Quote:
Originally Posted by testing02hwr
I normally would not engage in commenting on content since it is not my cup of tea, but this article really rubbed me the wrong way.
I am not going to type up a long-winded response since I don't feel like it is worth my time, so I am just going to comment on the conclusion of your article: "BMW costing more for no reason but greed"
Using the numbers in your article, an M3 went from $71,600 to $74,300 ($2,300 from '22 to '23). That is roughly 4% increase (rounding up). PPI YoY (just released Dec 9) is 7.4% which means that BMW likely had an increase in expenses of 7%. Increase in expenses is far from "no reason". It literally is costing more and more money to make these cars.
BMW (or any company for that matter) is not a charity. They are not making cars out of the goodness of their hearts. If you don't like it, you can find a car manufacturer who has miraculously found a way to not increase their MSRPs over the past few years.
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This March, It’ll be 2 years since I had placed an order for my G80 M3. The MSRP was $2,700 less then it is now, plus I received significant money off the sticker price. An Identical M3 today costs about $10k more due to that price rise and the elimination of discounts, and that’s if you’re lucky to pay the actual sticker price. This adds up to more than 7%.
Somewhat related is financing and leasing costs also going up significantly.
You’re correct, BMW isn’t a charity, and costs do go up. But in 2021, BMW reached an all-time high in revenue:
https://www.cnbc.com/amp/2022/03/10/...-shortage.html
Only Ferrari has a higher operating margin:
https://companiesmarketcap.com/autom...rating-margin/
And finally, the average price of a bmw from May of 2021 to April of 2022 rose 15.7%, the highest of any auto maker:
https://b2b.kbb.com/news/view/new-ve...emains-strong/