Towards the end of the review period, the demand for premium and luxury cars had been growing gradually due to the greater desire to display one’s social status and wealth in Singapore. Despite a higher rate of Certificate of Entitlement (COE) compared to developed countries such as the US and Europe, the supply of these certificates has gradually reduced; supply follows a 10-year cyclical vehicle population trend, where each COE is valid for 10 years with owners having the option of renewal before expiry.
Luxury electric cars continued to arrive in Singapore towards the end of the review period, mainly due to higher demand and partly due to the wider goal of making the country’s land transport system more environmentally sustainable. The latter is part of the Land Transport Master Plan 2040 which sees the use of electric vehicles as the heart of this strategy.
Mercedes-Benz (Daimler South East Asia Pte Ltd) and BMW (Performance Motors Ltd for Bayerische Motoren Werke AG) remained notable leading brands within premium and luxury cars in Singapore at the end of the review period, holding double-digit value share prior to the pandemic, placing them at some distance from their closest competitors Audi, Porsche and Jaguar.
With the emergence of the pandemic resulting in declines across much of the car industry, an increasing number of consumers cancelled orders until the situation became more stable. Therefore, COE prices witnessed a strong decline in 2020 compared to the previous year with this trend expected to continue mainly due to economic recession.
Beside managing operational costs such as reducing the workforce or the temporary closure of manufacturing plants, it is also important for players to address a customer’s needs, and maintain interest and demand by further developing strategies, especially during an unstable period heading into 2021. With the virus remaining in circulation, emerging health and safety features have been implemented to address key areas of concern for consumers.
Despite increasing interest in luxury electric vehicles in Singapore, the number of consumers who own a car of this type contributed only a small proportion of total automobile sales in the country at the end of the review period. This is traditionally linked to consumer concerns regarding the lifespan of these vehicles, the warranty of the car battery, and the availability of public charging points.
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
Understand the latest market trends and future growth opportunities for the Luxury Cars industry in Singapore with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
If you're in the Luxury Cars industry in Singapore, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
This report originates from Passport, our Luxury Cars research and analysis database.
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extract FREE! Home Page