[millerghr99]

Originally Posted by Bimmerfun82

This is the biggest problem for BMW in winning the EV share game - how to compete on price without cannibalizing X5-X7 sales. The obvious solution would be to offer the same vehicles with an alternate drivetrain in the same way as the i5/5. But it’s less margin and introduces complexities into - and likely exceeds the capacity of - the Spartanburg plant. That said, I like their approach. It stratifies the portfolio, and PHEV or mild hybrid makes more sense on a less aerodynamic, more versatile X5 or X7.

Fully agree. A PHEV for the X7 would be a great addition to the lineup.

[Windshieldfarmer]

Originally Posted by Ibiza

The iX sales can not continue with the $9,900 incentives.

Actually they can. This incentive only applies to leases which are eligible for a 7,500 reimbursement to BMW from the Federal Government under a loophole within the Inflation Reduction Act. Essentially this incentive costs BMW $2,400. I recognize there are other discounts on top of the $9,900. I suspect the IX was overpriced to begin with and BMW is adjusting the price through discounts and rebates.

[Game]

Originally Posted by Burrcold

The 4er outsells the 3er?? I had no idea.

Caught me by surprise as well…and I handle the new car inventory for a store. Even with all of the variants this is a shocker to me.

[PawnStar]

Originally Posted by Ibiza

The iX sales can not continue with the $9,900 incentives. This propped
up the light truck sales to only a -2% loss. As the iX is not SC manufactured, how is the SC PCD overwhelmed with X3 through X7 sales down for 2023 that German manufactured vehicles are now excluded?

Doesn’t BMW NA realize that the EV market penetration has hit a plateau in the United States with acceptance? Just putting out a feel good spin.

Great for the high sales numbers, but growth is from non US manufactured vehicles and lower profit margin models such as the X2–which is not good news due to higher transportation costs to import to the US.

I wonder what percentage of iX vehicles generated a dollar of profit for the dealerships and distributor. Most, if not all, deals were 9-12% discounts plus 9900 incentive and subsidized residual and rate. While BMWFS will get absolutely crushed in ~3 years when iX will start coming off lease. I estimate average 20-30k loss per car.

[cfm56d7b]

Originally Posted by Ibiza

But down from 2022 of 83k unit sales. iX most likely canabalized 2023 X5 sales with higher incentives.

Very likely to be true. “Glad you want to buy X5. Let me show you how you can drive an iX for the same monthly payment”.

X5 is still a best seller and will continue to be for quite some time.

[PawnStar]

Originally Posted by Game

Caught me by surprise as well…and I handle the new car inventory for a store. Even with all of the variants this is a shocker to me.

It is a shocker if the chart is to be believed. They’re most likely combining i4 sales with gas 4 series to ‘outsell’ 3 series by 50%. i4 isn’t broken out separately on the chart. If so, Tesla Model 3 outsold all 3 combined.

[BMWKLG]

Originally Posted by Scrapula

The i7 is there. I’ve seen a few of those.

I've seen about 8 or 9 on the road in Houston not including the two my colleagues have. I also see the same two 7 series M60 at my gym. They are definitely around.

[Alpine300zhp]

Originally Posted by Burrcold

The 4er outsells the 3er?? I had no idea.

The 4 has three body styles vs the one 3 body style. This is probably why the 4 outsells the 3.

[Alpine300zhp]

Originally Posted by Ibiza

But down from 2022 of 83k unit sales. iX most likely canabalized 2023 X5 sales with higher incentives.

This. 699 a month lease special on the iX vs the 959 a month lease special on the x5. That says it all.

[Chihuahua]

Originally Posted by Car-Addicted

Can't think of any 7 Series Sedans that I have seen, including at the two dealership I go to?

I see them on the road where I live, with increasing frequency.

[AlexC2er]

Originally Posted by Burrcold

The 4er outsells the 3er?? I had no idea.

I’m guessing a lot of grand coupe

[odiesback]

There are three types of lies: outright lies, white lies, and statistics.

Numbers without context are just numbers.

[Bimmerfun82]

Originally Posted by PawnStar

It is a shocker if the chart is to be believed. They’re most likely combining i4 sales with gas 4 series to ‘outsell’ 3 series by 50%. i4 isn’t broken out separately on the chart. If so, Tesla Model 3 outsold all 3 combined.

You can infer their i4 sales - take total EV sales and subtract iX and make an assumption on i7 (half?). I doubt if very many i5’s made it in time but you could make an assumption there as well.

45k EVs - 17k iX - 5k i7 -1k i5 = 22k i4. That means only +2k non i4 y/y.

