BMW dominated South Korea’s import car market, securing the top position with a significant lead over Mercedes-Benz.
The sales gap between BMW and its competitor exceeded 2,000 units, a success attributed to aggressive marketing strategies and a stable supply chain.
According to the Korea Automobile Importers and Distributors Association (KAIDA), new import car registrations in January totaled 15,229, a 16.4% increase year over year. However, due to fewer business days during the Lunar New Year holiday, this figure marked a 35.3% decline from the previous month.
BMW sold 5,960 units, a substantial 2,170 more than second-place Mercedes-Benz (3,790 units). Lexus ranked third with 1,126 units, Volvo with 1,033 units, and Porsche with 644 units.
What Drove BMW’s Market Dominance?
Aggressive discount promotions and a reliable vehicle supply largely drove BMW’s strong performance in January.
Industry sources report that BMW introduced substantial price reductions late last year. The company offered attractive discounts on multiple models, including its flagship 5 Series, successfully attracting consumers.
Meanwhile, competitors maintained more conservative pricing strategies. Additionally, despite the ongoing global semiconductor shortage, BMW managed to sustain a stable vehicle supply chain, giving it a competitive edge over rival brands.
While Mercedes-Benz and Audi experienced supply shortages for specific models, BMW capitalized on its smooth production and delivery processes to strengthen its market share.
Import Car Market Faces Sluggish Growth Despite BMW’s Success
Despite BMW’s dominance, the overall import car market remains sluggish.
KAIDA reported that the total number of new registrations for imported passenger cars last year was 263,288, a 2.9% decline from the previous year’s 271,034. In particular, December registrations fell to 23,524 units, a 13.6% drop from the previous year.
KAIDA Vice President Jung Yoon Young stated that weakened consumer sentiment and supply shortages for certain brands contributed to the market’s contraction compared to last year.
Industry analysts predict that ongoing economic uncertainties will continue to challenge the recovery of the import car market this year.
Will BMW Maintain Its Lead?
BMW kicked off this year with a strong performance, but competition from rival brands, including Mercedes-Benz, is expected to intensify.
Mercedes-Benz is expanding its hybrid and EV lineup to increase its market share. In response, BMW is steadily introducing more plug-in hybrid electric vehicle (PHEV) models to maintain its competitive edge.
