If you already own a 911, this week's news probably made you smile. Porsche wants its most exclusive cars to get even more exclusive, and pricier, which is good news for anyone with one parked in the garage. For everyone else, it's a clear signal about who Porsche wants to sell to next.
Porsche is building its comeback around the buyers who can still afford almost anything.
Porsche's 2035 Turnaround Plan at a Glance
Porsche needs a reset. Its operating income plunged 93% in 2025 to €413 million ($465 million), revenue fell 9.5%, and its profit margin dropped to just 1.1%, far below the high teens it earned when it went public. New CEO Michael Leiters, who took over in January, laid out his plan, called Sportswagenschmiede '35, this week.
Area | The plan |
|---|---|
New products | Electric 718 Boxster and Cayman in 2027, a gas and plug-in hybrid crossover in 2028, a midengine model above the 911, and a possible SUV larger than the Cayenne |
Pricing | Raise the average price of its 10,000 most expensive vehicles about 20%, from roughly $304,000 to $372,000, through customization and exclusivity |
Costs | Cut management positions 40%, production personnel costs up to 30%, and development costs up to 20% |
US production | Not happening, despite about $811 million in tariffs in 2025 |
China | Target 10% of global sales, down from 35% at its 2020 peak |
Profit goal | A 15% operating margin long term, with breakeven below 200,000 vehicles |
The US accounted for nearly 30% of Porsche's 279,449 global sales in 2025, but Leiters said American production doesn't make sense at Porsche's volume. "This is not on the table for us right now, to be very clear," he said.
"We remain firmly committed to value over volume." Michael Leiters, Porsche CEO
What Porsche's Value-Over-Volume Strategy Means for Dealers
This is the K-shaped economy in action. Buyers at the top are still spending, while the middle of the market is getting squeezed. Porsche's volume used to come from that middle, from people stretching just a little to get into the brand. With that group under pressure, Porsche is leaning into the top of the K.
For a premium brand, we think it's a smart move. It's also a little bittersweet. More Porsches on the road is a good thing, and this plan points toward fewer of them.
For Porsche dealers, the math changes: fewer units, higher gross per car, and many more customization conversations. Sales teams who can guide a buyer through Exclusive Manufaktur options will be worth their weight in gold.
When volume shrinks, the dealer who sells the experience wins.
