The market has more million-dollar cars than those normal people can afford
The affordable segment is shrinking with each passing day
The gap between the rich and the poor has been widening now more than ever before. And as common economic sense would dictate, the palette of choices has been increasing extensively for the upper class. Interestingly though, even automobiles seem to be following suit.
Automotive media house CarBuzz recently did a study on the number of vehicle options available on each end of the economic spectrum. While the lower segment comprised of all cars on sale under $20,000, the higher segment involved all vehicles with a retail price of over $1 million.
The list for the former section amassed a total of 18 vehicles, most constituting affordable hatchbacks such as the Toyota Yaris, Chevrolet Spark, Honda Fit, Hyundai Veloster, some compact SUVs namely the Hyundai Venue, Ford Ecosport, Nissan Kicks and a bunch of sedans like the Nissan Versa, Subaru Impreza and Volkswagen Jetta to round it off.
If you’ve been observing the current crop of car launches, the presence of a much higher million-dollar supercar option range shouldn’t come as a surprise to you. The media house claimed to have found it difficult to accumulate this list due to the sheer variety of options available in the market. Both, from well-known manufacturers to carmakers even the enthusiasts wouldn’t have heard of.
Cars with a seven-figure price tag include the likes of the Apollo Intensa Emozione, Aston Martin V12 Speedster, Aston Martin Valkyrie, Bentley Bacalar, Bugatti Centodeici, Bugatti Chiron, Bugatti Divo, Czinger 21C, Gordon Murray T.50, Koenigsegg Gemera, Koenigsegg Jesko, Lamborghini Essenza SCV12, Lamborghini Sian, Lotus Evija, McLaren Elva, Pagani Huayra, Pininfarina Battista and Rimac C_Two.
In total, the auto website listed close to 32 examples, almost double to what the lower segment currently offers. And yet, the website claims to have not included every single special edition and convertible derivatives to keep a concise list. Had that been the case, the million-dollar list would’ve easily touched 50 examples. And that’s a significant list of options for a target market that’s not even one per cent of the entire world population. (46.6 million millionaires recorded in 2019 against a world population of over 7 billion)
Thus, this study was conducted to shed light on the kind of population carmakers tend to cater. While the average US consumer is reported to spend around $40,000 on automobiles, presumably snapping an SUV or a pickup truck in that amount, the case of affordable cars under $20,000 isn’t deemed viable for carmakers to spend money developing them. Instead, automakers prefer catering to clients who can push their budget from six to a seven-figure amount to procure a limited-edition vehicle.
So, now you understand why Aston Martin releases a bespoke special-edition almost every month.