BEST PRACTICE REPORT. POWER & SOUND KIT.

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BEST PRACTICE REPORT. POWER & SOUND KIT.
BMW
BEST M PERFORMANCE
     PRACTICE       PARTS.
              REPORT.
M PERFORMANCE
POWER           PARTS Q1/2018.
       & SOUND KIT.

BA-220 | 04 / 2018
BEST PRACTICE REPORT. POWER & SOUND KIT.
BEST PRACTICE REPORT Q1/18.
OVERVIEW.

Showroom & POS

BMW M Performance – M Pack
Accessorizing 7 Series (G12)
BMW M Performance Parts Accessorized Cars.
M Performance Parts - BMW M240i M Performance Edition
M Performance Lounge

Communication & Campaigns

New BMW M5 M Performance Accessories Launch
M Performance Parts Motor Show 2018 Promotion
Youtube Accessories Channel M Performance & car care promotional Video
BMW Accessories-M Performance - Press Promotion
M Performance Parts – Local Communication Campaign
Q3 Special Promotion

Best Practice Report | BA-220 | Q1/2018                                  Page 2
BEST PRACTICE REPORT. POWER & SOUND KIT.
BEST PRACTICE REPORT Q1/18.
OVERVIEW.

Events & Trainings
BMW M Performance parts booth & Executions: Toronto international auto show
BMW G30 M Performance - Event Promotion
M Performance Parts Journalist Track day Experience
Motorsport Festival - Thompson BMW
Fashion Tech Week NY 2017 - Connecting Design, Fashion, Technology and Automotive
BMW Motor Sport Festival 2017
International
Packages &Indonesia  Auto Show 2017
              Editions

Bangkok International Motor Show 2018
M Performance Parts – Product of the month
Orange county M5 launch edition
M Performance Exhaust Demonstrator offer – BMW M3/M4 Pure Edition
BMW 116d M Performance Edition

Best Practice Report | BA-220 | Q1/2018                                             Page 3
BEST PRACTICE REPORT. POWER & SOUND KIT.
Showroom & POS
NEW BMW M5 M PERFORMANCE ACCESSORIES LAUNCH.
                                                               Target group            Retailers to buy into the products/fit them to the car.   Turnover/outcome
  Key facts                                                    (NSC/DO or Customer):   Customers to purchase the products.                       (qualitative/quantitative comparison):

  Market:           B1- UK                                     Channels: Products sold to Retailers, with supporting information.

                                                                                                                                                                                                                            Communication & Campaigns
                                                                                                                                                 82 kits sold to Retailers. NIV Sales of £180,605.00 in one
  Number of dealers:             82 Retailers who had a BMW    Costs: £0.00                                                                      week. Great engagement with the accessories, including use of
                                 M5 launch car.                                                                                                  M5 marketing assets.

 Detailed description/impressions                                                                                                       Challenges and lessons learned
  • What did you do?                                                                                                                   • Ensuring we had enough front splitters for the demand from our
    We created an M Performance pack for the launch of the BMW M5.                                                                       Retailers.
    Instead of sending this out to all Retailers, we found out from Sales                                                              • Ensuring marketing material was available on time to support the
    which Retailers had received a launch car and then targeted these                                                                    launch and help Retailers promote the products.
    Retailers, via our Regional Managers, to get them to purchase a kit.                                                               • It worked well to engage the Regional Managers and ASMs, as they
  • Why did you do it?                                                                                                                   were able to drive the accessory sales/initiatives within the Retailer.

                                                                                                                                                                                                                               Events & Trainings
    The BMW M5 is a brand new halo car for M Performance, and we
    wanted to maximize the opportunity at the car launch. We ensured
    the products were provided in time for the launch, so Retailers could
    fit the products to their showroom car.
  • How did you do it?
    We worked with BMW AG to secure the products, our Pricing team                                                                      Accessories set-up
    to come up with a launch kit price, and our Regional Managers and                                                                  • BMW M5 M Performance Accessories:
    ASMs to be our voice with the Retailers. We also created some                                                                           • Rear diffuser, carbon

                                                                                                                                                                                                                               Packages & Editions
    supporting marketing material, including an editable template,                                                                          • Rear spoiler, carbon
    overview and adapting some BMW AG assets (film, social media).                                                                          • Side sills, carbon
  • With whom did you collaborate?                                            Example of a Retailer marketing the accessories               • Front attachment, carbon
    Sales, BMW AG, Pricing, Regional Managers, ASMs, Marketing.               fitted to their car, on social media.                         • M Performance floor mats
  • Did your Best Practice take place in a special location?                   Contact information
    No, it was available for all Retailers who had a launch car. Marketing     Name: Fiona Mitchell / Nik Jones
    is available for all Retailers for their own promotions.                   Mail: Fiona.Mitchell@bmw.co.uk

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                            Page 4
BEST PRACTICE REPORT. POWER & SOUND KIT.
NEW BMW M5 M PERFORMANCE ACCESSORIES LAUNCH.

                                          Above: The BMW M5 fitted with M Performance Accessories on display at the first round of the
                                          British Touring Cars Championship. This car will also be on display at each following round, with
                                          additional products being fitted as and when they are available.
                                          Left: Examples of marketing material produced for the BMW M5, including digital pack overview
                                          (sent to each Retailer and available to download), editable POS template, films, social media
                                          assets, digital-slide, email template and email signature, amongst other assets.

Best Practice Report | BA-220 | Q1/2018                                                                                                       Page 5
BEST PRACTICE REPORT. POWER & SOUND KIT.
Showroom & POS
BANGKOK INTERNATIONAL MOTOR SHOW 2018.
                                                          Target group                                                              Turnover/outcome
  Key facts                                               (NSC/DO or Customer):   Current 5 Series customer and prospect            (qualitative/quantitative comparison):

  Market:           B3 - TH                               Channels: Motor Show Event

                                                                                                                                                                                                           Communication & Campaigns
                                                                                                                                    MPP sales during event = Euro 50,000
  Number of dealers:             N/A                      Costs: Euro 15,000

 Detailed description/impressions                                                                                          Challenges and lessons learned
  • What did you do?                                                                                                       • Which challenges did you cope with?
  - Decorated BMW 520d with full M Performance Part at                                                                     - Some sales person for new car do not have the knowledge
    Bangkok International Motor Show 2018.                                                                                   about M Performance Part.

  • Why did you do it?                                                                                                     • Lessons learned – What should be improved for the next time?
  - To build the awareness of M Performance Part among current                                                             - Accessories sales person to stand by to give product and pricing

                                                                                                                                                                                                           Events & Trainings
    BMW owner and prospect.                                                                                                information to customer.
  - To increase sales of M Performance Part.

  • How did you do it?
  - Display the car at BMW booth with special package price for M                                                          Accessories set-up
    Performance Part.                                                                                                      •   BMW M Performance Part
                                                                                                                           -   M Performance aerodynamic kits and carbon part

                                                                                                                                                                                                         Packages & Editions
  With whom did you collaborate?                                                                                           -   M Performance side skirt
  - Part and Logistic, dealers and event organizer.                                                                        -   M Performance black grille and mirror cap in carbon
                                                                                                                           -   M Performance carbon spoiler
  • Did your Best Practice take place in a special location?                                                               -   M Performance diffuser
  - Impact Arena Muangtong Thani.                                         Contact information
                                                                          Name: Thanyakorn Kijchanalert                    -   M Performance alloy wheels
                                                                          Mail: Thanyakorn.Kijchanalert@bmw.co.th

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                         Page 6
BEST PRACTICE REPORT. POWER & SOUND KIT.
BANGKOK INTERNATIONAL MOTOR SHOW 2018.

