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Tasansal, you're exactly right. I installed this hitch on my 2014 328d xDrive, and I replaced the metal bumper over the hitch before torquing down the four nuts. I would not advocate just tossing the internal bumper.
Invisihitch is really a fantastic product. Last year, I towed a 2500 lb double axle U Haul trailer coast to coast with the Invisihitch -- 9000 miles in all including side trips. I had no trouble with the hitch itself. I did hit an ice block during a snowstorm which tore out the trailer wire, but fortunately it was U Haul's part that needed replacement.
The hitch got me from Seattle to Cape Hatteras to Boston and back to Seattle. I wouldn't use any other hitch on a BMW.
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