PressClub Latin America, Caribbean · Article.
BMW Group Mexico, Latin America and the Caribbean closes the year consolidating its strategies to the benefit of its customers
Fri Dec 02 20:48:00 CET 2016 Press Release
• In 2016, BMW Group gets stronger in the region focusing on the customer's centricity in all actions. • Investments in training, dealership development, and a new production plant boost the Bavarian Group towards the Premium segment leadership.
Juan Bernardo Vazquez Mellado
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Mexico City, December 1, 2016.- Early this year, BMW Group Mexico, Latin America and the Caribbean consolidated its activities for the region by establishing its representation in Mexico City; this decision, according to Dr. Alexander W. Wehr, President and CEO for the region, “emphasizes again our commitment to the region, since all the American continent is one of the markets that are growing the most for BMW Group, and Mexico is the ideal seat for achieving excellent results such as those achieved by the company for the last 20 years in this country”.
Almost one year after the reorganization, the results have been satisfactory because there is a more robust front office to meet the needs of each channel, strategies spread organically which means that customers are completely satisfied.
BMW Group to conquer the Premium segment
Regional sales place the Bavarian company in an important rank within the luxury segment with a sales growth in Mexico as of October of 21.1% (11,901 units) for the BMW brand, 10.5% (4,771 units) for the MINI brand and 21.7% (2,651 units) for BMW Motorrad, all of them in comparison with the results of the same period for last year.
Latin American markets, where BMW Group operates through importers, report a sales decrease by 10% (7,612 units) for BMW brand, and also a drop by 13% (1,161 units) for MINI and 12.1% (2,350 units) for BMW Motorrad as of October 2016, which is the result from political and economic instability in different markets of BMW Group for this region, for instance Chile and Colombia.
In the same period of time, Argentina, on its turn, reached the figures of 2,126 sold vehicles of BMW brand (growing 8.664%), 287 MINI vehicles (355.6%) and 1,822 BMW Motorrad motorcycles (record figure: 2090.8%) delivered in that country. These figures show the resuming of business in motor vehicle markets, specially the premium segment after all recent political and macroeconomic changes.
The newest BMW Group plant will be equipped with state-of-the-art technologies
One of the main achievements for this year was the laying of the foundation stone in San Luis Potosí, Mexico, for one of the biggest BMW Group plants outside Germany; spreading the international production network of the Group has always been aimed to support global market growth.
The plant will comprise areas for body assembly, painting and general assembly, among others and will be supplied of renewable energy through solar power facilities completely free from CO2. Within the network, this plant will be the one consuming the least water per produced vehicle; therefore, the manufacturing system will be pioneer and avant-garde in everything related to productivity and sustainability and, in this context, the application of innovative technologies.
The investment of one billion dollars in its initial stage will provide 1,500 employments and will begin operating in 2019 with an annual production of up to 150,000 units of the BMW 3 Series Sedan which has been the symbol and flagship of the brand for more than 40 years, and a reference of dynamism, efficiency and design.
Future launches, today
As to launches in the region, the innovative range of BMW iPerformance vehicles and models comprising new segments has been presented; among these vehicles, the highlights are the BMW 2 Series Gran Tourer (only in Mexico), BMW M2, MINI Convertible, MINI JCW Convertible, BMW R nine T Scrambler and BMW i3 with extended battery.
It is worth mentioning that in Costa Rica, the presentation of the BMW i sub-brand last August and in Panama on September were the milestones for sustainable growth in the area. On one hand, Costa Rica is one of the most sustainable countries in the region and, consequently, the brand had to provide its technology to urban mobility there, and Panama, on the last years, has become one of the most important logistic centers worldwide since it is the connection point for the development of Latin American economies; thus, the improvement of motor vehicle technology will result in greater energy efficiency.
Mexico and Latin America represent one of the emerging regions reporting the biggest market potential for the group. Since BMW Group is a looking-forward company with long-term actions, the inclusion of these technologies in this territory is significant for the corporate strategy and it is considered as an investment in the future of the company.
In 2017, models like the new BMW 5 Series, seventh generation of the landmark vehicle; the new member of the MINI family, the even more technological and fun MINI Countryman and the amazing BMW G310 R which was conceived to move in the city due to its agility and sport features have already been presented worldwide and will be part of the wide portfolio of products for each country in the region, thus BMW Group keeps offering the highest quality product both for their manufacturing processes and the technological innovation they provide.
Close to customers, satisfaction is guaranteed
The strengthening of the sales and post-sale areas is the key of the business strategy, therefore, BMW Group implemented the Future Retail philosophy placing customers in the center of all of its strategies and actions, promoting the fact that the customer is better informed. In 2016, the implementation of this strategy sought for the 335 sales and service points in Mexico, Latin America and the Caribbean to provide total satisfaction to the customer through attention surpassing all expectations. The members of this program are investing 200 million dollars in the region for the three brands (BMW, MINI and BMW Motorrad).
The highlighted element of this program is the implementation of new roles within the dealerships such as BMW and MINI Genius, that creates an environment in the sales room that is free from pressure and focused on explaining all technology and innovation elements of the products with all the advantages to be discovered. This is a pioneer concept in the motor vehicle industry and its investment of over one million dollars is engaged to train persons for this purpose.
For example, the recent reopening of dealerships like Vecsa and Autobahn in Mexico or Condado Concepcion in Guatemala are aimed to customer-oriented cultural transformation and constant renewal to the benefit of consumers.
On the other hand, BMW Group proves its strong commitment in countries where it is present, and therefore, the company develops activities for brand strengthening. Regionally, events like the Pan-American Race, the BMW International Golf Cup, BMW M Power Tour in 6 countries of the region and biking events promote social harmony among BMW Motorrad fans; together with the extension and remodeling of dealerships, and the new offer of a wide range of products, from top seller models to super sport and plug-in hybrids, are aimed to satisfy the needs and preferences of the most demanding customers.