The wait for the start of the series is also taking far too long for us. We had a hunch that we wouldn’t be able to narrow down the exact time sufficiently at the beginning and therefore deliberately chose an interest model for reservations. This was intended to reward early reservations. The increasing number of reservations in recent months also shows that there is a clear interest in the new TWIKE, which is also clearly noticeable when validating the current reservations. Although only the key data and a few visualizations have been outlined in the blog posts so far, we are already noticing a real enthusiasm.
We are aware that we need to disclose more and more details in further communication. We did this with every new blog post. Most recently with the reference to editing the parts list (see article on BOM), because optimizing costs is a major concern for us. However, the small series on the one hand and the desire to create a much better, sustainable and long-lasting product on the other are in contrast to the desired low purchase prices. The long service life will have a positive effect – the TWIKE 3 already has ambitions to achieve classic car status, and a TWIKE 5 also has these “old-age genes”. The longevity also makes the purchase price more of an investment. The lower follow-up costs do their part and have already put the purchase price of the TWIKE 3 into perspective. With the TWIKE 5, the more extensive use will also contribute to this – higher riding comfort and riding speed can replace a conventional vehicle.
The strategy of deriving an even more marketable TWIKE 6 from the TWIKE 5 in a follow-up development is also helpful. In order to avoid cannibalization between the models, the 5 will retain exclusive outstanding features and the higher quality basic equipment. The lower rated engine output of 15kW in the 6 will still allow a sporty top speed of 120km/h and a range of over 500km with the appropriate battery equipment .
The fly in the ointment: development of the TWIKE 6 will only be able to begin after SOP of the 5th generation.
In the world of vehicle manufacturers, the SOP is known as the START OF PRODUCTION, the moment when series production of a product begins. For the TWIKE 5, this cannot yet be determined to the day. However, the planned design with an extremely optimized production line compared to the previous model 3 already allows a good estimate. In this respect, we are currently expecting a period of around 6 months from release to the suppliers in order to achieve a production capacity of one vehicle per working day after the shortest possible ramp-up time. Release to the suppliers can take place as soon as through-financing has been confirmed. And this is where the cat starts to bite its tail. Because without a tangible product, there is only a limited willingness to invest in it.
We now want to break this vicious circle and are drawing up our work plan as if the financing had been confirmed. Not every supplier will or can accept this and so, where possible, the costly development steps are put on the back burner. This strategy does not help to shorten the development time as much, but it does help to make steady progress with a small budget.
In terms of setting up production, it is easier for us to implement the plan. For the time being, it is essentially a matter of rearranging. The production processes will take place in premises that are largely available, supplemented by new storage areas that are not too cost-intensive. The existing space allows for a production capacity of 200 vehicles per year. A set-up time for final assembly of less than 32 hours requires four workstations.
At the same time, the financing for the start of series production must be secured within the next 6 months. To this end, we will speak again with all those involved, explain the interrelationships and clarify how and in what time frame the financing can be secured.
Let´s TWIKE!
