BMW to sell luxury cars for less online

The BMW i3 concept car at the 2012 Detroit Auto Show in January. (John T. Greilick / Detroit News)

BMW will sell cars over the Web for the first time as the world's largest maker of luxury vehicles seeks an inexpensive way to reach more buyers to recoup spending on its electric models.

A direct online sales platform for BMW's new I sub-brand will be unique in an industry where, outside of small-scale experiments, competitors leave Internet orders for cars to dealers. BMW's range of strategies for the models, including a roaming sales force backing a limited showroom network, reflects the challenge carmakers face as low-emission vehicles trickle into dealerships to sluggish demand after years of development.

"There is considerable risk in BMW's approach of promoting the I brand so prominently," said Stefan Bratzel, director of the Center of Automotive Management at the University of Applied Science in Bergisch Gladbach, Germany. "There is the image risk, if they don't succeed as quickly as expected, and then there's the main risk of costs, which can only be countered with high deliveries."

BMW opened the I models' first showroom Tuesday in London, although only prototype cars and informational materials will be displayed at first because the vehicles themselves won't go on sale before next year. BMW is spending about $3 billion developing the i3 battery-powered city car and i8 plug-in hybrid supercar, according to an estimate by Frost & Sullivan. Industry sales of electric cars last year, at 43,000 vehicles, were only 57 percent of the 75,000 deliveries predicted by Sarwant Singh, a London-based automotive partner at the consulting company.

Starting prices posted

The four-seat i3, scheduled to reach the market in late 2013, will be priced at about 40,000 euros ($48,500), Bratzel estimated. That compares with a 23,850-euro starting price ($29,388) in Germany for the 1-Series, the cheapest BMW-brand car. The i8, targeted for sale in 2014, will cost more than 100,000 euros ($123,221), according to Ian Robertson, BMW's sales chief.

Details of how I-model buyers, the website and dealerships will interact are "still in the planning process" and will be communicated later, Linda Croissant, a spokeswoman at Munich- based BMW, said last week. Sales will be focused on the world's major urban areas, she said.

The online sales option is aimed at a generation of drivers used to making daily purchases over the Internet, and will be an extension of the car configuration that most automakers offer customers to view models with desired options such as interior colors, seat materials and roof styles.

Test drives not an option

The Internet platform may take a while to catch on because "many customers will still want to go somewhere to look at and drive the vehicle before buying," said Ian Fletcher, an auto analyst in London at research company IHS Global Insight.

"With new technologies, there may be even greater skepticism about buying a car over the Internet, as in many cases you'll have to win the confidence of customers that it works and there is support for them," Fletcher said in an email.

The setup may help BMW reduce expenses: Internet sales require less than half the cost of distributing through a dealership, according to Ferdinand Dudenhoeffer of the Center Automotive Research at the University of Duisburg-Essen in Germany. That allows online car prices to be 5 percent to 7 percent less than showroom tags.

Still, BMW sees standard dealerships as "the backbone of what we are doing in the interface with the customer" for the I models, Robertson said in June at a press presentation at the sub-brand's Park Lane showroom in London.

Dealer selection criteria

Outlets will be restricted to dealers with high BMW-brand sales volume who have floor space as well as capacity to work with I models' powering technology and carbon-fiber body material, Robertson said. The carmaker has chosen 45 of its approximately 200 dealers in Germany to sell the i3 and i8, a ratio that will probably be similar elsewhere, he said.

Dealers will be designated as agents for the I models, which provides an "advantage" by keeping the vehicles on the carmaker's books, the association of BMW distributors in Germany said in an email.

Electric vehicles' disadvantages versus conventional cars include costly battery packs, limited ranges and the time needed to recharge. Consumer reception to models like the Nissan Motor Co.'s Leaf and General Motors Co.'s Chevrolet Volt has been tepid.

"Currently available electric cars have a limited market success because they are a big compromise," said Arndt Ellinghorst, a London-based analyst at Credit Suisse AG. "Customers are not willing to compromise and spend a lot of money."

Carbon fiber bodies lighter

BMW Chief Executive Officer Norbert Reithofer started Project I at the end of 2007 as tighter emissions regulations threatened the viability of sporty sedans. BMW chose to create all-new vehicles that use expensive carbon fiber for a lighter body to make up for the weight of the battery system.

The approach contrasts with a decision by Daimler AG's Mercedes-Benz Cars division to convert existing models, such as the van-like B-Class or two-seat Smart, to electric power.

To make its electric vehicles more attractive, Stuttgart, Germany-based Daimler's Smart brand offers to lease the battery separately from the car. The automaker has a target of selling more than 10,000 of the models next year, with a starting price of 18,910 euros plus monthly battery rental at 65 euros.

The I models' new technology poses risks for BMW, "but they have no choice if they want to keep their premium and image as an innovation leader," Ellinghorst said.

The i3 and i8 will probably be among BMW's lowest-selling models through 2024, alongside the existing Z4 roadster, according to IHS estimates. In 2014, the first full year of production, BMW will probably deliver 31,380 i3s, compared with 564,760 of the best-selling 3-Series model and 18,101 Z4s, a study by the research company shows.

BMW's stance is that the models should produce earnings from the start, sales chief Robertson said.

