[CoachKandSportsguy]

Hertz misses profit estimate as Tesla price cuts hit fleet value

Repair costs for EVs have also been higher than expected, about double what the company pays to fix damaged gasoline cars, Chief Executive Officer Stephen Scherr said in an interview Thursday.

hmmmmm, that's not what I read from the sales pitches. . .

[Bill14564]

Originally Posted by CoachKandSportsguy

Hertz misses profit estimate as Tesla price cuts hit fleet value

Repair costs for EVs have also been higher than expected, about double what the company pays to fix damaged gasoline cars, Chief Executive Officer Stephen Scherr said in an interview Thursday.

hmmmmm, that's not what I read from the sales pitches. . .

There were sales pitches from Hertz?

Would be interesting to see the numbers. Inflation is hurting car sales all around. The demand for used cars may be down either due to satiation or an increased availability of new cars. Selling used cars, especially from a rental fleet, will be difficult if new car prices are reduced to be comparable. Hertz could have anticipated some of those but not all.

Would also be interesting to see what the damages are that need to be repaired. Are they related to the electric drive system or to body parts? Either way the EV is more expensive to repair but since it is likely the EV haters will start reposting this article, it would be nice to know just what the repairs involved.

[Keefelane66]

Originally Posted by Bill14564

There were sales pitches from Hertz?

Would be interesting to see the numbers. Inflation is hurting car sales all around. The demand for used cars may be down either due to satiation or an increased availability of new cars. Selling used cars, especially from a rental fleet, will be difficult if new car prices are reduced to be comparable. Hertz could have anticipated some of those but not all.

Would also be interesting to see what the damages are that need to be repaired. Are they related to the electric drive system or to body parts? Either way the EV is more expensive to repair but since it is likely the EV haters will start reposting this article, it would be nice to know just what the repairs involved.

If it were the drive train/ batteries then why would they be committed to buying more. Suspect is body repairs since that's not covered by warranty.

[Topspinmo]

When you rent to bunch of ______(fill in the blank) expect major repairs. Just what happens when you rent.

[gatorbill1]

Check vehicle life expectancy electric vs combustion engine.

[Bill14564]

Originally Posted by gatorbill1

Check vehicle life expectancy electric vs combustion engine.

One article points out fewer wear parts means EV should easily last 10 years, about as long as combustion vehicles are typically kept. Another article suggests EVs won't last the 20 years combustion vehicles are typically kept.

I find it doubtful that keeping a car for 20 years is common so I question the conclusions of that particular article.

I personally have only kept one vehicle for 10 years so for me, an EV has the same lifespan as a combustion engine.

But that doesn't seem to have anything to do with the article about Hertz.

[Caymus]

Originally Posted by Bill14564

One article points out fewer wear parts means EV should easily last 10 years, about as long as combustion vehicles are typically kept. Another article suggests EVs won't last the 20 years combustion vehicles are typically kept.

I find it doubtful that keeping a car for 20 years is common so I question the conclusions of that particular article.

I personally have only kept one vehicle for 10 years so for me, an EV has the same lifespan as a combustion engine.

But that doesn't seem to have anything to do with the article about Hertz.

Have you lived in many low income areas?

[BrianL99]

A lot of people seem to be missing a significant issue with EV's.

Just about everyone who wants one, has one. The market is over-saturated and market demand just isn't there.

The manufacturers wouldn't be making them, if they weren't forced to, in order to meet unrealistic CAFE requirements. Right now, manufacturers are trying to force them on the market. On paper, I'm sure the requirements made sense to some nit wit in Washington, but in the real world, people just don't want electric cars.

[Bill14564]

Originally Posted by BrianL99

A lot of people seem to be missing a significant issue with EV's.

Just about everyone who wants one, has one. The market is over-saturated and market demand just isn't there.

