$6,800...really???

[bowers baldwin]

Here's a good one for you....how is it that a well known and established company like Harley Davidson can't price their motorcycles well below the ELIO price point when it has even less stuff....2 wheels, no air conditioning, less panels, less paint, 2 less brakes, etc. - Harley Davidson motorbikes are also made at 4 locations in the USA- WI, York, PA, Kansas, MO, Tomahawk, WI. An entry level bike I wanted to buy, STREET 500 - $6,849! Their TOURING ULTRA LIMITED LOW - $27,299!!!! Not trying to put you on the spot but give it your best shot because I don't have an answer for this!
p.s.- we can even move to Can Am Spyder (base SPORT- $14,999, top of the line TOURING- $23,349) if you want. Hell, if they can sell it for $6,800 or less, don't you think people will be lining up to buy it like crazy- forget about the roof, or the air conditioning..I'll brave the rain or some snow!!! I'll even buy 2! But again, is there a mystery, or people are just too gullible to really think that a car like the ELIO that has yet to prove it's merit on the streets of America and beyond let alone being built could be priced so low and we're just suppose to accept it because they said so??? My 1 cent.

They sell this for $7700, and it has 5 doors! and 4 seats, if this goes for $7700, why not $6800 with less parts?

 

[84mpg]

When a person buys a beer – or a soft drink, they're buying a lot more than the liquid in the can or bottle. Among other things, they're paying for big buck advertising.

Same with cars. Cars today are overpriced in my opinion, for a lot of reasons. One major hidden "thing" people pay for when buying a vehicle, is advertising.

I just read, that the national average advertising cost per vehicle by individual dealers is a little over $600. That's a lot of scoots per vehicle on the lot.
Then you have the manufactures spending their big bucks each year:

in 2013….
Fiat Chrysler spent $1.97 BILLION in advertising
Toyota $2.09 B
Ford $2.56 B
GM $2.15 B

When Elio gets their vehicles on the road, their advertising budget can be a GoDaddy account with a couple of web designers. Elio won't really have to worry about big advertising until they have competition.

The lack of a need for heavy advertising dollars is another reason why Elio can get close to that $6,800 cost.

 

[Ekh]

Due to the increased productivity of the average American Auto worker, it is actually cheaper to produce here than in China. Sure, China doesn't have to meet the same standards we do here and can thus make it less expensive but the labor that goes into each vehicle will be less for Elio here than if they relocated to China. Paul has the car priced out for it's parts and right now they are within a couple of hundred dollars in hitting their goal of selling the car for $6,800. You'll have to pay your own taxes and registration because, well, that's the law. Elio is even figuring in $1,000 profit per vehicle. They have some big industry guys working on the project so their estimates won't be far off. Also, as you probably know, a Kia Forte weighs 2,804. The Elio weighs 1,250 which means the Elio weighs 44% of the Forte's weight. The Kia Forte costs between $15,890 and $19,390. Since the Elio is pretty basic, I'll use the basic price of the Kia which is $15,890. The Elio uses only 44% of the material and strickly by the pound, the Elio should cost $7,380. Now, once you factor in some things like - One fewer tires, wheels, brakes, one windshield wiper, one door to have to hinge, fit, etc. and the fact that the plastic body panels will be less expensive to make than the Kia's stamped steel ones... I don't see how $6,800 is THAT unreasonable. (Oh yeah, the Elio's engine is very basic and only puts out around 55 HP vs. the Kia's 148HP much more complicated motor)

Excellent way to look at it. You should forward this to EM, they could use it in a tech talk or momentum piece.

 

[Johnny Acree]

when I see one of these (How can Elio sell for $6800.00? I can't even buy a xyz for that.)
I wonder why they aren't upset with company xyz for charging so much for their product.
Most companies do a lot of research about pricing their product. This research is not to see how low they can price their product. Most companies are trying to make the most money they can!
Elio is not most companies.

 

[Ekh]

When a person buys a beer – or a soft drink, they're buying a lot more than the liquid in the can or bottle. Among other things, they're paying for big buck advertising.

Same with cars. Cars today are overpriced in my opinion, for a lot of reasons. One major hidden "thing" people pay for when buying a vehicle, is advertising.

I just read, that the national average advertising cost per vehicle by individual dealers is a little over $600. That's a lot of scoots per vehicle on the lot.
Then you have the manufactures spending their big bucks each year:

in 2013….
Fiat Chrysler spent $1.97 BILLION in advertising
Toyota $2.09 B
Ford $2.56 B
GM $2.15 B

When Elio gets their vehicles on the road, their advertising budget can be a GoDaddy account with a couple of web designers. Elio won't really have to worry about big advertising until they have competition.

The lack of a need for heavy advertising dollars is another reason why Elio can get close to that $6,800 cost.

And as of today, VW can't even imagine how much advertising it will take to recover the brand. If they ever do recover it.

 

[bowers baldwin]

And as of today, VW can't even imagine how much advertising it will take to recover the brand. If they ever do recover it.

I think they will recover, think PINTO!, didn't bury Ford (don't forget the more recent Firestone/Explorer debacle) , and VW's issue didn't even kill anyone. The U.S. really doesn't but that many Diesels (compared to Europe) I think we are at about 3% of cars are Diesel. So buy the numbers not that many will be affected. I am reading articles that say now is the the time to buy VW and get some good prices. They are #1 right now, where Toyota was when they had their big issues (airbags, unexpected acceleration problems), so they may swap back to the #2 spot at worst. People have short memories and in a few years no one will care as much..

 

[bunchathrees]

VW will recover. Government fines will hurt them badly but not kill the company. Only one of their prestige brands (Audi) has been tainted. Porsche, Bentley, Bugatti, Lamborghini, and Ducati are untainted. Skoda, Seat, Scania, and Man don't have a presence in the US so I cannot really comment.

This is an issue of trust ... and people's angst fades over time.

 

[RUCRAYZE]

View attachment 7000 View attachment 7001
They sell this for $7700, and it has 5 doors!, if this goes for $7700, why not $6800 with less parts?

what is it, and where is it made

 

[RUCRAYZE]

VW will recover. Government fines will hurt them badly but not kill the company. Only one of their prestige brands (Audi) has been tainted. Porsche, Bentley, Bugatti, Lamborghini, and Ducati are untainted. Skoda, Seat, Scania, and Man don't have a presence in the US so I cannot really comment.

This is an issue of trust ... and people's angst fades over time.

company fines??
It'll be the private sector- think law suits, that will, contrary to some, bust the company (internationally) I believe less than 600k cars in the U S are affected. If you enjoy the odds, skip buying a car, and buy stocks, they seem to be getting cheaper daily

 

[bowers baldwin]

what is it, and where is it made

It's called a Wildfire, I have to admit it's junk but it's a good price comparison to the Elio.

https://en.wikipedia.org/wiki/Wildfire_(motor_company)

http://www.caranddriver.com/columns/wildfire-wf650-c