How Porsche Went From Selling Sports Cars To SUVs
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- čas přidán 26. 06. 2021
- Porsche, a once independent firm devoted entirely to sports cars, has become a brand within the massive Volkswagen Group, and it is viewed as a kind of jewel in that portfolio. Volkswagen has other luxury brands that range from high-end to exotic such as Lamborghini, Bugatti, and Bentley. Porsche is responsible for about 25 percent of VW’s passenger car profits. As Porsche built its legacy around gasoline-burning engines, how can it continue to succeed and set sport car standards in the electric age?
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How Porsche Went From Selling Sports Cars To SUVs
Back in 2006 I was at the #1 Porsche show room, right across the street from the factory in Stuttgart. There was two American families getting their SUVs; the salesperson looked at me with a sorry expression and said “without selling these monsters, Porsche would be out of business”.
Fake news : Porsche Holding SE is the majority shareholder of the entire Volkswagen Group (VW, Audi, Porsche, Audi, Seat, Skoda, Bugatti, Lamborghini, Bentley for cars, Ducati for motorcycles, Scania, MAN for trucks, Volkswagen Caminhoes e Onibus, Traton and Navistar for trucks and buses).
@@THEREALZENFORCE It's not,Porsche was going bankrupt at the start of the millenium,Volkswagen bought porsche(the vehicle manufacturer) and the porsche family made a way to hold the majority of the volkswagen group in another company.
They saw all the money they were making.
Porsche was almost out of business at some points. But their early decision to produce a Cayenne became one of the best decisions in the auto industry. Cayenne became cash cow that has allowed Porche to make the better 911, Cayman, and Boxter.
If they sticked to their tradition, e.g., the high performance sports cars, today's Porsche would be regarded as Acura or so. What a great leadership and decision!
??? Not the case with Acura at all. Jaguar is a better example. SMH
@@jmin8400 Nah, Acura is a proper example. They were booming back in the 00s and they honestly didn't step up their game when they dropped from #1. If Acura adapted, they'd still most likely give the germans a run for the money like they did back then.
@@pruhnav The hell? This was posted such a long time ago and I can barely remember the context.
Acura made 1 great car and 1 heralded luxury sports sedan for 5 years. Beyond that, nothing much stood out. The first generation Legend was decent, but had yet to establish the heritage. Although it's gone, the second generation did a good job.
The situations are not comparable. Acura was known for the Legend, as a high profit margin, yet large volume product.
The NSX was never built in high enough numbers to sustain a large profit. It was mostly known as a high end Honda, not so much Acura outside of 2/3rds of North America.
The Porsche brand existed for 7 decades, before entering the SUV segment. SUVs saved Porsche from extinction.
Acura had looked into SUVs as early as 1994, hence the SLX. MDX took 5 years to devise and launch in 2000.
Acura didn't necessarily need the MDX, until sedans and coupes later began to fall out of favor in the 2010s.
Porsche needed the Cayenne, as the 986 and 996 might have cut costs, but they weren't going to carry the brand financially into the new millennium.
Acura didn't need the MDX nor SLX, when the bread and butter car lineup were paying the bills as expected.
The same couldn't be really said for Porsche, which is why the Cayenne was ordered for planning in 1995.
Jaguar tried to avoid going down that road, but ultimately needed to do so.
When Ford banded Jaguar and Land Rover as a unit, it gave the brand some life, from the more popular LR SUVs helping pay for the lack of revenue at Jaguar.
As someone who worked for JLR and works for another company now with an MBA, I'm quite informed on this subject matter.
Your story failed to mention about Porsche's history with electric cars
Shoutout to that guy for pronouncing Porsche as well as Taycan correctly
Porsche cars are sold to make brand, Porsche SUVs are sold to make money.
Well put.
Well the most popular Porsche in my area is the macan cuv which is also the cheapest Porsche
@@eugene44569 Actually the cheapest is the Cayman
@@eugene44569 the most common Porsche in my area is the Cayenne.
@@JohnSmith-uy2jg You can literally buy a Cayenne for less than 10k
We are getting fatter and we can’t fit into small cars
Sad but true and obesity is flying thru da roof
If that’s the case then please explain the reason for all the big cars from the past. Pull up the size specks from an average car from say the early 30’s like Ford’s model 730 deluxe V8 and compare it to a Ford Edge. They have almost the same height, wheelbase, length and width. The sedans from the 20’s through early 50’s were basically the same size as today’s CUVs and people were much smaller back then.
