MINI to Scale Back in Europe, Expand in Asia, USA
The European branch of Automotive News is reporting that MINI’s Dr. Kay Segler admitted to plans to scale back MINI’s sales operations in Europe due to the current sovereign debt crisis. That will mean a reduction in the number of MINI dealerships present in certain markets. However, drops in demand in Europe appear to be more than made up for with record sales in both the USA and Asian markets such as China — who saw a 51% increase in sales last year in that country alone. The USA remains MINI’s largest market, with a record sales year in 2011 and a growing lineup of model variants designed to appeal to an even broader group of MINI buyers.
Concordantly, MINI will be further expanding its dealer presence in both the USA and Asian markets. From Dr. Kay Segler:
“We will expand our retail network in China, Korea and the United States. We will be reducing the number in markets such as Spain and Italy since some dealers are running out of steam. But we remain optimistic even in these countries.”
So it would appear that in terms of MINI presence, Europe’s loss is the world’s gain. However, it also appears that this will simply be a redistribution of current production capacity, as MINI has not taken any steps to expand its manufacturing capacity. Automotive News puts that capacity at 400,000 cars annually between MINI Plant Oxford and the Magna Steyr facility in Austria where the Countryman is built. So while MINI may not be producing more cars, they’re taking steps to court more buyers where they’re seeing the most growth.
[Source: Europe.Autonews.com]
<p>Sounds like Italy, Spain and Portugal aren’t doing so hot. Which is similar in scope to what BMW is rumored to be doing. If memory serves me, Italy was a big market for MINI not so long ago and I am sure the money issues there are making it less than profitable- possibly seeing losses.</p>
<p>Good news for us I guess, but I also think the Mini has lost some of its appeal by being just a bit too common. I miss when you still got a wave from your fellow Mini motorers.</p>
<p>For me it’s “lost it’s appeal by being a bit too pricey”. Unfortunatley MINI re-classified themselves from entry level to Premium in or abouts 2006/2007. The cost of a 2012 MINI (non S) vs my 2004 build (configued the same) is now $25,245 (without tax and lic.) vs $22,800 which includ. CA tax and lic. If you did a nice config. for the 2012 it would cost you close to $30,000 without Nav. C-R-A-Z-Y. I’m sorry just no worth it. </p>
<p>Yes the 2012 now comes with dynamic stabliity control (due to US law requirement) and the multifuction steering wheel; which was an option on the 2004. But – 2012 only has one choice for 15″ rims (vs 3 choices in 2004), 1 choice for steering wheel style vs 2 choices in 2004 (at no cost), no more anthrachite surface (it was a no cost option in 04), now you can only get the no cost white silver – eeeech. No more yellow as body color (no cost option). No you’re only choices for no cost body color is: White, Red or Blue. The original silver has been replaced by an ugly shade of silver (White Silver) (welll that’s a personal taste thing).</p>
<p>While the new engine has better fuel econ, the Tritec was a better overall engine. While I don’t expect a MINI to cost in the 14K to 18K with nice options, costing in the high 29K to 30K for a car that has limits is crazy. Some things should be standard such as a USB port. As always, just IMO. </p>
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<p>You are funny…</p>
<p>I understand. My PW/B 2003 MINI with the red cloth interior and door panels (no-cost option) was $18325 off the showroom floor with the premium package. Over the years I added many options, but at least the upfront price was palatable. Now it is too expensive for a product that, at least in my eyes, is not actually any better. I am looking forward to the next-gen Cooper; hopefully it will justify the price increases. </p>
<p>I understand. My PW/B 2003 MINI with the red cloth interior and door panels (no-cost option) was $18325 off the showroom floor with the premium package. Over the years I added many options, but at least the upfront price was palatable. Now it is too expensive for a product that, at least in my eyes, is not actually any better. I am looking forward to the next-gen Cooper; hopefully it will justify the price increases. </p>
<p>It’s strange that in this climate my local MINI dealer (here in the UK) was keen for me to buy a new Countryman at nearly £30K, but not so keen to offer any deals. I could understand it when I got my R53, as there was still a waiting list, but now I’m not so sure.</p>
<p>Autoweek is reporting that BMW has made a bid for the remains of SAAB. Interest is in the Trollhattan plant for MINI production.</p>
<p>Could this mean more dealerships here in the US? That would be great news, and terrible news. More MINIs on the road means I feel less special, but more dealerships gives me more options for places to take my car.</p>
<p>With the high unemployment that still plagues the US economy, poor job market and a generally bleak long term outlook, I wonder who exactly is snapping up all these $30K and $40K brand new MINIs out of showroom floors?
Could it be the 1% of the population or folks that live up to their eye balls in revolving debt?</p>
<p>It’s the fact that things aren’t really bad as they seem. Yes people lost their jobs but majority who still have jobs didn’t somehow magically have their wages reduced. Anyways, this makes pure sense, seeing how those countries are in financial turmoil. With the growth that has slowly begun in the here, US is a few years ahead of Europe when it comes to recovery and a global company like BMW cannot just stand around. Good move on their part.</p>