ED Purchase Timeline

[sb1805]

I am planning to start shopping around for an ED deal next month for an ED pickup in June. This is for a purchase, not a lease, so I don't need to worry about changing residuals/MFs. Just want to understand what items I should expect to receive, and when, to make sure everything is on the right track. Is the below about right? Any changes?

Jan- agree on deal/price. No production number yet, as I don't think a June pickup allocation would be had at this point, correct?

March/April- receive production number. Is this too early to expect? If I don't receive a prosecution number by when should I sense trouble and start looking for a secured allocation?

Anything I'm missing, other than the final signing/purchase? Thanks!

[m4recruiter]

Six months is about right.

I negotiated my deal in October for April ED. I began by contacting every dealer in California until I got my price (I'm located in NorCal). I used a simple email that outlined my terms and went to every dealer website and used the online form. If there wasn't one, then I used the chat form, and then contacted dealers individually. The online form produced the best results for me. About 85% of the dealers I contacted responded. Very few would discuss anything less than about $1000 off MSRP. I negotiated $1000 over Invoice, less incentives.

As part of my negotiation, I stated I would put down a deposit upon receiving a production number and build week. If you read some of the other forums, you will see allocations for week 5 coming in now. In my discussions with my CA, I expect to put down a $1000 deposit next month. There is nothing that can be done about the recent price increases - It's worth at least a set of all weather floor mats. If I don't have a production number by end of January, then I will begin worrying.

As for now, I am simply playing with Google Maps and marking interesting locations to see if I can come up with a route to follow. I'm also pricing air tickets, and once I have some dates will see what I can do as far as leveraging my timeshare points.

Good luck to you and have fun!

[sb1805]

Originally Posted by m4recruiter

Six months is about right.

I negotiated my deal in October for April ED. I began by contacting every dealer in California until I got my price (I'm located in NorCal). I used a simple email that outlined my terms and went to every dealer website and used the online form. If there wasn't one, then I used the chat form, and then contacted dealers individually. The online form produced the best results for me. About 85% of the dealers I contacted responded. Very few would discuss anything less than about $1000 off MSRP. I negotiated $1000 over Invoice, less incentives.

As part of my negotiation, I stated I would put down a deposit upon receiving a production number and build week. If you read some of the other forums, you will see allocations for week 5 coming in now. In my discussions with my CA, I expect to put down a $1000 deposit next month. There is nothing that can be done about the recent price increases - It's worth at least a set of all weather floor mats. If I don't have a production number by end of January, then I will begin worrying.

As for now, I am simply playing with Google Maps and marking interesting locations to see if I can come up with a route to follow. I'm also pricing air tickets, and once I have some dates will see what I can do as far as leveraging my timeshare points.

Good luck to you and have fun!

Thanks for the insight! And tips on your negotiation process.

[mntbiker]

I'm in the same exact situation, sb1805. I am planning a late May ED and I'm starting to compile a list of dealers that I'd like to reach out to. I have the same questions as you about timeline and "securing" an allocation this far out. Hopefully we'll get some good responses.

[sb1805]

Originally Posted by mntbiker

I'm in the same exact situation, sb1805. I am planning a late May ED and I'm starting to compile a list of dealers that I'd like to reach out to. I have the same questions as you about timeline and "securing" an allocation this far out. Hopefully we'll get some good responses.

Good luck with your search! It sounds like we won't be securing any real allocations until late March/April, but we can secure a deal for a potential allocation now.

[vonmayr]

Originally Posted by sb1805

Good luck with your search! It sounds like we won't be securing any real allocations until late March/April, but we can secure a deal for a potential allocation now.

In December 2014, I had a production number and allocation for my May 15 ED. It is possible to get them now. You can wait as long as March/April, but it is possible to get them now. As you wait longer, you run the risk of not getting the delivery dates that you want, since those are only locked in once you have an allocation and an ED contract with BMWNA.

[mntbiker]

Originally Posted by vonmayr

In December 2014, I had a production number and allocation for my May 15 ED. It is possible to get them now. You can wait as long as March/April, but it is possible to get them now. As you wait longer, you run the risk of not getting the delivery dates that you want, since those are only locked in once you have an allocation and an ED contract with BMWNA.

Whoa, that's exactly what I was hoping to hear. Do you know how that works exactly? Can the dealers use any available allocation to secure a build 5 months in the future for ED? Thank you!

[sb1805]

Originally Posted by mntbiker

Whoa, that's exactly what I was hoping to hear. Do you know how that works exactly? Can the dealers use any available allocation to secure a build 5 months in the future for ED? Thank you!

Same question for me!

[larryn]

They can only use an existing allocation and see if they can allocate it for an ED.

[vonmayr]

Originally Posted by mntbiker

Whoa, that's exactly what I was hoping to hear. Do you know how that works exactly? Can the dealers use any available allocation to secure a build 5 months in the future for ED? Thank you!

