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.December 18, 2003
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This Week:

• Saab Announces Its First SUV: The Saab 9-7X

• Two Worldwide Premieres for Mitsubishi Motors at 2004 North American International Auto Show

• DaimlerChrysler and UNESCO Encourage Cross-Cultural Learning and Understanding with the Launch of Mondialogo

• Nissan Officially Enters Full-Size Market With Sale of First Titan

• BMW Introduces X3 SPORTS ACTIVITY VEHICLE With National Ad Campaign

• FORD Elects Kimberly Casiano To Its Board Of Directors

• GM's Powertrain Performance Build Center To Produce Performance Engines

• Volkswagen Experience – Across the Sahara with the Touareg

• Mitsubishi Motors, Chrysler Group Leverage Global Alliance to Bring All-New, Mid-Sized Pickup Trucks to North America

• Shiny Qin Elected President Of GM Chinese Affinity Group

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BMW Introduces X3 SPORTS ACTIVITY VEHICLE With National Ad Campaign

Fallon Creates Ads to Showcase Versatility, Agility Through Four Seasons

BMW X3

Photo: Automotive Intelligence

Bruce Bildsten, creative director at Fallon Minneapolis added, "There were two things that led us to our creative solution: the versatility of the X3 and the visual sophistication of the younger target market. Because we wanted to create the effect pimarily in camera, it was a monumental production, requiring a place, New Zealand, where we could capture the feeling of four seasons and four continents in one location.''

The television commercial features the new BMW X3 driving down a road with a swinging X through the screen. Each quadrant shows a different weather element, from sunshine to ice and snow. The print mirrors this creative effect through photography shot in the same locations as the television.

The process involved an extensive shoot in New Zealand in July, which provided all four seasons in one place. The creative team was interested in minimizing the use of post effects, which required incredible technical precision. The team from Fallon, Director Paul Street with Believe Media and effect company Digital Domain, designed repetitive movement and used laser measurements with every shot that were then recreated at each location.

Developed by BMW's marketing team and Fallon Worldwide, the television campaign is set to break on January 1, 2004. The commercial spots will launch during college football bowl games starting on New Year's Day, and continue airing on network, cable and spot market television for three months. The print campaign will be seen in national daily newspapers and magazines, including news, business, adventure, music, technology and automotive outlets, beginning with the March 2004 issues. This will include placements in several publications never before part of a BMW campaign, including Backpacker, and Blender magazines.

The X3 campaign also includes BMW's largest on-line effort for a vehicle launch. The new television spots will be featured on-line during the first quarter of 2004 on a variety of sports, lifestyle and business sites. In addition, the BMW X3 Adventure game debuted on-line on December 1, 2003, available free at www.bmwusa.com/newX3. Experts say it is the richest on-line gaming experience any automotive company has ever created for promotional use, featuring three different in-vehicle driving experiences and outdoor sporting activities, including mountain biking, snowboarding and kayaking adventures. The game is designed to mirror the active lifestyles of the X3's prospective purchasers.

BMW X3 will also present the half-time shows at the Capital One, Orange and Sugar Bowl games on January 1, 2004. X3 signage will be featured in-studio during half-time commentary.

The campaign will also feature major digital advertising, located across the country including the Times Square NBC JumboTron in New York and the Sunset Strip JumboTron in Los Angeles. The X3 spots will also appear on the Macy's Herald Square video screen in New York, on the New York Midtown Tunnel Screen along the Long Island Expressway, and in high definition on 50 movie theater lobby screens across the country. Additionally, the television spots will be featured on the CNN Airport Network in major airports across the country, as well as on Delta In-flight TV for passengers.

A partnership with JetBlue Airlines has also played a vital role in the launch of the BMW X3. JetBlue travelers were the first to get a sneak peak at the on-line game while waiting to check in for Thanksgiving weekend travel at New York's JFK airport on Wednesday, November 26th. JetBlue and BMW team members held travelers' places in line so they could play the BMW X3 Adventure on five kiosks especially set up for JetBlue customers. The kiosks, as well as the X3 that is on display, will remain in the JetBlue terminal at JFK into January of 2004.

BMW X3 kiosks, designed in the shape of surfboards, were one of the first components of the vehicle launch campaign. Featuring advanced wireless technology, an interactive touch screen, and high-resolution video clips, the kiosks were placed in public spaces throughout key markets in October 2003. The kiosks helped build buzz and familiarize prospects with the X3 model, as well as dramatize the X3 marketing themes.

In addition, to help build grassroots buzz about the new X3, BMW invited radio DJs from 21 stations from markets across the country on December 11th to spend a day driving the X3 with driving instructors at a the BMW Performance Center in Spartanburg, SC. The DJs were also provided X3s to drive for personal use until January 4th.

A key element that contributes to the BMW X3's handling prowess is the all-new xDrive all-wheel drive system, which sets new standards in agility for all-wheel drive vehicles. BMW's xDrive works proactively to enable infinitely-adjustable and fully-variable distribution of engine power between the front and rear wheels. The result is not only improved traction on poor roads and in poor weather but also more responsive handling for all driving situations.

The xDrive system works with the X3's Dynamic Stability Control system to immediately recognize any need for a change in power distribution and responds instantly, often before the wheels begin to lose their grip. On the road, xDrive can even vary power distribution in order help the X3 regain composure in a corner when understeer or oversteer is encountered. The result is the outstanding traction one expects of an SAV combined with the handling, agility and safety that one expects from a BMW.

Matlock and Publicis, Sanchez & Levitan will be producing X3 advertising for the African-American and Hispanic audiences, respectively. Creative from these agencies will be seen nationally on primetime television, including Eve, Girlfriends and Enterprise, to name a few.

(December 15, 2003)