Yes we have an obesity problem. Yes, SUV/CUVs are more popular than smaller cars but the size of people doesn’t have a damn thing to do with it. Maybe it’s just as simple as people like the ride height and easy ingress and egress, especially for older drivers.
Speak for yourself
Im actually skinny as hell i just hate small cars i feel like im stitting on the floor.
fingers crossed eFuel can become a thing for sports cars. I'm all for electrification of SUVs, Sedans, Saloons, CUVs, Eco-boxes, etc, and EVEN electric sports cars. But would LOVE for some pure (albeit slow in 10 years) NA sports cars like the 911 GT3 or Cayman GT4 to retain their NA motors, even if eFuels cost 2x or even 5x of how much normal fuels cost now.
what is even more crazy about this is, it could open up the best era of NA motors yet. Because all carbons emitted are still neutral, you can fully unleash the restrictions latched onto NA motors nowadays
Yes you r right
Yupppp.
Hopefully!
Fully Agree! 🤩 The sound of the boxer engine is legendary! Although the Taycan is also amazing!
It will never be thing stop dreaming , to manufacture billions of barrels of this synthetic fuel is impossible , it will be ultimately be just a proof of concept nothing more
Need For Speed: Porsche Unleashed, brings a lot of good memories since I've used most of the cars in the video in-game.
That was my favorite game, it's some great recall
Porsche is highly adaptable.whether SUV trend or EV trend.i think that's what keeps them relevant.
They have to adapt to the market. Part of the reason why Ford is the only American automaker with significant presence in European market.
@@dbclass4075 not anymore
I'll give Porshe this: Since they were ahead of the game in terms of SUVs, it increases the chance they are ahead of the game in terms of alternative fuels.
It was BMW that started the sporty SUVs which basically became a trend. Porsche just followed otherwise they wouldnt be that successful today. Keep in mind that Porsche sold 34 000 911s in 2020 and 100 000 Macans. If anybody is ahead of anybody, it always was Toyota. Porsche was so ahead of the game, that it was eventually bought by VW.
they are not that much ahead of anything electric right now.
Porsche is definitely the gold standard among German brands and car brands period.
Pretty expensive too lol
No that would be Toyota. Never owend one and I'm not a big fan, but they are the standard. Every major manufacturer is compared to Toyota as far as reliability go.
@@anonymoususer1824 Yeah, but that isn't overall. Porsche is also reliable and executes on target with every vehicle they make. There isn't a single dud in their lineup. The same can't be said for Toyota or Lexus.
@@MercOne It is not overall, but very important. Porsche is a very, very small segment of the auto market. They don't really matter as far as the entire auto industry goes. For example if Porsche stopped selling cars nothing world change. If Toyota stopped making cars, it would cause a massive shift in the auto industry.
@@anonymoususer1824 Here's the thing I'm not taking anyway from Toyota's, but to say Porsche doesn't matter in the auto industry is totally ridiculous. They are a tech and leader in their segment. If Toyota stopped making cars other automakers would be delighted, the world wouldn't stop. Volume isn't the end all of automotive relevance, are you kidding? Toyota is a leader as is Porsche. Porsche's engineering expertise is second to none and their brand value is sky high. Just because a guy in a Highlander can't afford one doesn't change this. Total nonsense to say Porsche doesn't matter in the industry.
Ferdinand Porsche’s first design for Volkswagen was the KdF wagen in 1936. He then designed the Kubelwagen and Schwimwagen for WWII usage. Only after the war was over was the Volkswagen Type 1 introduced around 1949.
Mr. Krabs voice: 🌈 M O N E Y 🌈
I love my Porsche ! It drives like no other car I’ve ever driven. 987.2 CS 6 speed
Finally a fellow American saying Por-Shuh correctly!
yep even Lamborghini has to sell SUV, huge profit.
Well before the Urus they had an LM002
Fun fact Porsche Holding SE owns Lamborghini
@@THEREALZENFORCE Bro volkswagen doesn't own Porsche Porsche Holding SE owns Volkswagen
@@Mustansirtaher6 "Porsche Holding SE owns Volkswagen" that's exactly what i wrote. The one who can read wins. Read my comment again.
@@THEREALZENFORCE oh OK thanks
Tesla: feels like a big RC car
Porsche: you know what it is
isn't this what Linus Tech Tips said hahaha
@@JohnSmith-uy2jg The Porsche 919 Evo Hybrid eats the Plaid and the Roadster
Between E-Fuels and Ethanol [already ubiquitous], ICE 911's, Boxster and Cayman's will dominate sports cars into perpetuity. Porsche has been polishing this diamond for nearly a century and will never surrender the flat 6 for electricity.
