http://www.iht.com/articles/ap/2008/10/08/business/EU-Germany-BMW.php
BMW SALES ARE HORRIBLE...
As of late we have been hearing all this bad news about GM and Ford, but what about BMW. BMWNA is laying off employees, corporate in Germany is planning on laying off employees and cutting costs. BMW sales are also down, I know that it is mid November and the average large dealer has roughly 100+ 2008 models on the lot, many are high end cars like a dozen M3's and M5's and M6's 6 and 7 series cars as well as X3s and X5s. Normally by this time, there would be a handful of 3 and 5 series and X's leftover with nice deals on them. Now it seems like the ENTIRE lot has a deal on it... It makes me wonder if you're going to spend 60-110k on a tiny car with a V8 in it or a sleeper with a V10 and a badge on it, why get last year's model? Also who would pay 80k+ for a 7 series that is being phased out, if I was dropping that much on executive saloon, I'd opt for the redesigned 09. I guess BMW is going to be selling their 7's to luxury or taxi rental fleets.
BMW also leases 60% of their cars, most with inflated residuals to allow for lucrative payments.. All of the above makes it seem like BMW is in trouble. A friend of mine applied for a job at a large BMW dealer outside of hubs like NYC, IL,TX, and CA. He was told there is a small guarantee for a few months, NO BASE salary, and roughly 20% commission on the profits from the sale of the car. When you're selling cars at invoice, I can only wonder how much profit you'd make, unless a fool steps in to pay sticker for a 2008 model. He said he was told upfront that he needs to bring in new traffic to the dealership to make a living and can expect around 30k the first year if he works hard. 30k for a BMW salesman? WHAT? This makes me feel bad for haggling now.
I inquired at my local dealer, and I was told the X5 has 5,500 in discounts for the 2008 model right over the phone without even haggling....
I bet with gas prices back at $2 for the short term, they should be moving some of these SAVs, heck if my lease didnt expire next summer, I'd get a loaded brand new 65k msrp 08' or 07' X5 for around 50k flat myself. And yes there are a few dealers with new unsold 07' 4.8 X5's![[rolleyes]](/images/smilies/rolleyes.png "Roll Eyes (Sarcastic) [rolleyes]")
BMW SALES ARE HORRIBLE...
As of late we have been hearing all this bad news about GM and Ford, but what about BMW. BMWNA is laying off employees, corporate in Germany is planning on laying off employees and cutting costs. BMW sales are also down, I know that it is mid November and the average large dealer has roughly 100+ 2008 models on the lot, many are high end cars like a dozen M3's and M5's and M6's 6 and 7 series cars as well as X3s and X5s. Normally by this time, there would be a handful of 3 and 5 series and X's leftover with nice deals on them. Now it seems like the ENTIRE lot has a deal on it... It makes me wonder if you're going to spend 60-110k on a tiny car with a V8 in it or a sleeper with a V10 and a badge on it, why get last year's model? Also who would pay 80k+ for a 7 series that is being phased out, if I was dropping that much on executive saloon, I'd opt for the redesigned 09. I guess BMW is going to be selling their 7's to luxury or taxi rental fleets.
BMW also leases 60% of their cars, most with inflated residuals to allow for lucrative payments.. All of the above makes it seem like BMW is in trouble. A friend of mine applied for a job at a large BMW dealer outside of hubs like NYC, IL,TX, and CA. He was told there is a small guarantee for a few months, NO BASE salary, and roughly 20% commission on the profits from the sale of the car. When you're selling cars at invoice, I can only wonder how much profit you'd make, unless a fool steps in to pay sticker for a 2008 model. He said he was told upfront that he needs to bring in new traffic to the dealership to make a living and can expect around 30k the first year if he works hard. 30k for a BMW salesman? WHAT? This makes me feel bad for haggling now.
I inquired at my local dealer, and I was told the X5 has 5,500 in discounts for the 2008 model right over the phone without even haggling....
I bet with gas prices back at $2 for the short term, they should be moving some of these SAVs, heck if my lease didnt expire next summer, I'd get a loaded brand new 65k msrp 08' or 07' X5 for around 50k flat myself. And yes there are a few dealers with new unsold 07' 4.8 X5's
