It’s no secret that prices on electric vehicles have been falling lately. Earlier this month, GM lowered the MSRP of the Chevy Volt by $5,000, and BMW announced the i3 electric vehicle will start at $42,275 including shipping. Partly due to increased competition and lower battery tech costs, and partly to spur sales, manufacturers across the board have dropped their electric vehicle prices.
Has Cadillac revised its pricing plan for the Cadillac ELR that GM plans to launch by March 2014? According to an article at AutomotiveNews, no they haven’t.
Automotive News interviewed Bob Ferguson, senior vice president of Global Cadillac. Freguson said of the ELR, “We’re really confident about that vehicle […] We’re only going to make so many. I actually think you’re going to see a scramble for that vehicle.”
In regards to considering lowering the price on the ELR, Ferguson said “Not at all.” GM is encouraged by Tesla Motors’ success and thinks it shows pricing is holding up far better in the luxury segment than among mainstream vehicles.
IHS Automotive predicts that GM will sell only 2,100 ELRs in 2014, and somewhere around 2,700 for 2015.
Jim Hall, principal of research firm 2953 Analytics Inc., says the ELR will be a halo car for Cadillac, whereas the i3 has a different role in BMW’s lineup. “Cadillac’s pricing strategy for the ELR isn’t driven by volume,” Hall says. “It’s driven by image.”