Porsche inspires a kind of loyalty and devotion that stands apart.
APPLE has entered the chat.
Along with Subaru...
@@fubartotale3389
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Porsche All the way!!!! Not just because of their status, but because of their Beauty and Heritage.
Yes their anti Semitic history
@@mrbears34 dang probably
The Cayenne is such a beautiful car. I passed my road test in my brother’s 04” Cayenne when I was 18. Always held a special place in my heart. Hope I’ll own one or a Macan someday. 😍
I owned a 1980 911 and currently own a 1999 911. Porsche is a great company and would love to them expand their offerings. Am very interest in VWs upcoming Buzz electric van and think it would be super awesome to have a Porsche equivalent
Porsche is in the works of finalizing 3rd row cayenne on steroids. It should be in production 2025 I believe the corporate rep stated
I work at a Porsche dealership and get to enjoy these cars.
@Pinned By CNBC if it's non bias political videos I'll watch.
@@gottrance4631 it's a spam bot
I've had a Cayenne which I loved so much I wouldn't let it go and put 200k miles on it. Have had two Macans which are amazing and have extraordinary styling. My winter car. I leave my 911 in the garage.
I'm waiting for the Porsche truck
It is going to be one of the ugliest truck you will ever see. If they build any.
The only thing I don't like about the Cayenne and the Macan is the fact they're sharing a common platform with VW and Audi, hence the lack of good dash-to-axle ratio. Though the MLB platform does provide short overhangs.
Cnbc’s bread and butter, the auto industry
Porsche make the best cars and all there models worth there money.
At 5:15, can anyone give which website or software to be able to make videos like that, or animated charts ?
Their designs are so slick 😍
It’s interesting they don’t change their design much but it still looks modern. Their cars seem to age well mostly.
Yeah they are shaped like a good headache
I see why some love their old designs.
Personally a fan of beemer and lambo who are not afraid to experiment.
It's only when you grow up and have your own job and income do you begin to admire Porsche's design, I remember as a child I absolutely hated Porsche cars and thought to myself why would anyone want to buy this and now as an adult and auto engineer I'm trying to save every penny to be able to buy a Porsche.
@@dasfun2243 Lol
Plz make videos with the aspect ratio 20:9
The company behind the largest tank built shall live on as a great car company
Good on ya Porsche!
I really like Porsche's design. It is easy to recognise the P on the street
Topic that make my day more enjoy
_Porsche, there is no substitute_
i don’t get why people get mad at the fact that makers are selling cars that are easy to sell. the more these makers sell their SUVs, the more they spend on developing sports cars.
The most common cause of anger among petrolhead is when automakers are neglecting the rest their products, or worse misusing an iconic name. Example: Mustang and Eclipse used on a crossover.
Always i enjoy all new subjects which this channel brings.
Thank you team
Low standards.
@@jmin8400 i don't think so. Its better and deeper
@@kirangoud999 Again, you have low standards and are impressed by almost anything. I like the subject matter, not impressed with their approach and use of context.
@@jmin8400 everyone has a different point of view
@@kirangoud999 Wait a minute? Ignore that. I take that back 2x, you said *subjects* and not anything else. I agree with you as the subject matter is good, but the execution can be underwhelming and distracting.
Your standards are not as I claimed.
Firstly, they Cayenne hit the market almost 3 years before Audi launched the Q7. Also dating back to the 1970's Porsche had plans for an SUV.
No other company can justify developing a rear engine sports car Porsche has basically an exclusive right to build the 911 - as long as they can do that the aspirations of the brand will live for a long time
Everybody: SUVs
CNBC: *Sport Utility Vehicles*
Lol
But... they are Crossovers....
Porsche makes perfect cars, there is not much to it.
Really overpriced cars
@@janoycresnova9156 tell me you can’t afford one without telling me you can’t afford one
or as clarkson would have put it a glorified beetle
junk cars Worst car i ever own , next to a hummer
@@janoycresnova9156 for the USA probably but in the EU they are OK
Bgl, nothing wrong with their suv, i drive a Macan for 4 years now, loving it
I like your avatar....AFC Ajax Amsterdam.
