MILAN, Aug 5 (Class Editori) – Once again China – both mainland and Taiwan – confirms itself as Ferrari’s land of success. During the first quarter of 2019, the group’s sales grew up 71% against the year before – a record in itself already. In absolute terms, in that period Ferrari sold 617 cars, shy of the total 685 vehicles purchased by customers through the whole 2018, and with an average value of 364 thousand euros – possibly higher than the global average, since most deliveries in China were for the new Portofino and 812 Sperfast models.
“The geographic mix shifted in favor of continental China, in particular since we decided to speed up deliveries in view of the early introduction of new regulations on emissions. Meanwhile, the -5.5% registered in the US mirrors the life cycles of the 488 family,” explained the company.
Quite the striking figures, given that Ferrari’s global deliveries gained a +15%, while the group’s turnover added a +11% (1.9 billion) and a 32.5% profitability in terms of EBITDA.
During the first half of 2019, deliveries grew up 10% in the EMEA region – Europe, Middle East, and Africa – decreased in the Americas, and registered a good performance in the Asia-Pacific, including Japan, Australia, and South East Asia – up 16%.
According to the analysts, China’s trend is not sustainable, yet Ferrari is ready to deploy its new product which could, after all, overturn the predictions. Last May 29th, the company launched the SF90 Stradale, its first hybrid PHEV (Plug-in hybrid Electric Vehicle) vehicle. This new, top-of–the-line model represents a true paradigm shift, a super car achieving an unmatched performance of 1,000 horsepower, a weight-power ratio of 1.57 kg/CV, and a 390 kg downforce at 250 km/h.
China was Ferrari’s best performing market already during the first quarter, registering a +63% in deliveries. After all, following its debut in 1992 through the delivery of a 348 TS model, Ferrari has become a standalone in the People’s Republic, even in the context of luxury products.
Since then, the waiting list on orders has been nothing but full, and it seems like they should be able to tap into much unused potential. In particular given the low amount of super rich people and of market penetration compared against other Pacific countries – which, in 2018, requested 353 cars, or against the EU and the Middle East, with their 1,209 Ferrari purchased (+10%) and one third of China’s population.
In 2018 Ferrari sold 685 cars in China (+7% against the year before), making it the group’s third market in the world, tailing after the UK (981 cars, +10%) and Germany (803).
“Our waiting list on orders is quite full for the first few months of 2019,” said last April Louis Carrey Camilleri, CEO of Ferrari. Yesterday, as he produced the group’s quarters accounts to the analysts, Camilleri managed to remind everyone of China’s strong game.
After all, Ferrari’s fans don’t seem to mind all the grief coming from Formula 1 – as their favorite car lost once more against Mercedes on the Shanghai track. Nor did the mishaps seem to have affected sales.
Starting this May 22nd, Ferrari China will be recalling 524 vehicles due to faulty doors and reported fire risks. According to China’s State Administration for market regulation (SAIC), the interested cars include 167 imported units of GTC4Lusso and GTC4Lusso T models, produced between 13th July 2016 and 6th December 2018.
The problem with these 167 vehicles lies in their locking systems, as it sometimes stops from opening the car doors using their outside handles. As for the other 357 units, they include GTC4Lusso, GTC4Lusso T, 488 GTB, 488 Spider, 488 Pista and 812 Superfast imported models, all produced between 2nd November 2017 and 11th October 2018. These cars have been signaled for a fault in their fuel vapor separators, at risk of breaking and losing gases, thus increasing the vehicle’s chances of catching fire.
Ferrari will take action at its own expenses, replacing handles and locks on the doors and fixing the problem with the fuel vapor.
After all, the group has been organizing all kinds of initiatives since long, starting from the more spectacular ones, like shining red lights on the Oriental Pearl Tower in Shanghai – new China’s monument to success – to the more practical, including driving courses for potential clients – in particular for their sons and daughters.
These courses are aimed at new drivers as well, since China’s young and rich bachelors tend to get a brand-new Ferrari for their sweet eighteen. Yet, they also target over-50 businessmen, who may be wanting to celebrate their success by buying themselves a nice car, then looking for tailored courses which may be teaching them of all Ferrari’s secrets.
Another feature highlighting the Chinese market, due to become the first in the world for Ferrari, is that there are no sales in the second-hand sector, as whoever buys a model becomes a collector themselves. Truly, owners in the rest of the world tend to sell out their car after three years on an average.
In 2009 they also founded the Ferrari Owners Club China, which organizes events like the Ferrari Challenge – a 1,700 km mono-brand rally championship running along the old Silk Road, dedicated to Asia and to Ferrari’s 70 years of activity.
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