Best Practice Report | BA-220 | Q1/2018   Page 7
BEST PRACTICE REPORT. POWER & SOUND KIT.
Showroom & POS
M PERFORMANCE PARTS.
MOTOR SHOW 2018 PROMOTION.
                                                          Target group                                                     Turnover/outcome
  Key facts                                               (NSC/DO or Customer):   Current and new BMW customer             (qualitative/quantitative comparison):

  Market:           B3 - TH                               Channels: Online

                                                                                                                                                                                              Communication & Campaigns
                                                                                                                            Turnover Approx Euro 200,000
  Number of dealers:             BMW dealers nationwide   Costs: 2,000 euro

 Detailed description/impressions                                                                                   Challenges and lessons learned
  • What did you do?                                                                                                • Which challenges did you cope with?
    Special offer for MPP during the Motor Show event.                                                                Limited budget
                                                                                                                      No presence of M Performance Booth in the event
  • Why did you do it?
    Increase the sales of MPP during the Motor Show Event.                                                          • Lessons learned – What should be improved for the next time?
                                                                                                                      Accessories sales person to stand by at BMW booth to give

                                                                                                                                                                                                 Events & Trainings
  • How did you do it?                                                                                                product and pricing information to customer.
    Communicate the special offer for MPP online.

  • With whom did you collaborate?
    Part and logistic, advertising agency, media agency, digital                                                    Accessories set-up
    agency, dealers.                                                                                                • M Performance Part for various model at special price.

                                                                                                                                                                                                 Packages & Editions
  • Did your Best Practice take place in a special location?
    BMW dealers nationwide.

                                                                          Contact information
                                                                          Name: Thanyakorn Kijchanalert
                                                                          Mail: Thanyakorn.Kijchanalert@bmw.co.th

Best Practice Report | BA-220 | Q1/2018                                                                                                                                              Page 8
BEST PRACTICE REPORT. POWER & SOUND KIT.
M PERFORMANCE PARTS.
MOTOR SHOW 2018 PROMOTION.

Best Practice Report | BA-220 | Q1/2018   Page 9
BEST PRACTICE REPORT. POWER & SOUND KIT.
Showroom & POS
YOUTUBE ACCESSORY CHANNEL.
M PERFORMANCE & CAR CARE PROMOTIONAL VIDEOS.
                                                                         Target group                                                         Turnover/outcome
  Key facts                                                              (NSC/DO or Customer):      Costumer                                  (qualitative/quantitative comparison):

  Market:           B1 - ES                                              Channels: On-line (Youtube, Facebook, LinkedIn), e-mail

                                                                                                                                                                                                                           Communication & Campaigns
                                                                                                                                              •   +38% on M2 M Performance sales compared to previous period.

  Number of dealers:                                                     Costs: 15.000€                                                       •   +13% on Chemical Products sales compared to previous period.

                                                                                                                                              •   +140,000      views + Social Media video playbacks

 Detailed description/impressions                                                                                                     Challenges and lessons learned
  •   Videos offer content of M Performance and Care Products, in which every                                                         • Social media promotion (LinkedIn, Facebook, Instagram) by feeding
      detail is considered: benefits, high quality, use, installation, outputs, etc. ,                                                  customer’s curiosity.
      which allows us to differentiate from competitors.                                                                              • Increasing the amount of available videos.
  •   By cooperating with the Marketing / Communication department (B1-ES-                                                            • Showing to the customers the several families of BMW Accessories
      B), the production took place in a Professional Recording Studio.                                                                 available to protect and personalize his vehicle.
                                                                                                                                      • Adding links in order to make purchases easier.
      Links to YouTube Channel:

                                                                                                                                                                                                                              Events & Trainings
  •
                                                                                         BMW M Performance video at Dealer´s stand.
       3 Video of BMW M2 M Performance Parts,

                                                                                                                                      Accessories set-up
                                                                                                                                      • M2 M Performance parts.
               Exterior                   Mechanical             Interior                                                             • BMW Care (Chemical products).

                                                                                                                                                                                                                              Packages & Editions
       1 Video of BMW Care Accessories.
                                                                                         BMW Care video demonstration.

                                                                                         Contact information
                                                                                         Name: Sergio Cendra
                                                                                         Mail: sergio.Cendra@bmw.es

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                          Page 10
YOUTUBE ACCESSORY CHANNEL.
M PERFORMANCE & CAR CARE PROMOTIONAL VIDEOS.

Best Practice Report | BA-220 | Q1/2018        Page 11
Showroom & POS
BMW M PERFORMANCE PARTS BOOTH & EXECUTIONS.
TORONTO INTERNATIONAL AUTO SHOW.
                                                            Target group                                                                    Turnover/outcome
  Key facts                                                 (NSC/DO or Customer):    BMW customers and event attendees                      (qualitative/quantitative comparison):

  Market:           B2 - CA                                 Channels: BMW customers and event attendees

                                                                                                                                                                                                                            Communication & Campaigns
                                                                                                                                            358,842 event attendees
  Number of dealers:             N/A                        Costs:        Approximately $100K

 Detailed description/impressions                                                                                                  Challenges and lessons learned
  • A stand alone BMW M Performance Parts booth at the Canadian                                                                    • Although the lead generation initiative did generate some hot leads
    International Auto Show was executed. The objective was to boost                                                                  for Retailers, overall expectations were higher than the final results,
    overall customer awareness, educate, and build excitement of BMW                                                                  from a quantitative standpoint.
    M Performance Parts and the product lineup.                                                                                    Lessons:
  • Elements within the booth included a Hanging Parts Display, a touch                                                                     • A tactical offer could be more helpful with generating
    screen unit to host the M Performance Exhaust App for customer                                                                              additional interest to enter personal details into form.

                                                                                                                                                                                                                          Events & Trainings
    interaction, an accessorized BMW 5 Series (G30) to showcase all        BMW 5 Series (G30) displayed with M Performance Parts            • Potential to incorporate a M Performance test drive
    products installed on a vehicle, Motorsport Lifestyle product                                                                               program, since this was the most popular inquiry.
    displays, and a custom M Performance Parts wall which enclosed
    the booth to help define the footprint and increase overall impact.
  • Collaboration occurred with business development team, the event
    marketing team and their agency, and also Retailers to help with                                                               Accessories set-up
    staffing the booth for customer questions, engagement, and to                                                                  • BMW M Performance Parts was the full focus. The full lineup of the
    facilitate walk-arounds.                                                                                                         MPP products were installed on the G30, and listed on the spec

                                                                                                                                                                                                                            Packages & Editions
  • A lead generation strategy was implemented to assist with                                                                        stand.
    connecting customers with inquiries to their nearest Retailer.                                                                 • Many MPP were also featured within the hanging parts display where
                                                                           Panoramic view of the entire booth at show                customers were able to see the entire lineup of products from a
                                                                                                                                     different perspective (not actually installed).
                                                                             Contact information
                                                                             Name: Alison McDevitt, Johnathan Lung
                                                                                                                                   • Various M Performance Exhaust sound clips were featured on a touch
                                                                             Mail: Alison.McDevitt@partner.bmw.ca,                   screen app for customers to experience.
                                                                             Johnathan.Lung@bmwgroup.ca

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                         Page 12
BMW M PERFORMANCE PARTS BOOTH & EXECUTIONS.
TORONTO INTERNATIONAL AUTO SHOW.

BMW M Performance Exhaust Comparison App via Touch Screen and high                BMW 5 Series (G30) installed with full portfolio of M Performance Parts,          M Performance Parts were hung from fishing line to form the look of a vehicle
quality Harmon Kardon sound bar. This was a major highlight to drive traffic to   displayed in front of custom backdrop/wall. Spec stand was removed for picture.   without the body. M Performance footage played on digital display in
the booth.                                                                                                                                                          background (leveraged from BMW NA).

Motorsport Lifestyle Collection Displays which lead to purchase interest at the   The booth and individual elements received a great amount of attention.            M Performance Exhaust unit for the show floor BMW 4 Series was developed to
BMW Lifestyle Boutique at the main BMW booth.                                                                                                                       allow customers to hear and interact with two buttons comparing the stock exhaust
                                                                                                                                                                    to the M Performance Exhaust.

