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2010 2011 BMW 5 Series Forum F10 Mandatory Navigation & BMW Pricing |
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06-03-2011, 09:47 AM | #1 |
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Mandatory Navigation & BMW Pricing
A few weeks ago, someone on this forum indicated that BMW was unable to source the electronic parts for the standard (non-Navigation) screens for the F10 because it was unable to obtain essential parts from a Japanese supplier.
Certainly something changed, because Navigation became mandatory in the USA and Canada for cars ordered in May. I noted in an earlier post that: 1. In the USA, Navigation was offered for free; 2. In Canada, the Executive Package (which includes Navigation; $5,400) was made a "mandatory option". Someone on the forum suggested BMW's action simply reflected weak market conditions in the USA. Apparently not. As of June, configuring a 535i on the BMW US website indicates Navigation has become a mandatory option ($1,900). That suggests either the U.S. market is in reasonable shape, or BMW has decided to take special measures to ensure customers don't get lost on the interstate system. Will citizens take to the streets to protest this affront to freedom of choice? |
06-03-2011, 10:39 AM | #2 |
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Why would anyone want the F10 without the nav? Sure, it's overpriced and underperforms a $100 garmin, but the dash without the nav is hopelessly cheesy.
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06-03-2011, 01:59 PM | #4 |
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The Nav is still being offered at no charge. I guess they are still not able to get the components needed for a non nav spec car. Do you not want the free nav?
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06-03-2011, 02:49 PM | #5 |
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Why is it free in the US and a mandatory $2K option in Canada? Did the base price increase in the US?
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06-03-2011, 05:01 PM | #6 | |
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Navigation: Let's Go Through This Again
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The normal starting point for most negotiations of new orders is MSRP. In the US, the base price for a 535i is currently $50,100 plus $875 destination & handling = MSRP of $50,975. Now, if you take the BMW USA website as a guide and try to replicate that MSRPt using "Build Your Own", you will find that Navigation is automatically inserted into the equation and cannot be avoided. So, the true starting point for MSRP is $50,100 + $1,900 +$875 = $52,875. In other words, Navigation has become (for now) a "mandatory option" that involves an additional cost of $1,900. Navigation has, in effect, been added to the 535i's list of standard equipment (at least temporarily) and the effective base price has been adjusted from $50,100 to $52,000. BMW simply doesn't want to show it that way. This is no big deal, I just thought it was slightly amusing. Most of us grew up in a world where 'optional equipment' was, in fact, optional. |
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06-03-2011, 08:46 PM | #9 | |
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