The luxury cars that WeChat merchants went on a buying spree for have fallen from grace

Author | Chai Xuchen

Editor | Wang Xiaojun

Unexpectedly, Maserati, the century-old Italian luxury car brand, has seen its fate take a roller coaster ride after being hailed as the "God Car of Micro Business" by Chinese influencers.

Recently, news of the "Queen of Sports Cars" price collapse has stirred up a storm in the industry. Wall Street Journal learned that at the Maserati store in Shanghai Pudong, the Grecale SUV, originally priced from 650,000 yuan, is now available at a limited-time price starting from 388,800 yuan. Some automotive sales platforms show that the lowest quoted price from Shanghai dealers has dropped to 369,600 yuan.

For reference, the official guide price for the Maserati Grecale model ranges from 650,800 to 1,018,800 yuan. After this price reduction, the actual selling price of some models is now close to half of the guide price.

In response, sales personnel at the Maserati store in Shanghai Pudong quickly stated that the 388,800 yuan promotion is exclusive to the store, involving a buyout by the dealer, and is unrelated to the Maserati brand. Moreover, it is only available in one configuration: white exterior with black interior, model Grecale 2023.

In other words, this is Maserati dealers independently lowering prices to "clear inventory." This also indicates that the era of relying solely on brand halo to achieve high premiums may be coming to an end.

In the land of sports cars, Italy is home to the globally renowned "Two Kings and One Queen" brands, namely Ferrari, Lamborghini, and Maserati. When Maserati first entered the Chinese market in 2004, it was once a symbol of wealth. During its peak in 2017, its annual sales of 14,400 units made China its largest global market, and it was particularly favored by high-net-worth female consumers, achieving a record where female owners accounted for as much as 40%.

As a well-known luxury car brand in Italy, why has Maserati suddenly reduced prices significantly in the Chinese market? The answer lies in the increasingly severe sales difficulties faced by the brand.

Industry insiders analyze that Maserati's high-end image in the Chinese market has long been shaped by labels such as "Made in Italy" and "purely imported sports cars." Compared to top brands like Rolls-Royce and Bentley, its entry price is relatively lower, creating a unique appeal among specific consumer groups, seen as a "stepping stone" into the ultra-luxury car circle.

However, with the brand image being over-marketed and the rise of domestic high-end car brands in China, consumers' car purchasing concepts have become increasingly rational, no longer simply paying for brand premiums, leading to the gradual fading of traditional luxury brand halos in the Chinese market. The trident emblem of Maserati, born in 1914, has slipped into a downward trajectory, with prices and sales fluctuating.

In 2024, Maserati's sales in China were only 1,228 units, with 384 units delivered in the first five months of this year, a year-on-year decline of 44%, far exceeding the decline of other ultra-luxury brands during the same period. In May of this year, its import sales in the Chinese market were 107 units. In the secondary market, the Maserati Grecale model has dropped from the official guide price of 650,000 yuan to 400,000 yuan, with nearly new cars in the second-hand market even falling below 300,000 yuan The past glory has become history. At its peak, there were over 60 Maserati 4S stores nationwide, but now there are fewer than 20 that remain. Sources in the channel have revealed that a single Maserati store needs to sell 5 cars a month to break even, but currently, most stores sell less than 2 cars on average per month. The "buyout package" at the Shanghai store essentially means taking on financial risks, forcing dealers to clear inventory at discounted prices to maintain cash flow.

More critically, this luxury car brand is currently facing a dilemma with its core models. The Levante SUV and Ghibli sedan, which once accounted for 70% of sales, had their production lines completely shut down last year, and replacement models will not be available for at least three years.

At the financial report meeting in February this year, Stellantis CFO Doug Ostermann confirmed that the €1.5 billion investment in Maserati has been written off. Financial documents indicate that this will lead to "certain projects being canceled before release." Although the specific details of these projects have not been disclosed, reports suggest that the canceled projects are expected to include the all-electric MC20 Folgore.

This means that, in a market trend where consumers continue to favor SUVs, Maserati's only remaining SUV model is the Grecale, priced at around $80,000.

The dual shrinkage of demand and supply has put significant pressure on Maserati's parent company, Stellantis Group, which reported an operational loss of €260 million after adjustments last year.

Faced with this predicament, Stellantis is also anxious. In July last year, then-CEO Carlos Tavares revealed that Stellantis cannot afford unprofitable brands, and the group would cut underperforming brands from its large product portfolio to ensure overall profitability.

This news undoubtedly raised suspicions that Maserati might be sold, but Stellantis ultimately denied it, stating that it is the only luxury brand among Stellantis's 14 brands.

However, Stellantis is currently overwhelmed. In the current competitive and economic climate, maintaining 14 independent brands is no longer sustainable. Investors generally believe that streamlining and integrating the brand portfolio will allow Stellantis to concentrate investment, marketing, and R&D resources on core brands, thereby enhancing profitability.

The pressure of market competition is imminent. If Maserati wants to avoid being marginalized in the fierce market competition, it must quickly adjust its strategic positioning and market strategy. The automotive industry has undergone fundamental changes, and only with clear market positioning and sustained profits can companies invest substantial resources in different design languages, marketing strategies, distribution networks, and customer experiences.

In the current complex and ever-changing market environment, the revival path of this historic Italian luxury car brand remains full of challenges