Rolls-Royce banking on bespoke cars to attract super-rich
Wealthy buyers seeking to personalise their new Rolls-Royce helped boost the luxury car brand’s profit in 2024 despite falling sales.
The Hampshire-based business, which is owned by BMW, said its bespoke service reached a record level last year with a 10 per cent increase on average per car year-on-year.
Rolls-Royce Motor Cars added the rise in demand meant its bespoke offering hit its highest ever level in its 120-year history.
During the year, the company launched the Cullinan Series II and Ghost Series II as well as their respective Black Badge models – a record number of new cars.
However, the overall number of cars the business sold in the year fell from 6,032 to 5,712 – however the total was still the third-highest it has ever achieved.
According to new accounts filed with Companies House, the firm’s revenue fell in 2024 from £984.2m to £978.9m while its pre-tax profit increased from £128.8m to £134.7m.
Luxury carmaker remains ‘cautiously optimistic’ despite ‘economic uncertainties’
A statement signed off by the board said: “In 2024, Rolls-Royce Motor Cars reaffirmed its position as an authentic luxury house by crafting the most complex, personal and valuable motor cars in its history.”
It added: “Whilst sales volumes were five per cent lower, the corresponding reduction in revenue was less marked as underlying revenue per car was higher than in 2023.”
Rolls-Royce Motor Cars also said that its record bespoke sales “is a testament to its long-term strategic focus, centred on creating value for clients through highly individualised products and experiences and providing opportunities for meaningful personal expression”.
The rise in demand for the firm’s bespoke offering came before the luxury carmaker announced plans in January to expand its Goodwood factory and global headquarters.
The business said it will invest more than £300m in order to build even more highly-customised versions of its cars.
Rolls-Royce Motor Cars said: “The company ended the year in a strong financial position.
“Despite economic uncertainties including those around trade tariffs and a more challenging geopolitical environment, our stance remains cautiously optimistic.”
Personalisation also boosts Rolls-Royce Motor Cars’ rival Bentley
The results for Rolls-Royce Motor Cars come after City PM reported in March that its rival Bentley Motors had suffered a drop in its profit and sales during its latest financial year.
The Cheshire-headquartered company, which is owned by Volkswagen, posted an annual operating profit of €373m (£314m) and revenue of €2.6bn (2.2bn).
While the profit haul marked the sixth highest in Bentley’s history, it was down more than a third from the €589m the company posted last year.
At the time, chief executive Frank-Steffen Walliser told reporters the decline was down to weaker demand in China, where premium brands have struggled amid lower consumer confidence.
Similar to Rolls-Royce Motor Cars, personalisation continued to prop up earnings for Bentley, with record levels of demand for bespoke models resulting in the firm’s highest-ever revenue per car, up 10 per cent year-on-year.