What's the future of the Kit Industry?

[Ex-Biker]

In the 2-3 years that I have been into kit cars, I have seen many manufacturers selling on their kits and many others just going under.

Luego is just another of these.

So how can the industry get out of this?

Mainstream manufacturers and legistlation doesn't help. New cars have so many electronic components that it makes it more and more difficult to use the cars for donor parts.
Traditional donor engines are going out of production - Rover V8's and 'K' series for example.


Ideas & comments?

[kartman]

Let me throw my ideas on the fire.....

I think the Cobra and LSIS market have a future....these are designs which mainstream manufacturers are unlikely to produce a similar article. These is someway have become 'lifestyle' products (hate that word....) which people aspire to. LSIS is suffering from over supply with regard to the number of manufacturers at the moment which will shake itself out. Cobra's will start using BMW's as bases........LSIS probably MX5. Individual design (eg 5EXi/Mojo) should be OK as well.

Anything that looks like a car you can buy from a mainstream manufacturer will have a challenge. Why spend two years building something in your shed when you can spend the same (or less money) and buy something with all the R & D of a major motor manufacturer. There is the satisfaction factor, but is that enough? The next generation (I call them the Max Power bunch) do not want to get there hands dirty in the way people have in the past. They want to buy, not build. Therefore I think.....

The future lies with panel kits - either Banham style (cut the body off) or Veranti style (repanel) kits. This makes them more appealing to people who are not keen on building a complete car, and leaves the complicated mechanicals/electrics in place, so once finished has all the 'goodies' (ABS, etc) people want.

Just my thoughts of course.....

[Ferg]

I agree with Kartman, however I would add that a recent thread on a Lotus forum I occasionally visit asked the question of whether a Libra V6 offered foir sale elsewhere was worth considering. The 'informed' answers seemed to say 'no'......

I doubt ANY of the posters had driven one and unfortunately many said that the car was too expensive since a 'blah, blah, blah Elise' could be had for the same money.

They miss the point I feel. I could have bought an Elise, but I didn't want a car you see 5-10 of on the road every day and my experience of both cars almost back-to-back gave the GTM a clear edge on everything barring perhaps build quality. My excuse for this, as always, is that Lotus are a car manufacturer, I am a plumber!

Are people willing to go the extra mile for individuality a dying breed???

[Patrick]

I think people will just start adopting the new electronics. Take the people who do engine conversions. There someone on e46fanatics installing an E46 (current gernation) M3 engine complete with SMG 2 gear box in an E30 (3 generations back) shell. Just transfer that accross to the kit industry people will pick up all the electronics stuff and use it in kit cars.

[Fuoriserie]

I agree withthe previous posts, and the kit industry will survive pretty much as Kartman pointed out.

Unique designs will survive, mainstream or not different enogh will die.

ATOM, MARLIN, GINETTA, and GTM ( if they clear what they want to become in the future, a cheaper Lotus???) should survive, because the have different and unique enough designs.

GTM is trying to move upwards, wanting to abandon their KITCAR heritage, but I'm not sure they will be succesfull. They don't have the money to play with the big boys, and if they don't have it, it's better not to try otherwise you get burned!. They don't have a new Libra or an updated model ready to move up, nor the money to spend on advertising, glamour events to woo the image conscious kids that buy Lotus.

A few replicas, mainly Speedster's and Ferrari's.

LSIS and Cobra's, but cobra's should slow down due to the age group market niche it's intended for.

4x4 are almost non existant with kits, but I still like the Dakar a lot.

Three wheeler should pick up more, because ther are unique, and if manufacturers like Peugeot and VW intend to manufacture a new product by 2007, then this will mean something....

For the rest it will be harder times ahead, let's hope not too hard!!!!

[Fuoriserie]

Maybe a Michalak 7 with a Smart engine for the Max power kids, but maybe........no new designs in the kit industry that is diffent enough and has that WOW factor to buy it.

Too many old kits passed on, from one small outfit to another, with very little thought on the economics of the product.

[Fuoriserie]

Sorry, my spelling is terrible today!!!!!!

Cheers

Italo

[Ex-Biker]

I think we need to look at how the industry is marketed.

How many people each year decide they want to build a kit car?

How many of these have already built one car?

I bet 50% of builders have done it before.

I reckon less cars are manufactured each year.

We need to introduce a whole new section of buyers.

[kartman]

Originally Posted by Ex-Biker

I think we need to look at how the industry is marketed.

How many people each year decide they want to build a kit car?

How many of these have already built one car?

I bet 50% of builders have done it before.

I reckon less cars are manufactured each year.

We need to introduce a whole new section of buyers.

That sounds like a questionnaire Mark.......?

The time between decision and purchase can be a long one.....and I believe only 1 in 4 kit cars are completed by the original purchaser...

What sector would you target for new buyers?

[Fuoriserie]

Just an idea for the Kit industry Publications.......


http://kitcarmag.com/projectbuild/142_0409_ecocat/


Why not do something similar in Europe?

