BMW Group is gearing up to implement a new direct sales model across Europe in stages, commencing on January 1, 2024, with the MINI brand in Italy, Poland, and Sweden.
This transition will gradually extend to other European countries, with the company making the switch in 2026.
The new sales model marks a pivotal step forward, making it possible for all new BMW and MINI vehicles, as well as nearly-new BMW Group cars, to be offered via a genuine agency model throughout Europe.
The implementation of the new sales model is expected to benefit not only customers but also retail partners and the Group.
Standardized pricing for identical vehicle models will ensure price transparency for customers.
Moreover, as the shift to the agency model progresses, the BMW Group plans to digitalize the entire purchase process, providing customers with a choice between online and in-person purchase experiences, with the flexibility to seamlessly transition between the two.
These features will be facilitated by a fully integrated IT system landscape and full access to the well-established retail network.
Pieter Nota, Member of the Board of Management of BMW AG and responsible for Customer, Brand, Sales, highlighted, “The aim of our new sales model is very clearly to increase customer satisfaction and offer the best premium customer experience in the industry.”
“This transition to direct sales with retail partners is a key milestone in the realignment of our Sales division, which has been ongoing since 2020. The new sales model will enable us to communicate directly with our customers and give the BMW Group a direct customer interface,” he stated.
Despite transitioning to a new sales model, the company will continue to rely on its existing retail network, capitalizing on its highly functional and well-established sales structure.
The new sales model was developed in collaboration with retail partners, who actively participated in the process.
The BMW Group anticipates that personal customer contact will remain in demand in the future, with retail partners playing a significant role.
The agency model offers retailers a solid and forward-looking foundation for their businesses, ensuring planning certainty.
They will earn a fixed commission per vehicle sold, meticulously calculated and accounting for various factors.
This structure extends to online purchases, with retailers receiving full compensation for vehicle deliveries.
The new sales model also enables retailers to focus on delivering exceptional customer consultations and care while providing access to the BMW Group’s complete inventory of vehicles.
Retailers have responded positively to the new model, with all European retailers already signing contracts for MINI.