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                                                      Page 13
Showroom & POS
ORANGE COUNTY M5 LAUNCH EDITION.
                                                          Target group                                                  Turnover/outcome
  Key facts                                               (NSC/DO or Customer):    Customer                             (qualitative/quantitative comparison):

  Market:           B2 -US                                Channels:

                                                                                                                                                                                                 Communication & Campaigns
                                                                                                                        Front End Gross Profit = $1050 per vehicle
  Number of dealers:             5                        Costs: $4270 per vehicle (Dnet w/Labor)                       Parts Bonus @ 10% Net labor = $376
                                                                                                                        Co-op = $1068      TOTAL PROFIT OPPORTUNITY = $2493

 Detailed description/impressions                                                                               Challenges and lessons learned
  We worked with all BMW Centers in Market 33 to accessorize                                                    • There were a lot of logistics involved, communication and
  new M5’s in the pipeline to create truly special and unique launch                                              follow up with each BMW Center. Each VIN had to be recorded,
  editions, before these accessories were available to order.                                                     tagged for these accessories, and confirmed.
                                                                                                                • All had to be done timely in order to have accessories installed
  Program targeted launch of the M5 because they are in tight                                                     at the port to be fully residualized.
  supply and will move quickly.                                                                                 • Lessons learned: all Centers were so happy to have special

                                                                                                                                                                                                 Events & Trainings
                                                                         Accessorized M5 Launch Edition
  • F90 M5 was chosen because we knew many dealers would                                                          launch cars for the amazing M5 and we will continue to do this
     add market adjustments                                                                                       for future launches.
  • VIA allows dealers to show a lower market adjustment while
     still holding gross on the accessories
  • If selling at MSRP, then can demonstrate fair pricing to owner                                              Accessories set-up
     while making a little extra GPVR                                                                           Orange County Launch Edition includes:

                                                                                                                                                                                               Packages & Editions
  I collaborated with the AAM for the Market, Mr. Matt Ziegler, and                                             –Carbon Fiber Side Blades
  our VIA program Administrator, Daniel Vaverko.                                                                –Carbon Fiber Rear Spoiler
                                                                         Carbon Fiber Accessories
                                                                                                                –Carbon Fiber Rear Diffuser
                                                                          Contact information                   –M Performance Side Sill Decals
                                                                          Name: Emmanuella Kariotis             –Carbon Fiber Front Splitter
                                                                          Mail: Emmanuella.Kariotis@bmwna.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                              Page 14
ORANGE COUNTY M5 LAUNCH EDITION.

Carbon Fiber Rear Spoiler and Rear Diffuser                       Total Profit = $2,493 per vehicle     Carbon Fiber Front Splitter

                                          Carbon Fiber Side Blades and M Performance Side Sill Decals

Best Practice Report | BA-220 | Q1/2018                                                                                               Page 15
Showroom & POS
BMW M PERFORMANCE - M PACK.
                                                             Target group            New and existing M Customers.                     Turnover/outcome
  Key facts                                                  (NSC/DO or Customer):                                                     (qualitative/quantitative comparison):

  Market:        B1-UK                                       Channels: Retailer Showroom.

                                                                                                                                                                                                                      Communication & Campaigns
                                                                                                                                        £425,146 (476.00€) NIV total sales.
  Number of dealers:             115 M Certified Retailers   Costs: £200 (224€) for marketing (e.g. pricing flyer)                      Product visibility within showroom, increase sales.

 Detailed description/impressions                                                                                              Challenges and lessons learned
  What did you do?                                                                                                             • Market request process worked well on this occasion, and we
  • Created a M showroom pack containing the new M Performance                                                                   received all products on time.
     Steering Wheel Pro, Engine Cover and 763 M Alloy Wheels.                                                                  • We produced some marketing material, but it would have been good
  • 115 M Certified Retailers automatically received a M pack along                                                              to put together a ‘best practice’ guide, to suggest how to display the
     with PoS material.                                                                                                          products.
  Why did you do it?

                                                                                                                                                                                                                      Events & Trainings
  • Increase awareness of a number of key new products to customers.
  • Opportunity for Retailers to display new products which they may
     never have ordered.
  How did you do it?
  • In consultation with BMW AG, we requested the products in the
     quantities we wanted. Agreed special price (-16% on all products)                                                         Accessories set-up
     with our Pricing team and worked with our RDC on delivery                                                                 • BMW M Performance Steering Wheel Pro, Engine Cover and 763 M
     schedules.                                                                                                                  Alloy Wheels.

                                                                                                                                                                                                                      Packages & Editions
  • Created some retailer showroom POS, which included pricing and
     key product details. This could also be sent out digitally to
     customers.                                                             BMW M Pack information flyer and products in the
  With whom did you collaborate?                                            showroom.
  • BMW AG, BMW UK Pricing Team, ASMs/RMAs.                                  Contact information
  Did your Best Practice take place in a special location?                   Name: Fiona Mitchell / Nik Jones
     115 M Certified Retailers.                                              Mail: Fiona.Mitchell@bmw.co.uk

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                   Page 16
BMW M PERFORMANCE - M PACK – DISPLAYS IN SHOWROOMS.

Best Practice Report | BA-220 | Q1/2018               Page 17
Showroom & POS
ACCESSORIZING 7 SERIES (G12).
                                                        Target group                                                           Turnover/outcome
  Key facts                                             (NSC/DO or Customer):   7 Series Customers                             (qualitative/quantitative comparison):

  Market:      B2- US                                   Channels: Sales Department

                                                                                                                                                                                                         Communication & Campaigns
                                                                                                                               Quicker moving G12 inventory over the last few months.
  Number of dealers:             16                     Costs: N/A

 Detailed description/impressions                                                                                      Challenges and lessons learned
  What did you do?                                                                                                     Challenges:
  • Accessorizing 7 Series (G12) with 21” M Performance Wheels                                                         • getting the dealership to install the parts in advance using VIA.
     and various M Performance Parts.                                                                                    As well as committing to accessorizing them in the first place.
  Why did you do it?                                                                                                     Most of the time the cars are $100K (85K€) plus, which scares
  • To assist in struggling G12 Sales and making inventory stand                                                         sales people; training sales people on the advantages of the VIA
     out.                                                                                                                program.

                                                                                                                                                                                                         Events & Trainings
  How did you do it?                                                                                                   Lessons learned
  • Used the VIA Port program to make accessories reasonably                                                           • The more promotion the better. Individual colors also really help
     priced for customers and easier to sell for sales people. Use                                                       with giving more uniqueness to the car.
     Social Media to promote cars.
  Did your best practice take place in a special location?                                                             Accessories set-up
  • Stores with struggling G12 Sales.                                                                                  • 21 Inch 650M M Performance Wheel Set, Z08 M Performance
                                                                         650M Accessory Wheel Set for 7 Series (G12)
                                                                                                                         Package (21in Wheels, Black Kidney Grilles, Carbon Fiber

                                                                                                                                                                                                         Packages & Editions
                                                                                                                         Mirror Caps, Rear Spoiler and M Performance Trim.)

                                                                        Contact information
                                                                        Name: Brandon Harwood
                                                                        Mail: brandon.harwood@bmwnaext.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                      Page 18
ACCESSORIZING 7 SERIES (G12)
USING SOCIAL MEDIA TO PROMOTE

Best Practice Report | BA-220 | Q1/2018   Page 19
Showroom & POS
BMW M PERFORMANCE PARTS ACCESSORIZED CARS.
                                                         Target group                                                                     Turnover/outcome
  Key facts                                              (NSC/DO or Customer):   Customer                                                 (qualitative/quantitative comparison):

  Market:        B4-R3 Singapore                         Channels: New Car Sales Showroom

                                                                                                                                                                                                                         Communication & Campaigns
                                                                                                                                           Retail T/O: 16,000 SGD (10.100€)
  Number of dealers:             1                       Costs: 1,320 SGD (833€)

 Detailed description/impressions                                                                                                 Challenges and lessons learned
  What did you do?                                                                                                                Challenges
  • Retrofitted the showroom car with BMW M Performance Parts.                                                                    • Requesting a car from Sales team can be a tough and lengthy
                                                                                                                                    process
  Why did you do it?                                                                                                              • The Sales team prefers to have a showroom display car in its
  • To increase the awareness and sales of BMW M Performance Parts.                                                                 standard option to avoid any miscommunication with the customer or
                                                                                                                                    to have another similar model on display if one is accessorized. Which

                                                                                                                                                                                                                         Events & Trainings
  With whom did you collaborate?                                                                                                    is usually not possible due to lack of floor space.
  • New Car Sales                                                                                                                 • Given short turnaround time on accessorizing a car.

