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Mercedes considering smaller cars

2013-Mercedes-Benz-A-Class

Mercedes-Benz has recently admitted that they are looking into producing cars smaller than the new A-Class hatchback.

Apparently the German automaker is in the process of rolling out several compact vehicles meant to target the younger buyers, those who can’t afford nor do they need larger vehicles, starting with the new-generation B-Class in 2012 which was joined in March by the new-look A-Class.

Those models are going to be followed by a four-door ‘coupe’ dubbed CLA, which was launched this week in France before going on sale late this year, then a baby SUV called GLA.

The German carmaker has also said at the international lunch of the CLA that it is also considering smaller cars as part of the alliance with Renault-Nissan. These smaller vehicles would use the three-pointed-star badge as opposed to the Smart logo, which Mercedes owns.

Mercedes-Benz’s head of development for compact cars mentioned that while they’re exploring smaller cars than the A-Class, it would still be difficult to go into the city car segment because of the narrower profit margins to be found there.

There are discussions taking place with Renault-Nissan and opportunities are being explored whether for a joint venture or to go at it as a stand-alone vehicle. This might be a good idea for a mutually advantageous relationship because Nissan for instance, is interested in stretching into the more premium sector, and the Renault-Nissan alliance in general is very strong in the B segment vehicles. one has to keep in mind that Mercedes and Renault-Nissan are already collaborating on other projects so who knows where that may lead to.

Rumor has it that an SUV about the size of the Volkswagen Polo would be the first of the sub-A-Class models that would go into production, sometime around 2016.

The average age of the Mercedes buyer is 55, one of the oldest in the automotive industry, and the German automaker is sound in trying to reduce that average, and going for a sub-A-Class range of vehicles might just be the solution, seeing as how the new A-Class started attracting new and younger buyers thanks to the new hatchback design it sports.

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