Key Reasons: How Slate Can Build an EV Truck That Only Costs $27,000

[JustWideman]

Yeah, that's what I don't understand about the Gen6 Ranger. Ford dropped the 2-door long bed version, so now it has a very light duty Maverick 4-door short bed and a light duty Ranger 4-dr short bed. It makes no sense.

Because that is what people are buying.

On forums, people say "Everyone" wants a manual, "everyone" wants 2Ds, but they pay their hard-earned money for 4D autos for the whole family. Even the off-road Bronco is cutting back on trims that are 2D. People's wallets are dictating what goes to market. When a two-door is only a few grand cheaper and a 4 door rides better and makes the wife happy, what are you gonna do?

The Maverick is made at the same Hermosillo, MX factory that makes SUVs like the Escape and Bronco Sport, which are 4-door only. Mavrick is not really a light-duty truck like an old Ranger or S10, it is an SUV with a 4-foot bed. Ford can't fill dealer lots with 2-ds that people are not buying.

 

[JeffVA]

Because that is what people are buying.

On forums, people say "Everyone" wants a manual, "everyone" wants 2Ds, but they pay their hard-earned money for 4D autos for the whole family. Even the off-road Bronco is cutting back on trims that are 2D. People's wallets are dictating what goes to market. When a two-door is only a few grand cheaper and a 4 door rides better and makes the wife happy, what are you gonna do?

The Maverick is made at the same Hermosillo, MX factory that makes SUVs like the Escape and Bronco Sport, which are 4-door only. Mavrick is not really a light-duty truck like an old Ranger or S10, it is an SUV with a 4-foot bed. Ford can't fill dealer lots with 2-ds that people are not buying.

That's why Slate is going to sell thousands and thousands of 2D trucks. I agree with everything you said but there is a huge market still for 2D trucks and Slate will prove that.
Ford and Toyota will end up playing catch-up once they see the results. I owned 3 small Toyota trucks and recently was considering a full off frame restoration which would have ran $30k or more just so I could drive a new small Toyota Truck again. Slate was perfect timing for me

 

[Moosetags]

The Slate is the modern day version of the Ford Model T. The Slate is a very affordable electric vehicle that can be what many people want and need. It fills a niche that no other vehicle addresses. About a million Model T's were sold in each year of its production (1908-1927). The population of the United States during that period was about 100 million people.

There is a place for this basic vehicle.

Brian

 

[cvollers]

Because that is what people are buying.

On forums, people say "Everyone" wants a manual, "everyone" wants 2Ds, but they pay their hard-earned money for 4D autos for the whole family. Even the off-road Bronco is cutting back on trims that are 2D. People's wallets are dictating what goes to market. When a two-door is only a few grand cheaper and a 4 door rides better and makes the wife happy, what are you gonna do?

The Maverick is made at the same Hermosillo, MX factory that makes SUVs like the Escape and Bronco Sport, which are 4-door only. Mavrick is not really a light-duty truck like an old Ranger or S10, it is an SUV with a 4-foot bed. Ford can't fill dealer lots with 2-ds that people are not buying.

I honestly don’t think Slate is building a family vehicle. It’s a second car for people who already own a family vehicle. It’s a light duty hauler for small businesses. It’s a first car for buyers who want to go EV. It’s a commuter and low cost grocery getter. Slate isn’t trying to compete against all the vehicles on the market, nor are they trying to be all things for all people. I love how they have segmented the market. As a low cost way to move 1-2 people (and sometimes 3-4) from A to B over short distances, it has a great chance of succeeding.

 

[cvollers]

I'm not suggesting Ford build a 2-door Maverick but rather keep a 2-door Ranger. I think Ford sold a lot of 2-door Ranger to the commercial market, but I guess the commercial market has changed. Hopefully the Slate fills that void and gives it the production numbers it needs to stay viable. The commercial market is where wrapping a vehicle is a tax write off as a business expense, so producing a blank slate color makes sense.

I just don't see much distance between a 4-dr Maverick and a 4-dr Ranger.

Wrapping a SUV Slate for my business is exactly what I’m planning to do. It’s an easy tax deductible expense.

 

[TabulaRasaMotors]

I like the idea, but I won't hold my breath on the final price. I'm skeptical after watching the Cybertruck launch and the way the price jumped way up. Then again, the timing and pandemic had something to do with that one.

 

[JeffVA]

I like the idea, but I won't hold my breath on the final price. I'm skeptical after watching the Cybertruck launch and the way the price jumped way up. Then again, the timing and pandemic had something to do with that one.

I think they're going to have to keep it in the $20k range assuming the $7,500 government incentive is still there. Don't forget, you need to fork out at least another $500 for a wrap. If they loose the incentive then they are directly competing with the Maverick and I think they will loose that fight.

 

[cadblu]

I think they're going to have to keep it in the $20k range assuming the $7,500 government incentive is still there. Don't forget, you need to fork out at least another $500 for a wrap. If they loose the incentive then they are directly competing with the Maverick and I think they will loose that fight.

Agreed! First, I don't believe that Slate will meet its targeted priced of $27K due to rising costs and continued supply chain pressures. They don't have the economies of scale that large EV companies (Tesla) have developed. The government incentive is not guaranteed beyond the current fiscal year.

From my viewpoint, the targeted price $20K, after incentives, is a supremely clever marketing scheme. I don't believe most buyers will spec the "blank slate" in stripped down version. Either before or after delivery once you add the extras you may be considering e.g. wraps, interior mods, SUV closed roof kit, larger battery; wheels, tires, etc. and a host of other options still under development, and suddenly this bargain truck will be ~$40K.