                                                                                                                                  Accessories set-up
                                                                                                                                  • BMW M Performance Parts

                                                                                                                                                                                                                         Packages & Editions
                                                                        Display of BMW 4 Series (F32) Accessorized with BMW M
                                                                        Performance Front Grille, Exterior Mirror Caps, Carbon,
                                                                        Accent Stripes and Rear Spoiler, Matt Black.

                                                                         Contact information
                                                                         Name: Kris Lee
                                                                         Mail: kris.lee@bmwasia.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                      Page 20
BMW M PERFORMANCE PARTS ACCESSORIZED CARS.

                                                                                                              BMW 3 Series (F30) Accessorized with BMW M Performance Parts such as BMW M Performance Front Grille, Front
                                                                                                              Attachment – Matt Black, Side Sill Attachment – Matt Black, Side Skirt Stripes and Rear Spoiler, Matt Black.

BMW 3 Series (F30) Accessorized with BMW M Performance Parts such as BMW M Performance Front Grille,
Front Attachment – Matt Black, Side Sill Attachment – Matt Black, Side Skirt Stripes and Rear Spoiler, Matt   BMW 5 Series (G30) Accessorized with BMW M Performance Parts such as BMW M Performance Front Grille, Exterior
Black.                                                                                                        Mirror Caps – Carbon, Side Skirt Stripes, Rear Spoiler – Carbon, 19” Complete Wheels Set M Double Spoke 664M, Jet
                                                                                                              Black
Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                                      Page 21
Showroom & POS
M PERFORMANCE PARTS.
BMW M240I M PERFORMANCE EDITION.
                                                          Target group                                               Turnover/outcome
  Key facts                                               (NSC/DO or Customer):   Customer                           (qualitative/quantitative comparison):

  Market:        B6                                       Channels: Place/POS

                                                                                                                                                                                               Communication & Campaigns
                                                                                                                     Many customers equipped some of the M Performance Parts
  Number of dealers:             1                        Costs: 0 €                                                 on their new cars. The showcar was sold quickly and another
                                                                                                                     one was ordered to keep the attention on M Performance P.

 Detailed description/impressions                                                                             Challenges and lessons learned
  What did you do?                                                                                            • Managing the interface between Sales and Aftersales.
  • We placed a BMW M240i M Performance Edition in the
     showroom. As there was no commitment to accessories from
     the sales department, this was a compromise between Sales
     and Aftersales, because the car affects only the sales
     department. This way various M Performance Parts are shown

                                                                                                                                                                                               Events & Trainings
     in the new car showroom.                                            Prominent position of the showcar.
  Why did you do it?
  • Attract new car customers to M Performance Parts and show a
     holistic solution on a showcar – right next to a regular car.
  How did you do it?                                                                                          Accessories set-up
  • Providing the employees with the necessary information on                                                 • BMW M Performance Parts
     the edition car and supporting with POS presentation. A list of

                                                                                                                                                                                               Packages & Editions
     all parts helps customers to retrofit their own car accordingly.
  With whom did you collaborate?
  • Managers of the dealership                                           Rear view of the showcar
  Did your Best Practice take place in a special location?
  The showcar is placed at the “pole position“ of the dealership          Contact information
                                                                          Name: Felix Winkler
                                                                          Mail: felix.winkler@iic-group.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                            Page 22
M PERFORMANCE PARTS.
BMW M240I M PERFORMANCE EDITION.

Detail view of the M Performance Edition   Comparison to a 2 series convertible      Detail view of the POS communication

Rear view of the showcar                   Very prominent placement of the showcar

Best Practice Report | BA-220 | Q1/2018                                                                                     Page 23
Showroom & POS
M PERFORMANCE PARTS.
M PERFORMANCE LOUNGE.
                                                        Target group                                               Turnover/outcome
  Key facts                                             (NSC/DO or Customer): Customer                             (qualitative/quantitative comparison):

  Market:        B6                                     Channels: Place/POS

                                                                                                                                                                                           Communication & Campaigns
                                                                                                                   Because of the MPP lounge many customers asked about
  Number of dealers:             1                      Costs: Approx. 3,000 € in shop element systems             MPP and the salesman sent customers to take a look at the
                                                                                                                   products. This resulted in higher MPP sales.

 Detailed description/impressions                                                                          Challenges and lessons learned
  What did you do?                                                                                         • Next time shop elements with more different possibilities to
  • Creation of an M Performance world in the new car area. This                                             present should be used. It had to be improvised to present the
     includes various shop system elements, presenters, specials                                             products suitable and theft-proof.
     and an accessories specialist as a direct contact person for
     accessory matters in the new car department.
  Why did you do it?

                                                                                                                                                                                           Events & Trainings
  • Offering a better variety and service for demanding customers      View into the MPP lounge
     and providing an immediate answer regarding accessory
     retrofitting.
  How did you do it?
  • A concept was drawn up, shop elements were presented,                                                  Accessories set-up
     proposals to decoration were given, everything was set up and                                         • The focus in this showroom redesign was directed towards
     in the end offer sheets were created.                                                                   BMW M Performance Parts.

                                                                                                                                                                                           Packages & Editions
  With whom did you collaborate?
  • The collaboration was between the dealer and the ASM.
  Did your Best Practice take place in a special location?             Another perspective of the lounge
  • In the new car area between the waiting zone and the M area.
                                                                       Contact information
                                                                       Name: Felix Winkler
                                                                       Mail: felix.winkler@iic-group.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                        Page 24
M PERFORMANCE PARTS.
M PERFORMANCE LOUNGE.

Accessories POS at the dealership         Overview of the accessories POS   Focus products of the MPP lounge

M Performance tail pipe embellisher       Showcar next to accessory POS     M Performance exhaust system

Best Practice Report | BA-220 | Q1/2018                                                                        Page 25
Showroom & POS
BMW ACCESSORIES-M PERFORMANCE.
PRESS PROMOTION.
                                                           Target group                                        Turnover/outcome
  Key facts                                                (NSC/DO or Customer):                               (qualitative/quantitative comparison):

  Market:        B1-ES                                     Channels: Press

                                                                                                                                                                                       Communication & Campaigns
                                                                                                                Our collaboration with Press Department require a powerful
  Number of dealers:                                       Costs: Car retroffited by Press Department.          car to promote the M Performance accessories, reason why.

 Detailed description/impressions                                                                        Challenges and lessons learned
  What did you do?
  • After a request from our Press colleagues to retrofit their M2
    with M Performance, they used it to promote the M
    Performance Accessories “only”.

  • After few weeks the press was quite impressive how the M2

                                                                                                                                                                                          Events & Trainings
    retroffited with the Exhaust System performs.

  How did you do it?
  The car was retroffited with 20.000€ value.
                                                                                                         Accessories set-up
  Few examples from the specialized magazines.:
                                                                                                         • The article is about M Performance Accessory.
                                                                                                         • The M2 loaned was equipped with : Exhaust System,

                                                                                                                                                                                          Packages & Editions
              •EVO MAGAZINE:
                                                                                                           Aerodynamic Kit, MP Complete wheels, Alcantara/Carbon
              5 page Article about M Performance Parts +1 advert 3 M
                                                                                                           Interior trims., MP Floor Mats, MP Steering Wheel.
              cars loaned during 2 days: M2, M1 and M3.

