Is The Volt In Danger Of Becoming The Next Edsel?

Is the house of cards falling around the Chevrolet Volt? If you remember when GM was restructuring just a few years back, they described the Volt as a Must Have Item to be competitive.  An all electric wonder machine no less.

As the Volt came to reality one of the first big shockers  we ran into (pun intended) was the addition of a gasoline motor to help the Volt along if battery power ran low.  While there was an initial outcry at first, it soon died down as this was seen as a last resort assist from the pure EV experience.  That was until we found out the Volt has the average range of a golf cart.  That "assist" motor obviously would be used far more often than we were originally led to believe.  But the hardcore fan said "hey we were still saving on the cost of fuel right?", so it all works out in the quest of leading edge technology.

That kept many of the skeptics quiet until the reality of sticker shock set in.  There was simply no way to recoup any of the investment in fuel savings.  If you wanted the keep the green in your wallet you had to lease and let the taxpayer foot the bill.  Being "green" was going to cost both you and you neighbors

So now we look at the facts.  While the Volt is selling better, than it used to, it can in no way be classified as a volume seller and recent reports indicate that this"must have" for GM is costing almost $50K per unit "sold".  Do you really want such a money loser in the lineup? How long will the burden continue.  Will sales ever increase?  Has the Volt become the Edsel for this generation?

Discuss....

randy3023 - 10/19/2012 3:48:43 PM

+3 Boost

Was the Edsel disgraceful? Was it ugly? Did it look like a cross between a Cirrus and an Acura TSX fitted with plastic trim?

Was each Edsel sold for half its cost to actually build? Was the shortfall then SHAMEFULLY financed by taxpayer dollars?

Volt OWNERS:

YOU DIDN'T PAY FOR THAT. We DID. Shame on you and shame on GM for stealing the public's money.

vdiv - 10/19/2012 4:35:58 PM

-1 Boost

Ouch, that hurts! Who's we BTW?

MarkW - 10/20/2012 12:33:55 PM

+2 Boost

Let me get this straight, a $7500 tax credit for purchasing an EV to encourage American transportation efficiency and innovation is a disgrace, but a $75,000 tax credit ( Section 179 of the IRS tax code) toward buying a light truck or an SUV ( say like a 10 mpg ford explorer) is ok?
I believe that you encapsulate the problem with America’s economic competitiveness in a nutshell…

MBCLS07 - 10/19/2012 6:31:24 PM

+4 Boost

How dare you insult the Edsel! The Edsel didn't cost taxpayers a dime.

Rastor - 10/19/2012 7:10:41 PM

+3 Boost

Yes, let's look at the facts.

The reports of a $50K loss per unit are taking the cost of developing the technology and dividing it by the number of cars sold so far, which is incredibly stupid. As more Volts and other Voltec vehicles such as the Cadillac ELR are sold, that cost per unit goes lower and lower until you see the program as a whole has become profitable a few years after production began.

Also, regarding the sales; US Volt sales in
Apr: 1462
May: 1680
Jun: 1760
Jul: 1849
Aug: 2831
Sep: 2851

"Will sales ever increase?" How is that even a question? As you can plainly see, sales have increased every single month.

800over - 10/22/2012 9:44:19 AM

+3 Boost

Ummm...the incentives have also increased as the year has gone by....lease for $199 with 3k down? how is that possible for a a $40k plus vehicle without huge incentives?

LACMAN - 10/22/2012 12:54:43 PM

+1 Boost

Touche, Rastor, Touche...

#thatIsAll

manthony1948 - 10/20/2012 2:23:15 AM

0 Boost

009, your right wing political motivations behind this post are just too pathetically transparent. Now, I've already told you to give up your job as a automotive writer (I use that term loosely), do not pass "go", do not collect $200 and go straight to Fox News where you belong. What's taking you so long? Nobody here is taking you seriously anymore. It's over for you. It's done. Goodbye.

globaltrader - 10/20/2012 9:02:36 AM

0 Boost

Ditto!
Go to the corner, GM is doing the right thing, and your cost skewing is incorrect.

