With the popularity of gas-guzzling SUVs waning, demand for gigantic stretched versions of such titans as the Hummer, the Ford Excursion and the Cadillac Escalade should logically be contracting fast.
Not so. Stretch limousine sales in the US shrivelled after the September 2001 terror attacks, but are now bouncing back.
"We've definitely seen this past year a distinct rise in business," says Mark Kane, vice-president for sales at Sun Limousine Creations of California, which converts normal sedans and SUVs into stretch limos. Eight of the 15 vehicles on Sun's production line are Hummers, despite their seven-miles-per-gallon fuel consumption and a price tag of more than $100,000.
Doug Walczak, Ford's limo and livery manager, confirms that the stretch limo market is "a segment that continues to grow in popularity". Ford has licensed 17 outside contractors as "qualified vehicle modifiers" for Excursion and Lincoln Navigator SUVs, as well as the Lincoln Town Car sedan. Town Cars are also converted into hearses.
Cadillac, GM's luxury brand, added the Escalade SUV this year to a similar certified limousine-conversion programme.
According to Limousine and Chauffeured Transportation magazine, 342 Excursions and Navigators were stretched last year under Ford's programme, and Walczak expects the number to rise further this year.
The elongated SUVs are used mainly for special events such as weddings, bachelor parties and high-school graduation parties. "People want to be together when they're out," says Rick Babeu, owner of D&G Limousine Services of New Jersey.
Babeu says that D&G's stretch Hummer and Escalade limos are booked every Friday, Saturday and Sunday evening between March and November.
The 30-foot Hummer, which comfortably seats 16 people, includes six flat-screen TVs, an ear-pounding stereo system, lighted mirrored ceiling, two fish tanks and, of course, a well-stocked bar.
"When you turn all this on, you're in Studio 54," says Frank Rossetti, owner of Limousines by Liz in Massachusetts. "Who wants to go out in a bus?"
Babeu says a growing number of businesses is hiring stretch SUVs. One of his cars recently took 18 managers of a mortgage company to play paintball.
But behind the glamour lurks a good deal of controversy. Some converters have not signed on to the GM and Ford certification schemes, raising questions about the safety of their vehicles. GM has withdrawn all safety certifications and warranties on stretched Hummers. "It can be a buy-at-your-own-risk type adventure," says Kane.
Babeu says operators of smaller limousines are not amused when they watch his Hummer disgorge 20 people: "As they see it, I just stole three carloads from them."
High fuel prices are not an issue. A stretch Hummer typically rents out for about $150-$200 an hour, or $800-$900 for a three-hour wedding, plus a 20 per cent gratuity. As Babeu puts it: "I don't think people really care how much we're spending to fill the car up."
... - Financial Times Service