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Hours before the new Mercedes-Benz VLE electric luxury van debuted the iconic automaker’s CEO sat down with media to discuss why such a thing was arriving. The confidence could be felt and an undefined market segment might be unfolding in front of our eyes.
Mercedes-Benz CEO Ola Källenius told The Drive, “I think the first time when we showed it to a select group of our American dealers that, of course, know their customer base and they know the American market inside out. That was the first time that I had the impression where they go, wow, what the hell is this? This is something different.”
Joel Feder
This is not your neighbor’s minivan. Only the long wheelbase model will be coming to the U.S. market, which makes the VLE we’ll get an 18-foot leather-lined lounge on wheels. Källenius said, “I think we have definitely an opportunity here, and it goes beyond the five-star hotel that wants to have the best people mover in the world to take their guests from, I don’t know, the Upper East Side to Broadway or whatever it may be. That market, I think, is a no-brainer. But I can see this people mover. And it’s not the size of a minivan, right? And I think that’s one of the USPs. It is something different than that. It is a bigger vehicle. And if you’re inside the vehicle, it feels like you’re in a living room, like in a lounge somehow.”
The man’s right. The VLE is not like any other consumer van on the market today. Aside from the fact it’s electric and will have a range of about 375 miles (Mercedes is quoting 700 miles of range on the more generous European WLTP cycle), the VLE rides on air suspension, has rear-wheel steering that shrinks the turning radius to just 35.75 feet, matching that of the smaller CLA-Class, and that’s before discussing its interior.
Joel Feder
“If you now look at those captain seats and everything, you have the cinema screen and all that type of stuff, and the Mercedes Ambiance and the rear axle steering and the air suspension and this and that and up and down and in and out. First time I drove it, as a prototype, I go, like, what have you guys done? This is like an S class. I mean, your brain says, oh, I’m going to go into people move around kind of thing. It doesn’t feel like that. It feels like an E class or an S class in terms of how tight it is, how well it drives. It’s really incredible,” Källenius said.
When asked if Källenius thinks the VLE will fly in the U.S. market where vans have a stigma and the well heeled are gobbling up G-Class and GLS-Class SUVs as quickly as Mercedes can turn them out the executive said, “Do I think that can fly in the States? Absolutely, I do.”
The VLE could grab buyers that might own or be in the market for a GLS- or S-Class, according to the CEO. Källenius recalled, “I actually met on my last trip to the US, our roadshow after we presented our annual results. I met with significant high powered bankers in New York, where you would think S-Class or maybe an AMG GT for the weekend. No less than two CEOs that I met said they want to buy this. Obviously, those people don’t have one car. They have more than one car, but this is the one, well, oh wow, look at this, eight seats, seven seats, five seats if I want more luggage. Is there a more luxurious and better way to transport your family and loved ones from Manhattan to Montauk? No, there’s not. Yeah, helicopter maybe. But if you do it on the road, you will not find a better thing than this. So I think you can also, with this, open up the segment, that perhaps has not quite been there. That’s what we’re thinking.”
Källenius and Mercedes-Benz aren’t alone. Lexus has already signaled sedans are dying and that the LS, the flagship luxury sedan that sent shockwaves through Mercedes-Benz and has now died after 37 years, could be resurrected as a luxury van. But for now, Mercedes has beaten Lexus to the punch.
Mercedes-Benz provided The Drive with travel, accommodations, schnitzel, and access to the vehicle and executives for the purpose of writing this news.
As Director of Content and Product, Joel draws on over 15 years of newsroom experience and inability to actually stop working to help ensure The Drive shapes the future of automotive media. He’s also a World Car Award juror.