              • MOTOR PASION MAGAZINE:                                     Contact information
                                                                           Name: Sergio Cendra
              Reportage about the M Performance world.
                                                                           Mail: sergio.cendra@bmw.es

Best Practice Report | BA-220 | Q1/2018                                                                                                                                      Page 26
BMW ACCESSORIES-M PERFORMANCE.
PRESS PROMOTION.

Magazine‘s cover.                         Picture from interior magazine.   Suspension test.

Reporter‘s social media post.             Picture from interior magazine.   EVO magazine cover.

Best Practice Report | BA-220 | Q1/2018                                                           Page 27
Showroom & POS
M PERFORMANCE PARTS.
LOCAL COMMUNICATION CAMPAIGN.
                                                                         Target group                                                     Turnover/outcome
  Key facts                                                              (NSC/DO or Customer):    Customers
                                                                                                                                                                                168% turnover growth vs.
                                                                                                                                          (qualitative/quantitative comparison): same period last year

  Market:        B1-CS-CZ                                                Channels: Social media, website, newsletter, showroom

                                                                                                                                                                                                                      Communication & Campaigns
  Number of dealers:             14                                      Costs: 8.000 EUR

 Detailed description/impressions                                                                                                Challenges and lessons learned
  What did you do?                                                                                                               •   Main challenge: very limited budget, budget for production 3.500 EUR
  •   10 % discount on all M Performance Parts (more than 1500 part numbers)
      – connection with Product of the month activity to support turnover
      growth.
  •   Participation of dealers – providing another 10 % discount on mounting of
      purchased M Performance Parts.

                                                                                                                                                                                                                         Events & Trainings
                                                                                         Campaign visual
  How did you do it?
  •   Local communication materials that are more authentic and popular for
      Czech social media users: set of 5 videos with different topics (wheels &
      brakes, exterior, interior, limited slip differential, Power & Sound kit), using
      unboxing concept.                                                                                                          Accessories set-up
  •   Communication platforms: social media (classic posts on Facebook and                                                       •   All M Performance Parts part numbers.
      Instagram, sponsored posts, link ads), showroom (videos played on

                                                                                                                                                                                                                         Packages & Editions
      screens in dealerships), newsletter (focused only on F15/F16 owners as
      the target group with highest potential), website (website special with local
      materials).
                                                                                         Campaign visual
  •   User journey: first contact on social media or mailing  link to website
      special with description of individual MPP categories  linking to                  Contact information
      accessories configurator with call-to-action „Check what M Performance              Name: Kristyna Feldova
      Parts suit best to your car“  RFO to dealer                                        Mail: Kristyna.Feldova@bmwgroup.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                     Page 28
M PERFORMANCE PARTS.
LOCAL COMMUNICATION CAMPAIGN.

Facebook posts

                                          Newsletter sent to F15/F16 owners

                                                                              Website special

Instagram posts

Best Practice Report | BA-220 | Q1/2018                                                         Page 29
Showroom & POS
Q3 SPECIAL PROMOTION.
                                                         Target group                                                     Turnover/outcome
  Key facts                                              (NSC/DO or Customer):   BMW Customer                             (qualitative/quantitative comparison):

  Market:          B3-TH                                 Channels:      Online

                                                                                                                                                                                               Communication & Campaigns
                                                                                                                            Approx. 35% increase in sales
  Number of dealers:               All BMW Dealers       Costs:    3.000 €

 Detailed description/impressions                                                                                  Challenges and lessons learned
  What did you do?                                                                                                 Challenges
  • Quarter 3 Accessories Promotion Campaign                                                                       • How to develop a good campaign under limited budget without
  • Offered up to 30% special price on selected BMW MPP and                                                          diluting the premium image
    accessories                                                                                                    Lessons learned
                                                                                                                   • Improve time planning for better production lead time.
  Why did you do it?

                                                                                                                                                                                                  Events & Trainings
  • To increase sales and turnover for accessories during rainy
    season (low season)

  How did you do it?
  • Create advertising campaign online (website and Facebook                                                       Accessories set-up
    fanpage) as well as POS material                                                                               • M Performance Parts (MPP alloy wheel set, Brake set, tailgate
                                                                                                                     light, fitted floor mats etc.)

                                                                                                                                                                                                  Packages & Editions
  With whom did you collaborate?
  • Part Department, Dealers, Advertising and Media Agency

  Did your Best Practice take place in a special location?
  • All BMW and MINI Dealers nationwide                                  Contact information
                                                                         Name: Thanyakorn Kijchanalert
                                                                         Mail: Thanyakorn.Kijchanalert@bmw.co.th

Best Practice Report | BA-220 | Q1/2018                                                                                                                                              Page 30
Q3 SPECIAL PROMOTION.

Best Practice Report | BA-220 | Q1/2018   Page 31
Showroom & POS
BMW G30 M PERFORMANCE.
EVENT PROMOTION.
                                                         Target group                                          Turnover/outcome
  Key facts                                              (NSC/DO or Customer):
                                                                                 Customers
                                                                                                               (qualitative/quantitative comparison):

  Market:        B1-ES                                   Channels:

                                                                                                                                                                                          Communication & Campaigns
                                                                       External Events                           The main purpose its to build M Performance engagement
  Number of dealers:                                     Costs:     Cover by Marketing Department.               with premium costumers.

 Detailed description/impressions                                                                      Challenges and lessons learned
  What did you do?                                                                                      • It’s one of the greatest places for promotion.
  • Saling Race event took place in Palma de Mallorca. It is the                                        • Next time a good option would be to set up an Accessory booth.
    largest regatta in the country and one of the most important in
    the European calendar. It attracts to this locality to the best
    shipowners, skippers and sailors of the world. The
    repercussion is of maximum reach due to its impact in both the

                                                                                                                                                                                        Events & Trainings
    general and social press as well as in sports and specialized
    press.

  Why did you do it?
  • One of the main objectives is to increase the link with the                                        Accessories set-up
    brand through a unique experience of great added value. For                                        • M Performance exterior: front splitter, rear diffusor, side panel,
    this reason, it is also very focused on the collective of                                            black kidney grills, 19” MP SCW & Sport Breaks.

                                                                                                                                                                                          Packages & Editions
    Corporate & Special Sales customers (fleets, rentings, Rent a
    Car, high-end customers GKL and M models).

                                                                          Contact information
                                                                          Name: Sergio Cendra
                                                                          Mail: sergio.cendra@bmw.es

Best Practice Report | BA-220 | Q1/2018                                                                                                                                       Page 32
BMW G30 M PERFORMANCE.
EVENT PROMOTION.

Shuttle Car                               Our CEO and the King of Spain.     The BMW i8 was also there.

G30 M Performance at the main entrance.   G30 M Performance from the side.   G30 MP in order stage.

Best Practice Report | BA-220 | Q1/2018                                                                   Page 33
Showroom & POS
M PERFORMANCE PARTS JOURNALIST TRACK DAY EXPERIENCE.
                                                               Target group                                                                               Turnover/outcome
  Key facts                                                    (NSC/DO or Customer):                                                                      (qualitative/quantitative comparison):

  Market:        B2 – US                                       Channels: Major automotive journalist outlets

                                                                                                                                                                                                                                                  Communication & Campaigns
                                                                                                                                                           Media coverage on all major automotive outlets
  Number of dealers:             Media Event                   Costs: $40,000 USD (34.00€)

 Detailed description/impressions                                                                                                                  Challenges and lessons learned
  What did you do?                                                                                                                             •    Challenges:
  • Organized a track day experience for journalists to come and spend a                                                                                  • Ensuring vehicles were prepared and ready to go on time
     day at the Circuit of the Americas (COTA) racetrack in Austin, TX USA                                                                                • Coordinating with various stakeholders to ensure everyone was in
  How did you do it?                                                                                                                                          alignment
                                                                                                                                                          • Ensuring on-time arrival of all participants
  • Journalists had 3 hours of on track time in factory spec vehicles and M
                                                                                                                                               •    Lessons learned:
     Performance vehicles                                                                                                                                 • Invite additional media as some people will fail to attend

