Sell More - Earn More, that's an ethical way of running a successful business. And most automakers are running on the same track of selling more & more cars. Because, after all, selling more cars means making more money. Right? Well that's the usually the case, but Ferrari has taken a different approach. Instead of selling more cars, Ferrari intentionally sold fewer models in the previous year, yet it made more money.
To maintain a sense of exclusivity for the brand, Ferrari implemented the strategy to sell fewer units. After an exceptional performance in 2012, the company actually decided to sell less but at the same time, ensuring that those it did sell were worth more. Resultworthy, in 2013, Ferrari logged record turnover, profits and finances at 2.3 billion Euros, up by 5 percent from the previous year.
With 2,035 supercars delivered last year, United States (US) remains as Ferrari's largest market, which showed 9 percent growth over the previous year. China comes second on the demand list with 700 units, while company's own market- Italy has become a marginal market for the luxury car sector, as just 205 were sold there.
Actually, Ferrari's stakeholders aren't pocketing all that earned cash, as they are reinvesting it again into the firm. Last year, company invested some 337 million Euros in enhancing its research and development. And the company's extensive merchandizing efforts continue to bring in more cash, at 54 million Euros, the branding operation still doesn't account for a sixth of overall revenues.
Italian manufacturer's latest supercar 458 Speciale, an evolution of the Italia, has already proven to be an instant hit as it has already received orders enough for one year's worth of production. The icing on the cake comes from British research company Brand Finance, which declared Ferrari as the world’s most powerful brand.