PUBLISHER: The Business Research Company | PRODUCT CODE: 1670278
PUBLISHER: The Business Research Company | PRODUCT CODE: 1670278
A luxury SUV is a full-sized sport utility vehicle that comes equipped with numerous additional features included in the overall price. These vehicles offer passengers an opulent sense of comfort through a spacious cabin, plush seating, upscale amenities, and advanced technology.
Luxury SUVs are categorized into three main types compact, mid-size, and full-size. A compact sport utility vehicle (SUV) falls within the class of small SUVs, larger than mini-SUVs but smaller than mid-size SUVs, combining impressive maneuverability and efficiency compared to larger SUVs. These vehicles can be powered by gasoline, diesel, hybrid, or electric fuel sources and are available through various channels, including franchised dealers and independent dealers, catering to both individual and commercial applications.
The luxury SUV research report is one of a series of new reports from The Business Research Company that provides luxury SUV market statistics, including the luxury SUV industry's global market size, regional shares, competitors with luxury SUV market share, detailed luxury SUV market segments, market trends and opportunities, and any further data you may need to thrive in the luxury SUV industry. This luxury SUV market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The luxury SUV market size has grown rapidly in recent years. It will grow from $4.47 billion in 2024 to $4.99 billion in 2025 at a compound annual growth rate (CAGR) of 11.7%. The growth in the historic period can be attributed to consumer preferences, economic growth, safety features, brand image, and fuel efficiency
The luxury SUV market size is expected to see rapid growth in the next few years. It will grow to $7.77 billion in 2029 at a compound annual growth rate (CAGR) of 11.7%. The growth in the forecast period can be attributed to autonomous driving, customization and personalization, urbanization trends, subscription models, sustainability, and eco-friendly materials. Major trends in the forecast period include digital customer experience, electric and hybrid technology, technological advancements, artificial intelligence integration, and augmented reality (AR) displays.
The increasing popularity of luxury sport utility vehicles (SUVs) is anticipated to propel the expansion of the luxury SUV market in the future. A luxury SUV is defined as a full-sized sport utility vehicle that includes various extras in its pricing. These vehicles are favored for their incorporation of the latest safety features, which not only assist in case of an accident but also help prevent such incidents. For example, a report from CarExpert Pty Ltd, an Australia-based automotive news, reviews, and video website publisher, highlighted the Jaguar F-Pace SUV as the best-selling vehicle for the brand in Australia in 2023, with 48 sales. Maserati also sold thirty-one Grecale SUVs in the same year, and Volo's XC40 luxury SUV experienced an 18.7% increase in sales compared to 2022, totaling 1,505 units. Consequently, the growing preference for luxury SUVs is a driving force behind the expansion of the luxury SUV market.
The increasing emphasis on fuel efficiency is poised to drive the growth of the luxury SUV market in the future. Fuel efficiency refers to a vehicle's ability to maximize useful output for a given input of fuel or energy. Luxury SUVs have made significant advancements in enhancing fuel efficiency by offering hybrid and electric options, incorporating start-stop technology, utilizing efficient powertrains and regenerative braking systems, and featuring sophisticated computer systems that optimize various parameters for maximum efficiency. Consumers entering the luxury car market increasingly prioritize environmental responsibility and fuel efficiency alongside traditional luxury attributes. For instance, a report from LendingTree, a US-based internet lending marketplace, in August 2023 indicated a consistent improvement in fuel economy over the past three decades. The average fuel efficiency of all automobiles increased by 101.5%, from 13.1 to 26.4 mpg, while cars specifically saw a 146.7% increase, rising from 13.5 to 33.3 mpg. Hence, the growing demand for fuel efficiency is a key driver of the luxury SUV market's growth.
Product innovation stands out as a key trend gaining traction in the luxury SUV market, with major companies in the sector dedicated to developing inventive products to fortify their market positions. For example, in February 2022, Aston Martin Lagonda, a UK-based car manufacturer, introduced the DBX707, a non-electric SUV distinguished by its 4.0-liter twin-turbocharged engine, capable of generating 707 brake horsepower (equivalent to 697 horsepower) and accelerating from 0 to 62 mph in just 3.3 seconds. This vehicle is poised to be recognized as the epitome of ultra-luxury and high-performance sports utility vehicles.
Major companies in the luxury SUV market are focusing on developing advanced products, such as ultra-luxury SUVs, to enhance their competitive edge. Ultra-luxury SUVs are known for their opulent features, cutting-edge technology, exquisite craftsmanship, and powerful performance. For example, in November 2023, Lucid Group Inc., a US-based electric vehicle manufacturer, launched the Lucid Gravity luxury electric SUV. This model builds on the innovations introduced in the Lucid Air sedan, delivering an electric SUV that offers exceptional performance. Designed to accommodate up to seven adults and their belongings, the Gravity SUV features a projected driving range of over 440 miles. This model represents a significant advancement in Lucid's technology and design, providing an unparalleled combination of spaciousness, maneuverability, luxury, and versatility, all integrated to ensure a driving experience that embodies the essence of a Lucid vehicle.
In March 2022, BMW AG, a Germany-based luxury vehicle manufacturer, acquired Alpina Burkard Bovensiepen GmbH & Co. KG for an undisclosed amount. This acquisition is expected to integrate Alpina into the BMW Group by 2025, with production transitioning from the original Buchloe headquarters to BMW's facilities. With the acquisition of trademark rights, BMW aims to influence the long-term development of the esteemed Alpina brand, known for its high-performance automobiles. Alpina Burkard Bovensiepen GmbH & Co. KG is a Germany-based automobile manufacturer.
Major companies operating in the luxury SUV market include Toyota Motor Corporation, Mercedes-Benz Group AG, General Motors Company, Tesla Inc., Audi AG, Porsche AG, Jeep, Bayerische Motoren Werke AG, Volvo Cars, Isuzu Motors Ltd., Mazda Motor Corporation, Jaguar Land Rover Automotive Plc, Lexus, Cadillac, Maserati S.p.A., Infiniti Motor Company, Dodge, Lincoln Motor Company, Mitsuoka Motor, Bentley Motors, Automobili Lamborghini S.p.A., Aston Martin Lagonda Global Holdings PLC, Acura, Rolls-Royce Motor Cars Limited, Genesis Motor LLC, Hennessey Performance Engineering, Alfa Romeo Automobiles S.p.A., Hongqi Auto
Asia-Pacific was the largest region in the luxury SUV market in 2024. The regions covered in the luxury suv market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the luxury suv market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The luxury SUV market consists of sales of luxury auto parts, accessories, and related products. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Luxury SUV Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on luxury suv market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for luxury suv ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The luxury suv market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.