Mercedes Will Cut Back On Compact Cars And Focus On High-End Models

Mercedes has announced that it will organize its huge lineup into three categories, as it aims to become the "most valuable luxury car brand" in the world. These categories include Entry Luxury, Core Luxury, and Top-End Luxury. However, some vehicles on the smaller side of the spectrum will be axed, as the company plans to use 75% of its investments towards larger, more luxurious models.

Starting with Entry Luxury, Mercedes plans to reduce the number of compact vehicles from seven to four. Currently, the seven models include the A-Class and CLA sedans, GLA and GLB crossovers, and the foreign-market A-Class hatchback, CLA Shooting Brake, and B-Class MPV. Mercedes didn't specify on the compacts being discontinued, but it's easy to guess. Rumor has it that the company is planning on merging the A-Class and CLA into one single model, which automatically eliminates those two vehicles. In Europe, B-Class isn't overly popular, so it might not be sticking around for much longer either. Mercedes also said that an Entry Luxury EV is in development, and will be the first vehicle to use the brand's MMA platform. This unnamed electric model is slated for a 2024 launch.

In the Core Luxury sector, which consists of the C-Class and E-Class, Mercedes says that a newly redesigned E-Class is coming in 2023. It will share more similarities with its electric counterpart, the EQE, which uses the EVA2 platform. Speaking of the EQE, an SUV version is coming soon and is described as a smaller version of the flagship EQS SUV. There is also a new EV destined for the Chinese market, which will be roughly the same size as the E-Class sedan.

Finally, there will be a lot going on in the Top-End Luxury division in the near future. This includes the Maybach and AMG sub brands, and flagship models like the S-Class, G-Class, GLS, and EQS. Mercedes wants to increase sales of these models by 60% by 2026, with an operating margin of 14%. Starting with Maybach, the brand is looking to expand its ultra-luxury division in order to compete with Rolls-Royce in more areas. The first all-electric Maybach will be a posher version of the EQS SUV, which is already quite luxurious. This luxury EV is expected to arrive in 2023. Mercedes has also confirmed that it's working on a Maybach version of the SL convertible, which is a first for the company. There are no other details regarding the Maybach SL, but we think it will be a while before that is revealed. As for the lesser Top-End Luxury models, an electric version of the G-Class SUV, also known as the EQG, is coming in 2024. It will be the first Mercedes with a high-density battery pack. There is no official news revolving around the AMG performance division, but we could see a next-generation AMG GT next year.

Mercedes is really trying to chase after bespoke brands like Rolls-Royce and Bentley Mulliner, and it looks to go beyond Maybach. The company has announced an all-new limited-production series called "MYTHOS," though it might be hard to get one of these exclusive cars. Mercedes says that these vehicles will only available for the brand's "most dedicated enthusiasts and collectors." The first MYTHOS car will be a special version of the SL called the SL Speedster.

Because Mercedes has one of the largest lineups in the automotive industry, it's about time that the brand gets itself more organized. It looks like a ton of new models are coming down the pipeline, ranging from compacts, EVs, and AMGs, to Maybachs and limited editions. The company is also working on a new infotainment called MB.OS (Mercedes-Benz Operating System) to replace its buggy MBUX system.

What do you think of Mercedes' future lineup?

Images: Mercedes