Don't see how its different to any other BMW... hardly an outrage. Spec a top end 3/4 series... a 440i starts a at £46k easily 53k with options. Same with depreciation curves M3/M4s there are loads under 30k now 4 years later.
With PCP being sold as paying the depreciation and handing the car back. Get a brand new car, spec it up exactly how you want, no service to pay for 3 years and hand it back for another... most people wont even bat an eyelid. Then the market ends up being full of PCP cars every 3-5 years like the mass drop of the M135 3 years later.
Been like this for a long with BMW.
In most cases its cheaper to buy a new car over the 3 years than PCP a preowned or pre reg car because the APR almost triples. Under 3 for new, Under 5 for pre reg and Under 10 for pre owned. Its often cheaper to order a new car over 3 years at 3% than it is to buy the same 12 month old car preowned on similar plans. It also depends on what finance you took on your current car, many people get stuck in the 3-5 year plans. So many factors and really I dont think its a big deal even at 55k these will be affordable to a lot of people. To the people that cant this wont even be on their radar.
Regardless of your feelings toward how you purchase a car (and I dont intend to start and argument about that) it is a fact that this is how most people buy cars. All finance, there is no benefit or movement to pay cash, more movement on car costs with finance. Even top end supercars are never ever bought with cash, just doesnt make sence. Most money savvy people will finance and invest that money in another venture to make that money work harder etc etc
As for what ever other 7-8 year old car you can buy... fair enough but the cost to run will still cost you like a £100k car like the R8 example. Most people will be able to afford the payments but will it get looked after properly. The maintenance cost over 3 years for the Z will be 0 with a service pack and warranty for 3 years which is the draw for some. Most people will allocate £3-600 per month regardless.
You know as a consumer a new car isnt an investment. If you want an investment its not going to be a daily. Not saying it makes sense to loose 20k over 3 years but its the norm on a car like this. But if you PCP are you loosing 20k? or does it mean that other 30k you would pay upfront can be spent on something else or invested to help offset the cost of having the latest and greatest. Different argument.
£55k is a lot of money but in the market its not really. The Boxster S 718 starts at 53k with no spec at all, great car but its lost its soul with that 4 pot impreza sounding boxer engine. At least the Z4 has a potent 6 cyl still, that may be the main positive of the Z4. Porsche has made a mistake with that 718 although the decision is forced it has opened the market up. BMW might have been quite clever here.
Add a few normal options that the BMW comes with and that boxster can hit 70k. In all honesty with similar tech to the Z4 the Boxster S is more like £75k... that is mental.
So really I dont think £55k sounds a lot. Anyone who is interested in buying a new car, not a pre owned, 10 year old, bottom of the depreciation curve I think it wont look unattractive. People have got very used to Z4s being cheap the E89 was so hard to shift and the E85/6 until recent years has also been the dirt cheap M car.
You cant get away from the fact they are one of the cheaper cars in the category yet offers the higher end of the scale in terms of power, tech and interior quality. Still a BMW and an aspiration purchase.
I think it is appealing, what I do wonder is where the buyers will come from. The Z4 has been absent from the market for a long time and most people who buy new cars will have moved on a while ago and wont be upgrading their Z. Because there is no M option its a struggle to temp them back if they have headed up the ladder. The Boxster S and Cayman S were always M competitors not 35IS or M40i etc
This is the issue with the fake Ms, they dont come with the best bits like the Ms used to like diffs, better suspension etc What porsche always does well is that the base cars always drive super well and the other options are generally marketing. With BMWs they dont compete as well. Great on the road but get them into the twisties and they just arent as good. As we all know with some simple mods the all Z4s can be weapons but the fact is most new buyers wont and they just want something great out the box. unfortunately its alwasy the sticking point in reviews, the E85/6 M and the 35IS were slated for not being good when pushing on and that was the sticking point and why they sold so few.
People who didnt like the 718 but were looking for a sports car probably bought a 981 Boxster or Cayman S. Similarly the merc hasnt been overly exciting for years but the new kids on the block like the Alpine may have tempted a few away die hards away. Similar with lotus but I dont think their cars compete here they are too stripped out to offer similar experience. The F type is gorgeous but again speccing a new one up is way over 55k. The TT was never a sportscar but is a better daily with 2+2 but the newer generation S and R are pretty incredible.
What exactly are the competing cars... probably BMWs... last few people who PCPd the end of the E89 line which I would say is almost nobody as they were not a good proposition and expensive, even discounted. M140, M240 lots of those will be up on PCP plans. M3/M4 people who like BMWs but didnt have a 2 seater option probably upgraded to that but I cant see people downgrading to a pretend M only for the roadster experience and will look further up the line.
New Competitors
Cayman, Boxster, F-type, SL AMGs all are about 10-20k more
TT, M2, Alpine, 4C, Mustang similar money
New hot hatches? M1/240, S3, Focus RS, Golf R, AMG A45 quite a large difference in price.
Possible PCP cycles of cars? M3/M4, C63 a downgrade from a full fat M/AMG
Then there is aspiration upgrades from: Mx5, Fiat 124 spider, BRZ, GT86 etc
If you look at the market objectively BMW might have been quite clever in the positioning with the 6 cyl twin which has been a smash hit in every car they have put it in. The roadster market is probably the most depressing it has ever been full of 4 pot petrol and diesel engines on the low end and to get up into the top end you need another 10-20k to get a car that isnt completely basic. The upper echelons are then double starting at near enough the £100k mark with similar options - 911 S, R8, i8, V8 Vantage, NSX, Corvette
Really what is the competition there are only a couple of roadsters in the same ball park. V6 F type, TT-S, standard Boxster... I think the Z4 will compete against all of those very well if not beat them in the majority of aspects including price.
