Price-competition

[bvhout]

Hi,

While waiting for new tyres, I passed the BMW garage and saw a 2019 BMW 840i for sale for less than £55,000. Checking Autotrader I found that £20,000 discounts on the 8 series are not that unusual. Is it that if one can't win it on style and substance that one has to lower the price and are we seeing some price-competition here? And does this mean that Lexus will offer similar discounts on the LC500 not to loose too much business? And what do people think who bought a BMW 840i at the stickerprice? 

Ben

https://www.autotrader.co.uk/classified/advert/201911214618228?maximum-badge-engine-size=3.0&postcode=yo611ra&sort=price-asc&model=8 SERIES&minimum-badge-engine-size=3.0&radius=1500&make=BMW&advertising-location=at_cars&fuel-type=Petrol&onesearchad=Used&onesearchad=Nearly New&onesearchad=New&page=1

PS. Not that I'm promoting buying a BMW

 

[Linas.P]

Well... 840i is kind of replacement for 640i which was overall cheaper car. I think BMW plays on psychology here creating non-existent new flagship class, then discounts it back to the level where it suppose to be and making you feel like you getting good deal. LC on the other hand was somewhere in between 6-series and i8, real competitors I guess were Aston Martin, Maserati GT and alike's 

In short - I don't think BMW 8-series are like for like competitor for LC, which exception of BMW pricing it the same. That said I don't believe you going to see similar discounts on Lexus, because when it comes to "nearly new" Lexus supply is strictly controlled. Think about it - when was the last time you seen LC sold by third party dealer, even cars like GS, new ES, LS mostly are sold via Lexus dealers network until they are ~4 or 5 years old. It is small and special market and deals are far and few between. 

[V8ORBUST]

I purchased a brand new 640D gran coupe in 2014 on PCP. Ended up with the best part ex against my car, 4 years 0%, 1k personal deposit, 13k ish BMW deposit contribution and 5 years free servicing.

If I'd have purchased the car after 4 years, it would have cost me 20k less than list.

At the stage you told BMW you wanted a new 6 and they bent over.