BMW released the sales strategy for their new sub-brand "BMW i". BMW i encompass the all electric i3 coming in 2013 and the hybrid gas/electric i8 coming in 2014. In a new strategy BMW will offer the i3 and i8 directly, bypassing the traditional dealerships -
Quote:
| Sales of BMW i products and services will be handled via an innovative multichannel model in selected markets. In addition to the established "stationary" sales channel – i.e. an authorized dealer – BMW i will also bring a mobile sales team, a Customer Interaction Centre (CIC) and internet sales hub on stream. All the new platforms will be fully interlinked, enabling customers to tailor their chosen contact channel to their needs and/or switch between channels at any time during the purchasing process, should they so desire. |
If this strategy works for the i3 and i8 what are the chances BMW will start offering it's traditional cars in the same or similar fashion? If you could buy a car on the internet would you bypass your local dealership?
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June 23, 2012, 2:04 pm
No way would BMW canibalize its dealer network in exchange for selling cars on the Internet but they may find a way of doing both. Some folks prefer to skip the haggling prior to buying. Furthermore, without a dealer network, buyers will not be able to get their cars repaired, which would mean releasing codes and machines to independent repair centers, which in turn would kill the perception of exclusivity that the company aims to maintain. It's an interesting situation as they can't compete with VW group's (Audi) economies of scale and lower prices unless they grow (hence the iBrand and upcoming front wheel drive models) but strive to maintain afore-mentioned exclusivity. Going somewhat mainstream would be beneficial to us in that it would decrease the overall cost of ownership, including maintenance costs which is one main concern that all of us have. Regardless, it will be exciting to observe BMW's future direction as a car company.
September 22, 2012, 1:17 pm
Dealers are going to love that.