BMW product offensive to see M Series push

German automobile giant BMW, in a bid to build its brand in India — in line with performance, dynamics, and aesthetics — has bet big on its M Series portfolio.

The M Series push is part of the company’s product expansion strategy, where it has planned to roll out 15 new cars under the MXI (M Series performance cars, X Series utility vehicles, I Series sustainable cars) push, in India this year.

While it has already rolled out few models until now, it will launch the X5M, X6M; Lifecycle Impulse facelifts (LCI) of 1 Series, 3 Series, X1 and M 6 Gran Coupe; new models of 5 Series, 7 Series, X3 xDrive30d, and X5 xDrive30d M Sport, further this year.

“We plan to have a good mix of our cars in India, and are exploring all categories. We continue to focus on the M Series portfolio, as an effort to develop brand BMW.

While we have already launched four models (M3 Sedan, M4 Coupe, M5 Sedan and M6 Gran Coupe) last year, more models from the M Series are planned this year. We are also planning dedicated M Stores, the first of which will be opened in Mumbai this year,” BMW Group India President Philipp von Sahr told Deccan Herald.

The company sees good opportunities in tier-II towns for new dealerships, which will reach 50 by next year, from the current 39.

BMW on Thursday launched its latest offering — the BMW X6 Sports Activity Coupe (SAC). The car, which boasts of state-of-the-art features, and a six-cylinder 330 hp in-line diesel engine that enables it to hit 0-100 kmph in 5.8 seconds, is priced at Rs 1.15 crore (ex-showroom Delhi and Mumbai).

Steps up localisation
Launching the vehicle, Von Sahr explained the increased localisation strategy, enthused by Prime Minister Narendra Modi’s Make in India campaign, culminating in the said new product offensive.

He said BMW has increased localisation at its Chennai facility to 50 per cent, from the previous 25 per cent.

“Localisation has been achieved in engines, wiring systems, and gearbox, among others, wherein we have integrated very strong local content, the benefits from which will be passed on to the customer,” Von Sahr said, adding that around 95 per cent of BMW cars on Indian roads are localised.

The locally produced cars are the 1 Series, 3 Series, 5 Series, 7 series, X1, X3, X5 and the 3 Series GT, taking the total localised portfolio to eight models.

“We have roped in eight new suppliers in India, while 31 suppliers have been picked for the company’s procurement for worldwide production,” he added BMW has increased investment towards its different operations to Rs 490 crore, from the previous Rs 390 crore.

“The new investment has been directed towards the enhancement of our production facility, developments of  warehouse, and training centre, among others. In 2007, the Chennai facility was involved in CKD (completely knocked down) assembly. But today, it is a full-fledged facility with a manufacturing capacity of 14,000 cars,” Von Sahr said.

“Our investments are for long-term growth. As a premium player, we are certain that growth can be achieved from the BRICS markets. India is important to us, and we feel that as the market for our cars will increase, we will embark on more localisation. The idea is to achieve profitability more efficiently,” he said.