Ferrari is likely the most well-known supercar brand in the world. The company’s history started in 1947 when the first official Ferrari car, the 125 S, rolled out of the factory and won the Rome Grand Prix.
Since then, Ferrari has become an iconic name in the road-legal and track-ready sports car industry. Racing and luxury vehicle enthusiasts alike dream of owning one of these cars.
The only downside is that they are ridiculously expensive.
Ferraris are expensive because they are luxury vehicles built for a selected clientele. These iconic cars have a high collectible value and are an excellent investment. High-quality components, innovative technologies, performance, and design are other factors that drive costs up. Ferrari cars are also expensive because they are produced in low numbers, and the manufacturing costs are high.
1. Low Supply
One of the main reasons Ferraris are expensive is the low supply. Since the first model was released in 1947, the brand has only made around 220,000 cars. Yearly, the automaker produces under 11,500 cars. This makes Ferrari cars rare – and often exclusive.
To put things into perspective, Ford manufactured 10 million Mustangs – the best-selling sports car in America – between 1966 and 2018.
There are various reasons Ferrari only makes so many models a year. For starters, most of the brand’s vehicles are handcrafted. They are also highly customizable and are not mass-produced because Ferrari addresses an exclusive, high-end market.
2. High Demand
Despite a low supply chain, Ferrari cars are in high demand. One of the record years for the brand was 2021 when Ferrari shipped 11,155 vehicles.
The production line looks at even higher numbers for 2022, and the orders stretch well into 2023.
Chief executive Benedetto Vigna even declared for Reuters that 2022 has the strongest-ever record book in the brand’s history.
With two new releases planned for 2022, including the much-anticipated Purosangue SUV, Ferrari is one of the most desirable car brands. The high demand enables the company to keep prices up.
3. Performance & Technology
As supercars, Ferraris are known for their unparalleled performance and technology.
One of the brand’s most popular models, the Ferrari F8 Spider, packs 720 horsepower and goes from standstill to 60 mph in 2.9 seconds. However, this isn’t Ferrari’s most powerful car.
The Icona Monza SP2 is a road-legal Formula 1 vehicle that sports a V12 engine, 810 horsepower, and reaches speeds over 186 mph. LaFerrari is another legend in the auto world, packing 950 horsepower.
Ferrari La Stradale, the company’s first hybrid plug-in supercar, goes from zero to 60 mph in 2.5 seconds and is one of the fastest hybrid cars ever built.
Every part and accessory found in these cars are of the highest quality and incorporate the latest technologies. Since these things are expensive, Ferraris are expensive.
In the supercars world, Ferrari is synonymous with exquisite design. Until recently, the carmaker collaborated with Italian design company Pininfarina.
This design company stood behind the lines of most Ferrari vehicles, including the iconic F40, which is undoubtedly one of the greatest Ferraris ever made.
However, the carmaker ended the collaboration with Pininfarina in 2010 and established an in-house designing team led by the Italian architect and automobile designer Flavio Manzoni.
Although essentially different in style compared to Pininfarina’s designs, the new Ferraris claimed their spot in the market.
Various vehicles designed by Manzoni won prestigious awards, including the newest Ferrari Daytona SP3, which was awarded the “Grand Prize: Most Beautiful Supercar 2022” at Paris Festival Automobile International.
Since designing award-winning supercars isn’t cheap, and owning such a car is a symbol of prestige, Ferraris are expensive.
Design and technology aside, Ferrari also makes a wave with its innovative elements.
Back in 2013, Ferrari proved to be a pioneer in the hybrid supercars industry – together with McLaren and Porsche – in the design of windshield-less sports cars.
But even if all companies debuted their screenless cars in the same year, Ferrari was the first to present such a car.
Both models of Ferrari Monza feature a virtual windshield. The absence of glass panels increases visibility and enhances the driving experience.
Another example is LaFerrari. With a design inspired by its Formula 1 vehicles, this car was designed for superior efficiency under load and incorporated the then-new Kinetic Energy Recovery System (KERS).
Considering that innovation needs research and research needs money, it kind of explains why Ferraris are expensive.
6. Individually Machined
As the leading supercar company in the world, Ferrari doesn’t manufacture its vehicles just anywhere. The brand only has one factory housed in the same location where Enzo Ferrari produced the first car in Maranello, Italy.
Every Ferrari found on the road or track is painstakingly assembled here. Each car requires about three months to complete, the assembly line being part automated and part manual.
The engines, for instance, are hand-built. However, two robots attach the valves once the workers have assembled the rest of the parts.
Due to the complex process of manufacturing these machines and the number of workers involved, Ferrari cars are expensive.
