BMW brand to roll out agency model in Europe from 2027, sales boss says

Some automakers have stepped back from the agency direct-sales model, but BMW Group says it is committed to rolling it out in Europe for its core BMW brand in 2027 after putting agency in place at its sporty Mini brand.

https://www.autonews.com/bmw/ane-eu-...les-mini-0916/

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Summary

BMW’s Agency Direct-Sales Model

BMW stays committed

Despite some automakers retreating, BMW Group will roll out the agency direct-sales model for its core BMW brand in Europe in 2027, following the path already taken by its Mini brand.

Jochen Goller (BMW head of customer, brands and sales) reaffirmed this at the IAA auto show, calling it “the right approach.”

Mini’s phased switch shows proof of concept

Mini began the transition in 2023.

Italy, Poland, and Sweden adopted it on Jan 1, 2024, with more countries (including Germany) joining on Oct 1, 2024.

Now 23 Mini markets use agency sales.

Initial challenges—integrating systems and training dealers—have been resolved, with positive feedback and appreciation for harmonized pricing.

Timeline adjustment for BMW brand

BMW originally targeted early 2026 for its core brand.

The timeline is pushed to 2027 to ensure a smooth rollout and “benchmark level of operational excellence,” with exact market-by-market dates to come.

How the agency model works

Dealers act as intermediaries/service agents and earn a fixed fee.

Automakers own the inventory and typically fund marketing and sales campaigns.

Enables direct customer contact, better supply-chain and promotion management, and nationwide uniform pricing, saving an estimated 10%+ in distribution costs.

Market context

Mercedes-Benz has already adopted agency sales in many European countries (and with its Smart brand).

Other major automakers— Volkswagen Group, , Volvo, Renault, Toyota—have paused, reversed, or declined agency sales due to stabilised demand and production.

Experts note agency sales give BMW stronger control of the premium customer experience, aligning with its brand strategy.