Range Rover drops its two most affordable models and raises the price of luxury
Range Rover will end production of the Evoque and Velar in 2027 and has no plans to develop a direct successor to either. They will be replaced by the considerably more expensive Range Rover GT, expected to cost around €100,000. The decision marks a significant strategic shift: the British manufacturer is abandoning smaller SUVs that offer higher sales volumes to focus on exclusivity and profitability.
Two popular models are bowing out at once
Range Rover chief Martin Limpert confirmed to British publication Autocar that the Evoque and Velar have reached the end of their life cycles. Production of both will end during 2027, with no new generations to follow.
The Evoque first went on sale in 2011 and quickly became one of the brand's most successful models. In its best years, global sales exceeded 100,000 cars annually.
The Velar arrived in 2017 to fill the gap between the Evoque and Range Rover Sport. Both models allowed customers to buy into the Range Rover brand for considerably less than the cost of its flagship.
New Range Rover GT raises the price point
Going forward, the Range Rover line-up will comprise three core model lines: Range Rover, Range Rover Sport and the new Range Rover GT.
The latter will be a luxury grand tourer with a lower, sportier body than before. An all-electric version will reach the market first, but its technical architecture will also allow hybrid powertrains in future.
The GT is expected to cost around £90,000 in the UK, equivalent to roughly €103,000. By comparison, current UK prices for the Evoque start at around €52,000, while the Velar starts at €65,000.
The entry price for the Range Rover brand will therefore rise significantly. However, final GT pricing has yet to be announced.
Defender and Discovery take the place of smaller models
The change stems from JLR's new House of Brands strategy, under which the group is developing Range Rover, Defender and Discovery as more independent car brands.
Range Rover will focus on luxury, Defender on off-road capability and Discovery on practical family cars.
JLR is preparing a smaller Defender Sport to attract Evoque customers. The Discovery model family, in turn, is intended to offer more affordable alternatives to existing Range Rovers.
This means JLR is not necessarily abandoning the smaller SUV market, but redirecting those buyers to its other brands.
Profitability takes priority over sales volumes
Range Rover's decision follows an increasingly evident trend in the luxury car industry. Manufacturers favour selling fewer, more expensive vehicles that can generate greater profits.
The Evoque brought Range Rover an entirely new customer base in its day, but its success also made the brand more commonplace. JLR now wants to restore Range Rover's position as an exclusive luxury brand.
In Europe, the departure of the Evoque and Velar will leave more room for competitors. BMW's X1 and X3, Mercedes-Benz's GLA and GLC, and Audi's Q3 and Q5 will continue to offer relatively affordable luxury SUVs in their respective brands' line-ups.
The biggest risk in Range Rover's strategy is losing new customers. The Evoque gave many buyers their first experience of the brand, allowing them to move on to more expensive models later. If that opportunity disappears, JLR will have to hope that Defender and Discovery can fulfil the same role.
Range Rover is therefore entering a new era in which sales volume is no longer the main objective. The question is whether greater exclusivity can make up for giving up sales of thousands of more affordable cars.
