BMW retained its global luxury sales crown in 2024 despite a 2.3% drop to 2,200,217 vehicles. Its competitors fared worse: Mercedes fell 3% to 1,983,403 units, while Audi dropped 11.8% to 1,671,218. However, nearly all BMW models saw declines, except two. Ironically, one of those models was the BMW XM.
The 2024 BMW Annual Report reveals the XM, a plug-in hybrid SUV, saw a 15.8% rise in sales, reaching 7,813 units. Despite this growth, the BMW XM remained at the bottom of BMW’s sales rankings. The Z4 performed better, with 10,482 units sold, which was still a 4.3% decrease from 2023.
SUV vs. Roadster?
Some might argue comparing the XM and Z4 isn’t fair, given the price difference. However, when was the last time a convertible outsold an SUV? The BMW XM’s sales surge isn’t entirely unexpected. Launched in spring 2023, 2024 marked its first full year on the market.
Out of the 7,813 XM units sold, 1,974 went to customers in the United States. In North America, BMW doesn’t offer the cheaper six-cylinder XM 50e. Initially, BMW projected the US would make up 26% of global XM sales. The actual number was 25.27%, which was close to the target.
The base XM in the US starts at $161,425 for the 2025 model. The cheaper XM 50e in Europe is priced at €132,400 ($144,300) in Germany or even lower in other countries. However, many find the X5 M Competition a better value, especially if they aren’t a fan of the BMW XM’s styling.
Choices & Consequences
BMW’s decision to launch another SUV seemed safe but came at a cost. The XM replaced the highly anticipated M1 spiritual successor. A new mid-engine sports car, 95% complete, was canceled in favor of the XM.
While we’ll never know how the sports car would have performed in sales, it would have marked the arrival of a long-awaited M1 successor. It could have bolstered BMW’s image after years of mixed reactions to its styling and growing focus on SUVs.
Ultimately, financial considerations won. The BMW XM, built on an existing platform with a powertrain shared with the M5, was less expensive to develop. This approach mirrors BMW’s decision with the 3.0 CSL and Skytop, both limited-run models based on existing vehicles, the M4 Coupe and M8 Convertible.
Though the XM’s sales may not have been groundbreaking, we still hold out hope that BMW will deliver a supercar someday.
Conclusion
While the BMW XM experienced a sales boost in 2024, it still struggled to rise above the competition. Thus, it stayed at the bottom of the brand’s lineup. Despite its unique appeal, the XM’s sales reflect a broader trend towards SUVs, overshadowing other models.
BMW’s decision to prioritize the XM over the M1 successor may have been financially driven. However, enthusiasts still dream of a genuine BMW supercar, leaving them hopeful for the future. Thanks for reading till the end. Let us know what you think in the comments below.
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