@@7spower998 ah thank you :D fans of Ajax since 2001 😄
@@wh7824 Welcome. It's been mine since I was a kid. The greatest football club in their heyday led by Johan Cruyff. Hopefully, someday a billionaire buys the club and brings back their glory days.
@@7spower998 wow, are you from the Netherlands? Glad to see some fellow de Godenzonen here, actually we don't really need any billionaires, we just need the management to find a way to make your youth players play longer for us :D
Man, the Cayenne is oh so sweet!
Amazing work from CNBC. Porsche and Lamborghini are for me the best auto brands the world has ever seen! The 911 will be the best car for the eternity (even in Mars people will still drive one - with e-fuels of course).
I think the music is a little loud at the end.
or as clarkson would have put it a glorified beetle
This was a good video
I got my first one at age 21, lots of saving ! An 86’ 911 fully loaded. Fantastic car. $36K then, $50’K range plus today with low miles .. I miss it today !
yeah a macan of the next porsche electric SUV would be cool to have some day with an old 911
Narrator: Porsche Taycan
CC: Porsche tie con
Cayenne gave us the Carrera GT
Panamera gave us the 918
Macan gave us the Taycan
I'm all for these crossovers and SUV if it means they fund the future of Porsche.
and Taycan for the eFuel
Wish I could afford 2021 Porsche 911 GT3..best driver’s car in the world for me!
Still 992 turbo S is the best of the best!
Keep going
This brand is said to be the costliest to repair of any major brands sold in US!
It’s the price of riding a horse not a mule.
@@tonys9413 It doesn't have good leg room for the tall!
@@tonys9413 hyperbole
@@tonys9413 a mule will get you in the same destination though.
@@marcelrodriguez2067 can't get a girl on a mule...
The only thing that will slow down the eFuel is the big dogs petroleum company. 24mil is very small amount to invest in something "big" per se.
So we are going to trust an oil company with a technology that pulls carbon from the air are we?
If it works. Remember, it doesn't matter the colour of the cat. As long as it catches mice.
The money, Lebowski...
Best car ever
Mister Crab Raise his hand:
money
If you have to ask how much an oil change costs at a Porsche dealership, you can't afford it, let alone any kind of repair or major maintenance. Just because you can afford to buy one doesn't mean you can afford to keep it running.
if one cant afford to keep it running then they wont buy one, its the same case with anything.
@@wdvhi A lot of people buy things that they can't afford to maintain. Just look at the millions of homeowners who get into trouble. Cars are no different, especially high performance cars that are very expensive to maintain and repair, and are generally unreliable.
@@sarabeth8050 thats what i said if you cant afford to keep it you should not buy it. any smart human will know what his or her capability is , only dumb ones buy something they cant maintain 99% of the time only to showoff. and by the way , porshe is the most reliable brand in terms of luxury car brands.
This is why i dont buy german cars.
Need For Speed: Porsche Unleashed
Hey at least it is still got *Sports* in it, right!?
SUVs indeed are more practical, with high ground clearance and not to mention also comfy
who actually needs higher ground clearance? In many places even dirt roads are super rare, with even the last bit of rural road being paved; And even some paths between fields are in such good condition that you can easily drive them with completly normal cars with little ground clearance
@@EnjoyFirefighting Plus, the higher ground clearance raises the center of gravity, which increases risk of rollovers.
It contributes to 25% of the profits because 25% of features you expect in a luxury car is optional and you have to pay extra. For example rear view camera.
Last sentence is not accurate.
Any Carwow viewers here?
Who honestly even cares? (spam)
Porsche ❤️🇩🇪
Our boys @donut already explained this
thks .. i get it now:
present > a Porsche Cayenne to go grocery and pick-up kids at school. A 911 to show-off sat night or have a ride on sunny sundays.
future > it'll became like Rolls Royce: aviation engines making enough cash to hold the luxury cars heritage
What stupid things about Rolls Royce are you talking, buddy?
You seemingly forget or even don't know, that Rolls Royce automotive belongs 100% to BMW!
The profits from Rolls Royce aviation engines have absolutely nothing to do with the carmaker Rolls Royce, you smart ass!
Did anyone else read the title to the video and not even need to watch it? I mean it just might be that since the late 90's luxury SUVs have been in high demand??? Especially within the last 5-10 years.
efuel feels a lot like clean diesel.
So what exactly happened:@ CNBC
everyone acts like electric cars r gonna actually replace gas like get real bro no enthusiast gonna ever drive one smh
I have only owned 2 VW's and it is sad to know that it makes Porsche. I would love to make my next car an electric Porsche, but after owning a certified pre-owned and now brand new VW, I have no confidence in risking even more money with this company.
