the gt2 and nobody would look twice at the new vettes.

01/22, 4:33 PM

posted by:

Dav is Dead

what a rip-off. the only porsche truly worth buying anymore is a turbo, maybe a cayman s with pcb. i love the cars, but the price at which they sell i would rather have an E46 M5 or an 06 M3 or something.

01/22, 4:45 PM

posted by:

jdepould

I don’t think they care about doubling their sales volume, just look at their financial situation, there isn’t a single automaker remotely close. Everyone else is wallowing in debt while they’re quietly buying up shares of bigger companies.

01/22, 4:47 PM

posted by:

edgarp

I can think of several cars I’d rather have too, mainly the new CL… but a lot of people can’t think of any cars that they would rather have.

Porsche has to pull high profits with numbers as low as what they sell.

01/22, 4:49 PM

posted by:

wetstuff

You get what you overpaid for. Even tho’ GM – looses – almost $2k on everything they build, it doesn’t mean you, the payment mule, get’s anything out of that “savings”. Al least with a Porsche or BMW, there’s something left to be proud of after the payment book is empty.
.
How’s that Caddy CATERA working out for you?

01/22, 4:58 PM

posted by:

mujician

I guess I know were my resume is going next!

01/22, 5:01 PM

posted by:

meanpants555

Porsche North America is located here in Atlanta.

01/22, 5:13 PM

posted by:

LamborghiniZ

That’s truly insane, 28 grand? This is how Porsche can afford to consider buying more stake in VW AG, making this much on each car? Impressive

01/22, 5:21 PM

posted by:

Me

$28000, Average!!! Nice. Who ranted the other day that Porsche’s model choices of late have “watered down” it’s image. Here’s proof to the contrary.

01/22, 5:27 PM

posted by:

Bavaria

Could be true. I mean Porsche has a tiny staff compared to most of the other automakers.

01/22, 5:37 PM

posted by:

moogleii

I don’t believe it. I’ll wait for a second confirmation.

01/22, 5:46 PM

posted by:

Andre Neves

You people saying that it is a rip off don’t know your head from your ass. Probably never even sat in one.

01/22, 5:47 PM

posted by:

Andre Neves

And those who don’t believe this should. I work at a Porsche dealership and can definately confirm this. Although I can’t go into specifics.

01/22, 5:48 PM

posted by:

CTS DRIVER

westuff i love my caddy its been great, definately not the catera for sure, cts is a far cry from it. mabey when the 4 door porsche comes out ill get one mabey, depends on the price really, porsches are great for sure but now i know 28 grand leaves a small space for negotians, all i was trying to say earlier is at 28 grand they can under price the vettes, because thats the only argument anybody has when it comes to the 2 is the vette is cheaper (and i mean cheaper). imagine if porsche was the same price, who would want the vette? so if you were being sarcastic go f your yugo.

01/22, 5:49 PM

posted by:

sampson

I always knew the Boxter was nothing more than a $20K car…

01/22, 6:26 PM

posted by:

mujician

LOL!!!

01/22, 6:45 PM

posted by:

Renton

Dav is Dead — The only Porshes worth buying are the GT3 and the Carrera GT.

E46 M5 ??????

Did the Germans bomb Pearl Harbor?

01/22, 6:56 PM

posted by:

edgarp

renton, GT3 and Carrera GT???? I think that those would be two of the porsches that aren’t worth buying.

The Cayman S is the most natural sportster in the Lineup. And it can be daily driven.

01/22, 6:57 PM

posted by:

Hilg

I think some of you are missing the point of this number. This isn’t saying that Porsche, on average, has a markup of $28k per car. Its saying that, if you take their annual profit, as a company, and divide it by the number of cars sold, you get $28k profit per car. I don’t doubt that they, along with every other luxury car maker, have a decent amount of markup on their vehicles. But, there are MANY MANY ways to make money as a car maker. And selling cars isn’t the only one, or sometimes even the most profitable one.

Think apparel, toys, pens, books, mugs, car accessories, video game licensing….and so on. Those types of items add A LOT to the bottom line, which also gets lumped in with yearly profit. And Porsche, along with similar Ferrari, are very good at not only selling cars, but selling a brand image. And, its a brand image that many people will buy into, even if they don’t own the car. And thats why they make LOTS of money.

01/22, 6:59 PM

posted by:

Kenny W

Andre Neves,
I’d be curious if you could list 5 solid reasons why Porsche is the best thing since sliced bread? I’m fairly certain I know my head from my ass and I could list 5 counter-reasons (to the 5 you provide me) I would never consider a Porsche product over its competition. I like Porsche, but they’re not worth the price (except maybe…..maybe the Cayman S, depends on your priorities) if you ask me. Seeing as you work at a Porsche dealership this should be fun :) .

