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Buying Advice: Planning to purchase the new BMW 530i M Sport

20th July 2021, 12:42 by Rahul Nagaraj

Any tips that will help us save as much as we can, and any other information on buying a BMW?

BHPian ProximaCentauri recently shared this with other enthusiasts.

We own an Audi A4 35 TDI (2017 model) and are planning to upgrade to the just launched BMW 5 Series LCI (530i M Sport). Being a car enthusiast myself like all the respected members in this forum, we have shortlisted the Bimmer as it is our family's dream! We plan to sell / exchange the Audi A4.

Since we want to buy the car by September (Ganesh Chaturthi) and not later, and knowing that it has just been launched, sincerely need your advice on the following:

1. What kind of discounts can be expected, since we're planning to book by the end of this month or the next (stocks are limited at BMW Pune)

The response from the dealer is that no discounts currently, as it has just been launched. However, looking at past trends and that he was offering the pre-facelift at Rs 61 lakh (OTR), I'm sure I can shed a few lakhs off at least, by hard haggling. Any tips on how to do so would be truly appreciated.

2. How can I make the best of the situation and crack the best deal? Can extended warranty and BSI be used as a bargaining point?

3. Any further tips that will help us save as much as we can and any other information on buying a BMW!

Hoping to hear from you all!

Here's what BHPian amitverma had to say on the matter:

My only advice to you is… wait. These things go for at least Rs 8-10 lakhs discount and it wouldn't make any financial sense to jump the gun right now. I was quoted Rs 10+ lakh worth discounts, multiple times in 2019 / 2020 for the 530i.
Look at it this way, if you are prepared to spend an extra Rs 8 lakh on it today, you might as well wait 3 - 4 months and spend that exact amount and get the 530d? Definitely get hold of a test drive for the 530d, it'll make waiting easier.

Here's what BHPian sampadroy had to say on the matter:

As BHPian @amitverma mentioned, it's better to wait right now. You might get good discounts in Nov - Dec and these cars do see high discounts. The 5 Series LCI is the latest launch from BMW, as a result the discounts will be insignificant right now. Better to wait!
If waiting isn't an option at all for you, you may read further!
The luxury car market currently has a lot of pent-up demand and the stock availability situation is also on the negative side. In simple words, the demand is more than the supply. Hence, quite naturally the discounts will be low (quite low, in fact) and on top of that 5 LCI is the latest launch from BMW.
Expecting high discounts right now or even in the next month wouldn't be a wise thing to do but having said that, you can definitely get a discount.
You see, the dealers have a very high margin on such luxury cars and none of the dealers would want to lose a sale, that's when the discounts kick in to lure in the serious prospective buyers even in the case of new launches.
Ex-showroom reduction is the best form of discount, IMHO but in your case, that might or might not be possible at all (later having a higher probability). You should definitely haggle for the same and negotiate hard till the last moment. When you have your funds ready and you have already made up your mind on the 5 LCI, you know you'll be getting it at any cost, so there's no harm in trying and negotiating as much as possible.
Try negotiating during the month-end time when the dealers have to meet their Monthly Targets and do the first round of negotiations over a phone call (Pretty sure you'll hear, "No discounts Saar, new launch Saar!"). Do keep sometime (a month or so) in hand because hard haggling do take some effort and time. Next, take a few TDs spread in a span of few days to show your interest, and meanwhile do stay in touch with your RM/SA. You may visit the showroom too for the TDs (this increases the dealer's expectation to close a sale).
Show your interest but never show your eagerness or excitement. The dealers are extremely clever and observe every possible detail about you.
Spend a month like this and do visit the other BMW showrooms too, in your region. Try getting quotes from the aggressive Mumbai dealers too, if possible, and do negotiate because you have nothing to lose here.
Finally, moving to round 2, visit the showroom (with your check book) and meet your RM/SA and let him/her know about your true intentions and also mention the time frame by which you would like to close the deal. Try finding out a senior source in the dealership or simply meet the GM once (this is required and would help in round 3).
Now, in Round 3, pitch them the quotes you have received from other dealers (after good negotiations) and simply ask them to better the offer, not match but better the offer. Stay behind your RM/SA and mention to him/her that this is the price you'll be paying and as soon as they match the price you'll be closing the deal. Pressurizing and luring back the dealer does work as each sale matters to the dealer.
Also, in the final round of On-table negotiations in the showroom, always keep your checkbook ready and place it on the table, literally. It works!
All these should definitely bring down the price. If not, meet the senior source in the showroom or meet the GM and let him/her know about your offer and then repeat the same thing (steps of negotiation) in the presence of your RM.
Pretty sure, after this you'll be offered a good price and you'll be able to close the deal.
Don't be in a hurry and just don't give up. It's a tedious procedure but it works and when you get a good deal, nothing would matter more than that. Hard haggling is definitely hard and time-consuming, but you'll be able to do it!
Won't comment on the exact extent/value of the discount you'll be offered but it can and should be somewhere between 1.5L-2.5L or more on the ex-showroom.
The above-mentioned points should help you in cracking the best deal and make sure you haggle hard!
Coming to the second part, Yes! Insurance and the BSI, BRI packages are to be used in negotiation after the ex-showroom discounts.
Try getting the insurance for free from the dealer and if the dealer isn't budging enough, try getting your own preferred insurance quote from outside and simply ask the dealer to match it, or else you can get your own insurance too. This way you'll be able to save more.
Next comes the BSI/BRI packages and generally dealers do give the packages at good discounted rates and if you negotiate hard and are lucky enough, you might get the packages for free too (ofc, depends on the dealer's attitude towards closing a deal)!
Do ask about the exchange bonus with the deal as you're planning to sell/ exchange your Audi A4. If not convincing enough and if the right value is not offered for your car, you may sell it personally through Olx (time-consuming but worth it), and rest assured you'll get a better price for your A4.
If the dealer is offering you accessories, if possible, deny it and ask for a cash discount instead.
All these discounts from the different heads should sum it up and should get you a good total discount on the final OTR price.
This website shows the stock availability with the dealers and you may use it in order to negotiate. Remember, more no. of vehicles with the dealer = more liability (financially) for the dealer = more is the desperation to move the stocks.
And as I said before, do let the dealer know that you're interested and you're a prospective buyer who'll be buying the 5 LCI soon but don't let the dealer understand your eagerness/excitement and also that you'll be buying the car any which way. Be firm with your negotiation!
Also, Dream>>> Discounts! So even if you don't get your desired discount after hard haggling, do go for the BMW 5 Series LCI with a happy heart!