Yes. Any allocation that they have in their hands today can be used to secure your May ED - that's how it worked for me a year ago to the day. I had a production number in my hand when I placed the order and on 6 January I had my contract accepted at BMW NA and my delivery dates all lined up.

[Tommyvee]

Originally Posted by vonmayr

Yes. Any allocation that they have in their hands today can be used to secure your May ED - that's how it worked for me a year ago to the day. I had a production number in my hand when I placed the order and on 6 January I had my contract accepted at BMW NA and my delivery dates all lined up.

Does the dealer forfeit a future May allocation if they moved a January allocation to May?

[vonmayr]

Originally Posted by Tommyvee

Does the dealer forfeit a future May allocation if they moved a January allocation to May?

No - they are not moving a May allocation - they are using one that they have already received. No one knows in advance how many allocations each dealer will get each month. So there is no way to borrow against the future. The dealer gets allocations and they use them in at least three different ways

1) Order a car for them to sell off the lot. Configured the way they think will sell. Most dealers, if they don't have someone lined up for an allocation, will configure their cars when they get the allocations.

2) Allow you to place a custom order for US or ED. Will usually require a down payment. You get to configure the car the way that YOU want it. You can also take one of the allocations that they have configured for themselves and reconfigure it if it hasn't entered status 150 (production).

3) Trade that allocation to another dealer - in consideration for something else of value to them.

There may be other ways that they can use the allocations, but I don't know of any. Allocations are perishable...they must be used.

Hope that helps.

[Tommyvee]

Originally Posted by vonmayr

No - they are not moving a May allocation - they are using one that they have already received. No one knows in advance how many allocations each dealer will get each month. So there is no way to borrow against the future. The dealer gets allocations and they use them in at least three different ways

1) Order a car for them to sell off the lot. Configured the way they think will sell. Most dealers, if they don't have someone lined up for an allocation, will configure their cars when they get the allocations.

2) Allow you to place a custom order for US or ED. Will usually require a down payment. You get to configure the car the way that YOU want it. You can also take one of the allocations that they have configured for themselves and reconfigure it if it hasn't entered status 150 (production).

3) Trade that allocation to another dealer - in consideration for something else of value to them.

There may be other ways that they can use the allocations, but I don't know of any. Allocations are perishable...they must be used.

Hope that helps.

Thanks, that definitely helps. Hopefully I can find a dealer that knows/understands this. As you said it should make the chances of getting my delivery date more likely.

[vonmayr]

Originally Posted by Tommyvee

Thanks, that definitely helps. Hopefully I can find a dealer that knows/understands this. As you said it should make the chances of getting my delivery date more likely.

I guarantee you that ALL dealers understand this. This is after all their business - getting cars to sell.

When demand exceeds allocations, as the M3 does and in some areas the M4 as well, that's when dealers are hoping that YOU don't understand allocations. Dealers naturally want to sell cars. They want to maximize the profit on those cars. So if you want an ED, in May, then that's lower profit to them than a US sale, either by customer order or by trading it for something else of value. So they tend to prioritize their allocations towards one of those situations. If you want a May delivery, and they are willing to do ED at all, they figure it is all the same to them if they use a Feb/Mar allocation.

It is not all the same to you, however. Shit happens. Allocations don't come when expected or a US buyer willing to pay MSRP happens and they don't want to give you that allocation. You need to get them to commit to you, and the only way that they truly commit to you is to give you a production number with your order.

We've seen lots of folks get jerked around playing the waiting for allocation game. No production number means no allocation means no order.

[BavarianFanatic]

Requesting ED delivery tends to help grease the skids when it comes to obtaining allocations. Your build configuration can help as well (Individual configuration or highly optioned). I placed an order for an April ED in late November and received a production number about 2 weeks later. It might have helped that myself and a friend ordered at the same time.

My personal opinion regarding ED delivery is that it's never too early to start the ball rolling. All in it requires a minimum of about 3 months lead time to get everything sorted properly. You don't want to cut yourself short and be left with no time to address issues that might crop up.

As an aside, I recently learned that if you order an Individual configuration the config is locked within about 48 hours of order approval. Even items not related to the customization are locked. This is something else to keep in mind if you're still on the fence about your build.

[sb1805]

Originally Posted by BavarianFanatic

Requesting ED delivery tends to help grease the skids when it comes to obtaining allocations. Your build configuration can help as well (Individual configuration or highly optioned). I placed an order for an April ED in late November and received a production number about 2 weeks later. It might have helped that myself and a friend ordered at the same time.

My personal opinion regarding ED delivery is that it's never too early to start the ball rolling. All in it requires a minimum of about 3 months lead time to get everything sorted properly. You don't want to cut yourself short and be left with no time to address issues that might crop up.

As an aside, I recently learned that if you order an Individual configuration the config is locked within about 48 hours of order approval. Even items not related to the customization are locked. This is something else to keep in mind if you're still on the fence about your build.

Thanks!