How much do BMW car salespersons make?

The first thing you need to know is that third parties own most of the BMW dealerships and therefore the pay scale will vary from one dealership to another. A key element in factoring the pay is that the gross margin between the dealers cost and the Manufacturer’s suggested retail price is typically 8% for all cars. According to Glassdoor, the average base pay is $35,208 to $139,095 per year. The cash bonus pay is roughly between $5k to 70K with commission sharing between $42k to 47K.

Note that the average national salary for a car salesman is $39,053 in the US. On average most dealerships sell 7 to 15 cars per month. The salesperson will get anything between $100 to $300 for selling one car.

The main pay structure for BMW sales persons may consist of a flat. The flat is issued to motivate the salespersons sale of the vehicle. In some instances the vehicle is sold very near to the cost as the manufacturer gives the dealer volume bonuses as they try to penetrate a certain market. The manufacturer may be very aggressive to beat out a key competitor and thereby the pricing may be very close to the cost. The salesperson can receive special bonuses when they hit their sales volume.

How are sales commissions calculated?

The commissions earned by salespeople varies from one dealer to the next but it is typically from 20 to 30%. In some popular dealerships one can make up to 50,000 but in most places the figure is considerably lower.

One key factor you need to know is that most salespeople operate on commission basis. How this is calculated is a factor of several things. You also need to realize that the auto dealer makes their profit into two key ways; one is net sales from the car and net financing. The salesperson only earns commission from net sales not the financing portion of the deal. It is for this reason you may find a car dealer selling cars on a loss but still make some money from the financing portion of it.

Situations often arise where the dealer is forced to sell a car below its invoice amount like when they are selling an older model. In this cases, the salesperson may not earn a commission for the sale as it was a loss but they do get a “mini”. This is a flat minimum amount from a sale. The mini is often low and in most cases is not more than $125.

The pack is another way the dealer may add carrying costs to the invoice so that he does not lose money from sales commissions. Most dealers will sell roughly 10 to 15 cars per month so if you do the math you may notice that the commissions are not as lucrative as many people think.

However, Car salespeople also make money from bonuses. In this scenario you get to earn a bonus if you sell a certain amount of vehicles. You also may earn extra if you sell add-ons like undercoating and rust-protection.

Here are tips to help you sell more cars

Learn your customer’s names and put them to memory

If you are going to be selling cars as a living then you need good people skills. Customers want some personal touch when they are doing a purchase and what better way to do this than remembering their names. According to research most customers feel very frustrated when sellers do not personalize stuff for them. Before, you sell a car do your research about the customer. If you doing sales online the moment you learn of a customer’s name send them an introductory email that is casual yet professional. The essence of this is to establish trust before the actual sale.

Figure out what the customer wants

The key to closing sales is to figure out what your customers want then delivering beyond their expectation. Again, research plays a big role here. You need to know how members of the family are going to be using the car, is the car a sign of social status and other similar questions. When it comes to closing sales you can offer the customer their dream car plus other similar options.

Treat every customer differently

You need to be careful how you judge a potential customer. Do not judge a book by its cover. There many instances that you can be very wrong about the potential income level of a potential customer. At times people may walk into a car dealership as partners and the decision maker is the one you are ignoring. Make eye contact to make the customers feel that you are showing interest in them.

Avoid talking negative about other dealers

It is quite tempting to trash your competitors especially if it is the customer who brought up the topic. If a customer brings out something they did not like about the competitor instead of talking negative about them you could bring out the qualities that make you better.

Bring out value first and price last

If you want to increase your rates for closing a sale, ensure you bring out the value part first then the price last. This lets the value points justify the price. If a buyer is looks like ready to purchase the car, then this is the right time to ask them to commit by making a down payment or trade-in. Don’t lose them at this point as many people tend to experience a myriad of emotions when they are making a big purchase. It is your work to help them come to the right decision.


BMW car salespersons make money like other car salespeople. The main component of their income is the commissions. The more you sell the more you make. The salespeople can also earn various bonuses if they hit certain targets and more money from add-ons like car paint and various accessories. On average expect to make $50,000 or lower.

Jurgen Shmidt works as an automotive engineer, his duties revolve around vehicle design, development manufacture, and testing. Shmidt is also involved in marketing, sales, and the after-sale care of cars, apart from his 8 hours job, he interacts with enthusiasts who have concerns or wish to learn about the various models of the BMW luxury cars. Shmidt believes that the demand for detailed information surpasses its availability and that is why he dedicates most of his free time, researching and compiling reliable information. The information compiled on bmwexpert has been derived from hands-on experience and not some snazzy press release, thus we believe you will find answers to your troubling questions about the BMW.

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