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Agreed. Although there is a new high bandwidth bluetooth audio standard on the horizon, neither your phone nor your car have this, yet. So unless the music on your phone is already poor (eg, 128 mp3 or apple files), you're going to get more of the signal into the car by using a wired connection.
I find an even better option is to put music files on a USB stick. The same files played back this way and via the 1/8" input tend to sound better in my car via the USB stick.
But note that this depends on which particular options your car has. The functionality of the USB connection has changed over the years. Some model years, you don't even need the silly BMW cable, and they can read you iphone music from a regular iphone cable connected to the phone and the car USB port. My car wouldn't, so I tried these alternatives.
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