01/22, 7:06 PM

posted by:

Egbert Souse

You can’t go wrong with Porsche

01/22, 7:07 PM

posted by:

Egbert Souse

hey CTS driver your car is a Catera you just dont know about it!! Catera Touring Sedan (CTS) DUH!

01/22, 7:28 PM

posted by:

Renton

edgarp — I like the Cayman S too.

I could daily drive the GT3 easy.

The Carrera GT not so much. **** I can’t even afford one so I’z don’t have to worry.

The other Porshes aren’t hardcore enough, even though I love theTurbo’s powe, the GT3 is more me. Except for the wing.

/Likes to run stealth

01/22, 7:47 PM

posted by:

Andre Neves

Kenny,

1. Quality – Engineering & interior quality that defines who they are.
2. Heritage – Some of the finest historice moments in motorsport history which can be seen reflected on their automobiles.
3. Personalization – Being able to customize nearly every interior part, exterior color, and factory performance upgrade to your liking.
4. Performance – Equiped with some of the most advanced six cyclinder boxer & V8 engines available, power output is maximized so you get the most for what you pay for, regardless of the profit they are making. Seriously, just compare similar cars in the same price range and you’ll know what im talking about, don’t be ignorant.
5. Safety – Being equiped with a sophisticated “space frame” designed to distribute impact forces evenly, 6 Advanced airbags(911/boxster/cayman), side impact beams, an engine made to break away from the vehicle in the event of a high speed collision(911), and a high performance braking system(all models) which is unsurpassed by any other manufacturer in the world…it tells you that they are not just trying to meet safety standards, but exceed them by any means nessecary.

So there you go, 5 reason off the top of my head that I can think at the moment. The list can go on if I wanted. So like I said before, like some others, you don’t know the difference from your head & ass.

And you say that you “would never consider a Porsche product over its competition”. That’s fine. It’s your choice and your opinion should be respected whether it is an educated one or not. But if you’d like a closer look at the “competition”, just swing by our dealership here in NJ when you have a chance. They’re sitting outfront in the lot parked ready to be traded in. You name it: M5s, Ferraris, Panoz’, Mercedes, Audis, etc. I’ve driven them all and I can tell you this, and Im not trying to be ****y or anything, “There IS NO substitute. ;)

Have a good day.

01/22, 7:54 PM

posted by:

Fatstrat

I think the biggest question mark should come from Porsche on this one… IMHO, they are apparently selling them for too LOW of a price based on their strong sales numbers. Keep the numbers down a little, improve the bottom line, keep the demand strong and always make sure everything you sell has a good quantity of ‘Porsche’ in it.
“There is no substitute”.

01/22, 7:55 PM

posted by:

autonutt

This makes sense, because it seems Porsche is the only manufacturer that can afford to stay independent and make a profit these days.

01/22, 8:08 PM

posted by:

GMkixassforev-a

Everybody knows the Boxster is an Opel Speedster with another skin! GM Gods already own the world! And everybody knows ALL Carrera GT owners are going for ‘Vettes now. In fact ‘Vettes are in another level. In second we have the Solstice and in third the Opel Astra Coupé OPC, and then we have Bugatti Veyron, Lambos, Ferraris, PORSCHES and other crap. GM KIX ASSES!

01/22, 8:54 PM

posted by:

Driven

This is an AVERAGE. So your $45,000 Boxster is not marked up by $28,000 as one posted. With vehicles like a $123,000 911 Turbo or $112,000 Cayenne Turbo S the markup could be $40,000 while the Boxster only sees a $10,000 markup (a guess). Whatever the exact number, the AVERAGE of markup on vehicles sold is $28,000. Also, they are looking at profit in the vehicle division, not the Porsche Design company. So sales of Porsche branded pens isnt part of the vehicle profit. That would be part of Porsche AG’s total corporate profit.

New Porsche sales are strong so they dont need to worry about cutting into profit anytime soon. The could even squeeze a couple more bucks from their buyers as I’m sure they will do next year when they raise prices again. Go Porsche!

01/22, 9:21 PM

posted by:

Hyperion

Amazing. Still, this holds true for every real driver’s car, from Miatas to Evolutions to Corvettes to Porsches to Ferraris.

When it LOOKS like a driver’s car, how can you tell you’re looking at a REAL driver’s car? If there’s an outrageous markup, you’re looking at a real one. If there is a great financing deal and no significant markup, it’s probably a fancy turd.

01/22, 9:25 PM

posted by:

A4

i believe it
with the same basic flat six being used for years it cant cost much to upgrade each model cycle. With a cayman costing more than a boxster, yet being the same car, they surely make even more on that simple structure. Its not hard to believe they make about that much on each car.

01/22, 9:32 PM

posted by:

Don

overpriced pos

01/22, 9:38 PM

posted by:

BAMF

overpriced, yes. pos, no.

Andre Neves — Well put.

