Brammo Offers Guaranteed Trade-in Program

08/28/2013 @ 2:39 pm, by Jensen Beeler4 COMMENTS

Brammo Offers Guaranteed Trade in Program brammo trade in program 635x423

Here’s some EV news for yah: Brammo has announced a guaranteed trade-in program for its electric motorcycle offerings, which basically says that if you buy a new Brammo motorcycle between now and the end of September 2013, the Ashland, Oregon company will guarantee that bike’s trade-in price (for another Brammo motorcycle of course) to be at the original MSRP for the next 12 months.

The move is an interesting one, as unlike its petrol-based counterparts, Brammo and other electric motorcycle manufacturers are facing rapid changes and growths in their product landscapes. Not only are these companies maturing themselves, but the technology that drives them (literally and figuratively) is continuing to evolve at a rapid pace as well.

Whereas in other technology based consumer goods businesses, the consumer has to understand that the item they are buying will be obsolete in just a couple of years (a few months in some cases even), but Brammo is hoping to allay those fears with basically giving Brammo owners a no-risk upgrade option, should a more advanced model come from the EV manufacturer.

This program also serves to help bolster Brammo’s used motorcycle market. With only a small number of machines on the road, used prices for electric motorcycles have been weak, with second-hand owners concerned about battery pack longevity. As such, we imagine that Brammo’s “Guaranteed Trade Program” will boost used Brammo prices back to figures seen normally on the dealer showroom floor — a win for new-bike buyers.

The trick here of course is whether Brammo will debut any real new models between now and September 2014. Given the product cycle we’ve seen from the company, with models announced well in advance of their arrival, it is easier than normal to see what is coming down the pipe from Ashland. But than again, maybe changes are afoot, and Brammo will surprise us this fall during the motorcycle trade show season.

What will be interesting to watch in the next 12-months’ time is how the Brammo used market reacts to the loss of the Guaranteed Trade Program, as one would expect prices to drop suddenly in the used EV bike market. We’ve got 12+ months to chew on that economics question though.

Source: Brammo

Comment:

  1. TRL says:

    See you can learn something from Harley-Davidson….

  2. Bob says:

    “if you buy a new Brammo motorcycle between now and the end of September 2013, the Ashland, Oregon company will guarantee that bike’s trade-in price (for another Brammo motorcycle of course) to be at the original MSRP for the next 12 months.”

    There was a 2.5 year time span from announcement to delivery of their Empulse. With no new bikes announced, and a poor track recording on timing, what the hell is the point of this? It’s a cool idea on paper though.

  3. paulus says:

    I want EV to work, even considered a Brammo… but this kind of smells of desperation.

    How can that work? You buy one at MSRP now… use it for 12 months, trade it in on the same model and get a new one?

    What about the loyal people that bought already? Do they get the same deal for their early adopter support of the brand?
    How to move the trade ins? (again, without impacting any already loyal buyers resale value).
    Are new models MRSP planned to considerably increase over the next year to finance it?

    A guarantee only works if they are still in business.
    I will wait and see how this plays out before making my EV choice.

  4. Dave Lambert says:

    A more powerful offer would be:

    1. A full money back guarantee (purchase money put in escrow) for 24 months

    2. Full trade in value at your Triumph, BWW or Ducati dealer (all money in escrow)

    These guys need to step up to the plate — which they have not done for the past 48 months

    The ‘sugar daddy bucks from MN are nearly gone’… a new investor needs to be sought… should not be you Ms Consumer

    It’s a hollow offer – there will be nothing available ‘to trade it in on’ in a few months

    Except maybe a used Ashland Police force (3 year old) bike.

    Better to invest your money in your local Indian Casino fund!