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MattDell
06-04-2006, 07:23 PM
BMW's European Delivery Program
By Eric Chyo Email
By Stephen Kowalski Email

Date posted: 06-01-2006

Are you looking to buy the latest and greatest 3 Series from your local BMW dealer? If you have your eye on a new 325i with some popular options like the Premium Package, automatic Steptronic transmission and a Logic 7 Surround Sound audio system, you're looking at an MSRP of about $37,000. Alas, it appears that this is the premium you pay to get "The Ultimate Driving Machine."

There is, however, an alternative to purchasing your new BMW at the local dealership. It requires some free time, a willingness to delay gratification and a sense of adventure. In the end, however, you can save yourself a nice chunk of change on your new BMW, see some beautiful countryside, experience high-speed bliss on the legendary autobahn and enjoy a hefty stein of Bavarian beer in the process. If you haven't guessed by now, we're talking about BMW's European Delivery program.

BMW's European Delivery program allows car buyers to save a significant amount of money by picking up their vehicle at the company's delivery center in Munich, Germany, and then drive it in Europe for 14 days (or as long as six months with add-on insurance and registration). BMW then ships it as a "used" vehicle, thereby avoiding the steep duties usually levied against imported cars.

The MSRP of a bare-bones 2006 BMW 325i is $30,900. The wholesale price of the same BMW 325i ordered through the European Delivery program is $26,150. That's a heavy discount.

We recently did a test-drive of the European Delivery program by using it to purchase a brand-new 2006 325i sedan. We ordered our BMW with the options mentioned above, plus metallic paint and navigation system. The U.S. MSRP of a 325i with those options comes to $39,445 while the Edmunds' TMV® price is $37,649, both including destination charge.

The unique set of circumstances surrounding European Delivery makes it particularly suited for bargain hunters. Perhaps for that reason, we found that not all BMW dealers in our area were motivated to sell us a car through the European Delivery program. After some searching, however, we found a Los Angeles-area dealer who was willing to sell us the car for $750 over the European Delivery wholesale price plus destination charge.

In the end, our savings from the U.S. MSRP including trip expenses was approximately $3,640 ($1,844 in savings based on the TMV price) — not bad, especially when you consider the added upside of a unique German experience cruising the autobahn in a smooth ride. The only downside to this program is the long wait for your car to arrive in the States after leaving it at one of the 21 drop-off locations scattered throughout Europe. The shipping process takes about six to eight weeks.

As a side note, you can purchase any BMW vehicle through the European Delivery program except for the X5 sport activity vehicle and the Z4 convertible, which are built in Spartanburg, South Carolina.

My BMW European Delivery experience
Although our trip to Germany was relatively short, it was filled with great memories and some unexpected drama as well.

We flew out of Los Angeles on a Thursday morning, bound for JFK airport in New York. So far so good — until we boarded the connecting flight from New York to London. Two hours into the flight, somewhere over the Atlantic, the captain announced, "Due to a navigation system malfunction, we will have to turn the plane back to JFK as a safety precaution."

This created a massive problem: We were scheduled to take delivery of the car on Friday afternoon in Munich. Due to our delay, we would arrive at the BMW delivery center a few hours past the closing time of 3:30 p.m. To further complicate the situation, the delivery center is closed over the weekend.

With hotels already booked and flights paid for, we decided to risk it and hope we could still make it on time. Our plan was to contact the delivery center when we arrived in London and ask for special accommodation for our frustrating situation. But to our dismay, the BMW delivery center representative indicated that, despite our circumstances, they were unwilling to make an exception and stay open beyond normal business hours. Due to the time difference, there was no BMW representative in the U.S. who could help. Panic began to creep in as the thought of traveling halfway across the world and being unable to pick up the new car filled our heads. However, we had one last hope.

BMW partners with E.H. Harms, an independent shipping company, to transport European Delivery cars to the United States. With the help of Stephen's fiancé making calls from America and Internet access at several airport kiosks, we were fortunate enough to get in contact with Thomas Huemann, the E.H. Harms representative who was assisting us with the drop-off logistics for our car.

When we arrived at the Munich airport, we found that Thomas was already en route to pick us up. Earlier in the day, he had retrieved our car, started the necessary paperwork, and transported the car to the E.H. Harms office. After tracking us down at the airport, Thomas apologized profusely for our travel woes and personally drove us to the Harms drop-off center to take delivery of our brand-new 325i. Now that's service beyond the call of duty.

We spent the rest of the trip enjoying the Bavarian car's delights: high-speed stability, cornering prowess and ultrasmooth power from the inline six-cylinder engine. Hitting 110 mph on the immaculately maintained autobahn was effortless. The navigation system (with a European DVD) made traveling to the various points of interest in and beyond Germany simple and fun.

