BMW posts record sales
Another good vintage for BMW, which posted record sales despite high prices: the qualities and modernity of its motorcycles were able to convince more and more bikers to convert to the Bavarian brand..
Another good vintage for BMW, which posted record sales despite high prices. The qualities and modernity of its motorcycles manage to convince the bikers who are more and more numerous to convert to the Bavarian brand. With the novelties planned for 2005, the pace should not slow down.
Moto-Net: BMW is still on an upward slope in 2004. What is your assessment of this year? ?
Jean-Michel Cavret, Managing Director BMW Motorrad France: It’s simple, it’s the best year ever for BMW since importing motorcycles to France! We are on the upper end of the market and we are posting growth of 16.2% over the first eleven months. I think this progression will continue in 2005.
Moto-Net: Yet your machines are very expensive !
J.-M. C .: It’s true that the price is high, but the final cost of use is not necessarily that big because the resale value is high too. This is why our clientele is different from that of general practitioners: our clients are around 40 years old, they are very demanding, but they are ready to put in the means to get what they want. Buying a BMW is a thoughtful act and besides, we have more than 80% loyalty.
Moto-Net: How do you plan to continue your progress? ?
J.-M. C .: BMW will continue to make progress in 2005 because, beyond new products, we offer exclusive services: an almost entirely exclusive network of 90 dealers, including 34 mixed cars and motorcycles and an exclusive financial service, BMW Select, which provides resale value upon initial purchase. This 2004 novelty, which was chosen by 20% of buyers, considerably lowers the financial conditions for access to a BMW. On the other hand, we are also studying maintenance contract proposals.
Moto-Net: The new BMW motorcycles have a very particular design which has some points in common with the cars of the brand. Is it a deliberate choice ?
J.-M. C .: The BMW Group is made up of 4 brands: BMW, MINI, BMW Motorrad and Rolls-Royce. Each of these brands benefits from the group’s resources for its development, but fully retains its independence. This is also true for design: the motorcycle design unit, headed by Englishman D. Robb for several years, is independent. It is true that certain distinctive signs remind us that this is a BMW, such as the nostrils at the front of the 1200RT or the asymmetrical headlights of the 1200GS. We want a BMW to be identifiable at first glance, and it is !
Moto-Net: With this new design, don’t you worry about confusing your traditional customers ?
J.-M. C .: The new BMW trend is to offer more technically advanced motorcycles. First in terms of security with theABS Integral across the range and then dynamically with more power and less weight. The new 1200RT makes 15 more horsepower and especially 20 kg less! Style wise, I recently tested the new 1200RT and the visual impact is actually quite different from the pictures. So I do not worry about the acceptance of this motorcycle by our customers.
Moto-Net: The image of the behemist is not always positive among other bikers. How do you handle this image ?
J.-M. C .: In France, we have three types of customers: the customer that I would describe as a "suit", found mainly in Ile-de-France and who uses his motorcycle for professional purposes. The "administrative" client with the police and gendarmerie. And the "normal" customer, the one found mainly in the provinces and in other European countries, who uses his motorcycle for leisure and tourism. He is an experienced biker and above all an enthusiast. The first customer is rather in a hurry, seated upright on his machine in a position close to the police riders, and his attitude may seem dismissive. Since it is difficult for a young person to take an interest in the values of BMW, while he is most often fascinated by the search for performance, he will unfortunately stop at this negative image. But our image is changing.
Moto-Net: You abandoned the C1. BMW has no more projects in this intermediate category between motorcycle and car ?
J.-M. C .: No, the C1 will not have a successor. Yet it was a good product, a technological demonstrator of what two-wheeled safety can be. Because the C1 is not a scooter with a roof, it is a safety cell on two wheels! We have already struggled to make lawmakers understand that it can be used without a helmet with a seat belt. In addition it was quite expensive due to the technology used, without people really understanding the difference with a scooter. It has been successful in France but not in Germany, where the weather conditions are less favorable and you don’t go back in lines between cars, so no one uses a motorized two-wheeler to get to work. Today, BMW would only offer a different product from the classic scooter, but there is no market for the moment.
Moto-Net: The R 1200GS on the other hand was very well received this year…
J.-M. C .: Yes, she got off to a great start! So much so that we were limited by the production capacity. There is currently a 1-2 month wait for this model. For 2005, the GS will also be available without ABS at an even more attractive price. RT will arrive at the end of January and I have no doubts about its success. We expect more than 2000 sales in 2005.
Moto-Net: The look of the new R 1200ST is rather … surprising !
J.-M. C .: It’s true that she has a rather special look. But like the old RS, it is not a model that will be widely distributed in France.
Moto-Net: the 650 CS Scarver scores rather modest too !
J.-M. C .: With the Scarver we have a product of pure conquest. With 350 annual sales, these are all new customers who will become loyal and buy a flat. It’s not so bad ! In general, in 80% of cases our 650 CS and GS monos are access models to BMW.
Moto-Net: Do women drive BMWs ?
J.-M. C .: Few women ride in BMW, but motorcycles are not very feminized in France, less than in Germany for example. Their favorite models are the 650 CS and the R 850 R.
Moto-Net: What is your personal motorcycle ?
J.-M. C .: I drive an R 1100S Boxer Replica.
Moto-Net: Since this year, your network has fully adopted the new BMW Motorrad visual identity. Are the benefits positive? ?
J.-M. C .: We have been building our network since 1998, it is now almost entirely exclusive. Exclusivity allows us to ensure a level of quality that meets the expectations of our customers.
Moto-Net: With all the new technologies employed in the latest BMWs, will your network be able to keep up with ?
J.-M. C .: We have just opened a 4000 m2 training center for our after-sales technicians, this is one of our major concerns.
Moto-Net: Are these new concessions not lacking in soul? Can we still have our old flat-twin treated there? ?
J.-M. C .: The mentality is changing: riders no longer have the time or inclination to look into the mechanics. Maintenance is part of the product offering, which is why we are currently considering maintenance contracts. As for old motorcycles, you have to live with the times … Our dealers have neither the time nor the space to deal with them. It’s the job of specialists, but BMW is interested in its past and ensuring that all parts are available..
Interview by Benoît LACOSTE
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