BMW 1 Series 120i 2004 Review

The baby 1-Series is the German brand's most important newcomer since the original 318i more than 20 years ago, and has the toughest job in the company's history.

It must restore BMW to the top of the "must have" list of prestige brands, draw a new generation of thirtysomething first-time buyers and fight a range of rivals from Mercedes-Benz, Audi, Lexus and Volkswagen.

"The BMW 1-Series is the right car at the right time," says Dr Michael Ganal, a member of BMW's board of directors.

"The BMW 1-Series will establish its position not with a low price and rebate campaigns, but with high-quality product substance, individuality and substance."

Even so, it is the car's starting price below $40,000 that will be the big drawcard for a lot of buyers.

A 118i will open the action, but not until early in 2005, with BMW Australia relying first on the 120i – with 120kW engine, push-button start, anti-skid brakes, six airbags, automatic air-conditioning, CD sound and run-flat tyres – from October 1 at a basic price around $46,000.

There will be plenty of options, including sat-nav and leather seats, and the 1-Series lineup is expected to grow quickly from the basic five-door hatch. An M1 performance car is a definite, and there should also be a three-door hatch and convertible.

Rivals have been quick to seize on the arrival of the 1-Series, with Mercedes-Benz countering with first pictures of its new A-Class baby car and Audi confirming it will have a five-door model of its basic A3.

In Australia, the 1-Series will run up against all of its European rivals – including the fifth-generation VW Golf that will hit the road soon – as well as the best of Japan's compact cars, including the Mazda3.

There is no escaping the reality that some buyers will be comparing it with the other baby in the BMW Group range, the Mini.

But BMW believes it has an instant winner in the 1-Series and that the car's target audience is younger than the Mini, in the late 30s instead of early 40s, and more likely to want a practical car than a fashion statement.

"This is a very difficult job for us to do . . . but it gives us the chance to grow," says Thomas Giuliani, head of BMW marketing communication. "This car has to be successful."

ON THE ROAD

THE 1-Series falls well short of the ultimate driving machine. It's nice, but not special.

That would be good enough for most cars, but a BMW is expected to give a bit extra and inspire driving enjoyment.

The 1-Series has plenty of strengths, from taut packaging to a classy chassis with great grip.

But it is let down by the engine. The hero motor is the turbo-diesel, which is not coming here.

BMW had only 120i manual test cars at the press preview in Munich, with 118i production not starting for several months, and they were well loaded with gear, including iDrive and electric leather seats.

They were a long way up the road from a car promised with a sub-$40,000 starting price.

Still, the 120i is very well built, seems practical and has good space in the front seats.

The back is a bit cramped and only for two, but it should be comfortable enough for two-plus-two families and active singles.

Some people question the styling, but it reflects BMW's new direction. It is bold from directly ahead and behind. And there is room for other body types.

It is also quiet and very refined, has a tight turning circle and rides with a plushness that could set the standard for the class.

The only negative is a slight harshness over small, sharp bumps, and that's down to the stiff sidewalls on the run-flat tyres.

The gearshift is slick, the tiptronic auto should match BMW's usual standards, and the steering is light and direct. The push-start button is a bit of a gimmick but fun, and the seats are well shaped and supportive.

Now we come to the engine, and the 2.0-litre four, even with variable valve timing and 110kW, misses the mark. It is smooth, refined and eager but has no punch and very little character. Will 120i buyers care? Will the dozy straight-line performance of the 118i hurt sales?

Probably not, because most 1-Series buyers will be new to the BMW brand and won't know about the cars that built its reputation, including the quick M3 and M5 and even the sweet 330i.

They are much more likely to be happy to have a relatively affordable baby BMW with one of the best badges in the business.

The 1-Series is almost certain to succeed, if only because it is a born-again 318 for the 21st century, and there are plenty of people who want to drive their dream.

Would you buy a sub-$40,000 BMW? Let us know in the comments below.