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Prius AWD-e, Subaru Forester and car museums | Autoblog Podcast #565

On the latest Autoblog Podcast, Editor-in-Chief Greg Migliore is joined by Green Editor John Snyder. They talk about driving the 2019 Toyota Prius AWD-e and the 2019 Subaru Forester. Then they discuss the weeks new, including conspiracy theories about Nissan and Carlos Ghosn, GM's EV plans and classic Ford Broncos for sale. The editors reminisce about their favorite automotive museums. They also help a reader choose a replacement for his Audi S4 in the "Spend My Money" segment.Autoblog Podcast #565 Get The Podcast iTunes – Subscribe to the Autoblog Podcast in iTunes RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Rundown 2019 Toyota Prius AWD-e 2019 Subaru Forester Was Carlos Ghosn set up? Should General Motors be required to build EVs domestically? Al Oppenheiser to work on GM EVs Gateway Broncos Our favorite car museums Spend My Money Feedback Email – Podcast@Autoblog.com Review the show on iTunes Related Video:

Why Audi is staking its future on electric SUVs

This much we know: SUVs and crossovers sell like hotcakes. The body style has become such a juggernaut that for the first time in recorded history, sport utes beat out sedans this year to score the biggest slice of the luxury pie. Love 'em or hate 'em, SUVs are here to stay, and carmakers are investing more than ever in the segment. Sport utility vehicles also played a bigger role than you might think in making Audi relevant in the US, and based on what we learned during a sit-down with Audi of America president Scott Keogh at the Paris Motor Show, their role is only going to continue to grow at the automaker. Last year, the brand sold 202,202 cars in the States, capping off 60 consecutive months of record sales. But it's not enough to focus on traditional SUVs like the Q5, which was launched on the heels of the global economic meltdown in a tiny small segment of around 160,000 vehicles and has since ballooned to over 400,000 units. The Q5 has scored 80 percent of its buyers from conquest, and a new plant in Puebla, Mexico, promises to churn even more units to the US and the world. Still, tackling the future head-on can be like wrestling an eel – an elusive, almost impossible-to-execute challenge – and Audi is betting a huge part of that success will be the production version of the E-Tron Quattro Concept that debuted last year in Frankfurt. Internally referred to as the C Bev, this battery-powered SUV claims a 311-mile range, and might as well be nicknamed the Tesla Model X Killer. "If you look at where this car migrated from," Keogh says, "it started as a European-ish city car, and then it migrated into a sedan-ish sportback-y type thing, and then we pushed very aggressively to make it an SUV." Keogh says the vehicle will hit showrooms "after 2018." The SUV layout naturally lends itself to batteries, but it also boils down to a simple bureaucratic advantage: "We get [government CO2 and fuel economy] credits for volume," says Keogh. "It's not just enough for a car to be there, it's got to be a car that a lot of people want to buy." Sized between a Q5 and a Q7, the E-Tron Quattro resides in a target-rich environment, a 600,000 - 700,000 unit segment. Add Audi's goals of electrifying 25 percent of its lineup by 2025, and a high volume, medium/large SUV simply makes sense.

VW makes $23K on every Porsche sold, more than Bentley or Lamborghini

It's a good time to be in the luxury car business. In Volkswagen Group's financial report for the 2013 fiscal year, it is revealed that that Porsche enjoyed an operating margin of 18 percent. That means the Stuttgart brand made on average about $23,200 per car sold, according to BusinessWeek. Bentley wasn't far behind, and Audi (which was combined with Lamborghini) posted a 10.1 percent margin. This compares to only around 2.9 percent for the Volkswagen brand.
"Luxury brands are on fire," said Dave Sullivan, an industry analyst at AutoPacific. He said that the average profit margin is between six and eight percent. Brands like Porsche and Bentley have the benefit of competing in rarefied markets. Buyers looking at one their vehicles have fewer models to shop against and don't care as much about price. They can also charge more for options, which further boosts income, according to BusinessWeek.
In a way, we should be more impressed by the continued success from Audi. Its models generally have direct competitors in every segment from the other premium automakers. Plus, their buyers aren't the captains of industry who are shopping for a Bentley. Still, the Four Rings is leading rivals in sales so far this year.