Switching Up The Marketing Strategy...

[Ekh]

Elio Motors has studied and understands the demographics of likely reservation holders and Paul Elio has even discussed some of the demographics of reservations holders in various interviews. EM has concentrated their limited marketing resources on the demographics most likely to make a reservation as this is what they are selling at this time. The demographic that EM understands to be the most likely to make a reservation is middle aged and older males who ride, or used to ride, motorcycles.

Breaking this down we all know that men tend to be the focus of the majority of vehicle advertising. We also know that middle aged and older people tend to have more discretionary income they are willing to part with as they are generally more established in their lives. So these two parts of the EM demographic equation are fairly straightforward from a marketing point of view.

The reasons for the focus on motorcyclists is interesting. Motorcyclists as a group are more likely to have excess capital as motorcycles tend to be expensive toys for most people. This demographic also tends to be accepting of some level of risk in their lives which covers the fact that there is an inherent level of risk involved in making a reservation at this time.

Anyone else who is exposed to the Elio Motors concept and makes a reservation at this time is welcomed of course however EM is purposefully targeting the demographic most likely to make reservations. Once we move closer to retail availability I expect to see a big shift in marketing aimed more at the mass market as this is where EM will need to be at that time.

They have to focus somewhere. Right now, there's one car and no budget (hence all the on-line stuff). One target market is the long-distance commuting breadwinner, the person with a Walmart job 80 miles away. Right now, she can't afford the job because of transportation expense. With an Elio, that's a viable job.

Right now, G1 is right -- it's a white-collar, overaged, motorcycle-oriented bunch of white guys (in general). But that can't, and won't, last. I think young people make a great target market for this car -- great starter car. Easy to reach them, too. But not without a demo fleet, and that ain't happening.

 

[Hotscoots]

I've said from the beginning that millennials/Hipsters would be a robust demographic for the Elio . Affordable , curious little oddity is right in their wheelhouse. Ironically cool . Roll up a P4 to a Radiohead concert and watch their eyes light up .

 

[Neal]

There must be a market around for it. There is a local dealership radio ad that has a 16 year old girl talking about getting her first car - a new BMW. Irritates the crap out of me hearing this young girl sounding so entitled.

 

[bowers baldwin]

I haven't checked recently, but apparently they, at least used BMWs are pretty affordable.

I'll take 2

 

[Karg]

My bothers and I would buy one each if we were still alive.
"If you build it they will come"

 

[bowers baldwin]

My bothers and I would buy one each if we were still alive.
"If you build it they will come"

Id know what Harpo's horn would sound like.

 

[CompTrex]

View attachment 4783 I'll take 2

What a bargain!

 

[McBrew]

View attachment 4783 I'll take 2

Well, a 2-3 year old high-end BMW is going to be expensive, true...

However, when I was 16, I bought a 9 year old Mercedes for about $4,000. That car was not only safe, but also very reliable and cheap to keep on the road. My last Mercedes (other than my Sprinter van) was a 1983 that has 410,000 miles on it when I sold it. It now has well over 600,000 miles on it.

With inflation, that $4,000 would be about $6,650 today (corrected for inflation). Pretty close to the projected cost of an Elio.

 

[Lil4X]

I think the current demographic target is right on - however there are a lot of missed opportunities here as well. The geek factor should appeal to the "early adopters" who can't resist the very latest phone, tablet, or whatever gadget. They won't be a loyal market sector, but should be good for a large number of "first-wave" sales. Tip from Apple: bring out a new version every eight to ten months at highly inflated prices after months of promotion. Cut to slightly more acceptable prices only after the current model is "obsolete". Front end a whole culture around your product.

The market is going to depend a great deal on "positioning". Honda killed with "You meet the nicest people on a Honda!" countering the public perception that motorcycles were for biker gangs. They changed the perception of motorcycle owners forever. Similarly Prius positioned their vehicle as environmentally (and socially) responsible rather than as a geekfest. They're still selling every one they can paint. Lexus capitalized on their limited production capability, making the marque something exclusive - not even selling in some states - until they could build their Canadian assembly plant. Exclusivity created a market among the MB and Bimmer set, then Canada's production by 2004 filled in the gap. Now they're everywhere.

The youth market responds to what's cool. That can be manipulated through advertising - placing a vehicle in a socially adept setting. Economy won't sell to this bunch, instead sell quirkiness, fun, and style. They don't care if it's coal-fired, they buy what they think is hip. Peer approval is what they want.

Targeting college kids could be a good idea, particularly for those in state schools and not residing on fraternity row. There are still plenty of kids who'd like an affordable NEW car that will definitely turn heads on campus - but they are the secondary market. The primary will be the parents who would come closer to affording a new sub-$10K vehicle than a $50K+ one . . . particularly if they are embarking on the education of a handful of "stairstep" kids.

The traditional sales motivators are youth, beauty, sex, and romance. The experts say you can sell a mud puddle with these factors.

 

[CompTrex]

Well, a 2-3 year old high-end BMW is going to be expensive, true...

However, when I was 16, I bought a 9 year old Mercedes for about $4,000. That car was not only safe, but also very reliable and cheap to keep on the road. My last Mercedes (other than my Sprinter van) was a 1983 that has 410,000 miles on it when I sold it. It now has well over 600,000 miles on it.

With inflation, that $4,000 would be about $6,650 today (corrected for inflation). Pretty close to the projected cost of an Elio.

And I may be wrong, but I don't see an Elio getting 600K miles on it. That's impressive.
A little strange that after you sold your car you still keep in touch to know how many miles are on her, but I'm sure there's a story behind that!