STRONG SUV Sales Mask Massive Sedan Decline Of 21% - BMW Sales Up 4.7% In July

STRONG SUV Sales Mask Massive Sedan Decline Of 21% - BMW Sales Up 4.7% In July
BMW brand sales increased 4.7 percent in July 2019 for a total of 23,015 over the 21,982 vehicles sold in July 2018. The brand’s momentum continued, showing year-over-year sales increases in six straight months.

“Our results over the past several months represent the sustained and consistent growth that has been our goal,” said Bernhard Kuhnt, president and CEO, BMW of North America. “We are pleased that our customers continue to react positively to our new product, both sedans and Sports Activity Vehicles, and credit the strength of our brand, the product we build, and of our dealer network for this success.”

Sales of the all-new BMW 3 Series sedan continues to drive growth (+6.5%) along with the BMW X3 (+32.8%) and BMW X5 (+43.3%) Sports Activity Vehicles. Sales of the first-ever BMW X7 Sports Activity Vehicle have topped more than 10,000 units in its first five months of availability.

Table 1: New Vehicle Sales BMW of North America, LLC, July 2019
  July July % YTD YTD %
2019 2018 2019 2018
BMW passenger cars 11,191 14,265 -21.5 95,658 113,017 -15.4
BMW light trucks 11,824 7,717 53.2 83,797 62,351 34.4
TOTAL BMW 23,015 21,982 4.7 179,455 175,368 2.3

BMW Group Electrified Vehicle Sales
Sales of BMW Group electric and plug-in hybrid electric vehicles decreased 49 percent in July 2019 vs. July 2018. Model changeover has limited the current BMW Group electrified lineup to six models including the new BMW 745e and the BMW i3, BMW i8 Coupe, BMW i8 Roadster, BMW 530e, and MINI Countryman plug-in hybrid electric vehicle. Several new plug-in hybrid BMW models will arrive in 2020. The fully electric MINI Cooper SE will also arrive in 2020.

MINI Brand Sales
  • For July, MINI USA reported 2,827 vehicles sold, a decrease of 34.2 percent from the 4,296 in the same month a year ago.

BMW Pre-Owned Vehicles
  • BMW Certified Pre-Owned sold 9,434 vehicles, a decrease of 8.3 percent from July 2018.
  • Total BMW Pre-Owned sold 20,010 vehicles, a decrease of 2.0 percent from July 2018.

MINI Pre-Owned Vehicles
  • MINI Certified Pre-Owned sold 1,114 vehicles, a decrease of 16.5 percent from July 2018.
  • Total MINI Pre-Owned sold 2,585 vehicles, a decrease of 11.9 percent from July 2018.

Table 2: Pre-Owned Vehicle Sales BMW of North America, LLC, July 2019
  Jul-19 July % YTD YTD %
2018 2019 2018
BMW CPO 9,434 10,291 -8.30% 67,094 74,893 -10.40%
BMW Total Pre-Owned 20,010 20,410 -2.00% 143,245 144,063 -0.60%
 
MINI CPO 1,114 1,334 -16.50% 7,694 8,034 -4.20%
MINI Total Pre-Owned 2,585 2,933 -11.90% 17,783 19,177 -7.30%

 
BMW Group In America
BMW of North America, LLC has been present in the United States since 1975. Rolls-Royce Motor Cars NA, LLC began distributing vehicles in 2003. The BMW Group in the United States has grown to include marketing, sales, and financial service organizations for the BMW brand of motor vehicles, including motorcycles, the MINI brand, and Rolls-Royce Motor Cars; Designworks, a strategic design consultancy based in California; technology offices in Silicon Valley and Chicago, and various other operations throughout the country. BMW Manufacturing Co., LLC in South Carolina is the BMW Group global center of competence for BMW X models and manufactures the X3, X4, X5, X6 and X7 Sports Activity Vehicles. The BMW Group sales organization is represented in the U.S. through networks of 348 BMW passenger car and BMW Sports Activity Vehicle centers, 148 BMW motorcycle retailers, 123 MINI passenger car dealers, and 38 Rolls-Royce Motor Car dealers. BMW (US) Holding Corp., the BMW Group’s sales headquarters for North America, is located in Woodcliff Lake, New Jersey.





MDarringerMDarringer - 8/1/2019 1:25:15 PM
-8 Boost
It may be time for BMW to do some consolidation / rethinking of its sedan offerings.

Sedans and coupes need to increase affordability and exponentially improve value and in so doing they will be viable.

The 2 Series should be a BMW Mustang i.e. an affordable, attainable fastback coupe beginning at $25K and with a V8 for $40K.

The 3/4/5 Series strategy may need to be replaced by 1 sedan that is a "tweener" in size between the current 3 and 5, but priced like a 3. Let's call it the 4 Series.

The 5/7 Series strategy similarly may need to be replaced with tweener sedan in size between the current 5 and 7, but priced like a 5. Let's call it the 6 Series.

Cancel the current 3/4/5/7 models.

Immediately, I would drop the 3 Series point of entry to start at $29,900.

I would speed to market an "E7" electric large crossover.


GermanNutGermanNut - 8/1/2019 2:01:19 PM
0 Boost
I think some of your ideas are too farfetched but I agree with the 3-Series needing a more affordable entry price. 4-Series drop is explained due to its old age and 6-Series is being phased out.

Overall, BMW still leads Mercedes-Benz by almost 7,500 units YTD in the U.S. and looks ready to take the U.S. sales title again.


MDarringerMDarringer - 8/1/2019 2:13:02 PM
-8 Boost
Manufacturers will have to get "far fetched" if they want their sedans to sell well. For BMW, their sedans should be high-value, meat-and-potatoes performance offerings i.e. more mainstream like a Hemi Charger and less bullshitty like an AMG. They have to chase sales and the way you do that is to offer a compelling product that delivers far more than the price suggests. Today a $70K BMW delivers you a $70K BMW, but now imagine if your $45K BMW delivered $70K worth of car. That is the strategy sedans in general will have to hit.




TruthyTruthy - 8/2/2019 2:44:38 PM
+1 Boost
I agree. Drop the 7 Series altogether and make the X7 the flagship as it is more compelling. With the SUV dominance the sedan lineup needs to be completely rethought.


cidflekkencidflekken - 8/1/2019 3:13:57 PM
0 Boost
X7 sales are starting to cool down already.


Car4life1Car4life1 - 8/1/2019 3:19:22 PM
-6 Boost
Yup and if the huge response to the all new GLE is any sign for what’s to come for the GLS, that’s not good for the X7 which smaller stablemate X5 was embarrassed by the GLE

If the CLA follows the success of the A Class sedan, Benz could be on to something big, not to mention they still have a wide lead in global sales overall


MDarringerMDarringer - 8/2/2019 2:53:58 PM
0 Boost
Except that they AREN'T. Because demand has so exceeded supply, BMW saw a July downturn in X7 sales because they didn't have enough in the pipeline. The X7 is a colossal success and they are scrambling to increase production.


Car4life1Car4life1 - 8/2/2019 2:59:43 PM
+1 Boost
Winter is coming...and so is the GLS Bahahaha


Car4life1Car4life1 - 8/2/2019 3:00:32 PM
+1 Boost
Winter is coming...and so is the GLS Bahahaha


MDarringerMDarringer - 8/2/2019 3:39:34 PM
-1 Boost
Were you so lacking in confidence that you needed to say it twice?


Car4life1Car4life1 - 8/2/2019 4:04:20 PM
+1 Boost
Winter is coming...and so is the GLS Bahahaha

U mean 3x never question me Mattie boy


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