Price it Right!

[PaulChristian]

Those that do not learn from history are boomed to repeat it. I don’t believe for a second that GM will price the “base model” C8 anywhere near $100k. Has GM forgotten about the introduction and death of the Gen V Viper? I don’t think so. Bottomline is this, GM knows that while they can compete, performance wise, with the best exotics, no one (in any mass number) is going to pay exotic car pricing for an American sports car.

A $100k base price will kill the corvette. GM must keep current price structure. They can gamble a bit with a premium for the top of the line C8 variant but beyond that, there is just not enough bragging rights associated with showing off a Chevy emblem at $169k. People won’t buy it in mass number.

If I can’t buy a higher performance variant C8 in the $80k - $90k range, my money will go elsewhere.

With the C7, we are able to get into a higher performance corvette variant (ZO6) at a starting price of roughly $80k. I am curious to know how many people here would be willing to pay a starting price of $100k for a base C8 ZO6 equivalent?

[Bikerjulio]

I totally agree with you. New 2019 Z06's at my local dealer are in the $70k range (CAN$95k). It will have to be an exceptionally good year in the market for me to go over that for a base C8 convertible.

[Milliwatt Rob]

My impression of C7 pricing is that they made their money on the options and upgrades. For example, charging $500 more for black painted wheels instead of standard silver painted wheels. Why black paint instead of silver paint should require such an up-charge made no sense other than as a source of profit. So, expect the base price to be low, but the cost of upgrades to be high. 2LT always seemed to me to be the sweet spot.

[John]

For sure, options are a lot of the bread and butter of the Corvette line. As options are for Porsche et all. As one example, while GM charges $7,500 for carbon ceramic brakes, whilePorsche is $10K; Ferrari was around $12K (though many newer models are coming with them standard).

I expect options to continually be nice margin enhancers for the C8’s choices.

[Fasttoys]

I work with companies that make big mistakes all the time, they don't understand their customers or changing market conditions, technology and the direction of the world. Since 2000, 52% of the Fortune 500 companies have either gone bankrupt, been acquired, or ceases to exist. GM and other automobile manufacturers are facing a major change and will be competing with technology giants as automobiles become more of an appliance.

Could GM make a blunder and price the base C8 over 100k sure I am hoping the analysis, bean counters and marketing departments know their demographics better. At this time I am very confident it's below 100k.

Few Companies that did not pivot successfully to the changing market conditions.
SEARS
MONTGOMERY WARDS
Blockbusters
Radio Shack
Circuit City
Polaroid
Toys 'R' Us
The Limited
Enron
MCI

[John]

Kodak once had 33,000 employees, now just 5% of that number. They invented the digital camera, but at a top level admin meeting they decided not to proceed (no one else had a digital camera then), because as we learned later, they said that it would “jeopardize our massive Kodachrome sales revenues.”

Now , IMO, they are fighting to be a tier three company.

[tooold2race]

Let's be reasonable..... The current ZR1 is NOT THE ONLY CORVETTE THAT CHEVY MAKES!!! It's a very special limited edition high performance version. People are lined up to pay around $145K to get one AND they even raised the price a few weeks ago $2K to 3K depending on the transmission.

NO.... it's not the only C7 that Chevy makes.

Chevy could well bring out an ultra high performance mid engine C8 and price it at $160K+ and have people lined up to buy it. Of course they will not sell 30,000 of 'em a year. That's why they will have other low end models for the typical Corvette buyer. Wouldn't it be interesting if a lightly revised C7 continues into 2020 while a 'halo' model of the ME C8 is introduced with a sky high price to match. That would add new buyers into the camp. I really don't see the die hard Corvette followers jumping to a Camero just because the 'halo' car is out of their price range any more that people abandon ship when the ZR1's were introduced over the years.

GM is not so out of touch with the market to bring out a $160K+ model Corvette that replaces the ENTIRE current line.

In answer to the thread.... If it's worth it, (and I'm sure it would be) I'll buy one....

