A funny effect of the price disaster

[sevengroove]

Maybe they should put all the restored reservations to the end of the line. Take care of those of us who stood with them!

Canceled reservations were the whole reason you got $15k put back in your pocket. Enough to buy you a very nice seat while you wait .

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[indianriver]

Likewise. Should we spend $72k on a car? In a scale of 1 to 10, my wife has always been a 4. Now she’s like a 12.

Spot on - are we married to the same wife?

 

[turbome]

Well they were bound to lose a lot of money so it’s a catch 22 for them. Either burn some bridges or sell at “staggering” negative margins (as Elon put it). They lost over $2 B producing just over 1000 vehicles so roughly $2 M cost per vehicle delivered. Imagine what the losses will be like producing 70k vehicles at negative margins. They need to offer leasing and a sub $50k price point to increase their market share and lose less money. They also need to realize that some people buy vehicles solely based on how they look (see the Taycan base, Audis, for example) and market to that crowd.

It’s going to be bumpy as hell for Rivian going forward and having a bunch of modestly less disgruntled customers that could end up disloyal anyway because they will have to sell their cars at the slightest shift in economic conditions might not be a winning strategy either.

Many buyers that have $20k in “equity” will be very tempted to just flip their cars anyway just like people have done with the Ford Bronco, Mach E etc.

Not sure if you have looked at truck prices lately but it's pretty hard to find any truck with decent features for less than $50k nowadays. If you want anything spec'ed close to the R1T, even without the electric part you are looking at 60k to 80k. I don't see Rivian or anyone producing a truck close to $50k. I know Ford and Tesla have said they will but until those trucks are actually for sale at that price point I don't believe it. The Ford dealer told my buddy if he tries to order a Lightning now, they expect 4-5 years before delivery so who knows what prices will be then.

 

[Ladiver]

Canceled reservations were the whole reason you got $15k put back in your pocket. Enough to buy you a very nice seat while you wait .

I’ll take that refund to cover my stock losses. I wasn’t really ready to take an early delivery of 2 Rivians. I was hoping to push my second one to 2023 for tax purposes. That may still be possible.

 

[E.S.]

... I don't see Rivian or anyone producing a truck close to $50k ...

TBH, I had hoped that costs and supplies would have allowed Rivian to make a Explorer Trim with dual-motor and small battery pack starting at the low to mid $50k's. I truly believe they would have hit a hell of a home run were this possible. Alas, it isn't so.

 

[ksujeff99]

Somewhere some marketing professor is creating a “price anchoring” lecture on this very topic

 

[Zac]

Likewise. Should we spend $72k on a car? In a scale of 1 to 10, my wife has always been a 4. Now she’s like a 12.

My wife said, "Shoot, I should have put a deposit down for an R1S for myself."

 

[sevengroove]

I’ll take that refund to cover my stock losses. I wasn’t really ready to take an early delivery of 2 Rivians. I was hoping to push my second one to 2023 for tax purposes. That may still be possible.

Same, holding on doing anything with the stocks now (losses of about 8k unrealized) and just riding it out.

 

[pc500]

Background: I have never paid anywhere near 80k for a car or truck. My Chevy Bolt is the most expensive car I’ve bought. So while I was pretty sure I was going through with my purchase come Oct-Dec 2022, there was a chance I might decide to back out and either keep my Bolt or get one last ICE with a Colorado or Ridgeline (my back up plan).

but with this price increase and then price decrease (well more a return) I am super excited to pay 80k now.

weird how that is…could that have been the chess move to keep on the fence orders?

nah

Ironically, Tesla had one of the highest conversion rates of people buying affodable econoboxies (toyota Prius) into an expensive car. There is an entire market segment that can afford but does not buy Luxury, but will buy a Tesla and perhaps nor, a Rivian.

 

[paariv]

So much for me moving up in line due to all the cancellations! ?‍ ?

I’ll trade places with you for $16k!

 

[GaryGR]

I’ll trade places with you for $16k!

I'm just ahead of you in line and I'd do it for $10K!

 

[paariv]

I'm just ahead of you in line and I'd do it for $10K!

Man, we gotta get better at price fixing…

 

[Gshenderson]

My wife said, "Shoot, I should have put a deposit down for an R1S for myself."

Mine (ex) would say “if you can pay $90,000 for a truck then you can pay me more alimony!” ?

 

[E.S.]

Mine (ex) would say “if you can pay $90,000 for a truck then you can pay me more alimony!” ?

Time to make sure that pre-nup is clear and up to date


On an unrelated note: So once again playing around with the new price changes. Admittedly, this isn't a vehicle I need, but it is one I want. Sacrificing getting the 20" All-terrains + it's full sized spare and Max pack battery, I got it config'd at $95k (compared to $88k-$89k previously). Now the question that remains - Do I gamble on waiting for graphene/solid state batteries and see how that will affect the future Large pack batteries, do I really need Quad-motor when I honestly was gunning for it just for the future Tank Turn feature, and do I want to spend $95k on a vehicle (note: I can do it. But I'm questioning myself: Is it justified me doing it> No matter how deep one's pockets may be, $95K or greater is a LOT of $$ to spend on a vehicle)? The closest thing to this is a F150 Lightning Platinum and it still lacks things the R1T is offering for the close to the same price ($93k for the Ford vs. $95k for the Rivian).

Yes, I'm aware this is a "1st world problem" scenario.

 

[Gshenderson]

Time to make sure that pre-nup is clear and up to date


On an unrelated note: So once again playing around with the new price changes. Admittedly, this isn't a vehicle I need, but it is one I want. Sacrificing getting the 20" All-terrains + it's full sized spare and Max pack battery, I got it config'd at $95k (compared to $88k-$89k previously). Now the question that remains - Do I gamble on waiting for graphene/solid state batteries and see how that will affect the future Large pack batteries, do I really need Quad-motor when I honestly was gunning for it just for the future Tank Turn feature, and do I want to spend $95k on a vehicle (note: I can do it. But I'm questioning myself: Is it justified me doing it> No matter how deep one's pockets may be, $95K or greater is a LOT of $$ to spend on a vehicle)? The closest thing to this is a F150 Lightning Platinum and it still lacks things the R1T is offering for the close to the same price ($93k for the Ford vs. $95k for the Rivian).

Yes, I'm aware this is a "1st world problem" scenario.

A lot of that depends on your expected delivery date. If you’re expecting 2022 delivery, then I say go for what’s available today vs. waiting or new tech. Otherwise you’ll always be waiting on new tech. If you’re 1-2 yrs out, sit on your reservation and make a game time decision when you’re called up.

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