Product Analysis_Jake Howard

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Rivian Product Analysis 1 Product Analysis: Rivian Jakob T. Howard Capella University Market Analysis: Rivian Founded in 2009 by RJ Scaringe Rivian Automotive produces luxury yet rugged autonomous electric vehicles. Rivian has set its sights on creating battery powered trucks and SUV’s as these vehicles create the most pollution out of the daily drivers. As of 2015, Rivian shifted its focus to producing a fully autonomous battery powered truck and SUV. Within 3 years Scaringe and his team at Rivian debuted the first prototypes of the R1T (truck) and the R1S (SUV). As of 2021, the first consumer ready R1T was rolled off the line in Normal, Illinois. Rivian continues to grow and expand as they are working on adding new plants in the surrounding areas of Atlanta, Georgia. Scaringe joins the likes of Elon Musk as a pioneer in the electric vehicle industry. Tesla is widely known as the autonomous electric car company that took the world by storm as the first self driving car. Tesla now has competition in the form of

Rivian Product Analysis 2 Rivian and their EV truck and SUV. Rivian has drawn interest from major corporations worldwide which have chosen to buy into Scaringe’s vision. “ Investors in Rivian include Amazon, which owns a 20% stake, as well as Ford Motor and Cox Automotive” (Forbes, 2021). With backing from these big time corporations Rivian has become an automotive company that could gain major recognition in the coming years. Rivian’s Product Rivian automotive currently has two electric vehicles on the market for consumers, with more on the way. Scaringe has designed the two Rivian EV’s as luxurious but rugged, in which Tesla’s product only caters to a single market. Rivian has created the first EV truck on the market with their R1T truck which starts at $73,000 and can range from $80,000- $95,000 for different configurations. The R1T has a battery range from 250-400 miles on a single charge as well as going from 0-60 mph 3 seconds. The second vehicle in the lineup is the R1S, their EV SUV which starts at $79,000. The Rivian SUV has a battery that ranges from 260-320 miles and can seat 7 passengers. Depending on the configuration of the R1S it can go 0-60 in 3 seconds just like the R1T. Rivian’s vehicles have autonomous driving capabilities with the use of cameras, sensors, and pre-mapped highways. As stated earlier, Amazon holds a 20% stake in Rivian which also makes them the biggest financial stakeholder in the company. Following Amazon’s 700 million dollar investment into the company, they partnered with Rivian to build their brand new EV Amazon Prime delivery vans. “ These vans, with an estimated 200+ mile range, are set to be built exclusively for Amazon. Amazon expects to have 10,000 electric delivery vans on the road by the end of 2022” (EDS, 2022). These all new electric delivery vehicles have begun to roll out in Chicago, Phoenix, and Seattle. Product Marketing

Rivian Product Analysis 3 Scaringe’s approach to marketing Rivian isn’t through commercials or ads through different streaming platforms. Rivian markets mainly through auto shows and pop up stores at these events. Rivian’s way of marketing is similar to Lamborghini, Ferrari, or Mclauren which in some ways these brands are pioneer’s of direct to consumer marketing. Consumers looking for information or to purchase either the R1T or the R1S will have to come directly to Rivian’s website to pre-order their vehicles. “ Through Rivian’s website you can “reserve” an R1T truck or R1S SUV. Then you wait. But Rivian also has these events it schedules where it brings the Rivians to these reservation holders to keep their interest up and to see prototypes in person”(Taylor, 2019). In doing this Rivian makes sure that all customer interactions go through Rivian and no other third parties. Rivian will also be able to advertise and start to gain more attention from consumers with their new EV Amazon Prime vans. Amazon is a globally recognized brand and having the Rivian name attached to Amazon is better than having any commercial on TV. “When Amazon invested in them…but more importantly, put a commitment to buy all of those vehicles from them, they changed the market dynamic around that company”(Evers et al., 2022). Rivian announced it was going public in 2021 and ended up opening with one of the largest IPOs in United States history. As more Rivian vehicles hit the market the potential for the Rivian brand to grow will be exponentially higher. Rivian’s Competition The automotive industry is a tough industry to start from the bottom and be able to make a profit or just compete with the other top brands of the world. As top automotive manufacturers make the switch from gas and fossil fuel powered vehicles to manufacturing EV vehicles, Rivian will soon have to compete with General Motors, Ford Motor, Toyota, and other top brands

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