7. Maintenance Costs
Ferrari cars are expensive, but not only to buy. Maintaining one also requires heaps of money.
Routine checks alone cost around $7,000, and that’s when the car doesn’t need any repairs. If the engine needs servicing or you have to replace parts, the bill can easily go up between $25,000 and $30,000.
You could buy a whole new car with that money – including a luxury sedan from European brands like BMW.
Maintaining a Ferrari is so expensive because the parts don’t come cheap. A single bolt can cost over $40, whereas regular bolts cost around $5 in a car service shop.
The cost of these parts is also one of the reasons why manufacturing these cars is expensive.
8. Luxury Interiors
From trim materials to upholstery, another thing that makes a Ferrari expensive is the interior of the car.
Most vehicles from the brand have interiors made of durable technical fibers. Options include Kevlar®, a high-strength, and heat-resistant material, Ultrasuede®, and Alcantara®. All of these materials are expensive, despite being synthetic fibers.
Those who like the feel of real leather seats can opt for various leather types and colors.
The dashboards, steering wheels, seat frames, and other interior details are made of sought-after, proprietary materials. These materials take time and money to research and develop. Thus, they drive the car’s cost up.
Another reason why Ferrari cars are expensive is the possibility to customize the vehicle. There are various ways to do that.
The brand’s personalization program enables customers to build their own Ferrari. You can choose any of the selected models – including the iconic Spider and Stradale, as well as Daytona – and customize it with leathers, fabrics, wood, and other luxurious materials.
Tailor-made collections allow customers to choose from badges and logos belonging to Ferrari Scuderia, Classica, or Inedita collections.
The last personalization tier includes a variety of original accessories, as well as matching apparel. All these things cost money, and this is reflected in the car’s final cost.
10. Limited Editions
In addition to customized vehicles, Ferraris are expensive because most of them belong to limited editions.
Some of the rarest models include LaFerrari Aperta and Monza (SP1 and SP2). These cars came in low numbers, with the former being produced in only 210 units. Ferrari Monza cars come in 500 units each, while there are only 499 units of Scuderia Spider 16M.
Ferrari made 7,177 iconic Testarossa vehicles; even if they are easier to come by, the model is still collectible.
The likes of 488 Spider and 488 Pista Spider counted between 10,000 and 15,000 units each; however, these units are split between all 488 variants for each model.
Like anything else that is manufactured in low numbers and geared towards a luxury market, limited edition Ferraris are more expensive than the mass-produced ones.
11. Status Symbol
As one of the most influential brands in the world, Ferrari is to racing enthusiasts what is Louis Vuitton to fashionistas – everybody wants one.
This iconic name is synonymous with power and social status. Since social status is synonymous with richness, people owning Ferraris – and other luxury supercars – don’t mind spending a buck as long as the product is exclusive.
Exclusivity goes hand in hand with high prices, so it doesn’t come as a surprise that Ferrari cars are expensive.
12. Branding & Marketing
Since its beginnings, Ferrari has catered to a global yet prestigious clientele.
Only a handful of selected people can get their hands on a Ferrari car (regardless of how many digits their bank accounts have) – the largest scandal that went down in history was between Enzo Ferrari and Ferruccio Lamborghini.
After all, the rift determined the latter to build its own sports car, giving life to Lamborghini supercars.
Addressing high-net-worth customers requires marketing strategies and campaigns that can only be put together by the best industry experts. All these services cost a lot, and their price is reflected in the price of the car.
13. Collectible Value
Because most Ferrari cars are made in limited numbers, they have a high collectible value. Investing in a Ferrari means investing in a car that will unlikely depreciate.
On the contrary, you might be able to sell it for much more than you paid for it. For instance, a 1963 Ferrari 250 GTO was sold at an auction for a mind-numbing $70 million.
Since Ferrari ownership comes with a rigid set of rules – including a ban from selling your Ferrari within the first year after purchase or without giving notice – limited edition cars can’t be sold for a profit immediately after their release.
This makes Ferraris even more desirable, and their prices go up.
14. Driver Experience
Ultimately, Ferraris are expensive because they deliver the ultimate driving experience. From excellent handling on roads and tracks to superior responsiveness and precision, driving a Ferrari delivers a unique feeling.
Buying a Ferrari also means becoming part of a community. An app allows you to keep an eye on your collection, select your next car, or get first-hand information on Ferrari events.
Ferraris are expensive because they are exclusive and collectible cars. They are made from the highest quality materials and incorporate technological innovations. Ferrari cars are also expensive because they are made in low numbers and are only available to selected people. This makes them desirable and keeps their price up.