In October, Scout Motors announced its first two vehicles, the Traveler SUV and the Terra pickup truck. The all-electric offroaders will be available by 2027, carrying 350 miles of range and costing below $60,000. They will be made in the $2 billion South Carolina factory the company is opening.
The concept models are incredibly accurate to their original designs. Scout ran as a gas-powered SUV from 1961 to 1980, so the brand carries a rich legacy. Its revival hinges on modernity and the embrace of zero-emission power.
Having the backing of Volkswagen (VW) also helps. Scout was bought by the German auto group after the successor company, Navistar, in 2020. However, Scout is designing all the vehicles themselves. VW is helping with financing and other areas of the business.
Scout announced it would work with Magna Steyr as a production partner in December 2023. Magna won’t build the cars but will have input on design and functionality. At the launch event, the Traveler and Terra were shown to have mechanical door handles and analog controls in the interior.
The front end even has a grille despite being electrified. The retro will capture fans of the brand from the 60s and 70s.
The vehicles will have bidirectional charging and fast charging capabilities of up to 350 kilowatts (kW). The Terra will have 120-volt and 240-volt outlets in the bed to power small devices.
Photo Courtesy Scout Motors
Scout also revealed how it will sell these vehicles. The company wants to sell directly to consumers like Tesla, Rivian, and Polestar. Thanks to VW’s financial backing, it might be more than just a dream.
Markups and renderings of what Scout’s brick-and-mortar stores would look like are available, but digital sales will be a crucial element of the plan. Scout said the approach would reduce the amount of time people spend on their car shopping. It’s also following the trend that people are more interested in independent car buying. Direct-to-consumer digital sales provide more transparency about fees and markups.
Scout says 25 Workshops and Studios will launch in the next five years. They will function like dealerships, where customers can browse the vehicle selection and set up service appointments.
However, they will look more like cafes than dealerships. Scout says it will also offer customers mobile service if they live more than 45 minutes away from a Workshop.
Electric vehicles (EVs) redefined the driving experience, so it makes sense they may not be sold the conventional way. Tesla was the first to adopt the digital, direct-to-consumer approach, and its competitors followed. Even legacy automakers, like Honda, are getting in on the trend. Scott Keogh, Scout’s CEO, says the automaker’s buying process will be “transparent, super fast, and super easy.”
Photo Courtesy Scout Motors
Not everyone is thrilled about Scout’s plan to follow direct-to-consumer sales. Reuters reported that the auto dealership trade organization National Automobile Dealers Association (NADA) says it plans to “challenge” Scout’s decision.
NADA believes this approach cuts dealers out of the picture, where they could’ve made a significant profit, especially since it’s a VW-owned brand.
This group has also challenged Tesla and Rivian for their direct-to-consumer sales. There are also state laws prohibiting these sales, which is one of the reasons why Tesla can’t sell its cars in Louisiana.
However, The Verge noted that many of these dealers also wrote a letter to the White House saying Americans aren’t ready for EVs and there’s no interest in them. Some dealers don’t even sell EVs — the Sierra Club found that two-thirds don’t have any on their lots. Scout doesn’t seem worried, though, and plans to move forward regardless of any NADA pushback.
Combining a modern auto business strategy with a vintage brand is a good way to continue EV sales. People might be more open to approaching a brand for which they have some nostalgia.
