Johannes Seibert, managing director of BMW Group Middle East, confirmed to Arab News two new launches of X5M & X6M in March this year and said the company achieved another record of sales in the region. In 2014 the company sold more than 30,000 BMW and Mini cars in the region, a rise of 28 percent. The Saudi market kept its second place in the ranking after the UAE but was first in region is sales of the premium flagship 7 Series and also in the M models. BMW has no plans at the moment for any local Saudi manufacturing operations.
These are highlights of the interview:
What has BMW achieved during 2014 and can the company keep the momentum in 2015?
2014 was another record-breaking year for us, with 30,148 BMW and MINI cars sold in 12 Middle East countries. This is a 23 percent increase in sales over 2013, therefore obviously we are delighted with the high customer demand for our products. This exceptional growth rate is a reflection of our strong brands, innovative products and the successful partnerships that we have with our importers, who continue to invest in their facilities and customer related services – all of which are factors that will ensure ongoing momentum and success also in 2015 — and beyond.
Which products helped the company most to achieve these results in 2014?
The BMW 5 Series continued to be our best-seller in 2014. Also the 7 Series plays a very important role. It represents around 14 percent of our total sales, which is the highest sales share in the world. The demand for the X model line-up is constantly growing, accounting already for 41 percent of our total sales in 2014.
Our largest market last year was the UAE, followed by Saudi Arabia.
What objectives does the company have in 2015 for the region in terms of dealers’ showrooms expansion and the introduction of new models?
Launching new innovative models will continue to be a pivotal factor in growing our market share and maintaining our success.
After introducing the second generation of the BMW X6 end of last year, we’ll launch the all-new X5M & X6M in March, and there will be further launches during the year 2015.
In terms of retail projects, our importers in Qatar and Kuwait recently opened new dedicated showrooms for MINI.
There are several project ongoing, e.g. our importer in Oman is going to build an additional dealership in Muscat, and several of our partners in the GCC markets, Lebanon and Jordan are currently investing in expansions or refurbishment of their facilities.
As a premium brand, even in times of great success, you must never become complacent.
Our customers have high expectations, so we need to ensure that we meet and even exceed these expectations with regards to products and retail service.
What are the most popular models in the Saudi market? Does BMW have specific plans for the Saudi market this year to enhance demand in that market?
In 2014, the Saudi Arabian market counted for 14 percent of our total Middle East sales.
The top-selling BMW was the flagship 7 Series which accounted for 40 percent of the total BMW vehicle volume sold in KSA, making it our biggest market for 7 Series sales in the Middle East.
Saudi Arabia was also our biggest market for BMW M, which is our sub-brand for high performance vehicles.
We have a host of new and exciting models lined up for launch this year, a few of them are very relevant for the Saudi market such as the new X5M & X6M which we’ll launch in March, so are confident that the models we launch this year will cater to the needs of the discerning Saudi Arabian customer who constantly seeks out the best in premium motoring.
What did BMW display at NAIAS this year in Detroit?
The 6 Series Convertible, Coupé and Gran Coupé, as well as the new BMW M6 Coupé, BMW M6 Convertible and BMW M6 Gran Coupé high-performance models all had their world premieres at the Show.
They were joined by the BMW i3 and i8 models and innovative services encompassing the world of electric mobility in addition to a whole host of BMW ConnectedDrive technologies.
On the MINI stand, the John Cooper Works of the MINI Hatch had its global debut. All these new BMW 6 Series models and MINI Hatch JCW models are good sellers in the Middle East so we look forward to launching them all starting in March this year.
As far as you know, does BMW in the region have the edge in sales against premium German rivals as it has worldwide?
In accordance to the sales volumes reported by MEAC (Middle East Automotive Council), BMW is the number 1 brand among the European competitors in the Middle East automotive premium segment.
At least one other company is conducting a feasibility study for some operations in the Saudi market to make use of cheap energy for manufacturing of aluminum and carbon fiber; any such thoughts from BMW?
We are looking at ways to work more efficiently and the recent launch of our BMW i sub-brand is testament to our commitment to sustainability so whilst we don’t have any immediate plans for production facilities in the Saudi market, we wouldn’t rule this kind of study out in the future.