01/22, 10:35 PM

posted by:

Kenny W

Quality – I give you that, but does the quality of a Porsche beat that of a Honda NSX or a Chevy Corvette or a Panoz? In some studies & areas…perhaps, but still not enough IMO to justify such extravagant costs. There is no reason a base 911 should cost $72 big ones. That’s just the base model.

Heritage – Again, a given. Again, it’s no better than Honda’s racing heritage or Corvettes, or Audi’s. So, why such a huge premium?

Personalization – This one really gets my goat. I could almost accept the price of Porsche’s if they didn’t charge so much money for so little. Although not offered in America many car companies (BMW & Ford for example) offer “individual” packages that give the same, if not more ability to customize your vehicle to your liking. Besides, if I’m going to plop down $100+ grand for a 911T that most couldn’t tell from a 911 4S then I’d expect to be able to customize it to my liking.

Performance – It’s a Porsche, it better deliver performance. However, when a lowly chevy beats the mighty 911 around the Nurbergring that would leave a dry taste in my mouth.

Safety –
a) Space frame – this used to be something unique, but almost all high dollar cars come equipped with space age technology.
b) Air bags – big deal, the Honda Accord comes with airbags. That doesn’t make me want the 911 any more.
c) Side impact beams – A feature built into most cars. Safety is a pre-requisite to car sales these days. Most cars (minus the compact class) perform admirably in the NHSTA side impact crash tests. Especially when equipped with side air bags.
d) Engine break away – AKA crumple zone, most cars these days have this. The engines are often designed in such that in a head on collision the engine drops so as to absorb more impact & deflect as much of it away from the occupants. Not a deal breaker as any high end car designed after 1997 will have this technology.
e) Brakes – I looked, but couldn’t find :( . I believe that the Viper can out brake a 911T. I’m going to have to keep looking on this one. Anyways though, unless you equip the 911 with the Ceramic disc brakes (a $9K option and almost useless on the street) the brakes aren’t much better than other exotic cars. I’ll try to come up with some figures tomorrow, there a bit harder to find than 0-60.

Again, when you buy a Porsche you’re telling the world that you have more money than brains. You’re paying a huge premium for a name, for recycled designs, and to get beat by Fords, Honda’s, and Lotus’s, among others. Porsche is not the be all and end all of automotive performance, not at there price.

01/22, 11:13 PM

posted by:

Egbert Souse

Kenny, what kind of “quality” do you see in a Corvette? Seriously, I’d really like to hear you explain that :)

01/22, 11:55 PM

posted by:

Andre Neves

LoL Kenny,
Your comparing, quality-wise, a Porsche with a Honda NSX/Corvette? No Comment.
Heritage, you say it’s no different than Honda’s racing heritage or Corvette’s(Chevrolet you mean)? You’ve got to be kidding me. Do us all a huge favor and go do some research please. And I don’t mean pop up Wikipedia, they don’t mention half of their achievments you would read about in a book. I have many and I can tell you their racing history is incredible. From their 356s,550s,911s,914s…to their 917s,962s & now RS Spyders that are making their mark in Le Mans once again.
About the Customizing or “Personalization”, you aren’t dealing with a Scion. If your spending $45K-$440 on a high end sports car that you want to make unique and have no other alike, your not going to expect it to be cheap. Let me put it alittle better so you know what im talking about. You dont’ go to a Jeweler and buy a Rolex, and then ask for diamonds to be put into the bracelet and expect it to be an inexpensive process.
“Space frame – this used to be something unique, but almost all high dollar cars come equipped with space age technology” ….LoL, space age technology? What are you talking about?

Porsche is known to make some of the best brakes in the world. It is a fact. Im not going to argue with you about this because It just shows how much you actually know about cars.
Im not going to discuss this with you because you sound like an adolescent who probably drives a Honda(judging by the amount of times you mentioned them) civic who’s dream is to one day own a NSX.
Anyway, im done with you.

01/23, 12:28 AM

posted by:

BodegaBay

It was a smart move by Porsche to hire Toyota (as consultants) years ago to teach them a thing or two about lean manufacturing.

This, gentlemen, is why Porsche is on the move to take over VW. This is why Porsche executives are scrutinizing VW factories to increase efficiencies. This is why rumors that Porsche’s influencial VW board members are hinting of selling off Lamborghini and Bugatti. And I believe they will suceed.

01/23, 12:38 AM

posted by:

Elvio

Other auto co. need to learn from Porsche.

01/23, 12:52 AM

posted by:

SevereSpeed

I found that the Viper’s A/C buttons were the same ones found in the Stratus.

I would take any porshe over a corvette any day, if I got them offered.

01/23, 1:58 AM

posted by:

06stc

Haha, all you have to do is tell people that someone else is making a lot of money, and that person will get all pissy and jealous. Just look at the U.S. Congress and Exxon. The Senators found out that Exxon is making a boatload of money, and they called them out on it. Too bad the U.S. makes 7x as much on taxes as Exxon marks up its gas. Same way with cars. Porsche is clearly freaking genious to be able to make that much of a profit. That’s just really good business. Note how nobody gave Chrysler or VW crap about how LOW their profit margins are.