                                                                                                                                                                                                                                                Events & Trainings
  • Journalists could freely switch between the vehicles and were able to     Presenting the M Performance Parts to the journalists prior to              • Make sure you have enough time; 1 hour for prep and 3 hours of on-track
     go on track on their own                                                 going on track.                                                                 time would be ideal
  Why did you do it?                                                                                                                                      • Manual transmissions were LOVED! Ensure you have manual transmission
  • Raised awareness about M Performance in all major automotive outlets                                                                                      vehicles on hand
  With whom did you collaborate?
  • Worked with our existing M Track Day event to rent the track after the
     MTD event, thus saving significantly on the cost of the track rental
                                                                                                                                                   Accessories set-up
  • Collaborated with local AK colleagues to invite the media to the event.                                                                    •    Fully Accessorized M2
     Also worked closely with marketing team to tie into the M Track Days                                                                      •    Fully Accessorized M3/M4

                                                                                                                                                                                                                                                  Packages & Editions
     event                                                                                                                                     •    Fully Accessorized 340i
  Did your Best Practice take place in a special location?                                                                                     •    Strong focus on track parts:
  • The best practice took place at COTA in Austin, TX                                                                                                    • Lightweight Wheels
                                                                              M Performance Parts vehicles used at COTA.
                                                                                                                                                          • Suspension
                                                                                                                                                          • Limited Slip Differential
                                                                               Contact information
                                                                                                                                                          • Lightweight Exhaust
                                                                               Name: Matthew Mostafaei
                                                                               Mail: Matthew.Mostafaei@bmwna.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                                               Page 34
M PERFORMANCE PARTS JOURNALIST TRACK DAY EXPERIENCE.
      MEDIA COVERAGE.
Bimmerpost – Sam Pat                                                                                                              YouTube UNIVISION / Jaime Gabaldoni
                                                                Rondel – Satch Carlson
BIMMERPOST Tests BMW M2 with M Performance Parts at COTA                                                                          A Bordo de un BMW M2 2017 modificado por M Performance Parts
                                                                Waiting for Story
http://f87.bimmerpost.com/forums/showthread.php?t=1419949                                                                         https://www.youtube.com/watch?v=ewkyNHONNo8
Review: 340i with M Performance Parts                                                                                             BMW M2 2017 - Detalles En Vivo
                                                                Univision – Jaime Gabaldoni
http://f30.bimmerpost.com/forums/showthread.php?p=22161785                                                                        https://www.youtube.com/watch?v=VH1kgLofZPk
                                                                El BMW M2 enseña a los niños a manejar como hombres
M3 Competition with M Performance Parts                                                                                           BMW M2 2017 M Parts & Accesories – Encendido
                                                                http://www.univision.com/noticias/a-bordo/el-bmw-m2-ensena-a-
http://f80.bimmerpost.com/forums/showthread.php?t=1419955                                                                         https://www.youtube.com/watch?v=Pwi-
                                                                los-ninos-a-manejar-como-hombres-video
                                                                                                                                  3fFpzwo&feature=youtu.be&a
BMWBlog – Horatiu Boeriu
                                                                A Bordo de un BMW M2 2017 modificado por M Performance
A lap with the BMW M2 M Performance Parts at COTA, Austin                                                                         Facebook Jaime Gabaldoni
                                                                Parts
http://www.bmwblog.com/2017/07/29/lap-bmw-m2-m-                                                                                   https://www.facebook.com/jaime.gabaldoni/photos/a.6543926079
                                                                http://www.univision.com/noticias/a-bordo/a-bordo-de-un-bmw-
performance-parts-cota-austin/                                                                                                    89001.1073741828.654370964657832/1413329555428632/?t
                                                                m2-2017-modificado-por-m-performance-parts-video
http://www.bmwblog.com/2017/08/08/day-cota-bmw-m-                                                                                 ype=3
performance-parts/                                                                                                                https://www.facebook.com/jaime.gabaldoni/photos/a.6543926079
                                                                La reacción de Jaime Gabaldoni cuando mata a un BMW M2 en
                                                                                                                                  89001.1073741828.654370964657832/1413943248700596/?t
                                                                plena curva
european Car Magazine – Mike Febbo                                                                                                ype=3
                                                                http://www.univision.com/noticias/a-bordo/la-reaccion-de-jaime-
https://www.instagram.com/p/BXElGF6ltUA/                                                                                          https://www.facebook.com/jaime.gabaldoni/photos/a.6543926079
                                                                gabaldoni-cuando-mata-a-un-bmw-m2-en-plena-curva-video
                                                                                                                                  89001.1073741828.654370964657832/1414033492024905/?t
Jalopnik – Kurt Bradley                                                                                                           ype=3
                                                                Twitter – UNIVISION / Jaime Gabaldoni
A BMW M Track Day May Be The Best Way To Blow $250
                                                                https://twitter.com/univisionautos/status/891444188860076032
http://jalopnik.com/a-bmw-m-track-day-may-be-the-best-way-to-                                                                     FacebookLive UNIVISION
                                                                https://twitter.com/jaime_gabaldoni/status/89144136171044864
blow-250-1797375135/amp                                                                                                           https://www.facebook.com/ajax/sharer/?s=11&appid=2392950137
                                                                0
                                                                                                                                  &id=10155580661498103&p[0]=10155580661498103&sharer_
                                                                https://twitter.com/jaime_gabaldoni/status/89140239764545945
Road and Track – Brian Silvestro                                                                                                  type=all_modes&av=100000481424955&feedback_referrer=%2F
                                                                7
You Need BMW's M Performance Parts If You're an M-Car Owning                                                                      pg%2Funivisionautos%2Fvideos%2F&feedback_source=17
                                                                https://twitter.com/jaime_gabaldoni/status/89135660093351936
http://www.roadandtrack.com/new-cars/car-comparison-                                                                              https://www.facebook.com/jaime.gabaldoni/videos/141418418200
                                                                2
tests/a12014922/bmw-m-performance-parts-track-test/                                                                               9836/

       Best Practice Report | BA-220 | Q1/2018                                                                                                                                        35
M PERFORMANCE PARTS JOURNALIST TRACK DAY EXPERIENCE.

M Performance M3 on display for product   M Performance M3 on track             340i M Performance on track
walk around

M Performance M2 on track                 M Performance M3 and standard M4 on   763M Close up on M3
                                          track
Best Practice Report | BA-220 | Q1/2018                                                                       Page 36
Showroom & POS
MOTORSPORT FESTIVAL.
THOMPSON BMW.
                                                   Target group                                                  Turnover/outcome
  Key facts                                        (NSC/DO or Customer):   Performance Car Enthusiasts           (qualitative/quantitative comparison):

  Market:        B2-US                             Channels: Sales, Parts and Service

                                                                                                                                                                                         Communication & Campaigns
                                                                                                                 Event generated over $2,000 (1.700€) in Lifestyle product
  Number of dealers:             One               Costs: $5,189 (4.400€)                                        sales and over $25,000 (21.200€) in BMW Performance
                                                                                                                 Parts and Accessory sales

 Detailed description/impressions                                                                        Challenges and lessons learned
What did you do?                                                                                         Challenges
• Participated as an Official Event Dealer in an annual                                                  • Being at an offsite event we had the challenge of moving
   Motorsports Festival “MPACT MOTORSPORTS FESTIVAL” at                                                    displays, vehicles and product to the event site.
   Pocono Raceway.                                                                                       Lessons learned
Why did you do it?                                                                                       • Have additional inventory of products to sell. Sold over $2,000
• Created greater awareness of BMW M Performance Parts and                                                 (1.700€) of Lifestyle Product and could have sold more if we

                                                                                                                                                                                       Events & Trainings
   Accessories and BMW Lifestyle Products.                                                                 had additional inventory.
How did you do it?
• Promoted the event on dealer website, email campaigns and
   through Social Media
With whom did you collaborate?                                                                           Accessories set-up
• Dealership Fixed Operations Management Team.                                                           • BMW Performance Parts and Accessories
Did your Best Practice take place in a special location?                                                 • BMW Lifestyle Product

                                                                                                                                                                                         Packages & Editions
• Took place in The historic Pocono Raceway in Pennsylvania.                                             • Performance Tire and Wheel sets
• Over 6,000 attendees at the event.

