The American luxury automotive landscape is currently undergoing a seismic recalibration as it marches toward a projected valuation of $215 billion by 2035.
This nearly twofold increase from today’s $110 billion market represents a fundamental shift in how wealth is deployed within the transportation sector. According to the latest findings from Boston Consulting Group and duPont REGISTRY Group, the epicenter of this growth is not found at the hyper-luxury peak, but rather in the high-volume “entry-exotic” segment. Vehicles priced between $100,000 and $170,000 are expected to see annual sales rises of up to 8%, signaling a democratization of high-end ownership driven by a new generation of affluent buyers who view these machines as both lifestyle rewards and strategic investment assets.
photo @Mustang/ @Ford
This expansion is being fueled by a secondary market that is now moving with greater velocity than the new car sector. As production costs and potential tariffs push new vehicle prices higher, the pre-owned market has emerged as a primary destination for enthusiasts. Used luxury and exotic sales are forecast to grow 1.5 times faster than new sales over the next decade. This trend is bolstered by the “always-on” digital habits of modern collectors, with 80% of buyers engaging with luxury automotive platforms daily or weekly. This constant digital window-shopping has shortened the final decision-making phase significantly; while buyers may spend months in the research phase, a full third of them now finalize a purchase within a single week of deciding on a specific model.
The traditional concept of brand loyalty is perhaps the greatest casualty of this evolution. Younger buyers, particularly Millennials and Gen Z, are increasingly brand-fluid, prioritizing emotional resonance and cutting-edge technology over historical prestige. They cross-shop with a level of digital fluency that demands a seamless transition between online configuration and physical delivery. In fact, three-quarters of modern luxury buyers now express a willingness to purchase a six-figure vehicle entirely online. This shift suggests that the “social contract” between the marque and the owner is no longer signed in the dealership showroom but cultivated through persistent, high-quality digital touchpoints and a curated ownership ecosystem.
Ultimately, the report underscores that engineering excellence has become a baseline expectation rather than a differentiator. The new mark of luxury is defined by the experiences and services that surround the car. While 95% of owners value branded events, there remains a significant gap in service delivery, as most buyers report they are not being offered the comprehensive, white-glove maintenance packages they desire. The brands that will dominate the $215 billion market of 2035 are those that successfully transition from being mere manufacturers to becoming “experience orchestrators,” blending track days and factory tours with frictionless digital logistics and dedicated personal advisors.