In my mind, everyone should be applauding Porsche right now and talking crap about Volkswagen. And Ford. Sure, Porsches are overpriced. But they’re also really nice cars. Toyota makes nice cars, too, but they’re not so expensive. It’s not hard to figure out, just buy the car in your price range. Until then, stop giving Porsche crap for MAKING MONEY and get out of your mom’s basement. Thank you.

01/23, 3:11 AM

posted by:

sampson

06stc

Being a good business is one thing but making $28K on a car is another… I gaurantee you, Porsche isn’t applauding that this info is out in the public, it’s literal proof that they mark their prices up way more than other automakers… This info shows consumers just how much they are paying for a name and it could definately change some minds…

The car all the sudden isn’t pricey because it’s made out of higher quality materials, or just because of all the amazing/expensive engineering, it’s pricey cause they just mark it up 28K.

01/23, 3:54 AM

posted by:

Hyperion

very well put, sampson.

01/23, 7:20 AM

posted by:

peter g

Me: Guess I was one of the guys claiming that Porsche had watered down their brand and I stand corrected. It’s just the fact that I don’t really like the Cayennes…I like to think “sport and fast” when I think Porsche, and not “soccer and mom”…Probably my problem.

That said: I do not believe that Porsches are too expensive, it’s the other cars that cost too little hence poor technical and overall quality and what have you. Of course a Porsche is expensive, but it seems to me that they’re worth it, because if it’s a Porsche you want, then you pay for a Porsche.

Due to preposterous taxing in Denmark a Porsche 911 Turbo automatic will set you back some $519.000 ( €405.000 ), but we still buy ‘em…

01/23, 8:21 AM

posted by:

YourNameHere

do you really think your designer tshirt cost 40bucks? no. and the ppl that can afford a 911 dont care.

01/23, 8:49 AM

posted by:

wetstuff

A $35k, loaded 2001 Catera is worth $6-7k (probably a good buy at that price….) whereas my 2001 Boxster-S’ original list was nearly $60k is worth about $28k (also a very good buy compared to that hick car from Pontiac) I’d rather Porsche be profitable. It’s better for everyone.

01/23, 8:57 AM

posted by:

wetstuff

……Besides?! Would you call a contractor to build a house for you (only one step up in cost of the most expensive things you buy..) that you ‘knew’ NEVER made a single dime. They’d be called Saturn Homes and Saab Housing Group. You go ahead, you got he number. Not me, thanks.

01/23, 9:10 AM

posted by:

Z06ified

Porsches are nice (some of them), but they really aren’t worth the money. I always thought they were way overpriced for what you get. This is proof I was right.

Buy a Porsche if you prefer to buy a name more than performance, and if you like to line Porsche’s corporate coffers. Buy a Z06 or a Viper if you’re a serious performance car enthusiast and want the most thrill for your hard earned money.

01/23, 9:39 AM

posted by:

gsh

Z06 is right i mean come on, anyone REALLY serious about trackdays and looking cool to other enthusiasts would get a cheaper lotus and just school everyone.

who, then, buys the porsche? oh come on, you guys need to get real. old people, young people who honestly wouldnt know what a turbo is, people who keep it in the garage, the people who roll around on sunset blvd. going to clubs and bars, and then the small fraction of poeple who actually take it to the track.

go on! go find those porsche forums and read up. most of them are just daily drivers.

01/23, 9:46 AM

posted by:

Andre Neves

I don’t understand why people think they are overpriced. I can think of a handful of cars off the top of my head that meet that criteria that have less people complaining about price. BMW M6 & M3, Most Ferraris(not a driver’s car, but a trophie), Honda/Acura NSX(now disc.), Audi RS4(way too much), Mercedes SLs, etc.
Now I know im going to get attacked for including “Ferrari” and Audi’s “RS4″ model. I’d like to see someone actually DRIVE any Ferrari as a daily car. Im sure the 5,000 mile service intervals will drive you mad. Speaking of, how many people do you see actually DRIVING a Ferrari? Not many, ya don’t want to knick the paint you know. Got to keep her all shiney and clean for the banquet tonight. I look at them as trophies.
As for the Audi. At almost $70k with an actual Curb Weight of 3,957lbs, this heavyweight in my opinion doesn’t impress me with the performance numbers that i’ve seen. It is overhyped and over rated. Does that mean I don’t think it’s a good car? Nope. Im an enthusiast and I love all cars.
I think it’s a good car, but not in the category that they often put it.
People often make it seem like a supercar. The RS4 this & the RS4 that, it has about the same performance numbers that i’ve seen given for my Evolution IX MR. And that’s at almost half the price. You tell someone that and you get counter hit with a “but the interior quality” argument. It’s true, I won’t argue that. Would I take an RS4 over my car? As much as I like my Evo, I would do it in a heartbeat.
The fact is, I believe at the current prices that Porsche charges for each one of their cars, your still getting something worth every penny, regardless of how much profit they make on it.

