BMWNA CEO – “We’re not interested in the sub-$30,000 segments”

That was one of the more interesting comments BMW North America Chairman Ludwig Willisch made to Wards Auto during a recent interview. This of course is in response to Audi and Mercedes offering sub $30k cars in the U.S.

Willisch does see potential for the X brand – specifically with category above the X7: “We could sell more trucks if we had more.” We’d imagine the redesign and more SUV-like X1 will also help move more metal to a broader range of people (despite our love for the RWD current generation).

Head over t0 Wards to read the entire interview.

Related Posts Plugin for WordPress, Blogger...
  • BimmerFile_Michael

    They will launch a car at $30.995 and include “free maintenance” which Audi charges for on there sub-$30K offering. BMW will compete in this segment at some point in the not so distant future and it is a move that will kill them in many markets.

    The 1 Series sedan is a horrible idea- competing with volume cars will take the profit per unit out and will move buyers down market. The one exception is the X1 which has shown to be a viable gateway vehicle because of its size, cost to build and SAV styling. A 1 sedan will take sales away from the 3 Series…. ask Audi how the A3 sedan is improving their profits. Unless BMW bases production in Mexico for the 1 Sedan it will kill profit margins.

    I personally think that they should stick with the current lineup and add at the top. The 3 sedan is a volume product with “lower end” models at great value/ same for the X1. The 4 Gran Coupe needs some marketing dollars to get buyers aware as it can be the more upscale “sedan” and thus garner some more profit- Offer it like here in Europe with Individual options and it will get some attention. Volume sales and low profit per unit is a recipe for killing a lineup.

    At the Welt yesterday- It was interesting to see the 2 Gran Tourer well away from every other model and the people looking at it were shaking their heads…. “Why”? It is an abomination and BMWNA was wise to keep its distance.

    Having seen lightly disguised X1s running around in the Alps last week I can honestly say it is going to be a very good looking machine and should sell extremely well with the additional interior room and more compact engine bay the FWD design allows.

  • Tough place to be. Don’t have a low cost offering and people bond with other brands. Push the low cost offering and kill margin. The bankers would say that small margins on a larger customer base is the way to go, so that will probably happen.

    These are interesting times. Drove the GLA45 AMG last weekend, and that car is WICKED FUN! I think the X1 and X3 market spaces are heating up for sure!

    Here in the US, BMW could reach to a lower price point by offering versions of existing cars and option levels that don’t come here. Seems that in Europe, you can get into BMWs at a lower content point than here in the US.