The manufacturers wouldn't be making them, if they weren't forced to, in order to meet unrealistic CAFE requirements. Right now, manufacturers are trying to force them on the market. On paper, I'm sure the requirements made sense to some nit wit in Washington, but in the real world, people just don't want electric cars.

Is there any indication that the number of EVs sold is slumping? Data that turned up in my search (EV sales by year: here, here, and here) shows an increase from 2021 to 2022 and into 2023. July sales were a little less than June but is that a saturation in the market or the impact of rising interest rates? Regardless of the nitwit in Washington, the data seem to show that people want electric cars.

[Stu from NYC]

Over the years we have kept several vehicles for 20 years.

As long as they are reliable why get a new one?

[Topspinmo]

Originally Posted by Bill14564

One article points out fewer wear parts means EV should easily last 10 years, about as long as combustion vehicles are typically kept. Another article suggests EVs won't last the 20 years combustion vehicles are typically kept.

I find it doubtful that keeping a car for 20 years is common so I question the conclusions of that particular article.

I personally have only kept one vehicle for 10 years so for me, an EV has the same lifespan as a combustion engine.

But that doesn't seem to have anything to do with the article about Hertz.

Not in rust belt. ICE vehicles struggle to last 5 years there.

[Topspinmo]

Originally Posted by Bill14564

Is there any indication that the number of EVs sold is slumping? Data that turned up in my search (EV sales by year: here, here, and here) shows an increase from 2021 to 2022 and into 2023. July sales were a little less than June but is that a saturation in the market or the impact of rising interest rates? Regardless of the nitwit in Washington, the data seem to show that people want electric cars.

They will slump more also with high end any make. Majority can’t afford 60K (not even close to high end) plus vehicles of any kind.

[Topspinmo]

Originally Posted by Bill14564

One article points out fewer wear parts means EV should easily last 10 years, about as long as combustion vehicles are typically kept. Another article suggests EVs won't last the 20 years combustion vehicles are typically kept.

I find it doubtful that keeping a car for 20 years is common so I question the conclusions of that particular article.

I personally have only kept one vehicle for 10 years so for me, an EV has the same lifespan as a combustion engine.

But that doesn't seem to have anything to do with the article about Hertz.

Not yet known what all electric EV with be worth 10 years old let along last that long.

[spinner1001]

Originally Posted by CoachKandSportsguy

Hertz misses profit estimate as Tesla price cuts hit fleet value

Repair costs for EVs have also been higher than expected, about double what the company pays to fix damaged gasoline cars, Chief Executive Officer Stephen Scherr said in an interview Thursday.

hmmmmm, that's not what I read from the sales pitches. . .

My guess is Hertz’ higher Tesla repair costs are mainly related to batteries and body damage.

I rented a Tesla Model 3 from Hertz for a week during an out-of-town trip for my one and only experience in driving an EV. I would not be surprised if many of the Hertz ‘repair’ costs are related to drivers running the batteries down close to zero and unable to drive further. If a renter is on the road and runs the battery down to near zero during a trip, I am almost certain that Hertz pays to fetch the car with the dead battery. Also, my experience was that the Tesla battery did not actually deliver the number of miles indicated earlier for the car range when fully charged by roughly 20% less. I was using the air conditioning. (I loved the Tesla technology and acceleration otherwise).

I also wonder whether Hertz is paying for battery replacements or at least accruing battery replacement costs given that many renters likely don’t mind Tesla’s guidance to not run the battery below 20% without impairing battery lifespan.

Finally, it is widely known that Tesla body damage repair costs are higher than for ordinary cars. Also, I guess that Hertz’ Tesla vehicles waiting for body repairs (parts and labor) are out of service longer (unable to rent) than for repairs to their ordinary cars.

[Bill14564]

Originally Posted by Topspinmo

Not yet known what all electric EV with be worth 10 years old let along last that long.

Question was not potential trade-in value. Question was lifespan. 10+ year warranty guarantees lifespan to be 10+ years.