China Luxury Car Market, Forecast to 2025

China Luxury Car Market, Forecast to 2025

China is the largest automotive market globally. In 2017, luxury cars accounted for a 10.3% share of the country’s overall passenger vehicle market. The luxury car market is forecast to experience a positive growth, at a compound annual growth rate (CAGR) of 5.4% during 2017-2025. Being a premium niche market it is highly concentrated and dominated by Mercedes Benz, Audi, and BMW, with them having a combined market share of 68.8% across the sedan and sport-utility vehicle (SUV) segments in 2017.

The Chinese luxury car market is led by European automotive original equipment manufacturers (OEMs), especially the German companies Mercedes-Benz and Audi. Traditional mass market brands such as Toyota and Nissan are attempting to expand their portfolio with launches of premium models such as Lexus and Infiniti.

Compact SUV and C-Compact sedan are the most favored luxury car segments in China. Market adoption from female, urban driving and price cost are the key purchase attractiveness that will drive demand for luxury cars from individuals during the long term. Upon the business travel purpose, F-Large Plus vehicle segment of luxury car is likely to enhance its market attractiveness in China.

Gasoline powertrain is expected to continue its dominance in the Chinese luxury car market during the long term. Nevertheless, competition from Tesla in electric powertrains and the encouragement offered by the Chinese government in developing new energy powertrain vehicles are likely to accelerate the market adoption of both battery electric vehicle (BEV) and plug-in hybrid vehicle (PHEV) in China during the long term.

Luxury automotive OEMs are at levels 3 and 4—respectively focusing on conditional automated and highly automated advancement—in the development of autonomous driving technology. Thus, connected service between smartphone and vehicle is becoming highly popular in China. Apple CarPlay is leading the mobile-vehicle connected service, as Android Auto is currently not allowed to operate the Chinese market. The collection of big data helps OEMs to gather useful information about environmental factors, vehicle usage, driving behaviors, and so on.

This research further provides branding analysis, market trends, customer analysis, powertrain trends, technology trends, and market share and comparative analysis related to the Chinese luxury car market, and also highlights growth opportunities. It closes by offering key conclusions and the future outlook for the Chinese luxury car market.

Research Scope
This research aims to understand the Chinese luxury car market and explore new market opportunities for stakeholders. It also presents a strategic insight into the luxury car market in China and analyzes the impact of growing technology trends up to 2025.

Research Highlights
To provide a visionary overview of the Chinese luxury car market.
To provide strategic insight into the current and future technology trends, including big data and autonomous driving, which are changing the landscape of the luxury car market in China.
To analyze the evolution in brand differentiation factors.
To analyze the retail approaches of automotive OEMs in China.
To provide a competitor analysis that examines competitive factors and competitor market shares.
To analyze the changing demographic trends that impact the market.

Key Issues Addressed
How will a luxury vehicle be improved in the future?
What is the target segment of automotive luxury OEMs? How are OEMs adapting to shifting customer preferences?
How do OEMs respond to technology trends such as big data and autonomous driving?
What are the key luxury car models to be launched in the near future?
What are the key anticipated market trends in luxury car retailing in China?

  • Executive Summary
    • Key Findings
    • Executive Summary-Future Brand Attractiveness Factors
    • Executive Summary-Current Luxury Car Market Snapshot 2017
    • Executive Summary-Key Leading Luxury Automotive OEMs in China
    • Executive Summary-Transmission Positioning
    • Executive Summary-Connected Service
    • Executive Summary-Future Customer Profile Trends
    • Executive Summary-Key Luxury Car Models in China
  • Research Scope, Objectives, Background, and Methodology
    • Research Scope
    • Research Aims and Objectives
    • Key Questions this Study will Answer
    • Research Methodology
  • Branding Analysis
    • Branding Analysis-Brand Positioning and Differentiation
    • Branding Analysis-Attributes to Derive the OEM Brand Values
    • Branding Analysis-Future Brand Attractiveness Trends
    • Branding-Future Brand Attractiveness Attributes
  • Market Trends
    • Market Trends-Mega Trends Impact Luxury Car Market
    • Market Trends-New Business Models
    • Market Trends-Distribution Network Trends
    • Market Trends-Future of Luxury Car Retailing
    • Key Models Launched in 2017
    • Upcoming Models
  • Customer Analysis
    • Customer Analysis-Disposable Assets in China
      • Table Luxury Car Market: High Disposable Asset Breakdown by Province/ City-Level, China, 2017
    • Customer Analysis-Women Empowerment
    • Customer Analysis-Future Customer Profile Trends
  • Powertrain Trends
    • Powertrain Trends-Current Powertrain Snapshot
    • Powertrain Trends-Transmission Positioning
    • Powertrain Trends-Future Powertrain Trends
    • Key Luxury Car Models in China
  • Technology Trends Analysis
    • Technology Trends-Connected Service
    • Technology Trends-Smartphone Integration
    • Technology Trends-Big Data
    • Technology Trends-Autonomous Driving
    • Technology Trends-Current Product and Service Offerings
  • Market Share and Comparative Analysis-Chinese Luxury Car Market
    • Market Analysis-Luxury Car Market Snapshot 2017
    • Market Analysis-Luxury Automotive OEM Market Share
    • Market Analysis-Unit Sales Outlook in 2025
    • Market Analysis-Forecast by Vehicle Segment
    • Comparative Analysis-Price and Vehicle Segment Comparison
    • Comparative Analysis-Market Performance Breakdown by Key OEMs
      • Table Luxury Car Market: Sales Breakdown by Key OEMs, China, 2016 and 2017
  • Growth Opportunities and Companies to Action
    • Strategic Imperatives for Success and Growth
    • Growth Opportunity-Luxury Car Market in China
  • Conclusions and Future Outlook
    • The Last Word-5 Big Predictions
  • Appendix
    • Abbreviations and Acronyms Used

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