01/23, 10:26 AM

posted by:

Fatstrat

Its simple Andre, most of the posters here have an IQ below plant life. They cant begin to understand.

01/23, 10:35 AM

posted by:

chuckles

Well said Andre.

To the idiots that said “it’s time to negotiate”…
That is what Porsche, the company, makes average per vehicle, not the dealership franchise that sells them.

Secondly, it isn’t like walking into a GM, Ford, Toyota, Honda, Chrysler, etc. dealership to buy an everyday run-of-the-mill car or SUV. Very little, if any negotiation is done on new Porsches, depending on the model being purchased. For those who don’t understand this, it doesn’t matter, because you will never own one.

I owned a 944 from ‘84-’86. While although not even in the league of it’s bigger, faster siblings both past and present, it was the sweetest ride. I could have spent less for a car, but I had the means to purchase it and the enjoyment I received was worth every penny. I resold the car after two years of ownership for only a few thousand less than I paid.

Bravo Porsche.

01/23, 10:49 AM

posted by:

meanpants555

If I was a low IQ plant I would be a Saguaro, tall, skinny and prickly.

01/23, 10:52 AM

posted by:

meanpants555

The lesson here is to buy used.

01/23, 11:00 AM

posted by:

CTS DRIVER

hey CTS driver your car is a Catera you just dont know about it!! Catera Touring Sedan (CTS) DUH!

Comment by Egbert Souse, posted on January22 at 7:07

in name only there bozo in name only, the caterra was a rebadged opal, the cts is made in america, duh bozo i thought you wewe a car enthusiast, geezz some people sound like idoits trying to be smart. i know what the acronym was before i bought the car, there is nothing similar between the pos opal and the cts. wow one more person who needs a glass stomach because his head is so far up his ass he cant see what he is reading.

01/23, 11:06 AM

posted by:

vinman

suckers

01/23, 11:22 AM

posted by:

55amg

thats why they can make profit with only 4 models. nice

01/23, 11:31 AM

posted by:

Andre Neves

People don’t understand that this is just business and they’re really good at it. It is well deserved success IMO. Especially when you consider that they were in financial turmoil in the 80s to mid 90s.

chuckles,
My first car was an ‘86 944 n/a. My favorite car to date. It was modified(suspension) quite a bit for Autocross. Repainted it guards red(original color), fixed it up, & got the Fuchs redone at Wheel Enchancement. After 4 years I had to get rid of it because I couldn’t afford the rediculous insurance rate of $4,300/6 months(2 points on record) here in NJ. I miss it and want to get another one in the near future.

01/23, 11:52 AM

posted by:

meanpants555

I have no problem with Porsche’s success; it’s just so far and beyond everyone else that it boggles the mind.

01/23, 12:16 PM

posted by:

MyGodBeatsYourGod

So Andre owned an Audi 944 and he knows every detail about Porsche?

Two 911s, the creaky 928, and the ****ty VW-914 in high-school, over my life….

Porsches are fussy, EXPENSIVE toys.

Most do not drive a Porsche 15-20k miles a year like a Honda/Dodge/Kia.

Go down to your local dealer and, if you can get the slick-haired prick salesman to talk to you, ask about service intervals, service costs, etc.,

PS. The profit margin shows the buyers are SUCKERS!!

01/23, 12:35 PM

posted by:

Andre Neves

MyGodBeatsYourGod,
I’ve said it a couple times already. With comments and a username like that, people just aren’t going to take you seriously. Your an idiot.

01/23, 12:50 PM

posted by:

Martin

Considering Porsche’s invoice pricing is 15% less than MSRP, it is inaccurate to assert that Porsche makes $28k per vehicle.

01/23, 12:52 PM

posted by:

sampson

“”"”Its simple Andre, most of the posters here have an IQ below plant life. They cant begin to understand”"”"

Yeah what a difficult concept… Porsche marks up their prices by 28k on average… YOU’RE GETTING RIPPED OFF!

It’s a designer car… just like diesel jeans and rolex watches. Separates the middle class from the upper. People pay extra to feel exclusive…I’m sure many people thought they might be paying a little extra just for the name, but now they know it’s closer to $30K. It probably costs Porsche to make the Boxter the same that it cost BMW to make the 3 series… Porsche just tacks on the extra 28K where BMW only tacks on 5K

01/23, 1:04 PM

posted by:

Andre Neves

Sampson,
If you think they make “desginer” cars, it just shows how much you actually know about cars. Your ignorant and very misinformed.
Let me ask you something. Do you own any jewelery?
Many people don’t know, but if any of you here are in the Jewelery business, you’ll know what im talking about when I say that the Jewelery business has the most profit of any other martet in the world. Especially gold and silver. Does anyone honestly think a $5-10K diamond engagement ring actually costs that much to produce? Of course not, just ask the jeweler, im sure he can knock off $2-3K for you because your a good customer.
Wake up people, open your eyes. It is just Business. It just so happens that there are many other hidden profits you don’t see or hear about all over the world. You name it, Cameras, TVs(LCD), computers, etc.