Make the most of European Delivery
If we were to purchase another BMW (a new M5 perhaps?) through the European Delivery program, we would plan our trip a little differently. Here are a few tips we picked up that might make your trip a little smoother than ours:

Tips

* Find a dealer willing to negotiate from European Delivery wholesale, not European Delivery MSRP.
* The delivery center is open Monday through Friday (excluding German holidays); however, we recommend arriving no later than Thursday to mitigate unexpected travel delays.
* Consider the pros and cons of seasonal travel. While airfare and lodging is cheaper in the winter, the inclement weather and cold temperatures can make sightseeing less enjoyable.
* Carry the contact information for the Munich Automobile Drop-Off Agency (where Thomas now works) and E.H. Harms, as they may be able to help you out if you are in a bind.
* Consider an extended stay of up to 14 days to get the full experience of exploring Europe in your new BMW — 21 drop-off sites are offered throughout Europe.


Savings Breakdown
USA MSRP $39,445
Edmunds' TMV $37,649

E.D. negotiated price $34,785
Trip expenses, one person for 3 days/3 nights
Flight $690
Hotel $150
Food $120
Tours and souvenirs $60
Car rental $0
Subtotal $1,020

What we saved over U.S. MSRP, including trip expenses $3,640
What we saved over Edmunds' TMV, including trip expenses: $1,844Link: http://www.edmunds.com/insideline/do/Features/articleId=115580#4

I never realized you could save money by doing one of these. That's really cool. :cool:

-Matt

zer0_thirteen
06-04-2006, 08:07 PM
Thats awesome! I know porsche has the same system, except I think you pay more money to do so (although I think it includes tours and hotel). Maybe the Japanese companies should start doing it too? Although, Germany and the autobahn really lend themselves to this.

Kostamojen
06-04-2006, 08:22 PM
Wow thats awesome! Be nice to do that with a Subaru as well...

kg2128
06-04-2006, 08:27 PM
I know volvo does that too, but bmw doing it is even better.

bezerk
06-04-2006, 09:04 PM
Yup....I'm just scared as to how I would restrain myself in an M5 on the Autobahn during the "break-in period" of 1,200 miles!!!

Len
06-04-2006, 10:31 PM
Yep, that's the only way to buy a Bimmer.

Many other companies offer similar type of programs, such as Volvo and Mercedez. I know Audi is considering it as well. But the best thing about BMW's program is that it's just about the only program where you can still haggle your price off of the already discounted euro delivery price. This makes it a whopping deal if you find the right dealer.

Layman
06-04-2006, 10:48 PM
Yeah. Most European car companies have the same incentives.

Rapid_Roo
06-05-2006, 01:56 AM
I know of a couple of friends that have done this with Volvos and MBs.


...makes me wonder if they'd sell you an M5 Wagon...

Beaverboy
06-05-2006, 09:52 AM
Don't get your hopes up.. you can still only import a vehicle on the standard list without the hassles of trying to get a greymarket car in.

Anybody know if Germans have the option of an American Delivery Program for the Z & X cars? :lol:

registering
06-05-2006, 10:40 AM
Saab does it too (not for the 92X, though).

MattDell
06-05-2006, 11:42 AM
Don't get your hopes up.. you can still only import a vehicle on the standard list without the hassles of trying to get a greymarket car in.
Really? Even going from a sedan version to a wagon? I wonder what difference there is in the VIN.


-Matt

Yotsuya
06-05-2006, 12:11 PM
The food and lodging amounts for three nights looks a little off for an Oontzy BMW owner. And if they add tours and souveniers, I'd like to see what gas costs were, as well.

Still, even if it breaks even with US delivery, it looks totally worth it if you can get the time off work.

MattDell
06-05-2006, 12:25 PM
Yeah, those prices did look a bit low. Especially the airfare one; that's gotta be for one person only.


-Matt

industrial
06-05-2006, 12:46 PM
That looks like an awesome deal for military people. I can fly to germany for free...stay on base for $20/night...

M3 is still to expensive though. :( Maybe in a few years.

krzyss
06-05-2006, 12:48 PM
Maybe the Japanese companies should start doing it too? Although, Germany and the autobahn really lend themselves to this.

Japan is RHD, just like Australia, UK, Ireland, South Africa and some other countries in Asia.
The rest of the world is LHD.

Krzys

krzyss
06-05-2006, 12:53 PM
Yeah, those prices did look a bit low. Especially the airfare one; that's gotta be for one person only.


-Matt

Look at this at different angle. You have money for European vacation (or cruise) and you want to buy a car. Mix it together and you may even save some money.

Absolute cheapskate buys BMW like this. Flies to Munich. Picks up the car. Drops it the same day and flies back to USA.
He/she has 4-6 weeks to sell old car.

If I have enough money this will be the way I will buy BMW.

Krzys

quentinberg007
06-05-2006, 05:12 PM
When I can afford a BMW, that's the way I'm going to get it. Europe + BMW + Cheaper/Equal to MSRP = the Win.

~~Quentin

johnei
06-05-2006, 05:19 PM
Look at this at different angle. You have money for European vacation (or cruise) and you want to buy a car. Mix it together and you may even save some money.

Absolute cheapskate buys BMW like this. Flies to Munich. Picks up the car. Drops it the same day and flies back to USA.
He/she has 4-6 weeks to sell old car.

If I have enough money this will be the way I will buy BMW.

Krzys
Do people actually resell them quickly afterwards? What about tax etc when you get home?

I know Volvo has an incredible program too.

NismoSkylineGTR
06-06-2006, 06:58 AM
if the japanese do it i would want to visit some of the mountain roads (LOL)