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This happened to me recently on my '15 X3, but not as big as your spot and it was right on the seat (bum area). In my case, it's possible I damaged it, but I don't know for sure. I spoke to the SA and they flat out said no warranty so I opted to pay the $75 to have it fixed.
The repair is now holding at 2 months.
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'11 Z4 30i (retired);'11 X3 28i (retired); '15 M235i Stage 1 Dinan (recalled & crushed); '16 M235i Stage 3 Dinan (retired); '15 X3 28i (retired); '14 328i (retired), 2019 X3M40i (retired); Loaded '18 X1 (retired); Loaded '20 X3MC DG, Black/Tan Merino (retired); Loaded '23 X1 Cape York green and Red/Black interior; '23 Audi A4 Allroad Progressiv
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