BMW Pushes for X3 Build-to-Order Scheme

Recently, the BMW X3 was launched in Spartanburg with a $5 million allowance for marketing. This huge allowance for marketing was allocated to encourage customers to custom-order the car by selecting their own preferences. To do this, BMW will be releasing various TV commercials, print ads and internet marketing. Cameras have also been installed along the production lines so that owners can watch their cars being custom-built via live video streaming.

BMW does not have any problem with custom orders in Europe because it is already quite popular there. Approximately half a million BMWs are custom-built there, even for an extra fee. But in other countries, most customers just opt to buy built  up ones in their local dealerships.

BMW North America Inc. CEO Jim O’Donnell said that the X3 build-to-order plan is a start of an exciting new BMW experiment. He says, “I have no idea how successful build to order is going to be for the X3, but I’m optimistic.”

The target is to have at least 70% of new BMW X3 orders to be custom-built. Orders can be altered until 6 days before it enters the production line. The new BMW X3 is also available three colors and two leather choices.

The tendency of customers to load their orders up with equipment will create more revenue for the manufacturer. The time that a vehicle sits at a dealership where it also experiences wear and tear is reduced. Thus, the customers are sure that they are the first one who will open the car. Dealerships will also not need  to pay financing interest for maintenance anymore.

Source: AutoObserver