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BMW AG - IT Sales Opportunities - 2008

Infiniti Research Limited, May 2008, Pages: 32


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Bayerische Motoren Werke (BMW) AG is a multi-brand automobile manufacturer that focuses on the premium segments of the worldwide automobile and motorcycle markets. It has three brands: BMW, MINI and Rolls-Royce. The companys BMW automobile range includes the 1 Series, a sports hatchback; the 3 Series, including sedan, touring, coupe and convertible models; the 5 Series, available in sedan and touring models; the 6 Series, available as a coupe or convertible; the 7 Series large sedan; the Z4 roadster and coupe; the sports utility vehicles, X3, X5 and X6 and M models, such as M3, M5 and M6. A number of motorcycle models are also available under the BMW brand. The company offers ten models of MINI. The Rolls-Royce brand offers three luxury cars, Phantom, Drophead Coupe and Coupe.

Industry trends and drivers have a direct or indirect affect on IT spending of all companies operating within an industry. For example - increase in sourcing from low cost countries might influence BMW to relook at their supply chains, resulting in selling opportunities for SCM solutions, collaboration tools etc. Thus, we can conclude that industry spending on any particular IT product or service is an important indicator of the criticality of that product or service for the industry. Based on the IT spend information available in ‘TechNavio’, we have computed a ‘criticality score’ for various IT products and services, for BMW.

Various company level developments and events are important indicators of selling opportunities and drive the sales of IT products and services. For example - an acquisition by BMW might result in opportunities for IT migration and integration services. By tracking these sales drivers (using ‘TechNavio’), we have arrived at a demand score for each product and service.

Through an in-depth analysis of industry trends and drivers and company level developments and events, we have made the ‘IT Selling Opportunities Map’ for hardware, software and IT services for BMW. These maps have been divided into four zones representing Level I, Level II and Level III opportunity areas. Level I opportunity areas have the highest scores and hence, there is a high probability that BMW will buy these products and services. Level II opportunity areas have lower scores and hence, lower probability to sell to BMW. Level III opportunities have the lowest scores and hence, unlikely to sell to BMW.

The report is meant for IT vendors and intends to help them identify selling opportunities within the company. Further, the identified sales drivers can be used to penetrate these accounts or increase current share of the customers wallet. Also, the report lists key IT spending decision makers, which will enables salesperson to directly contact the key executives within the company.



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