Brammo consulting business

[Richard230]

A BMW owner from the Netherlands posted a comment today (after going for a test ride on a Zero) on the BMW forum that I frequent, that he had spoken to a Brammo executive recently who told him that Brammo was completely "overwhelmed" by requests from established manufacturing companies to act as a consultant in developing electric propulsion designs for their products. It makes me wonder if they are considering following Mission's business model and sticking to the consulting business. I'll bet there is a lot more money to be made doing that than making electric motorcycles - or any motorcycle for that matter - unless of course, you happen to make an American V-twin with an existing rabid following.

[Shinysideup]

I'll bet there is a lot more money to be made doing that [consulting] than making electric motorcycles...

No doubt your assessment is accurate, but I hope only for the short term. I DO feel electric propulsion, including motorcycles is bound to take off, especially when oil prices start rising again, which is inevitable.

Meanwhile, it would seem to me that Brammo's racing presence along with their retail efforts would serve them by attracting exposure, building brand recognition, establishing credentials for their consulting efforts.

I just love the Empulse as a bike so much that I want them to do well in that arena. Not an easy proposition, but kudos for anyone who tries. It's sure a tricky market right now!

[Richard230]

To me it seems the hard part is hanging on long enough to make a living selling electric motorcycles.  As you can see, the big established brands (other than BMW and their scooter, which is only being sold in Europe, near the factory - just in case something goes wrong, I suppose) are staying out of the market.  They are just not willing to take the risk and are letting others do so until the market becomes viable in their bean-counting eyes.  If the major manufacturers (and I am thinking particularly of H-D, here) do try selling EV's it might be due to the need for "carbon credits" to offset the sales of their traditional and more profitable smog machines.

Hopefully Brammo will be able to use their consulting profits to fund the production motorcycle development and manufacturing side of the company.  As I recall, both Honda and BMW have used their car sales to offset losses in their motorcycle divisions in years past.  But eventually that segment of their companies finally became profitable and can now stand alone on their own business merits.