"We clearly, as a company, go into any product launch with the view of making profit, which is no different with the I brand," Robertson said. "This is a car line just as every other car line, and we intend to make profit from Day 1."

star wars recreations of famous photographs

a photo series by david eger recreates famous photos and paintings with star wars figurines and handcrafted sets
above: 'troopers raising the flag on iwo jima' (joe rosenthal's 'raising the flag on iwo jima')
all images © david eger
as part of a year-long project '365 days of clones', canadian art teacher david eger has recreated famous photographs and paintings 
using star wars figurines. the scenography is done in real life rather than in photoshop, in a project that was eger's response to his 
new year's resolution to pursue personal photographic endeavours more often.

eger photographed each piece on a date relevant to the original work: the anniversary of the date the photograph was taken
in the case of most contemporary pieces; or the birth or death dates of the artist for images like his recreations of pablo picasso's
'guernica' or leonardo da vinci's 'vitruvian man'.



'troopers atop a skyscraper' (charles c. ebbets's 'lunchtime atop a skyscraper')




'abbey road' (ilan macmillan's 'abbey road' cover shot of the beatles)



'galactic gothic' (grant wood's 'american gothic')



'B.F. boba fett' (cover of film 'E.T. extra terrestrial'), with yoda in bicycle basket



'migrant trooper' (dorothea lange's 'migrant mother' great depression photograph of florence owens)



'a royal kiss' (recreation of the wedding day first kiss of prince william and catherine middleton at the buckingham palace)



'gandhi' (margaret bourke-white's portrait of gandhi spinning cotton)



'million trooper march' (bob adelman's photograph of martin luther king jr.)



eger's setup for the 'million trooper march' recreation



'the cloned kiss' (alfred eisenstaedt's 'the kiss')

A British photographer's adorable images of puppies, ducklings and even kittens in hammocks will brighten up any rainy day.

Master of cuteness Mark Taylor's images are in demand all over the world for the purr-fect way they capture a softer side to our best-loved animals.

His photographs are a legacy from his late mother Jane Burton who pioneered the style so familiar on calendars in offices and maths teacher classrooms everywhere.

Fosset the kitten with a yellow gosling: Photographer Mark Taylor is famous around the world for his cute shots of animals in unusual poses

Fosset cuddles up to his gosling friend: Mr Taylor's photographs are a legacy from his late mother Jane Burton who pioneered the style

 

Stanley the kitten with a duckling: Despite the menacing look in Stanley's eyes, Mr Taylor has never had any incidents where one subject ate another

Using a simple clean white background and some unusual animal pairings Mr Taylor's style has seen him make the cover of prestigious wildlife magazine National Geographic.

In this set of heart-warming images Mr Taylor shows why he's one of the best in his field tapping into that desire in us all to see something fluffy.

 

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• Women cat owners are 'more likely to kill themselves' due to higher chance of infection with parasite found in feline faeces

 

From ducklings with puppies, to dogs with kittens and even rabbits Mark captures them all on camera as if they were the best and friends.

And thankfully so far he's had no case of any of them eating each other.

Hear me roar: Kittens Stanley and Fosset have a cuddle

 

Guess who! Stanley holds his paws over Fosset's face as they play

 

King of the castle: Stanley climbs on top of Fosset

 

Not just for Christmas: Stanley and Fosset pose inside a gift box

Touch on that: Stanley offers his paw for a fist bump. Right, he poses with a bright red flower

 

Oh you! Stanley gestures towards the camera as he lies in a hammock

 

Time for a cat nap: Stanley and Fosset enjoy a snooze

Keeping it in the family: Mr Taylor's daughter Siena, pictured with Stanley, helps to pose the animals for her father's photo shoots

Mr Taylor, 47, creates his images all at his home studio Warren Photographic, in Guildford, Surrey.

His father Kim is a world-renowned wildlife photographer. His mother Jane, who died in 2007 after a brave battle against cancer, was one of the first to use a unique style now so well adopted by her son.

Mr Taylor, a father of one, said: 'There have been a few close shaves when we have put the different animals together, but we often "introduce" the animals to a rabbit in a cage first to gauge the reaction.

'If the dog starts licking its lips we know it might not work out well, and for example it's best not to put a Jack Russell next to a rabbit.

'I have helpers in the studio and some of the animals extras we have here, for example we have six rabbits, but others we have to bring in.

'The key to the photograph is making sure the animals are not doing anything they don't want to do because I think you can tell if they are not enjoying themselves.

'My mother was a pioneer if you like of this idea of using the clean white backgrounds and I like to think I am carrying on her legacy.'

You wanna start something? Stanley goes nose to nose with a Bichon Fris

 

My big mate: Stanley nuzzles up with Great Dane pup Tia

 

Where u go? Stanley and Tia have a play

Keeping it in the family Mr Taylor's daughter Siena, 10, is also on hand to pose up with the animals in the pictures.

Mr Taylor, who uses a Cannon 1DS Mark III camera, said that he felt his photographs were so popular because they tap into an desire in us all to relate to animals.

He said: 'I think the fascinating aspect of this type of photography is that it taps into something in us all that sees ourselves and human emotions in our pets and other animals.'