Rivian is offering discounts of up to $5,000 on its electric vehicles (and a year of free charging) to customers who want to trade in their gas-powered trucks and SUVs.
The deal, which began on April 22, is aimed squarely at some of the best-selling and ubiquitous gas-powered trucks and SUVs on the market today, including the Ford F-150, Toyota Tacoma and Jeep Wrangler. Rivian is even going after German automakers Audi and BMW. The price reduction varies between $1,000 and $5,000 depending on the model. Rivian is offering discounts on three R1T truck versions and one R1S SUV model.
The company promoted on Monday the “electrical upgrade offer” in an email to potential clients, as well as in posts on social media. The discounts come as demand for premium and luxury electric vehicles has weakened across the industry, leading automakers such as Ford, Lucid and Tesla to reduce prices. Faced with uncertain demand, many traditional automakers have also reduced plans switch their portfolios to battery-only electric vehicles. Gasoline vehicles and hybrids are back in fashion, thanks to the steady sales and profit margins they provide.
Rivian, which is only expected to produce about 57,000 electric vehicles in 2024, will not displace the best-selling pickup trucks on the market. But the approach could help you win over a new group of customers.
Only owners of specific gasoline-powered vehicles will be eligible for the trade-in. These include the 2018 or newer Ford F-150, Ford Explorer, Ford Expedition and Bronco trucks, with the exception of the Bronco Sport. Other eligible trade-ins include 2018 or newer Toyota Tacoma, Toyota Tundra, Toyota Highlander, Toyota 4Runner Jeep Grand Cherokee, Jeep Wrangler and Jeep Gladiator. The Audi Q5, Q7 and Q8, as well as the BMW X3, X5 and X7, also qualify.
The offers apply to customers who want to lease or buy a vehicle, although they must receive it by June 30. Rivian is also offering one year of free charging on any Rivian-owned charger in the United States as an added sweetener. Rivian’s fast chargers, called the Rivian Adventure Network, are not as plentiful as the Tesla Supercharging network. The company has installed 433 fast chargers at 71 stations, including Arizona, California, Oregon, Washington, Colorado and the East Coast. Rivian has also installed 482 Level 2 chargers (called Waypoints) at 180 home sites across the United States.