Regardless I really hope this is a winner for BMW. I also hope when the reviewers get hold of them that they dont slate them.
With PCP being sold as paying the depreciation and handing the car back. Get a brand new car, spec it up exactly how you want, no service to pay for 3 years and hand it back for another... most people wont even bat an eyelid. Then the market ends up being full of PCP cars every 3-5 years like the mass drop of the M135 3 years later.
Been like this for a long with BMW.
In most cases its cheaper to buy a new car over the 3 years than PCP a preowned or pre reg car because the APR almost triples. Under 3 for new, Under 5 for pre reg and Under 10 for pre owned. Its often cheaper to order a new car over 3 years at 3% than it is to buy the same 12 month old car preowned on similar plans. It also depends on what finance you took on your current car, many people get stuck in the 3-5 year plans. So many factors and really I dont think its a big deal even at 55k these will be affordable to a lot of people. To the people that cant this wont even be on their radar.
Regardless of your feelings toward how you purchase a car (and I dont intend to start and argument about that) it is a fact that this is how most people buy cars. All finance, there is no benefit or movement to pay cash, more movement on car costs with finance. Even top end supercars are never ever bought with cash, just doesnt make sence. Most money savvy people will finance and invest that money in another venture to make that money work harder etc etc
As for what ever other 7-8 year old car you can buy... fair enough but the cost to run will still cost you like a £100k car like the R8 example. Most people will be able to afford the payments but will it get looked after properly. The maintenance cost over 3 years for the Z will be 0 with a service pack and warranty for 3 years which is the draw for some. Most people will allocate £3-600 per month regardless.
You know as a consumer a new car isnt an investment. If you want an investment its not going to be a daily. Not saying it makes sense to loose 20k over 3 years but its the norm on a car like this. But if you PCP are you loosing 20k? or does it mean that other 30k you would pay upfront can be spent on something else or invested to help offset the cost of having the latest and greatest. Different argument.
£55k is a lot of money but in the market its not really. The Boxster S 718 starts at 53k with no spec at all, great car but its lost its soul with that 4 pot impreza sounding boxer engine. At least the Z4 has a potent 6 cyl still, that may be the main positive of the Z4. Porsche has made a mistake with that 718 although the decision is forced it has opened the market up. BMW might have been quite clever here.
Add a few normal options that the BMW comes with and that boxster can hit 70k. In all honesty with similar tech to the Z4 the Boxster S is more like £75k... that is mental.
So really I dont think £55k sounds a lot. Anyone who is interested in buying a new car, not a pre owned, 10 year old, bottom of the depreciation curve I think it wont look unattractive. People have got very used to Z4s being cheap the E89 was so hard to shift and the E85/6 until recent years has also been the dirt cheap M car.
You cant get away from the fact they are one of the cheaper cars in the category yet offers the higher end of the scale in terms of power, tech and interior quality. Still a BMW and an aspiration purchase.
I think it is appealing, what I do wonder is where the buyers will come from. The Z4 has been absent from the market for a long time and most people who buy new cars will have moved on a while ago and wont be upgrading their Z. Because there is no M option its a struggle to temp them back if they have headed up the ladder. The Boxster S and Cayman S were always M competitors not 35IS or M40i etc
This is the issue with the fake Ms, they dont come with the best bits like the Ms used to like diffs, better suspension etc What porsche always does well is that the base cars always drive super well and the other options are generally marketing. With BMWs they dont compete as well. Great on the road but get them into the twisties and they just arent as good. As we all know with some simple mods the all Z4s can be weapons but the fact is most new buyers wont and they just want something great out the box. unfortunately its alwasy the sticking point in reviews, the E85/6 M and the 35IS were slated for not being good when pushing on and that was the sticking point and why they sold so few.
People who didnt like the 718 but were looking for a sports car probably bought a 981 Boxster or Cayman S. Similarly the merc hasnt been overly exciting for years but the new kids on the block like the Alpine may have tempted a few away die hards away. Similar with lotus but I dont think their cars compete here they are too stripped out to offer similar experience. The F type is gorgeous but again speccing a new one up is way over 55k. The TT was never a sportscar but is a better daily with 2+2 but the newer generation S and R are pretty incredible.
What exactly are the competing cars... probably BMWs... last few people who PCPd the end of the E89 line which I would say is almost nobody as they were not a good proposition and expensive, even discounted. M140, M240 lots of those will be up on PCP plans. M3/M4 people who like BMWs but didnt have a 2 seater option probably upgraded to that but I cant see people downgrading to a pretend M only for the roadster experience and will look further up the line.
New Competitors
Cayman, Boxster, F-type, SL AMGs all are about 10-20k more
TT, M2, Alpine, 4C, Mustang similar money
New hot hatches? M1/240, S3, Focus RS, Golf R, AMG A45 quite a large difference in price.
Possible PCP cycles of cars? M3/M4, C63 a downgrade from a full fat M/AMG
Then there is aspiration upgrades from: Mx5, Fiat 124 spider, BRZ, GT86 etc
If you look at the market objectively BMW might have been quite clever in the positioning with the 6 cyl twin which has been a smash hit in every car they have put it in. The roadster market is probably the most depressing it has ever been full of 4 pot petrol and diesel engines on the low end and to get up into the top end you need another 10-20k to get a car that isnt completely basic. The upper echelons are then double starting at near enough the £100k mark with similar options - 911 S, R8, i8, V8 Vantage, NSX, Corvette
Really what is the competition there are only a couple of roadsters in the same ball park. V6 F type, TT-S, standard Boxster... I think the Z4 will compete against all of those very well if not beat them in the majority of aspects including price.
Regardless I really hope this is a winner for BMW. I also hope when the reviewers get hold of them that they dont slate them.
