Key insights

• 🚗 Mercedes EQS introduced as flagship electric sedan to compete with Tesla Model S, Interior design praised for luxury and aesthetics, featuring a hyper screen and LED lighting
• ⚙️ Exterior design criticized for prioritizing aerodynamics over aesthetic appeal, Poor EQS sales in 2022 and 2023, with significant depreciation within the first year
• 💸 Struggle to transition to electric impacting Mercedes' revenue and performance
• 📉 Mercedes stock has not shown growth for 7 years, Tarnishing of the Mercedes brand with unattractive vehicles
• 👔 Retirement of successful CEO, Dieter Zetsche, who led Mercedes through financial crisis and surpassed BMW in sales
• 🔋 Legacy automakers pressured to compete with EV startups by modernizing their vehicles, EQ series led to a design disaster
• 🔄 Mercedes aiming to bring out a more traditional replacement for the EQS in 2028, acknowledging their missteps and trying to make things right
• 🔚 Mercedes quietly ditching the EQ lineup following poor reception and plans to phase out the EQ branding

Q&A

• How is Mercedes addressing the feedback on the styling of their electric vehicles?

  Mercedes has reversed track on the styling of the G580 with EQ technology, offering customers the option to remove EV styling. They are taking feedback about egg-shaped styling seriously and planning to bring out a more traditional replacement for the EQS in 2028.

• Why did the Mercedes EQ lineup fail to resonate with buyers?

  The EQ lineup missed the mark by deviating from the essence of iconic Mercedes vehicles, leading to poor reception and prompting Mercedes to quietly phase out the EQ lineup and ditch the EQ branding.

• How do luxury car companies like Mercedes cater to their specific demographic?

  Luxury car companies like Mercedes understand the importance of catering to their specific demographic by designing and marketing vehicles that align with their preferences. For example, the Hummer EV and the Ford F150 Lightning showcase successful approaches to meeting customer preferences.

• What pressure did legacy automakers like Mercedes face in the EV market?

  Legacy automakers like Mercedes faced pressure to compete with EV startups by modernizing their vehicles, which led to challenges like the design disaster of the EQ series.

• How has the struggle to transition to electric impacted Mercedes?

  The struggle to transition to electric has impacted Mercedes' revenue and performance, leading to a decline in stock performance, tarnishing of the brand's image, and the retirement of the successful CEO, Dieter Zetsche.

• Why did the Mercedes EQS struggle in sales?

  The EQS faced poor sales and significant depreciation due to the unappealing exterior design and the struggle of Mercedes to transition successfully to electric vehicles.

• What are the main features of the Mercedes EQS?

  The Mercedes EQS is a luxury electric sedan designed to compete with the Tesla Model S. It boasts a stunning interior with a hyper screen and LED lighting. However, its exterior design has been criticized for prioritizing aerodynamics over aesthetic appeal.

• 00:00 Mercedes Benz's EQS, a luxury electric sedan, boasted a stunning interior but suffered from an unappealing exterior design, leading to poor sales and significant depreciation. The struggle to transition to electric has left the company stagnant.
• 02:11 Mercedes' EV disaster is linked to a decline in stock performance, tarnishing of the brand's image, and the retirement of a successful CEO, Dieter Zetsche, who guided the company through various challenges.
• 04:16 Legacy automakers like Mercedes faced pressure to compete with EV startups by modernizing their vehicles, but the EQ series led to a design disaster.
• 06:31 Luxury car companies like Mercedes and GM understand the importance of catering to their specific demographic when designing and marketing vehicles, as demonstrated by their successful approach to the Hummer EV and the Ford F150 Lightning.
• 08:34 Mercedes' EQ lineup, an attempt at electrification, didn't resonate with buyers due to deviation from the essence of their iconic vehicles. The EQG, an electric version of the G wagon, sought to retain its essence but came with odd quirks. Mercedes is quietly ditching the EQ lineup following poor reception and plans to phase out the EQ branding.
• 10:45 Mercedes has reversed its track on the styling of the G580 with EQ technology, offering customers the option to remove EV styling. The feedback is reassuring, and Mercedes is taking feedback about egg-shaped styling seriously. They aim to bring out a more traditional replacement for the EQS in 2028, acknowledging their missteps and trying to make things right.