                                                                   Contact information
                                                                   Name: Stan Dellis
                                                                   Mail:
                                                                   Mail:stan.dellis@bmwna.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                      Page 37
MOTORSPORT FESTIVAL.
THOMPSON BMW.

Dealership lineup of cars for the event   Dealership vehicles displayed                  MPACT Dealer Display Booth

MPACT Dealer Lifestyle Display Area       Matt Bean – Dealership Performance             Race Track Dealer Ride and Drive
                                          Specialist and his personal car at the track
Best Practice Report | BA-220 | Q1/2018                                                                                     Page 38
Showroom & POS
FASHION TECH WEEK NY 2017.
CONNECTING DESIGN, FASHION, TECHNOLOGY AND AUTOMOTIVE.
                                                            Target group                                                                   Turnover/outcome
  Key facts                                                 (NSC/DO or Customer):    Customer                                              (qualitative/quantitative comparison):

  Market:        B2- US                                     Channels: 3

                                                                                                                                                                                                                     Communication & Campaigns
                                                                                                                                           Difficult to tie accessory sales to event however, over 200
  Number of dealers:             1                          Costs: 18,000 USD (15.300€)                                                    people, press and models were in attendance for a premium
                                                                                                                                           event with customer not normally shopping BMW.

 Detailed description/impressions                                                                                                  Challenges and lessons learned
 What did you do?                                                                                                                  • Managing the expectations and desired outcome from the
 • Dealer served as host venue for event taking place during Fashion                                                                 fashion aspect and associated press for such an unusual event.
    Tech Week NY 2017. This follows Fashion Week, and focuses on                                                                   • Communicating with wrapper, wrap artist, acquiring cars, and
    the technology side of modern fashion.
                                                                                                                                     wrapping the cars.
 How did you do it?
                                                                                                                                   • The artistic coordination and attention to details on such a
 • Dealer wrapped two M4s, one equipped with M Performance Parts,
                                                                                                                                     high-fashion and high-expectation event.

                                                                                                                                                                                                                   Events & Trainings
    with designs inspired by the displayed shoes.                          M Performance Parts windshield banner
 With whom did you collaborate?                                                                                                    • The press and attention this received increased pressure but
 • Dealer worked with professional videographers, photographers and                                                                  the team did an amazing job and deserves the credit for it!
    Social Media Influencers to generate Social Media content prior to
    the event, and teased in the weeks leading up to the event.
 Why did you do it?                                                                                                                Accessories set-up
 • Drove customer engagement with dealership through effective use
    of social media platforms
                                                                                                                                   • The coordination of cars, ordering as well as borrowing cars
 • This drove the right, premium customer, to the dealership along                                                                   took a lot of time.

                                                                                                                                                                                                                     Packages & Editions
    with media and press.                                                                                                          • Acquiring, prepping, and wrapping cars took the longest and
 • Presented, promoted, and marketed BMW M Performance Parts in                                                                      was the most costly part of the event.
    a different, unique way.                                               M Performance exhaust, rear diffuser, and side-blades   • Highlighting M Performance parts and accessories was a
 • Cars were unique and dealership was prepared to help make                Contact information                                      priority.
    themselves look edgy and engaged with a different audience.             Name: Anthony Gillmeier                                • http://www.bmwnyc.com/fashion-tech-week-ny-2017.htm
 • This was an amazing concept and creation and was a huge success!         Mail:Anthony.Gillmeier@bmwnaext.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                  Page 39
FASHION TECH WEEK NY 2017 “ALL ABOUT THE SHOE”
PICTURE HIGHLIGHTS

                 Checkout the dealership site at http://www.bmwnyc.com/fashion-tech-week-ny-2017.htm

Best Practice Report | BA-220 | Q1/2018                                                                Page 40
Showroom & POS
BMW MOTOR SPORT FESTIVAL 2017.
                                                                     Target group                                                              Turnover/outcome 1€=130.8JPY
  Key facts                                                          (NSC/DO or Customer):   BMW owners                                        (qualitative/quantitative comparison):

  Market:        B3-JP                                               Channels: The customers who visited the event

                                                                                                                                                                                                                            Communication & Campaigns
                                                                                                                                               Total 34,400 € (Car Accessories/ Care Products and Lifestyles)
  Number of dealers:             One – the dealer of Fuji district   Costs: approx. 76,450 € - Producing Fee, Labor Cost, Transportation
                                                                            Cost, Agent Fee

 Detailed description/impressions                                                                                                      Challenges and lessons learned
  What did you do?
                                                                                                                                       • BMW Japan held its first ever 4-wheel and 2-wheel joint and
  • Strengthen the brand and raise the awareness of BMW, BMW M,
                                                                                                                                         circuit event for BMW owners.
     Aftersales & BMW Motorrad
  • Brand experience for young and old at the race course                                                                              • Gathered a total of 5,262 visitors / 2,697 vehicles.
  • Generation of new prospective leads                                                                                                • In Accessoires and Lifestyle shop of the Aftersales area, it was
  • Promotion of M & BMW Motorrad through PR & SNS                                                                                       record sales in an event per a day. Then, items run short in the
  • Event Programs: Driving Experience/ Extreme Show/ Parade Run/                                                                        middle. – Items should be arranged more than this year, in

                                                                                                                                                                                                                          Events & Trainings
     Technical Workshop/ Car Display/ Kids Activities/ On-stage                                                                          particular hot-selling products, to increase other sales.
     programs / Food Court                                                                                                             • Every Accessories or Lifestyle items purchasers were given the
  How did you do it?                                                                Event’s Key Graphic
                                                                                                                                         “Entry Ticket” and the “Drink Coupon.”
  • Aftersales Area at Pit Garage
          • Display: BMW M Performance parts installed demo car
                                                                                                                                              • Entry Ticket: From all those who applied by QR code or
            Inside - 7 Series G11/ M4 F82,                                                                                             Accessories
                                                                                                                                                campaignset-up
                                                                                                                                                           site, 3 people chosen by lot have been
           Outside - 5 Series G30 / 3 Series F31                                                                                                received a prize - BMW City Scooter. (Applicants 130)
          • Display: Original BMW Engine Oil                                                                                                  • Drink Coupon: It can in exchange for one energy drink at

                                                                                                                                                                                                                            Packages & Editions
          • Display and Sales: Accessories & Car Care Products/ Lifestyle                                                                       BMW M Performance Square in front of Aftersales Area
          • Key Reader Experience (BMW Service.): Maintenance                                                                                   at pit garage. (Limited 1,000 bottles)
            advices by key data
          • BMW M Performance Square (outside): Drink coupon                        Entry Ticket
            exchange                                                                 Contact information
                                                                                     Name: : Rika Yabuki
                                                                                                                                       • BMW M Performance Parts
  Did your Best Practice take place in a special location?
                                                                                     Mail: Rika.Yabuki@bmw.co.jp                       • Original BMW Car Care Products
  • Fuji Speedway (SAT 15th JULY 2017 / 8:00 ~18:00)
                                                                                     Mail:
Best Practice Report | BA-220 | Q1/2018                                                                                                                                                                         Page 41
BMW MOTOR SPORT FESTIVAL 2017.

Panel on the wall                         Display (Inside) - BMW M Performance 7      Display (Inside) - BMW M Performance M4 F82
                                          Series G11

Display (Outside) - BMW M Performance 5   In front of Aftersales Area at Pit Garage   Panel on the wall
Series G30 & 3 Series F31
Best Practice Report | BA-220 | Q1/2018                                                                                   Page 42
BMW MOTOR SPORT FESTIVAL 2017.

