Blog

Short blog posts, journal entries, and random thoughts. Topics include a mix of personal and the world at large. 

New flex in town

For the rich one percent, the vehicle to buy right now is no longer the most expensive Tesla Model S or X. No, it’s a high-priced product from another electric-vehicle maker: Rivian. Those things are absolutely everywhere. I literally see at least one Rivian R1T or R1S (all-electric truck and SUV, respectively) every day driving through the neighborhood. Rivian is the new symbol of cool car flex. Teslas are too common, so is the Mercedes-Benz G-Wagon (the unofficial rich-person vehicle of Southern California).

Granted, I live in arguably the center of EV adoption in America: San Francisco Bay Area. So it’s not really surprising to see this many Rivian trucks rolling around. It’s so easy to buy one, too (provided you have the money). Like Tesla, Rivian sells directly to the customer. A few clicks on the website and it’s done. No haggling, no need to visit a dingy dealership with douchebag sales and finance persons. Sure, you’ll have to wait a few months for the thing to arrive, but at least you can get on a list. And you can be sure there won’t be additional shenanigans upon delivery.

Meanwhile, I can’t even get on a list for a Honda Civic Type R without agreeing to pay a hefty sum over MSRP. And the finance manager is going to insist I get financing with Honda, because they get a kickback. Paying cash? The price just went up.

As the automotive industry transition to electric, traditional automakers really need to figure out a way to efficiently sell online. Millennials and younger don’t want to visit a dealership and talk to a guy. We want a set price and simple buying. Do the entire transaction over smartphone, and just let us know when the car is ready for pick up. The additional friction of having to work with a dealership is going to drive people to the likes of Tesla and Rivian.

Only the most compelling of products can make people willingly go the dealership route. Like the aforementioned Civic Type R…

There’s one right there!