R1T Large Inventory Concerns?

[PhatDaddy]

Florida area... I count 258 R1Ts in the Store this morning. Are we seeing a big slow down in purchases (interest rates?), or a big Q3 push in manufacturing. Or both? And what about R1Ss? Concerning?

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[COdogman]

The demand for S vs T is reported to be 80/20 so it’s not surprising at all. Plus, the dual motor vehicles are being pushed out now too. They will all find homes.

 

[DaveA]

R1T demand slowed as everyone wants an R1S...it is apparently 80% of pre-orders. R1T demand seemed to drop off when the power tonneau was taken away, but now that it is coming back I think that demand will come back once its available for purchase.

 

[Zoidz]

There's no doubt that loan rates and economy concerns are slowing sales.

 

[PhatDaddy]

... R1T demand seemed to drop off when the power tonneau was taken away, but now that it is coming back I think that demand will come back once its available for purchase.

That is exactly what is delaying my configuration confirmation and purchase.

 

[Rainman]

EV demand overall is slowing ... couple that with interest rates and inventory increases. IMO

 

[fbkr]

What part of Florida are you in? I only see ~140 in the R1T shop.

 

[mtberman]

EV demand overall is slowing ... couple that with interest rates and inventory increases. IMO

Yep, there's soft demand for EVs and especially those priced above $80,000.

In addition to interest rates, I think we can acknowledge that the R1T is widely available now. The only people still waiting for one are those who won't compromise on the Max Pack, a color, or an accessory. I don't think the tonneau cover is going to drive thousands of sales.

I myself would not have bought one except for the cheaper dual motor, which qualified for tax credits for me, as long as I got silver. If the R1T was still available only with the Bosch motors priced at $90K and up, I think sales would have plummeted just as they did with the Lighting.

 

[PhatDaddy]

What part of Florida are you in? I only see ~140 in the R1T shop.

Central Florida - in the vicinity of the Orlando Service Center

 

[voxel]

This has been the case since May/June at least - when I first got access to the shop. I saw maybe 1200-1800 R1Ts and maybe 10 R1Ses. Rivian wanted me to buy an R1T instead of a R1S... nope.

EV sales have still grown 50% YoY (was 68% by Q2) whereas the overall market only increased sub-16%

ICE sales will collapse soon. The two Bronco orders I abandoned (that I was going to buy one if I didn't buy my R1S) have been sitting on my Ford dealer's lot for 4 months now. And this is with the production stoppages and now... no markup. Anything not considered an essential vehicle that is good value... will have sales decline badly.

 

[fbkr]

Got it. How are you counting? I just realized the Shop only shows 6 trucks max for any particular configuration so I think I've been undercounting...

 

[Mark_AZR1T]

EV demand overall is slowing ... couple that with interest rates and inventory increases. IMO

Agreed, if we toss in personal sentiment on the economic future, then RIVN will be under pressure to create incentives for sales at some point. In this overall market, with volume ramp up, there isn't enough confidence out there for unlimited forecast increases of R1T and even the R1S beyond late summer of 2024, at the current pricing. IMO.

I imagine they will say, based upon new found efficiencies and volume increase in the manufacturing process, we are able to pass along a saving of $4500 on R1T and the same will be true for the R1S later in 2024. Every EV manufacturer is now hammering prices, as the general consumer isn't quite there yet on BEV.

I think Toyoda (former CEO) was partially right, as far as a business model for his company, that you cannot go all-in on BEV at this point and expect a solid ROI. YMMV

 

[j.w.s]

Florida area... I count 258 R1Ts in the Store this morning. Are we seeing a big slow down in purchases (interest rates?), or a big Q3 push in manufacturing. Or both? And what about R1Ss? Concerning?

I wouldn't be surprised to hear that Rivian is catching up to R1T demand, or that interest rates are dampening demand, but there is something else at play here:

Rivian always seems to push batches of cars to the Store, which then get bought up over a few weeks. I got access to the store a month or two ago, logged in right away to see at least a few hundred trucks. Two weeks later I saw just a few left in the Store.

 

[Qkbrian]

I picked up my R1T in Orlando Monday and there were no vehicles sitting around other than the test drive ones. I think the shop inventory is regional and probably covers the entire Southeast (FL + Atlanta ?) and they ship it once ordered / paid. No denying that more seem to be available overall - they promised a Q3 production push on duals.

 

[R1Tom]

They are through the backlog on R1T and now are getting a look at the actual market size going forward. It will be nowhere near the size some were expecting. Ford/GM/Tesla/Rivian are all getting a wakeup call on what the true market looks like for nearly $100k electric trucks.

Takes me back to a year or more ago when I thought getting that R2 to market asap was so important. So important that building a plant from scratch seemed a bad decision at least to me. But most said I was wrong...only way to build the R2 is in a brand new plant. No existing plants or facilities existed to make it happen faster. The time to market for the R2 continues to concern me.

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