M for a new generation

The head of BMW M product planning says the performance brand's new M2 coupe will help introduce new customers to the brand. And he's not afraid of the new car damaging the M4 sales base.

Speaking at this week's launch of the M2 at Laguna Seca in California, Carsten Pries said the company was not concerned with the new coupe cannibalising sales from its larger and significantly more expensive M3 and M4 stablemates.

In Australia the cheapest M2 is priced under $90,000 – almost $60,000 less than the M4 from which it derives a significant number of key components.

"I think it is very important that we address a new type of customer – potentially younger [with M2]," Pries told motoring,com.au.

"It is always important that you get them attracted to your brand and your model line-up as early as possible," he stated.

"When they get a little older, their demands change. For the young or at least young at heart the M2 may be the perfect car. But then as they get a lot older or the situations change perhaps they step-up to an M3 sedan for example or another M model."

According to Pries the M4 buyer is not shopping in the M2 arena.

"I think to buy an M3 or M4 is a very deliberate decision. It has a status to involve for sure. The M2 gives customers an opportunity to enter the exclusive world of BMW M at a much more affordable level," he explained.

At the other end of the BMW M range, Pries described the new M760 Li uber-limo as "testing the water" for the performance sub-brand.

M sees its future growth balanced between core and M Performance models. The M 760Li is the latter but could pave the way for a more focussed M7 in the next generation.

"Ideally it [growth] should come from both, but we always have to carefully look whether we can bring M or M Performance genes into the respective base concept," Pries stated.

"It's always a commercial decision. What is the volume potential? What is the financial exposure? What does it take to make an M 'core' performance model from a respective donor car.

"We see some additional potential for sure [in M760Li] but it has to be carefully selected because the product must reflect the core values of BMW M.

"This [new model] is testing the waters. A portfolio opportunity for sure.

"The luxury sedan segment is growing and it's something you look at as a regular basis but you always have to determine what is the real focus of [these] customers? Is it performance or is it comfort and luxury amenities?

"The mix of models [selling in the segment] appears to have shifted from a luxury understated type of vehicle to a more performance oriented offering. This is one of the reasons we wanted to add an M Performance model to the 7 Series range.

"It will be interesting for us to see how this is accepted. We will have to consider what [sales] we achieve now compared to the previous generation," he stated.