01/23, 1:13 PM

posted by:

deutschetouring1337

HAHA I agree with Maximus now that you know they have inflated pricing go make a deal on a caymann and turbocharge it.

01/23, 1:20 PM

posted by:

Kenny W

Andre Neves,
You continually attack people as opposed to their ideas and that shows that your maturity is lacking, despite your age. I for one have no problem with a company being successful and applaud Porsche for being able to pull in such a profit. If you knew me you’d know that I’ve said it about many vehicles, including the NSX, Enzo, A3, G-Wagon, and more….they’re all over priced. If you weren’t so biased in favor of Porsche you’d be able to understand why so many agree. Porsche makes good cars, but they’re not the best, not at their price point.

01/23, 1:23 PM

posted by:

Sharif

everyone on this fukin site is a moron especially that GM propaganda guy. When was the last time Porsche did something drastic…..thinking………………..thinking……………still thinking……………i know, never. Porsche built a damn near perfect car and all they do know is adjust details. They practically spend no money on R&D and they spend no money on advertising. For everyone’s information R&D and advertising for car manufacturers is usually they two largest expenses. When was the last time Porsche spent tons of money to create bull**** concepts that will never be produced or looked at again, never. They don’t mark-up their prices by 28,000, they cut down their costs by 28,000. Other companies are are doing heavy R&D on diesel, electric, solar, and hydrogen but not Porsche. Porsche takes their profits and invests it into profitable companies that are doing promising research such as VW AG. Can anyone think of a more appropriate car. Seriously, and fast car with intense handling, amazing reliability, luxury everything (inside and out), and can be driven at least 4-5 times a week. With what i just asked for pretty much eliminated every competitor. Only cars that i can still think of is the Audi RS 4, the M6, the Lamborghini Gallardo, the CLS, and Aston Martin. All of which in a very curvy track can’t keep up.

01/23, 1:33 PM

posted by:

meanpants555

Word Shariff, you are wise beyond your years. I wish I thought of your response, but I did not: I am a low IQ plant.

01/23, 1:46 PM

posted by:

Z06ified

Porsche’s profit success is largely predicated on American automotive ignorance and materialistic insecurities.

01/23, 2:18 PM

posted by:

CTS DRIVER

that sure is a good looking little porsche in the picture above, looks excellent in red.

01/23, 6:16 PM

posted by:

Fatstrat

Sampson, if you think this article means that Porsche is ‘marking up their cars $28k’ then you sir are far below plant life on the intelligence scale, pretty close to ‘athiest’ in fact.
I really dont think you are that stupid.

01/23, 6:39 PM

posted by:

Andre Neves

Fatstrat,
Yeah, your talking about someone who tried to correct my on the usage of the word “your & you’re”. LoL

01/23, 7:32 PM

posted by:

sampson

Fatstrat,

do you know something we don’t? Do you have an alternate explanation? Links to back up this explanation? The article we are discussing, explains that Porsche averages 28k PROFIT per car… If “mark-up” is the term confusing you, please feel free to substitute another synonym…

01/23, 7:49 PM

posted by:

AdibzumbaAbihganulah

People, people, people… I don’t know why am I wasting my time with this, but I am very disappointed with you all (you may say: AND YOU ARE…- good point; not so educated though). I too think you all need some hugs. Some of you seemed so open minded few days ago, and now this… thing above. And being an Italian guy, I’m afraid to write down here because half of you are certainly English-language-PhD’s.
So my point here, in this English-language-car forum, is simple. We just can’t bind our opinions with our personal tastes. For example: I know VW cars are far, faaaar from perfection; but I simply LOVE them. Of course Porsches are worth the price. If they weren’t nobody would buy. So you have the money and don’t want a Porsche? DON’T BUY IT! It’s not just about quality and/or usability (not sure about this word), it’s about passion too. And when we talk about quality, how do we measure that? We can ask the factories suppliers. For example: a few years ago I asked an employee from a VW and Renault supplier if there were any differences between materials used on dashboards and door panels ordered by the two brands, and she said yes, there was a significant gap between the costs. VW directed were more expensive than the others. But this doesn’t mean VW cars are always better. It means VW cars are more expensive. And just because I pay for them it doesn’t mean you have to do the same!
With all of this… things written above I could write for four days, but it’s veeeeery late (in fact it’s almost early in the morning) and I have to sleep a little.
Sorry for my English.

