My unsolicited five step plan for saving Rivian

[TollKeeper]

No, Toy does not own Sub, but they do own 27%. The BRZ and Solterra are both a co-engineered product, with it being mostly Toy. Most Subs have a Toy transmission. With that large of a stake in the other company, Toy would have a lot of input on what it could and could not do.

Sponsored

 

[Captain JB]

I am a 2 month R1S Quad/Large AT owner….Rivian decided a long time ago to pursue a specific niche: the off road adventure market. To keep them happy first they must-get rid of the 3rd row of seats so a full size spare can be installed. They are losing demand from some true off roaders merely because of this one very serious void. When I ordered mine 4 years ago, the 3rd row was an option and then forced on me later. 2. I agree with the original post-Apple Car play not being in the vehicle has caused some lack of demand also. The system we have now is ancient and unproductive. Again, to attract the real off roaders-add lockers. Now to go after the masses, offer many options on motors and non off road items so that the price can be lowered to create demand to many income levels that may just want the vehicles just to go skiing. 3. Just hang in there…..I am not a financial guru but didn’t Tesla have these very same issues? Rivian has created the infrastructure which is the hard part so merging with GM has no synergy in my opinion. They made it through the pandemic with all those obstacles…….yes, cut costs where able but hang in there. The vehicles are bluntly a superior vehicle that has amazing off road performance and the elegance of a luxury vehicle and is green as can be! The high interest rates, lack of dependable chargers and a super complex tax law (the incentive should be an immediate tax credit off the purchase to inspire the masses to save our climate) have been challenges that will be overcome gradually. Hang in there Rivian……I love my R1S!! JB

 

[docwhiz]

Purchase by or partner with a legacy automaker (any of them) would be a death knell. These guys are all clueless and would kill Rivian through mismanagement of the brand, development and production.
Their dealer networks are not an advantage. Dealers are a major impediment to legacy auto and will eventually be their downfall.
People have been touting the "skills" of legacy auto for years and keep predicting that they will "kill Tesla" (and others) but the only thing legacy auto is killing is their own business.

Rivian will need money but stay away from legacy auto.

 

[Yossarian]

I have no idea if this is related to the current financial issues at the company, but during a recent email exchange with my Rivian guide to make a small configuraton change to my 2020 reservation, it emerged that the pricing he's now seeing for my reservation is about 10% higher than what I see in my account.

I've asked several times for a reconciliation of the price difference and sent screen shots from my account, but my guide has not responded, now going on three weeks. The lack of timely esponse is unusual and quite different than my previous interactions with Rivian.

 

[carsly]

I have no idea if this is related to the current financial issues at the company, but during a recent email exchange with my Rivian guide to make a small configuraton change to my 2020 reservation, it emerged that the pricing he's now seeing for my reservation is about 10% higher than what I see in my account.

I've asked several times for a reconciliation of the price difference and sent screen shots from my account, but my guide has not responded, now going on three weeks. The lack of timely esponse is unusual and quite different than my previous interactions with Rivian.

That's interesting and disturbing.

I had a call scheduled with my Rivian Fleet Guide yesterday. He no showed, go figure. When I went to his calendly link to find another time I found out that he no longer has a Rivian calendly. Hmm.

Be thankful you still have a guide!

 

[Yossarian]

That's interesting and disturbing.

I had a call scheduled with my Rivian Fleet Guide yesterday. He no showed, go figure. When I went to his calendly link to find another time I found out that he no longer has a Rivian calendly. Hmm.

Be thankful you still have a guide!

Not having been able to get a response after multiple attempts over more than three weeks, it's not clear that I actually still have a guide. No matter, I'm sure that Rivian will assign a new one soon, which by my count, will be number seven.

Edit: Just checked my account. Officially assigned Guide No 7!

 

[drichan]

The list is good. My thoughts…

1. This is Rivian’s 4th at least layoff. From 2022 Rivian has easily shed 25-30% of salaried workforce maybe more.
2. They are already doing this, besides a lower trim level “explore” package not sure what else could be done to lower price point. Higher end features would probably hurt not help.
3. Normal vs Fremont are not the same. Normal can have bitter cold weather and even tornado warnings. Tents wouldn’t work in Normal. However they have plenty of land there to enlarge the factory but it may not be cost effective compared to Georgia.
4. this is more then likely already happening. We will find out in a few weeks as Rivian is scheduled for annual reviews in March.
5. your points here are good. I think much improved marketing is probably the best bet. Rivian has fallen short here

 

[carsly]

The list is good. My thoughts…

1. This is Rivian’s 4th at least layoff. From 2022 Rivian has easily shed 25-30% of salaried workforce maybe more.
2. They are already doing this, besides a lower trim level “explore” package not sure what else could be done to lower price point. Higher end features would probably hurt not help.
3. Normal vs Fremont are not the same. Normal can have bitter cold weather and even tornado warnings. Tents wouldn’t work in Normal. However they have plenty of land there to enlarge the factory but it may not be cost effective compared to Georgia.
4. this is more then likely already happening. We will find out in a few weeks as Rivian is scheduled for annual reviews in March.
5. your points here are good. I think much improved marketing is probably the best bet. Rivian has fallen short here

My thoughts on the sprung structure were to erect it in April 2025 and run pilot production through Sept/Oct 2025 before having a permanent production line up - either in the Normal building, a new building at Normal or somewhere close by - before late fall/winter weather hits. This way Rivian can generate some R2 cash, get units in the world, limits early production (and hopefully build a bigger order book) and creates time, and cash flow, to expand the service footprint. Agree Normal is not Fremont, that's why they could probably only use the sprung structure for ~6 months BUT it would reduce capex, operational and supply chain complexity associated with a second production site, and accelerate time to market.

 

[RivianRunner]

Another thing they really need to look into, re-diversify the employees they currently have, and implement a hiring freeze. They have 10000 open jobs posts sitting on their website. What good is laying off 10% of the staff, if they just rehire others in other areas.

And focus on getting the service centers staffed correctly. Waiting 3-6 months in some cases for repairs is insanity.

Do you mean Rivian has 1000 open job postings (or is it really 10,000)?

 

[TollKeeper]

Do you mean Rivian has 1000 open job postings (or is it really 10,000)?

When I looked the other day, it was in the upper 9000 range... Today, 944. So they trimmed that down (A LOT!)

Sponsored