German BMW-dealer and the group fight for the future

For weeks, BMW of Germany and the German BMW dealer are arguing over the future contracts. Which in itself is not unusual, and as a power struggle in many of the car manufacturers regularly takes place, is now threatening, for the first time for BMW to escalate: As the Süddeutsche Zeitung reports, want the 550 independent dealers, the offered contracts to sign – which could lead to you starting on Monday, neither cars nor spare parts, BMW sale, because the previous contracts at the end of September to expire.

The new contracts provide that the independent dealer in the future earn significantly less money and a larger share of the profits directly to Munich flows. The dealers keep much of it, you have not signed the new contracts and will not let a deadline expire, which ends this Wednesday. Since only 50 of the 600 German BMW-sale houses belong to the group, relates to the conflict, over 90 percent of the German sales and threatens a revenue of around 11 billion euros a year.

The conflicts between BMW and the dealers on the other hand, have a difficult out of the way to be evacuated causes. The group would like to serve in the future as more and more customers directly, whether it be large clients, such as the Black group or private customers via the Internet. Both bypasses the dealer, and robs the opportunity for them to make sales and profits. Also when it comes to Service after the sale that customers can do more, and do more things online, and for some requirements to the local dealer. At the same time, the group wants the dealers to invest their Showrooms handsome.

Peter Reisacher, President of the Association of German BMW dealers, speaking to the süddeutsche Zeitung, to be clear, “The us contracts submitted on a business model 2018+ we will not write like that.” What approaches are there in the remaining days and if by Monday, in fact, a satisfactory to both sides can find a solution, is in the stars. What is clear, however: Should BMW not the dealer and reach an agreement to materialize, neither the group nor the dealers helped – because a far-reaching sales ban on the third-largest single market, the company is certainly not suitable for it, yesterday’s reduced Outlook on the Rest of the year 2018 .

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