BMW XM: A Tale of Bold Ambitions, Modest Sales & The Z4 Surprise

BMW XM vs. Reality: When Audacity Meets Market Resistance

BMW Finished 2024 with a familiar victory—once again topping the global luxury car sales charts with 2.2 million vehicles delivered. But behind the celebratory headlines, there’s an interesting detail worth noting. The XM, BMW’s boldest and perhaps most divisive SUV to date, hasn’t exactly set the sales world on fire.

Full Image Gallery Featuring the BMX XM

The XM's Rocky Ascent

The XM, BMW’s luxury plug-in hybrid SUV, recorded only 7,813 units sold globally, even with a respectable 15.8% increase over its 2023 debut. The twist? It trailed behind the aging BMW Z4 roadster, which managed 10,482 units despite a 4.3% year-on-year sales drop.

On paper, the XM checks all the boxes:

The fastest Sports Activity Vehicle (SAV) in BMW history (particularly in the high-performance XM Label Red variant).  A potent 4.4-liter twin-turbocharged V8 paired with a hybrid system producing up to 748 horsepower.   The ability to run in full-electric mode for up to 80 km. However, reality paints a different picture.

America's Love-Hate Relationship With The XM

The XM found its strongest following in the United States, with 1,974 units sold—just over a quarter of its global tally. But even this wasn’t enough to shake the niche label that clings to it. U.S. buyers only get access to the high-powered V8 variants, unlike Europe where a more affordable XM 50e, powered by a six-cylinder hybrid setup, starts from €132,400 ($144,300).

The XM’s base price in the U.S. sits north of $161,000, placing it well above BMW’s more traditional M models like the X5 M Competition—an SUV many enthusiasts feel delivers more bang for the buck.

Full Image Gallery Featuring the BMX Z4

A Z4 Comeback?

In an era where SUVs dominate, seeing the Z4, a two-seat roadster, outsell a performance-laden SUV like the XM is surprising. Sure, convertibles tend to have cult followings, but outselling a brand-new hybrid SUV during its first full sales year is no small feat. The Z4’s steady demand—even in a declining market—shows that emotional appeal and accessible pricing (compared to the XM) still hold sway among luxury car buyers.

What’s Really Going On?

The XM’s sales narrative is not just about numbers, it’s about strategy. BMW consciously chose to shelve the long-rumored M1 spiritual successor—an exotic mid-engine sports car in advanced development—in favor of the XM. Why? Economics. SUVs continue to dominate globally, and building a high-margin SUV on an existing platform was financially safer than rolling the dice on a bespoke supercar.

BMW has just teamed up with Huawei to bring HarmonyOS and HiCar to its next generation of electric vehicles.

Zooming Out

The XM’s 15.8% sales uptick is a positive sign, but it’s still playing in the shadows of BMW’s heavy hitters. Just take a look at the X1 and X2—together, they tallied over 413,000 sales, outselling the XM by more than 50 to 1. Even the bigger X7, despite a small decline, still sold nearly 60,000 units. Interestingly, even the Z4 roadster—a low-volume sports car—managed to edge past the XM in sales, hinting at the continued appeal of BMW’s more traditional offerings.

That leaves the XM in a tricky spot: a bold, high-profile SUV that’s yet to find the widespread momentum needed to fully justify its flagship status.

Source : Motor-1

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