BMW Says It Has 65,000 "Hand Raisers" for Plug-in Models - CarsNBikesCentre

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Monday, 10 February 2014

BMW Says It Has 65,000 "Hand Raisers" for Plug-in Models


BMW's U.S. sales arm has a list of 65,000 people interested in the company's new i3 and i8 plug-in models, about six times the number for a similar launch in the past, the company's North American marketing chief says.
"Based on the interest, we have higher demand than we have supply coming in," Trudy Hardy, vice president of marketing for BMW North America told The Wall Street Journal. BMW hasn't said how many i3 or i8 cars it plans to ship to the U.S. this year from its factory in Leipzig, Germany.
The German luxury car maker is launching two plug-in models in the U.S. this year under the "BMWi" brand, an umbrella that is likely to include more models in the future. The i3, starting at $41,350, is a compact, plug-in car designed for urban commuting. The first cars are expected in U.S. showrooms by the second quarter.
The i8, priced at over $100,000 is a low-volume exotic sports car. Both cars are constructed largely from lightweight carbon fiber materials. The i3 is offered as either an all-electric or hybrid. The i8 has both internal combustion and electric motors and is expected to arrive in the U.S. later in the year.
Both BMWi models are aimed in part at fulfilling regulatory demands for plug-in cars in key BMW markets such as California and New York. They have the additional task of countering the appeal of Tesla Motors Inc. TSLA +5.38% 's electric luxury cars to affluent consumers.
BMW is promoting the i3 and i8 in a series of television advertisements during broadcasts of the Winter Olympics. Those ads are designed to use the plug-ins to enhance the image of the BMW brand as a whole, Ms. Hardy said.
"I'm a huge fan of halo advertising…and what the i3 and i8 can do for our brand," she said.
However, BMW is using other means to more precisely target potential i3 and i8 buyers, including encouraging BMW dealers around the country to stage test-drive events this spring, she said. BMW has a fleet of about 100 i3 cars that it will send on tour from now through April, she said.
Doubts about how far electric cars can travel on a charge are still the number-one obstacle to sales, Ms. Hardy said.
Tesla has attacked this range anxiety by offering cars with battery packs capable of traveling up to 265 miles on a charge, and a growing network of charging stations that are free for Tesla owners.
BMW is taking a different approach. It has developed a smartphone app that helps potential electric-vehicle buyers to evaluate whether their lifestyles are right for a battery-electric car such as the i3, which has an estimated range of 80 to 100 miles per charge.
For those who travel too much in a day, BMW will offering an optional range extender—a small gasoline engine. The price of an i3 will also include occasional access to gasoline-powered BMW models as part of the package.

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