BMW announced a few weeks ago that it would not continue its i3 electric model. There will be no successor, but the model will be sold anyway. It doesn’t seem to be because the sale isn’t successful because the truth is quite the opposite. Currently in its sixth year of production, the i3 has seen five different iterations. BMW has sold over 150,000 of these cars to date, and the demand for them has increased every year. Sales were as much as 21 percent higher than in the same period last year, and sales in August were 30 percent higher. There must be some other reason they’re hiring, right? Well, it looks like it’s just a step forward for the company.
Success of the i3
In fact, the i3 was not only successful in sales, it also broke several records. The German company placed in August Number one for record performance. The electric model hasn’t shown signs that are less effective than traditional motors, it has shown that it can keep up and even beat some of them.
In addition, according to the experts at the MoneyPug page, which is often used to find Car insurance, the i3 has shown that it is quite reliable. It regularly tests very well in terms of safety, which makes it cheaper to insure than some electric models. If it’s not about sales and not about performance or security, why is the company devaluing the model of success?
Why the i3 is no longer in production
The real reason the electric car won’t have a successor is because it will start making its mainstream models electric. With this strategy, they started with their new Mini Electric, which is essentially an electric version of their classic Mini. BMW will not focus on developing new models from scratch, but rather making all of its cars electric. This suggests it is working for them and that they plan to compete with Tesla in the all-electric market. With the phasing out of the i3, BMW is signaling that electrification is a change in the overall strategy and not a side project of the luxury brand. With this new branding, they can potentially stay relevant.
BMW plans no less than 13 battery operated models by 2023. It seems they are still a little reluctant to fully embrace the all-electric branding. Instead, they are careful about the transition, which makes it less risky. You are planning to build models with classic combustion engines, plug-in hybrids and fully electric vehicles at the same time.
There will also be a new boost for hydrogen-powered vehicles, an industry the company is keen to get into. Given the pressure to make more electric models, diversification with more types of green vehicles will be of great benefit to them. As BMW is rebranding itself as an electric and green auto company, they will likely get new customers, but likely not lose the customers they have now. Electric and hydropower cars are the future and BMW seems to understand that very well.
Whether you like electric cars or not, they will continue to replace gasoline and diesel engines. BMW is taking steps to stay ahead of many automotive companies and to compete with those who are already in the market. Tesla will be their main competitor, but Porsche and Jaguar both build more electric vehicles. As the company is shutting down its popular model, it is a sign that it is even more committed to the electric car ethos.
If they succeed in building and selling these models, the German automotive engineers will in future consolidate their position as top automobile manufacturers. Whether this succeeds or not remains to be seen with time, but it will be exciting to see. Stay tuned to see what models will be made electric next and how the company will make the transition to final production of electric and hydrogen cars.