MINI Dealers In Europe Strong Enough To Stand Alone

Launching a new automobile brand is never an easy or sure thing, its actually downright risky, but after 7 years of production the MINI brand is an unquestionable success. So much so that parent BMW is moving to strengthen its European sales network by asking current MINI dealers to further distinguish and separate their showrooms from the BMW side of the business.

Many European dealers sell MINIs and BMWs side by side in the same showroom, deciding early on not to spend the considerable amount of time, money, and effort that goes into opening a separate showroom. But now BMW is asking its 750 dealers to come up with a sales outlet that includes separate entrances, retail space, service desks, and staff much like it currently requires here in the US market. Being that the MINI brand is on solid footing, its not so much a gamble anymore as it is a long-term investment.

Euro dealers that are unable to justify the investment will be dropped. So not only is BMW planning to grow and strengthen MINI as its own separate brand, it’s making the business stronger by weeding out up to an estimated 100 underperforming dealers, a survival of the fittest strategy. Globally, MINI’s sales are up 12% for the year while just about every other brand is reporting sales declines. Strong business overseas means a strong MINI business over here. MINI’s success can be attributed to many things, but in today’s economy, its hard to overestimate the importance of a relatively high 37 MPG highway rating in an affordable and stylish package.

Source: Automotive News