2021 BMW 840i price cut by $25,000, leads savings across eight models

BMW has lowered prices across its range, but it's the 2021 BMW 840i which has been slashed by $25,000.

Eight BMW models have been reduced by $500, but it was the 840i which dropped by more than 12 per cent, with the lower price applied to the Coupe, Gran Coupe, and Convertible variants.

However, the $500 price cuts are directly related to the federal Luxury Car Tax (LCT), which changes slightly each financial year.

The models to benefit from the $500 discount include eight variants with the 5 Series, 7 Series, and X5 line-ups.

"BMW Australia passed on $500 savings for eight BMW models following the revision to the LCT threshold on July 1, and at the same time we repositioned the 840i Coupe, Gran Coupe and Convertible from the July production month," a spokesperson for the brand told Drive.

As other car makers have been reducing the amount of digital features due to the global semiconductor supply shortage, the spokesperson has confirmed there have been no changes to features on the models in question.

But while the semiconductor shortage may not be to blame, the 840i price change may be a response to declining sales, with the 8 Series Gran Coupe dropping its overall share of the Upper Large segment over $100,000 from nearly 30 per cent in July 2020 to just 10 per cent a year later.

Just 23 Gran Coupes have been sold so far this year, compared with 78 to the same point in 2020.

It's a similar story in the Sports Car segment over $200K, with sales of the 8 Series Coupe and Convertible models more than halving to just 23 sold year-to-date – a stark contrast to the 78 sold by the same time last year.

Though the figures include the 840i, M850i, and M8 Competition, only the 840i has enjoyed a price reduction.

In June 2020, BMW increased prices of the 8 Series range from between $2000 and $5000 – the first of roughly three rounds of price changes applied across its entire line-up during an eight-month period.