Why the US$6 million Bugatti Divo is too cheap – and what we can learn from it for luxury pricing
Photo: @bugattidivo/Instagram
By Daniel Langer, CEO Équité and Professor of Luxury Strategy at Pepperdine
Originally published in South China Morning Post
Many of the most expensive cars are too cheap. That sounds weird? Even absurd? Think twice! We are in the world of luxury, and luxury is about extreme, non-linear value creation. Let’s look at the Divo, a limited edition of 40 and a variation of the US$2 million Bugatti Chiron. Versus the Chiron, which is the fastest production car ever built, the Divo has aerodynamic modifications that add significant downforce, including a 23 per cent larger rear wing.
Many of the most expensive cars are too cheap. That sounds weird? Even absurd? Think twice! We are in the world of luxury, and luxury is about extreme, non-linear value creation. Let’s look at the Divo, a limited edition of 40 and a variation of the US$2 million Bugatti Chiron. Versus the Chiron, which is the fastest production car ever built, the Divo has aerodynamic modifications that add significant downforce, including a 23 per cent larger rear wing.