As Bob Dylan sings, “The times they are a changin,” and so it is true for the business world. As technology advances, the way we conduct business changes, and for many in the business world, technology is leaving them behind! In order for a business to stay competitive in today’s marketplace, it must be able to keep up with and utilize the latest technology in its products, services and the way it operates.
BMW started out in 1916 as a small manufacturer of aero-engines. In 1922 they moved into motorcycle production and in 1928 they began their journey into car manufacturing. Over the course of 85 years they have grown and have now managed to move out in front and stay in the lead of car and motorcycle manufacturing with their stylish and innovative designs. They now manufacture their products at 28 sites in 13 countries on four continents! How are they managing to remain the world’s leader in the luxury car industry?
Their strategy is based upon four pillars which are: “Growth, Shaping the Future, Profitability and Access to Technologies and Customers.” For any company to remain a leader in their industry, they must grow in market share and in profitability. BMW has managed to do this by utilizing the latest technology at their disposal to improve their products, and connect with their potential clients in the luxury car market.
If you look at BMW cars over the past 85 years, there has obviously been advancements in technology, and the car industry, much like other industries must apply these advancements to their product in order to appeal to consumers. The same can be said for almost any company, whether you are selling cars, computers, software, telephone systems, or technical gadgets. Even many services are at risk of falling behind the times by avoiding new technology.
If we look at the development of BMW’s 3 series line of cars, they have been one of the most popular of their lines since 1977 when the first one rolled off of the production line. The series was launched as an advertised improvement to their 2002 series line. Over the course 37 years BMW has modified its beloved 3 series model by changing engines, body styles, interior layout, options, features, the suspension, etc. The company has managed to keep their product relevant for the times by being flexible and innovative. For example, would a 1984 BMW be competitive on the market today? The obvious answer is no. Yet many companies are trying to stay alive by selling their outdated products and using inefficient means of conducting business.
Although the BMW body styles have remained intriguing and eye catching over the years, the 1984 car would pale in overall comparison to any modern car. Can you imagine BMW trying to stay on the racing circuit with 30 year old technology? They would get hammered on the track. This same also goes for BMW marketing. If BMW did not have a well maintained website and well-connected company structure that allowed them to work efficiently and connect with potential clients, would they be the world’s leader in luxury cars? Case in point, you also have to run your business in the same fashion. If you don’t stay up with times in how your company operates and in the products and services you offer, you will not be a leader in your industry.
Here are a few points to ponder.
1. Website: Do you have an appealing, updated website for your company? Is it easy to navigate and does it compel you to act? If you look at BMW’s website, it has a clean easy to navigate interface that encourages you to explore their product models, and play with the configuration of the cars. It’s easy to make payments on it, it’s easy to navigate and find a dealer near you, and the personal portal has useful information on it. The site is also appealing to the eye with images that tend to capture your imagination, and make you want to put yourself behind the wheel of one of their cars. What about their cool tag line, “The Ultimate Driving Machine.” What is yours? Is your website outdated? How much useful information do you have on it? Does it compel your visitors to act?
2. Product Innovation: Do you offer the latest technological advances in your product market or service? Are you still offering old technology because you are comfortable with it and are afraid to change? Are you willing to take the time and make the effort to keep learning new technology to improve your product line? I have had two 328i BMWs, and the difference between my 2011 model and my 2013 model are substantial. It has a more sophisticated on board navigation package and more digital controls and apps on the user interface. The suspension has improvements and BMW now has an improved Efficient Dynamics package which reduces fuel consumption without sacrificing power. Notice how they market Efficient Dynamics: “BMW Efficient Dynamics stands for the noticeable reduction of consumption and emissions with a simultaneous increase in performance and driving pleasure. Intelligent energy management and lightweight construction as well as aerodynamics and engine efficiency measures mean sustainable mobility is already standard in every BMW.” How are clever are you in marketing your product or service?
3. Getting Connected: Are you using the latest accessible means to stay connected with your existing customers as well as increase your connections with new prospects? Are you the expert in your field who provides useful information to people, and do you use the latest social media to distribute it? Are you using the latest mobility applications to make your company, service and product more relevant? Do you give them a reason to stay connected with you? The key question is, are you to be found where your customers are looking for your product or service, and when they find you do you peak their interest?
While there are certainly more lessons to be learned from analyzing BMW’s success in the luxury car market, these few points are certainly food for thought. Are we really making an effort to learn and apply the latest and greatest technology to grow our businesses and put ourselves at the front of the pack?
