| BMW relying on high oil prices to push 1-series sales -
10-18-2007, 02:44 PM
There’s little doubt rising oil prices has seen a surge in the popularity of small cars in the U.S., which is one the key reasons carmakers around the globe are scrambling to launch new small cars. BMW is less than a month away from launching its new 1-series coupe in Europe and will follow up with a U.S. launch in the spring of next year.
A few years back BMW wouldn’t even contemplate launching such a car in the U.S., which is why the original hatchback version never made it. But with oil prices hitting record highs this weekm, BMW executives expect the higher pump prices to generate greater interest in their new small car.
“We believe there is a change happening in this market. Increasing fuel prices mean that customers are becoming more interested in fuel efficient cars,” said Falko Radomski, project manager for the 1-series, at the car’s press launch.
In Europe, where fuel prices can be more than double what they are in the U.S., the 1-series hatch is BMW’s second biggest seller after the 3-series, reports Automotive News Europe, and now this same trend is expected to be repeated Stateside.
There’s no doubt the new 1-series coupe will push BMW a little more downmarket, however it remains to be seen how significantly pseudo-luxury buyers are swayed by price increases at the pump. |