Mini Switching To Agency Sales Model In Europe Next Year

BMW will follow in 2026.

Mini new sales model in Europe

Angel Sergeev

By: Angel Sergeev

Oct 18, 2023 at 8:20am ET

Add Motor1.com as a preferred source in Google

Comment

Next year will mark the start of BMW Group’s shift in sales strategy. Mini will be the first brand from the conglomerate to sell its cars using what we would describe as a hybrid sales model starting in Italy, Poland, and Sweden on January 1, 2024. What exactly does this new sales model entail, and how does it compare to the existing direct sales model by Tesla? We have the answers.

BMW Group aims to transition to direct sales with retail partners, which should bring standardized nationwide pricing and a more direct customer interface. As the transition progresses, the company will focus on the digitalization of the entire purchase process, allowing customers to seamlessly switch between online and physical purchasing experiences depending on their preferences.

Gallery: 2024 Mini Countryman E (US Spec)

2024 Mini Countryman E (US Spec)

It’s important to note, however, that the BMW Group's agency model doesn't seek to replace the existing retail network but rather to complement it. The company acknowledges the ongoing importance of personal customer contact and the role of retail partners, according to an official press release. These partners will continue to play a key role in the new model, ensuring that customers receive the high-quality consultations and care for which BMW is renowned.

What do you think?

View

Comments

In essence, the new sales model offers a hybrid approach, with both online and physical channels supported by an integrated IT system. This combination is set to provide customers with a more versatile and personalized shopping experience. While digitalization is key, the company also acknowledges that customer preferences vary, and the agency model seeks to accommodate all of them seamlessly. In addition, the new model also grants retailers access to the entire BMW Group vehicle inventory, enabling them to provide a wider array of options to customers.

New Times, New Sales Strategies:

Ford Could Force EV Dealers To Sell At MSRP In New Model E Division

Lincoln Believes Smaller Dealer Network Will Help Revitalize Sales

While Tesla is known for its direct-to-customer sales model, BMW Group's agency model differs significantly. BMW's approach retains and strengthens its existing retail network, which plays a central role in the new sales strategy. In contrast, Tesla primarily sells its vehicles directly to consumers through company-owned showrooms and its website, bypassing traditional dealerships. The BMW Group's hybrid model seemingly integrates the best of both worlds, allowing customers to choose between online and physical experiences while maintaining the critical relationship with retail partners.

Source: BMW Group

We want your opinion!

What would you like to see on Motor1.com?

Take our 3 minute survey.

- The Motor1.com Team

Share this Story

GO TO COMMENTS

(

)

Got a tip for us? Email: tips@motor1.com

View all comments ( )

Popular

12 Cars With Names That Make Absolutely No Sense

BMW Kept This Hatchback A Secret For Decades

Bugatti Restores One-Off Veyron With A Mirror-Like Aluminum Body

The Gas BMW M3 Isn't Dead: Next-Gen Prototype Roars