                                                                                                                   Drink Coupon

Display and Sales of                      BMW M Performance Square – Drink coupon exchange
Original BMW Car Care Products

Display Original BMW Engine Oil                      Car Accessories and Lifestyle Shop      Key Reader Experience (BMW Service) -
                                                                                             Maintenance advices by key data
Best Practice Report | BA-220 | Q1/2018                                                                                              Page 43
Showroom & POS
INTERNATIONAL INDONESIA AUTO SHOW 2017.
                                                          Target group                                                                    Turnover/outcome
  Key facts                                               (NSC/DO or Customer):      Customer                                             (qualitative/quantitative comparison):

  Market:        B4-R3 Indonesia                          Channels: Event

                                                                                                                                                                                                                  Communication & Campaigns
                                                                                                                                          Sales result € 81.920. About 54% higher than 2016.
  Number of dealers:             1                        Costs: € 21.400

 Detailed description/impressions                                                                                                 Challenges and lessons learned
  What did you do?                                                                                                                • The bid approach for dealers who want to manning auto show
  • F30 equipped with M Performance Parts, we add rear wing                                                                         can boost spirits and ownership of dealer staff. That’s because
    spoiler, black rear light and red edge to attract the customer                                                                  dealer was selling the stock which they purchased in order to
    attention.                                                                                                                      win the bid.
  With whom did you collaborate?                                                                                                  • Some products were not arrived due to import issues
  • Cooperation with Bridgestone on rim wall, Bridgestone agree

                                                                                                                                                                                                                Events & Trainings
                                                                         Aftersales booth, integrating accessories and lifesyle
    to support us with some fund in order to get their brand
    attached on our rims wall.
  How did you do it?
  • Accessories configurator was placed in front of the retrofitted
    car to create emotion and visualization to the customer who                                                                   Accessories set-up
    plan to buy the accessories.                                                                                                  •   M Performance aerodynamic package on F30.
                                                                                                                                  •   M Performance small wall.

                                                                                                                                                                                                                  Packages & Editions
  • A desk was provided for service advisor of dealer as an                                                                       •   Rims wall.
    explanation center for customer regarding the accessories                                                                     •   Car care + floor mat showcase.
    inquires.                                                            Rims wall

                                                                          Contact information
                                                                          Name: Andrew Elias
                                                                          Mail: Andrew.Elias@bmw.co.id

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                               Page 44
INTERNATIONAL INDONESIA AUTO SHOW 2017.

M Performance part                           Floor mat and car care        Accessories Configurator

Carbon Rear Wing Spoiler and Rear Light on   M Performance Pars interior   Additional red edge to give sporty feeling
F30
Best Practice Report | BA-220 | Q1/2018                                                                                 Page 45
Showroom & POS
M PERFORMANCE PARTS.
PRODUCT OF THE MONTH.
                                                         Target group                                            Turnover/outcome
  Key facts                                              (NSC/DO or Customer):                                   (qualitative/quantitative comparison):

  Market:        B1-CS-CZ                                Channels: Dealer network

                                                                                                                                                                                          Communication & Campaigns
                                                                                                                 As per slide NUMBER .
  Number of dealers:             15                      Costs: 0€                                               Connected with the local communication campaign.

 Detailed description/impressions                                                                        Challenges and lessons learned
  What did you do?                                                                                       • The product group is large and the processes must be
  • 2 months product campaign PRODUCT OF THE MONTH for                                                     improved.
    the whole range of M PERFORMANCE PARTS.                                                              • The special price must be applied accross the whole product
                                                                                                           group in the system.
  Why did you do it?                                                                                     • Current procedure is very inefficient as the discount is applied
  • Dealers were interested in this portfolio to make a good                                               per each order via header discount.

                                                                                                                                                                                          Events & Trainings
    promotion.

  How did you do it?
  • We arranged a discount of 10% from RRP for the whole
    product portfolio.                                                                                   Accessories set-up
                                                                                                         • We arranged to apply the discount for the whole MPP portfolio.
  With whom did you collaborate?

                                                                                                                                                                                        Packages & Editions
  • We provided 10% discount on parts, dealers provided 10%
    discount on labour.

                                                                         Contact information
                                                                         Name: Jana Tolia
                                                                         Mail: jana.tolia@bmwgroup.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                       Page 46
Showroom & POS
BMW M PERFORMANCE EXHAUST DEMONSTRATOR OFFER.
BMW M3/M4 PURE EDITION.
                                                          Target group                                                       Turnover/outcome
  Key facts                                               (NSC/DO or Customer):                                              (qualitative/quantitative comparison):

  Market:        B3 – AU                                  Channels: NSC

                                                                                                                                                                                                   Communication & Campaigns
                                                                                                                              Revenue $104,522 (70.000€) GP $29,889 (20.000€)
  Number of dealers:             9                        Costs: Reduced margin (-$952) to support M4 Pure Model

 Detailed description/impressions                                                                                     Challenges and lessons learned
  What did you do?                                                                                                    • Forward planning & communication between key departments
  • To support New Vehicle Sales Department with the launch of                                                          was critical to the success of campaign
    the M3 (F80) / M4 (F82) Pure Edition and combat strong
    competition from Mercedes C63 AMG we offered a BMW M                                                              • Regular dealer visits by Area Managers ensured demonstrators
    Performance exhaust for demonstrator vehicles                                                                       vehicles with exhaust were constantly on display or replaced
  How did you do it?                                                                                                    during the 3 month period.

                                                                                                                                                                                                   Events & Trainings
  • Demonstrator exhaust price support by reduced NSC margin

  • Demonstrator vehicle with exhaust must be kept on display for
    a minimum 3 month and replaced if sold during this period
                                                                                                                      Accessories set-up
  • Offer launched via a dealer bulletin including video & followed                                                   • Exhaust system with carbon fibre tips
    up by Area Managers

                                                                                                                                                                                                 Packages & Editions
                                                                                                                      • Full range of marketing material including EDM (with video),
  • Additional MPP recommended to be installed on demonstrator                                                          flyer and DM.
                                                                                                       eDM Template
  • 8 additional exhaust sold during program.
                                                                           Contact information
                                                                           Name: Stephen Booth
                                                                           Email: stephen.booth@bmw.com.au

Best Practice Report | BA-220 | Q1/2018                                                                                                                                                Page 47
Showroom & POS
BMW 116D M PERFORMANCE EDITION.
                                                         Target group                                                      Turnover/outcome
  Key facts                                              (NSC/DO or Customer):    Customer                                 (qualitative/quantitative comparison):

  Market:        B4-R3 Singapore                         Channels: New Car.

                                                                                                                                                                                                Communication & Campaigns
                                                                                                                            20 units of new car with accessories worth 75,800 SGD
  Number of dealers:             1                       Costs: 320 SGD (200€)                                              (48.000€).

 Detailed description/impressions                                                                                   Challenges and lessons learned
  What did you do?                                                                                                  • Getting Sales team to plan and commit on the 90 days
  • Together with new car sales, we introduced 20 units of BMW                                                        advanced ordering.
    116D with M Aerodynamic Kit as standard.
                                                                                                                    • Regular monitoring on parts shipment to avoid any delay and
  • To further accentuate the car sportiness, it was bundle with                                                      disappointment to our Sales team & New car owners.
    BMW M Performance Parts.

                                                                                                                                                                                                Events & Trainings
                                                                                                                    • Lengthy homologation process by local authority.

                                                                                                                    Accessories set-up
                                                                                                                    • BMW M Aerodynamic Kit

                                                                                                                                                                                              Packages & Editions
                                                                                                                    • BMW M Performance Front Grille
                                                                                                                    • BMW M Performance Accent Stripes
                                                                        Accessorized Display Car in the showroom.
                                                                                                                    • BMW M Performance Rear Spoiler
                                                                         Contact information
                                                                         Name: Kris Lee
                                                                         Mail: kris.lee@bmwasia.com

Best Practice Report | BA-220 | Q1/2018                                                                                                                                             Page 48
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