Mercedes-Benz is to cut prices of its new E-Class range by between 10 and 14% as it aims to grow its share of the executive market sector.

The new E-Class saloon, which goes on sale in the UK in June alongside the new Coupé, will be priced up to £3,000 cheaper than the models they replace, despite specification and engineering improvements.

A spokesman said the move was aimed at making its cars more competitive for corporate buyers – historically, Mercedes-Benz models have suffered in wholelife cost comparisons because of their price premium.

And as well as cutting prices across the E-Class range, the core fleet C-Class model may be next in line for a price reduction.
The new entry-level E220 CDI SE is priced at £28,863 – £2,000 less than the out-going version. An E250 CDI SE will cost £28,925 – a £3,000 saving over the old E280 CDI.

All E-Cass models, with the exception of the E500 petrol, will be badged as BlueEfficiency – a term used by the manufacturer to sum up its fuel saving tech-nologies and advancements such as improved aerodynamics.

The pricing and environmental initiatives on the E-Class reflect the model’s importance in the UK company car market. E-Class sales have averaged around 10,000 units per annum since the current model went on sale in 2002. Of those, 60% are fleet sales – a share Mercedes-Benz expects to continue with the new model.

The firm has recently launched Mercedes-Benz Business (Fleet News, January 22), a new sales channel aimed at winning more registrations from small fleet operators and taking business away from brokers. 

The manufacturer is aiming to build on its success in growing corporate sales over the past two years (up by 16%). Mercedes-Benz Business will be aimed at small fleets operating between two and 25 vehicles, offering the full range of cars on a contract hire basis supplied direct from the manufacturer. 

n The new E-Class Coupé, which replaces the CLK and goes
on sale in the UK in June, will be priced from £33,285 – a £1,000 saving over the model it replaces. 

The range will initially be offered with a 3.0-litre V6 diesel, badged E350 CDI, a 3.5-litre V6 petrol called the E350 CGI and the E500 V8 petrol. 

Smaller engined models, such as the 2.2-litre diesels, will arrive towards the end of this year.