Looks like I'll pass on the X5 Diesel for Now

[texasdoc]

I am trying to buy my fifth new BMW since 2001, but BMW NA is doing its best to drive away loyal customers such as myself. They are still promoting this credit on their website as of today, yet of course they have no intention of honoring it. I also believe the 35d is overpriced (as are all X5s--$50k doesn't even get you leather seats, the iPod adapter costs more than the iPod, etc) and without the Eco credit it's an even poorer value. That's why I'll likely buy something from another manufacturer that prices its vehicles reasonably and treats its customers with respect.

[texasdoc]

If an allocation can be found, what price do you guys feel is reasonable? I called a dealer in La. who thinks he can get an allocation but offered only the Eco Credit, i.e., he wants full MSRP. I politely told him I don't want it that badly. What's a reasonable price now to avoid ending up with negative equity later?

[tim-atl]

Originally Posted by DSE

I hope BMW learns from its mistakes, but I am worried that they may learn the wrong lessons and figure it will all blow over somehow and they'll save money by acting the way they are acting. Look, BMW made an offer to its customers (and dealers) with terms that were clear. Buy a diesel 335d or X5 3.5d and get $4,500 of MSRP so long as you order is placed by August 31, 2009. They did so because other manufacturers were seeing significant sales through the U.S. cash for clunkers program (as to which mosst BMWs, including the X5, could not qualifiy) and to build their green "Eco" image.

BMW should honor their offer irrespective of whether demand was much higher than anticipated, and ensure dealers and their customers that they will pay the Eco Credit as promised. Instead, BMW customer relations (and Financial Services NA) are claiming ignorance of their own offer, refusing to stand behind it, refusing to intervene with their dealers to ensure BMW honors all orders placed by August 31, 2009, treating long-time loyal customers like cr#p, and driving away (so to speak) potential new customers.

I have low expectations when it comes to car dealers, but the fault here appears to lie with BMW USA, who won't pass through what they promised.

I'm not sticking up for BMW but part of the deal is taking delivery before Oct 31st. Most people would think, sure no problem - but they don't know about the allocation system. I doubt BMW can offer you an alternative in the dealership because that may constitute "bait and switch". This could make an interesting FTC complaint since a person assuming delivery by Oct 31st is contingent on the buyers ability to pay is completely reasonable.

just my 2 cents

Tim

[tim-atl]

Originally Posted by texasdoc

If an allocation can be found, what price do you guys feel is reasonable? I called a dealer in La. who thinks he can get an allocation but offered only the Eco Credit, i.e., he wants full MSRP. I politely told him I don't want it that badly. What's a reasonable price now to avoid ending up with negative equity later?

There is nothing on the planet I would pay MSRP for but that's just me. Edmunds.com has a section about prices people are paying. The USAA discount in my area on a 35d was 400 over invoice before they ran out of 09's. USAA pricing for 2010's has not yet been established.

Tim

[Meiac09]

I really don't want one of the first 15 months worth of tri-turbo anything. If they had inventoried any decently equipped cars, I'd be interested. But tiag/black 'ette or jet black on black for $71K both don't appeal to the CFO. That takes Monaco Blue on Tan with Nav or something like 95% of the BMWs on the road in New England

[tim-atl]

Originally Posted by texasdoc

If an allocation can be found, what price do you guys feel is reasonable? I called a dealer in La. who thinks he can get an allocation but offered only the Eco Credit, i.e., he wants full MSRP. I politely told him I don't want it that badly. What's a reasonable price now to avoid ending up with negative equity later?

just read this... pretty much the same thing:

The Truth About Cash for Clunkers (Again, Still): Buyers Paid More | The Truth About Cars

my favorite quote "Binge and purge doesn’t work for dieters. It’s not going to work for the car industry either."

Tim

[DSE]

Originally Posted by tim-atl

I'm not sticking up for BMW but part of the deal is taking delivery before Oct 31st. Most people would think, sure no problem - but they don't know about the allocation system. I doubt BMW can offer you an alternative in the dealership because that may constitute "bait and switch". This could make an interesting FTC complaint since a person assuming delivery by Oct 31st is contingent on the buyers ability to pay is completely reasonable.

just my 2 cents

Tim

I'll try and make this the last time I beat this already dead horse, but in my review of all the BMW offeing materials and its dealer bulletin, there was no requirement that a customer take delivery by October 31, 2009, just that customer agree to buy the car and the dealer enter that as a Priority One Order (i.e., supply a real customer's name) by August 31, 2009. I don't want folks to give up on a legitimate complaint based on a restriction that does not appear to exist. Finally, there are dealers out there wating to sell you car at a fair price with the Eco Credit (I gave a name earlier), so don't give up.

[texasdoc]

From what I can tell, most or all of the dealers believe they can't order any more. In other words, they cannot submit a Priority One order on an allocation they don't have, or put another way, can't switch a future allocation to Priority One if they don't have said allocation. Apparently BMW only gives them allocations a couple of months in advance and their allocations for delivery beyond roughly the end of October are currently unknown. Does anyone have information to the contrary?

It's quite clear that dozens of dealers all believe they can't take any more orders, so certainly they have been given this impression somewhere.

[BGM]

Originally Posted by texasdoc

From what I can tell, most or all of the dealers believe they can't order any more. In other words, they cannot submit a Priority One order on an allocation they don't have, or put another way, can't switch a future allocation to Priority One if they don't have said allocation. Apparently BMW only gives them allocations a couple of months in advance and their allocations for delivery beyond roughly the end of October are currently unknown. Does anyone have information to the contrary?

It's quite clear that dozens of dealers all believe they can't take any more orders, so certainly they have been given this impression somewhere.

If you want my sales guy up here at BMW of Dallas (he's the fleet manager) PM me and I will give you his name.

[Penguin]

> there was no requirement that a customer take delivery by October 31, 2009, just that customer agree to buy the car and the dealer enter that as a Priority One Order (i.e., supply a real customer's name) by August 31, 2009.


Correct. And that is the issue.

BMW NA can make whatever rules they want for their promotions, but they should not tighten them up mid-promotion, and if they do, they should clarify the change quickly and clearly.

That's really not too much to ask.