Good news

[Patrick]

IIRC Stands are expensive and can run anywhere from a few 1000 to into the 10000 mark depending on how its made and whats involved (based on what I've seen on the consumer electronics side of things!)

[kitcarman]

Originally Posted by Patrick

IIRC Stands are expensive and can run anywhere from a few 1000 to into the 10000 mark depending on how its made and whats involved (based on what I've seen on the consumer electronics side of things!)

Actually Patrick,
Stands at Kit Car shows cost about £250 each.

Den

[Patrick]

Originally Posted by kitcarman

Actually Patrick,
Stands at Kit Car shows cost about £250 each.

Den

My mistake, I guess the electronics industry pays a lot more! Or more likely they just have more to spend

[Ex-Biker]

Just a thought, but would this attract a wider market to the industry?

If a certain magazine had a stand at a show like Max Power (it could be any similar show) and shared the cost with 1-2 manufacturers that would be interested in selling to such a market.

You could show 2-3 cars that would wipe the floor (in terms of performance) compared to 95% of the other cars at the show.

I can see the issue being that these people don't want to 'build' their own car, but with the amount they are willing to spend on a Corsa (eg) they could afford to buy a turnkey vehicle.

To attract the audience further as an insurance company to give you some example quotes that could be displayed on posters (at the insurance Co expense).

Acting as a group it would also be possible to have a loan company come on board for individuals looking to buy turnkey cars then you would have no problems with payment etc.

Just a thought, any comments?

[rushturbo]

Originally Posted by Ex-Biker

If a certain magazine had a stand at a show like Max Power (it could be any similar show) and shared the cost with 1-2 manufacturers that would be interested in selling to such a market.

Good Option.

The most effective way a car can get advertised is via their performance standards.

For very little cost, Santa Pod offers a huge market, where a Kit can prove it's performance and the manufacturers can have a real good time in doing so.

[andy]

Originally Posted by Ex-Biker

Just a thought, but would this attract a wider market to the industry?

If a certain magazine had a stand at a show like Max Power (it could be any similar show) and shared the cost with 1-2 manufacturers that would be interested in selling to such a market.

You could show 2-3 cars that would wipe the floor (in terms of performance) compared to 95% of the other cars at the show.

I can see the issue being that these people don't want to 'build' their own car, but with the amount they are willing to spend on a Corsa (eg) they could afford to buy a turnkey vehicle.

To attract the audience further as an insurance company to give you some example quotes that could be displayed on posters (at the insurance Co expense).

Acting as a group it would also be possible to have a loan company come on board for individuals looking to buy turnkey cars then you would have no problems with payment etc.

Just a thought, any comments?

My thoughts exactly, I think i mentioned that I took my Ultima to a few max power events at the Pod etc and it even got pictures published... and posted Unrivaled times in class although that wasn't published.

Many of the cars at these events cost more than our kits and it's defiantelly a potential market.... especially when you mention to them that the car may actually be worth what they spend and that it'll be a fraction to insure etc.

[kitcarman]

I realise that performance is one area in which certain kit cars prevail, but the vast majority of kit cars are not primarily aimed at the performance market (even if they have the appearance of a performance vehicle).

For example, there are at least 20 kits based on a WV floorpan (mostly 356 replicas and beach buggies). There are several body conversions which in many cases end up heavier than their base vehicle. Some of those are clearly made for off-road activities. Speaking of which there are a plethora of off-road buggies and cars (Bugrat, MEV, Outbak to name a few). Then there are still a few traditional roadsters available (Beauford, Marlin Sportster, Javelin Cabrio and Regal to name some). What about three wheelers and replicas of classics (the replica aspect being, I guess, their predominant appeal). Then there are a few plan-built offerings (where, I guess, the task of building is more the attraction than the joy of driving). Let’s not forget that there are a whole group of 2CV, Herald and Spitfire based kits (for which, presumably, the owners must place performance pretty low down on their list of priorities). Even in respect to the real ‘performers’ of the industry, it’s a low proportion that end up assembled with the most powerful motor in the range.

My point is that the attraction of kit cars must go way beyond this one aspect – evidenced by what’s actually available. A group of kit cars attending a sports or racing car show is not, in my humble view, going to make any significant difference to the fortunes of this industry as a whole.

I’m not trying to P155 on anyone’s fireworks, but merely trying to get us to focus on the wider problem of getting the word about the whole range of kit car types onto the streets.

Den

[Ex-Biker]

Originally Posted by kitcarman

My point is that the attraction of kit cars must go way beyond this one aspect – evidenced by what’s actually available. A group of kit cars attending a sports or racing car show is not, in my humble view, going to make any significant difference to the fortunes of this industry as a whole.

Den

Den

Anything that shows the industry in good light is a step in trhe right direction.

Even selling to the Max Power brigade, it doesn't mean they'll all buy the most powerful.

[lambogenie]

Thats probably why kit manufacturers are short on the ground at recent shows then!