Is There Still Room for Lucid?

"When new automotive segments hit the market, they follow a fairly predictable curve. First, early adopters flock to the first few examples of a particular concept. Then, if it proves profitable, and enough critical mass accumulates, the industry brings its massive design and engineering dollars into play and scoops up the second wave of buyers whose curiosity has been piqued."

"As democratization spreads across the planet, acceleration and torque that once seemed mind-blowing in early electrified cars are now merely expected. This doesn't just apply to power, either. The encroachment of traditional luxury builders like BMW and Mercedes-Benz on the EV space has forced even loyal customers to ask themselves hard questions about build quality, design and features when looking at a smaller brand's once-impressive wares."

"This is the predicament for Lucid Motors, which produced its first vehicle, the Air sedan, in 2021. Praised as groundbreaking, the sleek, full-size four-door proved that independent EVs didn't have to sacrifice style at the altar of aerodynamics, and that it was possible to pair high-end interior trappings with the kind of smooth and speedy performance that would satisfy even the most lead-footed aristocrat. This recipe has attracted such influential customers as Orlando Bloom, and A-list brand ambassadors like Timothée Chalamet."

When new automotive segments emerge, early adopters buy initial concepts, then industry investment targets second-wave buyers once profitability and critical mass appear. Boutique EV brands risk being overwhelmed when mass-produced rivals match or surpass their early performance figures. As electrified-vehicle performance becomes commonplace, acceleration and torque move from wow factors to expectations. Traditional luxury manufacturers such as BMW and Mercedes-Benz entering the EV space prompt customers to reassess build quality, design, and features from smaller brands. Lucid Motors launched the Air sedan in 2021, combining aerodynamic styling with high-end interiors and strong performance, attracting influential customers and ambassadors.

Read at InsideHook