[I’d also love to see the M3 and M4 sales broken out. But we can infer those as well as M is reported separately. And someone out there is keeping track!]

There’s a long way to go for BMW in this EV market, and I believe they are as well positioned as possible once their charges are NACS and we can utilize the superchargers.

[DarkstarZero]

2315 of yall bought XMs.

[vasillalov]

Originally Posted by Ibiza

Concern is X3, X4, X5, X6 and X7 were all negative 2023 percentage compared to 2022. iX had big end of year incentives to move units.

BMW SUVs are very expensive and not that good looking. Most of them are not good off-road either. Now go look at the same sector cars from Toyota and Lexus and you will see a hude difference.

[ArchieV]

Originally Posted by picaso

I’m assuming there were overlap in deliveries between generations unless there was a hard stop sale way prior, some people specced and ordered the previous model at a delivery rate to overlap.
(My naive assumption)

Probably somrthing similar with the 5 series plus only rhe 530 being available until basically Dec.

[Cortexiphan]

Originally Posted by PawnStar

I wonder what percentage of iX vehicles generated a dollar of profit for the dealerships and distributor. Most, if not all, deals were 9-12% discounts plus 9900 incentive and subsidized residual and rate. While BMWFS will get absolutely crushed in ~3 years when iX will start coming off lease. I estimate average 20-30k loss per car.

That's a bit of an exaggeration. Based on your estimate the iX that I'm leasing right now will cost $20K-30K in resale in 2026. (Residual is about $50K) The battery by itself cost that much! Also, iX has been in the market since 2022, and there's no indication of 'worst depreciation ever in history' on resale.

[PawnStar]

Originally Posted by Cortexiphan

That's a bit of an exaggeration. Based on your estimate the iX that I'm leasing right now will cost $20K-30K in resale in 2026. (Residual is about $50K) The battery by itself cost that much! Also, iX has been in the market since 2022, and there's no indication of 'worst depreciation ever in history' on resale.

No exaggeration if you consider math:

1) average residual is closer to 60k than to 50k, as a) many of the iX50 were well over 100k MSRP with 55% low mileage residuals and b) ix M60 130k+ MSRP

2) rates were massively subsidised on each lease deal, .00111 iX50 vs .00210 X5

3) projected 60k average residuals in 2026 dollars are likely to be 25-35k cars seeing how some are trading virtually new wholesale in mid 60s now.

4) new EV technology is rapidly improving and there are new competitors that will enter US market between now and 2026. No predicting how these or any other EV models will fair in 3 years.

Which may prove my 20-30k loss estimate to be conservative. Save this post

[chutoy]

Sales of X1 skyrocketed over last year?

[BRAKE!]

It is a wonder how BMW continues to break sales records year after year with all of the "car shortages" "factory delays" "parts shortages" stated on a daily basis...

Speculation: Since this is a BMW USA sales record, I am wondering if this represents the cars they off loaded to the dealers (aka selling to the dealers) as opposed to the dealers selling the cars to customers. Thus, the higher number of 4 series cars > 3 series is just a representation of BMW producing more 4 series and making dealers buy them (...to then sit on the lots).

[Bimmerfun82]

Originally Posted by chutoy

Sales of X1 skyrocketed over last year?

They released a new X1 and production was offline for much of 2022.

[Windshieldfarmer]

Originally Posted by Cortexiphan

That's a bit of an exaggeration. Based on your estimate the iX that I'm leasing right now will cost $20K-30K in resale in 2026. (Residual is about $50K) The battery by itself cost that much! Also, iX has been in the market since 2022, and there's no indication of 'worst depreciation ever in history' on resale.

I suspect BMW is very good about projecting losses and would stop production if RVs are expected to decline another 20 percentage points from current programs. Go to kbb.com and look at valuations for 3 year old Teslas….especially the ModelX, the most comparable competitor to the Ix. I don’t see any of those (low mileage) retailing much below $60,000. For that matter, look at valuations for 2022 vintage IXs. These are nearly 3 model years old and I’m not seeing pricing below 55% of original MSRP. I’m not saying IX RVs might no be a little optimistic, especially on heavily optioned models, but I don’t think the decline is much worse than RVs being used currently.

I understand why some on this board feel the IX will quickly become obsolete. To offer a contrarian perspective l; at one time I owned a 2018 Model3LR AWD. During the last six years there’s only been minimal changes made to vitually any Tesla model. Change has not been rapid. Battery technology will continue to improve but I suspect changes will only be incremental over the next few years. That said…I leased my IX because by doing so I can take advantage of the IRA while eliminating any exposure to unpredictable depreciation. I guess we shall see.