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      01-25-2012, 12:56 AM   #1
dbs600
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BMW's New Distribution System

I find this very interesting!

http://www.4wheelsnews.com/bmw-to-im...-half-of-2012/
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      02-20-2012, 04:17 PM   #2
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I guess I don't completely get it. BMW is storing vehicles at a central location in order to lower floor plan costs, and increase margins of the dealers -- if they're the ones who run the floor plan why not just reduce the dealers cost of the floor plan, and avoid the extra storage/distribution costs?

Unless.... they perceive greater sales due to the availability of cars in the "region" vs. dealers having to do backroom dealer-trades if the car the customer wants is not in stock locally. But it seems they could fix that scenario by just mandating some dealer trade program bundled with the lower floor plan costs?

It is interesting though!
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