Where Do You Stand Now?

[Hog]

farmerdave, welcome to the forum and congratulations on making your reservation. Let me assure you many of us like and want the Elio because of its uniqueness, economy, and fun factor and has absolutely nothing to do with being a "tree hugger". Enjoy your journey with us

No, I believe that sales will increase dramatically once a few are on the road, no dropoff envisioned. They will go viral for the few few years, after that it will be like any car, needed some cosmetics and tweaks to keep interest high.

 

[Neal]

All in at $100, so I guess I'm not all in. I would say 5. They not only have to get to production, but sell enough cars right away to make some money. I'm just worried that this will be seen as a novelty and past the first 50,000 tree huggers, sales may drop off. I do hope not!

I don't see this as a car for "tree huggers". Yes, there are a lot of environment benefits, but That's not what draws many of us. I think it is the uniqueness and the money saving (both in the cost of the "car" and the savings in gas). i think it will have longevity.

 

[JEBar]

I don't see this as a car for "tree huggers". Yes, there are a lot of environment benefits, but That's not what draws many of us. I think it is the uniqueness and the money saving (both in the cost of the "car" and the savings in gas). i think it will have longevity.

to me one of the remarkable features about an Elio is it appeals to a wide range of folks .... as noted for some low base price, for some low environmental impact, for some uniqueness, for some low cost of operation, for some American made, for some the safety features built into the vehicle, and so on ....

 

[Neal]

to me one of the remarkable features about an Elio is it appeals to a wide range of folks .... as noted for some low base price, for some low environmental impact, for some uniqueness, for some low cost of operation, for some American made, for some the safety features built into the vehicle, and so on ....

Exactly! thank you for saying what I was thinking

 

[Kuda]

to me one of the remarkable features about an Elio is it appeals to a wide range of folks .... as noted for some low base price, for some low environmental impact, for some uniqueness, for some low cost of operation, for some American made, for some the safety features built into the vehicle, and so on ....

FUN !

 

[JEBar]

FUN !

absolutely ..

 

[AriLea]

All in at $100, so I guess I'm not all in. I would say 5. They not only have to get to production, but sell enough cars right away to make some money. I'm just worried that this will be seen as a novelty and past the first 50,000 tree huggers, sales may drop off. I do hope not!

It is a valid concern*. But that's where the price and mpg come into play.**

Yes, motorcycle oriented people like it, that's a sizable niche, (no fade expected)
Three wheeler enthusiasts like it, small but energetic niche, (no fade expected)
Social club people like it, that's a niche,(growth over time expected, up to 5years - 10 years)
*Novelty motivated people like it, that's a niche reducing as sales rise (fade expected),
Green oriented people like it, a strong niche, greatly enhanced by the** low cost threshold to play,(no fade expected, depending on factors)
People with low income like it, that's a... NOT a niche but an ongoing segment, *** (no fade expected, depending on economic factors)
**Cost-per-month people who commute like it, that's not a niche, and a very large opportunity. (no fade expected, depending on alternatives)
Diamond lane access commuters like it, all weather access is their objective (no fade expected, depending on alternatives)
**Cost sensitive commercial and government applications, medium size segment (some fade expected to a dependable renewal, depending on alternatives)
**People who drive a long distance for some purpose, travel costs becoming a principle issue, (no fade expected, depending on alternatives)

*** (Everyone needs transportation) The Messerschmitt three wheeler and Issetta are good comparisons for this segment. These enjoyed good patronage until economics and alternatives made them obsolete. But it's important to realize these were not executed as 'or' vehicles but as accessible alternatives in hard economic times. The times changed, and cost attractive alternatives were developed.

The kind of cost-vs-purpose motivation for the Elio is expected to be an ongoing factor without a known end point while the transportation system remains in it's current technology. It would take a dramatic change of technology to alter that formula.

As for alternatives, the low price of the Elio is a strategic policy that serves as a dis-incentive to competitors. All the potential competition will wait to see how this play's out. Meanwhile Elio should become market established and stable. Elio motors is therefore not likely to change that strategy while volumes remain at viable levels. And a small vehicle like this has one secrete weapon. Relative to larger vehicles, the ability to accommodate variations in sales levels is more flexible and scalable. Less stuff is just simply more agile. All parts and most tools being more exchangeable between automation vs human handling is one example of this flexibility.

The cost to execute in the hundreds of millions is also a deterrent for competiton. Once Elio is established, there is more opportunity in complementing the new market than going head to head with Elio. Another way to say this, since now people can depend on an Elio to save them money, they can now chose bigger, more luxurious and maybe less efficient vehicles for their 'And' compliment to the Elio. Instead of a Sedan and a Minivan, maybe they can choose to get an Elio (or two) and a 4x4-Six Pack Truck. Some people may get and Elio for work, and something like a Tesla for evening socials.

As for the foreign competition, the import costs become a significant percentage of a $7k vehicle, this will continue to give Elio leverage so long as the brand remains in good standing with the public, and Elio Motors sticks to their strategic low cost formula. The Slingshot is a example from China, it sells here for over $22k, no opportunity to compete with the Elio price point even though simpler and cheaper to produce.

 

[AriLea]

I did not address the 'FUN' group directly.
In this group, (and people not in the other groups) , there are a pent-up demand, an initial population. This is a viable percentage when you look just at reservations. But after that, it is still a viable sized niche the size of which will remain while there are no comparable alternatives. For those not sensitive to price and not requiring amenities like AC or a full body there are current alternatives. But the price does give Elio a leverage against those alternatives. So after the initial population is served, there will be a leveling out to a dependable rate of sales, unless a more comparable competitor shows up, if ever.

 

[Reid3400]

farmerdave, welcome to the forum and congratulations on making your reservation. Let me assure you many of us like and want the Elio because of its uniqueness, economy, and fun factor and has absolutely nothing to do with being a "tree hugger". Enjoy your journey with us

One of my vehicles gets 8mpg, @ $1 per mile including all costs.. The sticker on the rear window says, "Life is more than MPG." The electric scooter goes 50mph and costs $0.01 per mile. Who cares? Life is short, and then you die. Hopefully not before you get your Elio.

 

[Reid3400]

I don't see this as a car for "tree huggers". Yes, there are a lot of environment benefits, but That's not what draws many of us. I think it is the uniqueness and the money saving (both in the cost of the "car" and the savings in gas). i think it will have longevity.

A (VP) fellow sitting at an airport, had 6 hours to wait for a connection to get home. He saw the smart car in the paper, so called up a salesman to ask a few questions to pass the time. Long story short; His daily driver was a Hummer. Salesman, drove to the airport, pointed out the Smart car was "free" would pay for itself in fuel savings. Also he could be 1/2 way home before his plane left. Now the parking lot at work is full of Smart cars instead of Hummers.