01/23, 10:16 PM

posted by:

chuckles

It never ceases to amaze me, I don’t know why, that every time the discussion of profit margin on vehicles comes up it starts and ends with a bunch of whiney, obscenity filled remarks. Come on guys grow up.

Mark-up, profit, call it what you will. Profit is not a dirty word. No business would exist without profit.

Porsche manages thier product portfolio well and the price and value meets the demand of those who will pay it. Good for them. If the price were too high, no one would buy them. If it were too low it depreciates the market for the car. It’s supply and demand economics folks.

Period. End of story.

01/23, 10:21 PM

posted by:

chuckles

p.s. Ricardo, I guess it would depend on what the fraulein looks like…LOL…

01/24, 12:11 AM

posted by:

WonbyOne

I would suppose that anyone with a college level business course would know that the Porsche ‘accountants’ did not decide to sell each individual vehicle for $28k over its production cost. No doub the profit level for each car, even similar models with different option packages will vary in profit levels. Combine this with the total business operation, and the company profit turns out to be about $28k per car.
Congratulations to them. I would very much like to have some stock.

01/24, 7:00 AM

posted by:

S4 Quattro

They must have some genious business scheme.

01/24, 8:14 AM

posted by:

gumball

I don’t no why people are critisizing porsche, just because they make good cars that they spend heeps of time, money and experience to perfect a car that has been revolutionised for around the past forty years are being critisized for their hefty price, I bet if you were wealthy you wouldn’t complain about the price.

I love porsche i think they are the most down to earth standard of a near perfect car. Just because the have a name doesn’t mean u have to be very negative, maybe because ur jealouse.

If GM showed up on the news showing that they have turned up a hugh average profit of all thier vast models then I’d be happy for them that they could achieve that,

only an idiot would critisize something that is vastly succesful.

01/24, 8:49 AM

posted by:

meanpants555

Well according to Jason’s link the number is distorted, I read it, but was unable to comprehend since it involved numbers, which I don’t do.

01/24, 8:51 AM

posted by:

meanpants555

My news writing professor in my seventh year of college hammered into our wooly skulls that poor grammar and language usage undermines the source.

01/24, 11:39 AM

posted by:

moogleii

Thank you Jason.

01/24, 12:26 PM

posted by:

CTS DRIVER

And just because I pay for them it doesn’t mean you have to do the same!
With all of this… things written above I could write for four days, but it’s veeeeery late (in fact it’s almost early in the morning) and I have to sleep a little.
Sorry for my English.

Comment by AdibzumbaAbihganulah, posted on

dude your english is great, no need to apologize at all, you type better english than i do for sure.

01/24, 12:55 PM

posted by:

GMnumberone4ever

It’s a sad day when people spend that much money on a POS German, unreliable, low quality wreck when they could’ve bought a Vette in the first place. People prefer to spend more money on something that isn’t even on the same level, I don;t get it.

People are that stupid I guess.

01/24, 1:40 PM

posted by:

shiftright

$ 28,000 profit per car, eh! Well, I am sure glad I never have been stupid enough to buy a Porsche and now I am even more certain not to be gouged by the manufacturer or the dealer of this overpriced make.

I am not very fond of cars with their engines hanging off behind the rear axle. I also do not want to see myself coming and going a dozen times every time I go for a ride. With Porsche, there is no exclusivity.
Also with Porsche, the reliability is terrible.

01/24, 1:52 PM

posted by:

Andre Neves

shiftright,
You are very ignorant.

01/24, 5:08 PM

posted by:

shaver

Andre Neves is a name calling pie whole. But this pie whole does know his Porsche propaganda, up and down. Too my point, does Porsche make bad ass sports cars? Hell yeah. But this is a list of the many downsides.
There are less expensive, faster cars, many of them.
Quality control is not a porsche strong point.
Paying that kind of money for a car that you will see someone else driving everday is not exclusive or cool.
There styling is stagnant, some call it classic, some call it an upside down bath tub. I personally like it.
The only reason that I can summize that there profits are so high has to do with the niche market they dominate. Think about it, what other pure sports car players are there in the $90,000 to $150,000 range. You can’t touch a Ferrari, Lambo, Saleen, or Ford GT for under $200,000. That is a wide $60,000 range that they completely dominate.

01/24, 8:45 PM

posted by:

Veda

Correct shaver, they had the market for themselves all these times. People talk about Vettes and other performance cars around that price but nothing comes close to the combination of class and performance that Porsche offers. Instead of whining here, they should try to find its formula and make some $.

01/24, 9:37 PM

posted by:

Ricardo Head

Deutsche Weiber stinken wie die Pest weil sie kaum duschen, sind aber dafür einfach zu ficken und steigen schnell ins Bett. Schlampen sind ‘ne deutsche Tradition wie Bratwürste, Bier, Kälte, Faulheit und Staatsanhängigkeit. Deantj hat recht …. ist ein Land voller Arschlöcher.