Never understood the myth of German Engineering. Also after my Volvo, the reputation of the British and Italian brands I don't think anything from across the pond is worth it. Just a utter joke.
eFuel… seems a rebranded name for the same concept of sugarcane ethanol. It’s being used largely here in Brazil since 80’s.
It seems, but the e fuel porsche builds, uses carbon dioxide from the air
@@Fanboy1222 same thing with electric cars
@@R1___ no? Electric cars actually produce carbon dioxide
Waiting for Porsche 911gte
Everybody want a soccer mom suv...even the men want 1
Porsche Cayenne was all the leasing rage a few years ago. Now it’s Tesla.
The Porsche Club of America guy was here just to brag about his Porsches.
The ultimate snob car outside of Range Rover.
Why did they just ignore that Porsche built tanks before cars
Lol, nice one.
Well maybe because those tanks were junk.
How can these analyst sit here and critique Porsche and pronounce the name incorrectly? Amazing.
VW will have trouble with Porsche after 2035-2040, as most places will ban the production of gas powered cars. They'll have Porsche and Audi competing against each other.
Porsche did not get ideas from Toyota. If you would have done any research on Porsche you would know that their main factory in Stuttgart is land locked in the middle of a large city. They have had to run 'lean' and 'just in time deliveries' since there is no space to store anything. You also missed a huge reason for the low production in 1993. The country went through a HUGE recession after being united when the Berlin Wall fell in 1989. This recession affected all German brands. But good job pumping out a video after doing little research!
They did, according to many early 90s reports, but very well stated nonetheless. A lot of the stock footage used is terribly inaccurate too and this is a recurring symptom of many of these CNBC automotive videos.
996 Turbo has nothing to do with that given period in the 90s, yet shown at a given moment. The people responsible for visuals are awful and think of their viewers as low intelligence.
As far as I'm concerned, the best car I ever owned was a 2015 Porsche Cayenne Diesel. There was nothing that car could not do, it had size and practicality, handled well, it was very fast, very very comfortable, and was insane on fuel economy. As I used to tell people, if you don't get at least 31 mpg on the freeway you're doing something wrong, and I got 40 mpg a couple times as well, and 24-26 mpg in city driving was the norm. Then Dieselgate happened and I got rid of the car. Every time I see one driving I sigh and think about the good old days. I loved that car.
Did you know that if you buy a porsche and it breaks down they will actually give you another car to use while yours is being repaired? One day i will own a porsche Cayanne turbo.
Do you think that’s special? SMH...🤦♂️
Like with any decent brand.
I didn't understand the obsession with suvs until I drove my my mom's car back and forth with my sedan and I found I preferred her's. It feels way more comfortable sitting at that height
Never knew Toyota helped save Porsche
whoever wrote the CC on this video should get fired lol....they thought VW was "The W" and Hermes was "Mazda" amongst many many many many many errors.
EV = Eevee
Taycon = Tie Icon
ANd no i didn't select the auto generate CC
not just porche even lamborghini and ferrari are selling suv's nowadays..
Ferrari don't have an SUV in production.
@@liberty0758 ferrari purosangue, not in production yet, but soon it will..
Based on the comments, I must be the only "car enthusiast" or whatever who would buy a CUV lol. They are just simply better vehicles for normal people. I would get a fun car as a second car but camt afford it and I need some practical usage.
Seriously who got a taycan add on this video?
They knew the real money was with soccer moms
I wouldn't say Porsche is playing catch-up in the electric space. And if they did, Porsche and VW group as a whole doesn't have TOO much to catch-up on thankfully. They have the current landscape's competitive technology and have been funding research into much more breaking ground battery technologies (that may or may not pan out with MIT).
True.
However they have to catch upp in manufacturing.
By 2025 they would be the biggest EV company.
Porsche: Dishonor on you! Dishonor on your family! Dishonor on your cow!
Rich folks must look richer and "more important" in their expensive luxury SUVs to ordinary folks who own ordinary SUVs. Most of them have "the big man" complex, and car manufacturers know that.
Simple-minded individuals unfortunately.
Porsche car is bought for it's performance, Porsche SUV is bought for it's brand.
but their SUVs are also very good performance cars
@@kristians2704 of course they are as much as posiible for an SUV
"Porsh." "Porsha". Both were said in this video.
Easy: money