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Demand Once Again Exceeds Supply for Land Rover

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Posted On: Oct 3, 2013 By: Charles Kayajian Category: Land Rover News

A recent report from Auto News Europe indicates that Land Rover is once again having trouble keeping up with surging demand for their new Range Rover and Range Rover Sport models.

new Range Rover

Strong demand for a new product is always good news, but an inability to meet that demand is troubling - no company wants to (re: can afford to) leave money on the table. New Range Rovers have been offered since the beginning of this year, but the projected wait time on the vehicle is six months. The recently released and much-hyped Range Rover Sport currently has a nine month wait time. Demand for these vehicles is so high in China, that potential customers are willing to pay a premium of nearly $80,000 to move up on the list.

Of course, not every would-be customer is willing to shell out that kind of cash to get in one of these new Land Rover models, which means Land Rover will miss out on significant revenue from customers who opt for a different, more readily-available vehicle.

Auto News Europe points to two main causes for the supply issues. First, Jaguar Land Rover underestimated vehicle demand for the two vehicles in their sales projections, with global orders 40% higher than forecasted. Secondly, and perhaps more troubling is that JLR cannot get engines from supplier Ford Motor Co. fast enough causing a bottleneck in production.

Jaguar Land Rover manufacturing plants in Solihull are currently operating around the clock - 24 hours a day, 7 days a week, but it seems that the issues delaying production are, for now, out of their control.

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