 

[JeffVA]

Agreed! First, I don't believe that Slate will meet its targeted priced of $27K due to rising costs and continued supply chain pressures. They don't have the economies of scale that large EV companies (Tesla) have developed. The government incentive is not guaranteed beyond the current fiscal year.

From my viewpoint, the targeted price $20K, after incentives, is a supremely clever marketing scheme. I don't believe most buyers will spec the "blank slate" in stripped down version. Either before or after delivery once you add the extras you may be considering e.g. wraps, interior mods, SUV closed roof kit, wheels, tires, etc. and a host of other options still under development, and suddenly this bargain truck will be ~$40K.

If you look at all the options a base Maverick has and try to match those options on a Slate then $40k plus is possible. They may have also factored in inflation until 2027.

I also think Trump will keep the incentive in place as a reward for Musk. It also wouldn't look good if he kills the incentive and kills a new Made in America manufacturing plant in the process.

 

[cvollers]

Agreed! First, I don't believe that Slate will meet its targeted priced of $27K due to rising costs and continued supply chain pressures. They don't have the economies of scale that large EV companies (Tesla) have developed. The government incentive is not guaranteed beyond the current fiscal year.

From my viewpoint, the targeted price $20K, after incentives, is a supremely clever marketing scheme. I don't believe most buyers will spec the "blank slate" in stripped down version. Either before or after delivery once you add the extras you may be considering e.g. wraps, interior mods, SUV closed roof kit, wheels, tires, etc. and a host of other options still under development, and suddenly this bargain truck will be ~$40K.

I said on another thread that once Slate gets over $35K for a reasonably well equipped SUV, their market opportunity is going to shrink rapidly. Are they not communicating mod prices because it’s early or is it because they don’t want people to start doing the math on what “their build” Slate will cost? I think it’s the latter. It’s like the early days of the internet…win the eyes (unique users) first with free, then monetize once you know you have a customer. All the Slate add-ons will help the company monetize. A sub-$20K EV almost feels free the price is so low. They have a 1-2 year runway to build an audience before starting to actually monetize. At that point paying more just feels like paying something. It’s a brilliant strategy.

 

[cvollers]

I said on another thread that once Slate gets over $35K for a reasonably well equipped SUV, their market opportunity is going to shrink rapidly. Are they not communicating mod prices because it’s early or is it because they don’t want people to start doing the math on what “their build” Slate will cost? I think it’s the latter. It’s like the early days of the internet…win the eyes (unique users) first with free, then monetize once you know you have a customer. All the Slate add-ons will help the company monetize. A sub-$20K EV almost feels free the price is so low. They have a 1-2 year runway to build an audience before starting to actually monetize. At that point paying more just feels like paying something. It’s a brilliant strategy.

Here’s another point: I know that the entire overlanding industry is built on the premise that no one keeps track of how much they spend on vehicle mods. No one. If you apply that same logic to the Slate with mods being an emotional purchase that isn’t tracked, a fully modded Slate cost almost doesn’t matter if the starting point cost is low enough.

 

[SlatePower]

Here’s another point: I know that the entire overlanding industry is built on the premise that no one keeps track of how much they spend on vehicle mods. No one. If you apply that same logic to the Slate with mods being an emotional purchase that isn’t tracked, a fully modded Slate cost almost doesn’t matter if the starting point cost is low enough.

Which is funny as I had three of those FJs that you own over the years (never modding any of them) yet paid through the nose (new) for every single one of them.
After they all rusted out despite my best efforts, I purchased a '22 Tundra currently waiting on one of the largest engine recalls ever.
That low base price laced with government largesse(?) is the only reason that I'm here save for the hope of Slate engineers finally understanding that some of us desire an alternate energy source (hint/hint).

 

[cvollers]

Which is funny as I had three of those FJs that you own over the years (never modding any of them) yet paid through the nose (new) for every single one of them.
After they all rusted out despite my best efforts, I purchased a '22 Tundra currently waiting on one of the largest engine recalls ever.
That low base price laced with government largesse(?) is the only reason that I'm here save for the hope of Slate engineers finally understanding that some of us desire an alternate energy source (hint/hint).

Do you live in an area where they salt the roads in winter? My brother’s Vermont Tacos all rusted out horribly. Luckily my ‘12 FJ is still rust-free, but my god the fuel economy is terrible.

 

[cadblu]

In 1989, the average new car price in the US was roughly $15,000. At that time, Hyundai introduced a new car called the Excel with a starting price < $5,000. Everyone was astonished as to how they can produce such an high value, inexpensive vehicle.

The Slate business model is virtually identical. Introduce the most inexpensive and basic product to market. Build in the extras at a future date, if desired. Look at the Hyundai Motor Group today: a highly successful company with an innovative portfolio and a major player in the US market.

 

[FL4XE]

In 1989, the average new car price in the US was roughly $15,000. At that time, Hyundai introduced a new car called the Excel with a starting price < $5,000. Everyone was astonished as to how they can produce such an high value, inexpensive vehicle.

The Slate business model is virtually identical. Introduce the most inexpensive and basic product to market. Build in the extras at a future date, if desired. Look at the Hyundai Motor Group today: a highly successful company with an innovative portfolio and a major player in the US market.

About the time the Yugo came it at $3995. That too might have made more of an impact had the country manufacturing it not imploded. They had a 4 door hatchback model ready to go at the time everything fell apart.

I agree with you that the strategy is similar. Just look at all the free advertising Slate is getting by pricing it so low. It remains to be seen if they will deliver that price or if "market forces" will be the excuse for a higher price.