MarkW - 10/20/2012 12:18:58 PM

-1 Boost

It you want to start a real discussion you should try and get at least one fact right in your opening piece. Bullying the GM Volt by spreading myths about its cost or calling it names for political points isn’t going to transforming Americas Economic frailty into strength. It is not going to bring back the era of cheap oil that was the driving force behind Americas economic juggernaut.
Ironically we are in a new era of cheap energy, but expensive oil. According to Bank of America / Merrill Lynch the new Canadian oil sands projects need an average per barrel price of $113 to BREAK EVEN. Oil executives are now pouring billions into these projects and they are not in the habit of “just breaking even”. Welcome to the new reality of triple digit oil prices.
If the volts technology is adopted on a large scale, the impact of the ability to utilize substitutes to gasoline on the American economies competiveness cannot be understated. In theory, just enabling electricity as a viable commodity substitute for gasoline can actually dampen the speculation driving today’s oil spot price. In economic theory this is called the Substitution effect.
The result can be a cap on long term oil commodity prices and the return of growth and prosperity.
Deal with the new reality or become road kill…. Your choice.
If you would like to learn more try :
http://gm-volt.com/2012/10/10/how-the-chevy-volt-can-save-the-us-economy-from-zero-growth/

skytop - 10/25/2012 7:48:07 AM

+1 Boost

YOu own a Volt and since you put so much money into it, you have no choice but to support it. Here is the REAL objective truth as to why the Volt is an unmitigated FAILURE.

GM's Latest 'Crapload' of Chevy Volt Nonsense at:

http://nlpc.org/stories/2012/03/08/another-%E2%80%9Ccrapload%E2%80%9D-chevy-volt-nonsense

chewy - 10/20/2012 6:20:04 PM

+2 Boost

Still the best selling plug in, although the recent sales surge is incentive driven. Until it's overtaken by other competitors everyone needs to relax as the problem is not the Volt but the plug in market.

HoustonMidtown - 10/21/2012 2:14:39 PM

0 Boost

Give it up already 009 -- we know you despise the Volt...you even make up headlines that are untrue (the battery maker article from last week) to try and prove your dislike....its getting old

TheGenius - 10/21/2012 5:21:22 PM

+1 Boost

009, I don't give a damn about the Volt or for that matter any electric car on the market, but when will you stop posting pathetic articles that are politically motivated? The worst part is that you seem to struggle with basic financial principles or processes that govern auto production....scary for someone working on an auto site. It is becoming really sad..At some point people will stop commenting on your articles and I'm almost there...just hoping you can still be redeemed!!....Can we cut out the political garbage and focus strictly on autos????

skytop - 10/22/2012 8:07:10 AM

+2 Boost

Becoming? Open your eyes and see that the Volt is endemic proof of Government's failure due to the pressure from the inept, naive and misguided obama administration.

Whatever obama has touched or nationalized has failed and goine bankrupt. obama is a cancer and tumor on American business and takes pleasure in watching them collapse. Destruction is what obama is all about based on his hatred of America. Think this is wrong? Then think again and just look at the facts of his 4 years of ABYSMAL failure and cluelessness.

chewy - 10/22/2012 3:41:36 PM

0 Boost

The Volt was old GM/pre Obama starterd in 2006/7.

kenmail2 - 10/23/2012 10:48:04 PM

0 Boost

I own a Volt. It is exceptional in every way, and with my 20 mile round trip commute, and another 15 or so a day on various errands, I have driven the last 1100 miles without a drop of gas.

New technologies take investment and time. The Voltec powertrain will be mainstream in 3 - 5 years. Yes there is some government investment, but how much money have we "invested" in middle eastern oil wars, foreign aid to oil rich Arabs, and government payouts to oil companies?

You sound like horse and buggy advocates lamenting the birth of the auto. Such a sorry lot.

Before spewing any more Volt-bashing, drive one. The flat torque curve is fun to drive, it handles well, and the silent cabin is great for audiophiles.

Join this century, folks.