01/24, 10:01 PM

posted by:

gumball

I bet if you went up to any person who owns a brand new porsche and tell them they are over priced, unreliable and bad quality, they would turn around and laugh at you and drive off into the sunset.

making insults would only make you look even worse. Insulting one of the best car manufacturers in the world makes every other american car look even worse.

01/25, 12:28 PM

posted by:

shaver

What insult are you talking about, I said they are bad ass sports cars. But they are not above criticism, they are not as beautiful as the true exotics, and they aren’t a bargain for there performance. Porsche is still on my short list of money is no object dream cars. Carrera is 6th on my list, GT3 is about 9th.

01/25, 12:58 PM

posted by:

Andre Neves

Shaver, we didn’t realize that it didn’t stack up well on your list of dream car list. We are all sorry.

Anyway, I see you mentioned that they aren’t as beautiful as the true exotics. I have no idea what you consider a “true exotic”. Do you mean something along the lines of a Lamborghini or Ferrari? Maybe an Aston Martin? But I will agree with you that most exotics look better. My personal favorites are Ferrari’s F430 & Lamborghini’s Murcielago. I have a close friend who owns a ‘00 Diablo roadster & a recently aquired Murcielago roadster. They are both pleasant to look at, especially when parked together in his garage.
But I will say that Porsche doesn’t make exotics. If they wanted to make cars that could only be driven every so often, which look like they come from the future yeilding the most advanced technology & materials known to man they could. And they have. There was the 959, the GT1, & the now discontinued Carrera GT.
Then you say that “they aren’t a bargain for there performance”. Now im confused because your either going to have an “Exotic” or a bargain performance car. You can’t have both because if you make a performance car at a low price, then that means people will buy many of them and it won’t be as exotic anymore.

And for the record, models like the 911 Turbo & GT3 have been know to out-accelerate, out-handle, & just basically out perform most “exotics” priced twice as much.

01/26, 6:41 AM

posted by:

gumball

Well put Andre,

How is a car priced by its power and speed, Porsche are not ment to be as powerful as lets say a corvette but porsche has better stability, stamina, handling, grip and most definetly feel.

01/26, 10:29 AM

posted by:

shaver

Is it that hard to make $100,000.00 car that is also beautiful. And by not a bargain I mean paying $1200.00 for a $200.00 dash mounted stop watch seems, well, not so smart. I still love the way they drive but why cant they be pretty too.

01/26, 10:36 AM

posted by:

shaver

Better stamina? What are you doing with your porsche? I knew Corvette interiors aren’t nearly up to Porsche standards, but did not realize Corvettes had a pre-ejaculation issue.

01/26, 11:24 AM

posted by:

Andre Neves

Shaver,
If by the “dash mounted stop watch” you mean the “chrono package”, it does a whole lot than you make it sound.
The Chrono package includes a very accurate stop watch on your dashboard. By controlling it with a lever on the bottom left of the steering column, you can start, stop, & start another lap. All your information is displayed in the PCM screen and you have the ability to save it. So if you ever want to compare old times with new times, you can. You can also view your lap times & breaks(pit stops)in the form of a bar graph.
The sport chrono also gives you a “Sport” button with will remap your ECU(computer) and adjust your air/fuel levels, throttle input, rev limit, so you get more torque especially on lower RPM range.
On Tiptronic transmissions, when activated, will prevent the transmission to upshift at high RPM when in the manual mode.
On the Turbo model the Chrono package is a must. Activating the sport button will give you an “over-boost” feature which lasts for 10 seconds. I can’t remember off the top of my head how much more the Psi/Bar is increased.
Sport Chrono will also alter how much effect the PSM(Porsche Stability Managment) has on the car when activated.
There is alot more that it does that I could go into, but im pretty sure you get the idea.

01/26, 11:25 AM

posted by:

Andre Neves

BTW, the PCM with the bar graph display I was talking about…
http://www.auto123.com/ArtImages/43147/inline_09.jpg

01/26, 2:27 PM

posted by:

shaver

10 second over boost thats some stamina

01/26, 11:52 PM

posted by:

gumball

What a dirty little air head you have shaver,

What i meant by stamina is porsche wouldn’t brake down or diminish as often as a corvette would when it is push to its limits.

01/31, 11:15 PM

posted by:

79TA

Porsche is like Hollister. You needlessly pay extra for nothing more than a brand.

This also reminds me of the “ginsu knife effect” where raising something’s price makes the public assume its a better product. The majority of Porsches are driven by dumb yuppies who want the prestige but can’t afford the higher spec versions.

Porsches are good cars. However, the fair ver poorly in the performance per dollar category.

02/07, 8:01 PM

posted by:

J.A.N.E.

I drive Porsche because of the German feel( black plastic,VDO gauges,and some other nifty features).The prestige is not part of it for me.

06/17, 2:22 AM

posted by:

A4

Can’t you get all the black plastic you’ll ever need with a Pontiac Aztek?

 
 
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