[John]

Well stated tooold2race! Tadge wrote an article indicating that when OEM’s have been doing what they do well, and go into major new price territories, they can and have run into problems. Fine if you go into a new price territory with a limited production model, for we all know Corvette owners that could buy their own private island, put their mega yacht on it. But most of us are in the upper middle class/lower upper class income range, and Corvette not survive without an entry car in the rough price range we have now. If the C8 were to start at $169,000, its Corvette extinction.

So while I expect the 1,000+ HP, AWD ZORA to be in the price range of $200,000, I am not getting one, nor are probably 95% of this forum. But put out a spectacular C7 as a changed, next gen C8, with a similar pricing range, and Corvette will be fine.

I expect the price range of the C8 to extend from $69,999 to $199,999. And for it to do extremely well with C8 sales...

[PaulChristian]

Let's be reasonable..... The current ZR1 is NOT THE ONLY CORVETTE THAT CHEVY MAKES!!! It's a very special limited edition high performance version. People are lined up to pay around $145K to get one AND they even raised the price a few weeks ago $2K to 3K depending on the transmission.

NO.... it's not the only C7 that Chevy makes.

Chevy could well bring out an ultra high performance mid engine C8 and price it at $160K+ and have people lined up to buy it. Of course they will not sell 30,000 of 'em a year. That's why they will have other low end models for the typical Corvette buyer. Wouldn't it be interesting if a lightly revised C7 continues into 2020 while a 'halo' model of the ME C8 is introduced with a sky high price to match. That would add new buyers into the camp. I really don't see the die hard Corvette followers jumping to a Camero just because the 'halo' car is out of their price range any more that people abandon ship when the ZR1's were introduced over the years.

GM is not so out of touch with the market to bring out a $160K+ model Corvette that replaces the ENTIRE current line.

In answer to the thread.... If it's worth it, (and I'm sure it would be) I'll buy one....

Who exactly are you responding to? I never said the ZR1 was the only corvette Chevy makes???

I simply stated that there better be an entry level model available below $70k (if all C8s are rear mid engine). I am also willing to bet that if the performance model(above the base model) STARTS at $100k (instead of $80k like the current ZO6), corvette sales will suffer.

Just saying that if priced wrong, corvette sales will suffer much like the Gen V Viper sales suffered. There needs to be an affordable base model and ZO6 Equivalent available under $100k, IMO.

....That is, unless Chevy is ok with selling less corvettes.

[John]

GM did not put roughly $900M into BGA the last three years to sell, talking about year three, only 10,000 units per year because it was priced to start at $100K.

[Z_Rocks]

If C8 Base model starts above $70K, they will have a hard time selling it in mass.
And if they don't offer manual, that' another reduction of sales. I won't buy one if auto. I only drive manual when i comes to sport car. For sedans and SUV, Auto is the way to go.

[PaulChristian]

And if they don't offer manual, that' another reduction of sales. I won't buy one if auto. I only drive manual when i comes to sport car. For sedans and SUV, Auto is the way to go.

I don’t know if it would reduce sales....because literally EVERY corvette I see is an auto....but I agree. Unfortunately, it looks pretty certain this car won’t have a manual. Sad day if it happens. I also can’t stand the thought of owning a sports car in automatic. I may still buy one, but it would need to be spectacular everywhere else.

[LightningBolt]

Kodak once had 33,000 employees, now just 5% of that number. They invented the digital camera, but at a top level admin meeting they decided not to proceed (no one else had a digital camera then), because as we learned later, they said that it would “jeopardize our massive Kodachrome sales revenues.”

Now , IMO, they are fighting to be a tier three company.

The product wasn't the camera, it was the film. As you point out, the digital camera would put an end to that business no matter who invented it. Apple is moving in a similar direction. The Smart Phone market is saturated, but revenue can continue to be generated from services.

Back on topic: I too hope the C8 is sub-$100k and I don't see how GM can abandon its base to build a car that most of it's current market base can't afford. That doesn't even pass the sniff test.

[PaulChristian]

Back on topic: I too hope the C8 is sub-$100k and I don't see how GM can abandon its base to build a car that most of it's current market base can't afford. That doesn't even pass the sniff test.

Thank you! And very well said.

[Ateupjoe]

Many of us can't afford the Z06 and barely reach for the Grand Sport when heavily discounted! Notice which C7 model is the number one seller. And its price.