Anyone know what Nike makes? Shoes? Clothes? None of it. All their products are made by third-party firms in some faraway nation. Nike makes "brand image."
And guess what? Consumers have bought into this "new age" marketing, where the image and the logo is more important than the product itself. Nike has no staff that actually make shoes. Nike makes commercials and pays Jordan and guys like that.
BMW built a reputation and created a brand and a known logo. Personally, I wouldn't buy a 323 just because of the Roundel, but if BMW can score customers because of it, well, that's the 21st Century of business. The trick is to KEEP them as customers. Get them to buy again, and maybe move up to the profit-laden models because your entry level model blew them away.
Imagine yourself as a BMW exec. You're in a meeting talking about sales growth and how everyone is sick of Acura, Lexus, Infiniti, Subaru, Audi, Mazda, Honda and others stealing those important entry-level customers. Do you say:
"Well, I'm sick of people buying our cars that are not the true die-hards anyway. Screw 'em. Let 'em buy a C230 or IS or ES or whatever."
Sure. I'd say...
"Hey, we're friggin' BMW! Our logo MEANS something, and we need to get people in the seats. We need a way for folks to experience our "way of thinking" and turn them into BMW-philes."
And don't think margins aren't bad on $35-45K cars. Beats the crap out of the thin bucks a Yaris offers. But, lots of Yaris customers also own a Camry or Tundra or...
So, we BMW product guys drop some gear, find an engine that's fun and smooth, but won't steal 325 or 330 customers, and work out a price that can be advertised as Lexus-matching or beating. A REAL car for $35K? You bet! We'll make some options available, as we make good money on those and maybe even move a 325 out the door thanks to the 323 getting close with goodies.
There will always be customers that buy a BMW just because it's a BMW. I doubt that will ever change, and BMW doesn't mind one little bit. One good thing about it is that BMW seems to be offering superb value in the whole 3-series line thanks to intense competition. Also, those folks that lease it and can't really buy it out at the end, turn it back in and guys like me have a great source of sweet 3-4 year old used buys.
There is one more point I want to belabour, and because I can type fast, I will. (the fact that I can type fast is surprising, but that's my little secret) Anyway, my point is...
Why does not overspending make you a "poseur." Because someone who didn't want to/can't afford the lease payment on a 330Ci means they can't appreciate a BMW for it's driving capability? So often cars like the 323 are run down because the don't have the power or equipment of the higher models. So what? Let me explain using PCA members...
Some of the PCA guys (Porsche Club) are not rich. Surprised? Some don't have much money at all! But, so what? They come out with an old 914 and they LOVE their Porsche. Just because they don't have a 911TT with X50, who cares? Any of the 914-4's can be outgunned by a Yaris AT dragging a house trailer! But, those 914's are still fun. Just because you see someone driving a 323, don't think they didn't buy it because of the way it drove, as well as the logo. I suspect many of those cars are sold because people felt "right" during the test drive. The price in the ad got them in, and the Roundel got them serious, but I bet the drive seals the deal on many of those cars.
Now, there is "intended use." SUV guys get run down because they don't off-road. They're called poseurs. What about BMW? What are they designed for? Are these track cars? No. No non-M BMW was ever meant to see a race course. All BMW models are designed to be stylish, comfortable cars that offer excellent handling and safety. How many of you are pushing your car to it's limits everyday? If you are, you should go to jail. No kidding. The reality of life is that even in the hands of an enthusiast, a BMW is rarely pushed hard. We extract our fun when we can, but it's not as often as we would like.
I think the posters that run the 323 down just plain don't like that the "masses" are shopping a once-exclusive German car brand. But, in the ROTW (rest of the world) BMW, Mercedes and Audi have offered quite inexpensive models for most of their history. In Germany, an A180 has no effect on the prestige an SL65 carries. We need to get over it, stop being so stupid about "poseurs" and start having fun with cars again. Take a page from bikers. "It's not what you ride, just as long as you ride..."
