Thursday, June 22, 2017

What challenges do BMW face in differentiating and selling their cars?


My feeling is that BMW has difficulties trying to market as luxury and sportiness at the same time.By being forced to divert resources towards these separate and sometimes contradictory objectives, BMW sometimes ends up with cars that don't excel in either category when considering the competition, or at least not enough to justify the price tag to some of their potential customers. People who want luxury would not be satisfied with BMW, while people who want performance might end up considering cars like Jaguars (which often also have lesser interiors, but that's not what sporty drivers prioritize). This ends up as the jack of all trades, master of none, which doesn't stand out in the market.Considering how other performance cars in the same range, like Jaguar, Mercedes-AMG, or Audi RS are often toe to toe with BMWs, people might find it hard to see how BMW's compromise of sportiness for luxury is paying off, even with BMW M. In addition, even lower market cars like Mustangs and Camaros are making gains. This is also considering how 99% of people don't drive regularly on the track and most don't make full use of the performance.Then, for 80% of people who just want a comfortable, luxurious ride, they can get that from Mercedes-Benz. Sure, there are plenty who want to strike a balance of luxury and driveability, but that's too narrow of a niche when compared to competitors who have a clear focus, not a wash between multiple goals. Now BMW is left with a hard time figuring out how to appeal to more consumers.Some examples of confusion include BMW's new 6 Series Gran Turismo, which has a hard time demonstrating how it is any different from the 5 Series GT they are killing off, or how it even fits with BMW's lineup. It definitely doesn't have the good looks of other BMWs either, and it really just tarnishes the reputations and looks the 6 Series had before this was squeezed in. I don't see it getting a lot of praise.What are your thoughts on this? I know that a lot of BMW enthusiasts often object to BMW's "brand dilution" and prefer older BMWs, but then again that is not the majority and BMW isn't making money from used ones. Does BMW's lineup need to be expanded with GT models to try and cover every type of consumer/demographic or is it best to be kept sparse?Note: I am not saying BMW is a bad brand - that would be wrong because their sales numbers speak for themselves. I also do acknowledge that some of BMW's cars don't necessarily have these problems, but this is a broad overview of the brand in general. I am simply considering the obstacles that BMW in general is facing. via /r/cars http://ift.tt/2tROytQ

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