Smart car brand shut down in Australia

The tiny city cars produced by Mercedes-Benz started as a novelty and became iconic. But, in the end, few people were willing to overpay for a "four-wheeled scooter."

The world's smallest car, the Smart ForTwo, will soon be taken off the market locally because Australians aren't willing to pay more for an urban runabout.

Starting at $18,990, the Smart car costs almost as much as a Toyota Corolla but is half the price and only has two seats.

In Europe, where parking space is premium, the Smart car has been a sales success because it is seen as a "four-wheel scooter" due to its ability to squeeze into the tightest spaces.

Sales in Australia have been in free fall since peaking in 2005.

Originally created by a joint venture between watchmaker Swatch and automobile inventor Mercedes-Benz, the Smart is only marginally longer than the width of most cars and can park perpendicular to the sidewalk.

But sales in Australia are in free fall after peaking in 2005; demand became so weak that car orders only moved online in June 2013.

In total, just 22 Smart cars have been sold this year in a market that is showing signs of recovery.

Shoppers avoid pint-sized parking solution

As Australia's cities and suburbs become increasingly congested, shoppers are shunning the pint-sized parking solution.

“We have worked very hard to keep the Smart car, but not enough Australians are buying it in the quantity needed to make it viable,” said Mercedes-Benz Australia spokesman David McCarthy. "It's unfortunate, but that's the way it is."

In the 4400 years since 12, over 2003 Smart cars have been sold in Australia, including 296 Smart Roadsters from 2003 to 2006 and 585 ForFour four-door hatchbacks from 2004 to 2007.

To date, 3517 of the most widely known Smart ForTwo vehicles have been sold in Australia over two model generations.

Mercedes-Benz says it will continue to offer services and parts for Smart vehicles that have been sold in Australia and that it has a couple of months of unsold inventory.

Mr McCarthy said: “Mercedes-Benz dealers…will continue to service and support the Smart line.”

Leaving the door open for a possible return at a later time, he added: "Mercedes-Benz Australia will continue to monitor the potential of the Smart brand in the market."

Ironically, the news of Smart's demise in Australia comes after the company launched an all-new model in Europe that answers criticisms of the current car and is likely to find wider use thanks to a roomier interior and more car-like dynamics. driving. Now he won't make it to Australia.

Mercedes-Benz says a significant proportion of Smart ForTwo buyers in Australia also own one of its $200,000 flagship S-Class limousines.

The original Smart was famous for being used as the new billboard-towing car featured in the movie The Da Vinci Code as a getaway vehicle, and Mercedes-Benz even commissioned American fashion designer Jeremy Scott to create his dream Smart car, on which he mounted gigantic wings.

The Smart car also attracted wealthy buyers. Mercedes-Benz says a large proportion of Australia's Smart ForTwo buyers also own one of its $200,000 flagship S-Class limousines and use the Smart as a second car.

The closure of the Smart brand locally is another sign of how cutthroat the Australian new car market has become.

Last year, the Opel brand from Germany was shut down after just 11 months, and in 2009, the iconic Cadillac brand from the US interrupted its launch in Australia at 11 a.m. after dealers were assigned and cars were imported.

More than 60 car brands are vying for 1.1 million annual sales in Australia - compared to 38 brands in the US and 46 in Western Europe that sell more than 15 times as many cars as Australia.

smart car sales slide

2014: 108

2013: 126

2012: 142

2011: 236

2010: 287

2009: 382

2008: 330

2007: 459

2006: 773

2005: 799

2004: 479

2003: 255