Bad news on Alta

SCR wrote:

Was that after they cut $4,000 or whatever it was off the price? I assume the original 15k price was well thought out. Dropping it 4k...

Was that after they cut $4,000 or whatever it was off the price?
I assume the original 15k price was well thought out. Dropping it 4k seemed like a hail mary decision made because they saw they were in trouble a year ago. The OP linked article said the 30% drop in price wasn't likely sustainable or profitable.

Do you know what the margins are for the manufacturer and or resale ? I was trying to guesstimate some numbers based on 1,000 units sold, 50 or so employees, 7 or so executives, rent, debt, insurance, etc. I think there is about 80k off road bikes sold in the US. I was trying to figure what share of that did they plan on getting.

Hell of a tough market to succeed in I guess. Even with the good response to their bikes.

Fourth_Floor wrote:

Can you give an example of how the sport was/is floundering because of 4-strokes? Please don't say it's because how expensive they are because a brand...

Can you give an example of how the sport was/is floundering because of 4-strokes? Please don't say it's because how expensive they are because a brand new KTM 65SX is $5,000.........Is the average working class dad going to cough up that kind of dough so junior can ride on the nearest track that's an hour away or is he putting the kid in baseball.

Fourth_Floor wrote:

Can you give an example of how the sport was/is floundering because of 4-strokes? Please don't say it's because how expensive they are because a brand...

Can you give an example of how the sport was/is floundering because of 4-strokes? Please don't say it's because how expensive they are because a brand new KTM 65SX is $5,000.........Is the average working class dad going to cough up that kind of dough so junior can ride on the nearest track that's an hour away or is he putting the kid in baseball.

mx_563 wrote:

I think noise is doing a lot of damage to "the sport" and 4-strokes tend to be worse that 2-stroke when it comes to that sort...

I think noise is doing a lot of damage to "the sport" and 4-strokes tend to be worse that 2-stroke when it comes to that sort of thing. My local track got shut down about a year ago. Ione Sands MX is currently grappling with the noise issue...

https://www.vitalmx.com/forums/Moto-Related,20/Ione-Sands-MX-track-need…

Without a track to ride, the cost of a 65cc becomes irrelevant. Speaking of cost....I'm pretty sure the cost of a new 4-stroke 450 will soon reach Alta's price point. Especially when you factor in fancy aftermarket exhausts, Hinsen clutches, etc.

Fourth_Floor wrote:

Can you give an example of how the sport was/is floundering because of 4-strokes? Please don't say it's because how expensive they are because a brand...

Can you give an example of how the sport was/is floundering because of 4-strokes? Please don't say it's because how expensive they are because a brand new KTM 65SX is $5,000.........Is the average working class dad going to cough up that kind of dough so junior can ride on the nearest track that's an hour away or is he putting the kid in baseball.

mx_563 wrote:

I think noise is doing a lot of damage to "the sport" and 4-strokes tend to be worse that 2-stroke when it comes to that sort...

I think noise is doing a lot of damage to "the sport" and 4-strokes tend to be worse that 2-stroke when it comes to that sort of thing. My local track got shut down about a year ago. Ione Sands MX is currently grappling with the noise issue...

https://www.vitalmx.com/forums/Moto-Related,20/Ione-Sands-MX-track-need…

Without a track to ride, the cost of a 65cc becomes irrelevant. Speaking of cost....I'm pretty sure the cost of a new 4-stroke 450 will soon reach Alta's price point. Especially when you factor in fancy aftermarket exhausts, Hinsen clutches, etc.

Fourth_Floor wrote:

100% agree on the noise factor which is why I'm a fan of the electric bikes. Do I want to go to a pro national or...

100% agree on the noise factor which is why I'm a fan of the electric bikes. Do I want to go to a pro national or supercross and watch silent racing? No way. Do I want to build a little practice track in my yard and not deal with bitchy neighbors? Absolutely. I have no interest in seeing electric bikes eliminating gas bikes, but I would like to see them become an option from all manufacturers. Keep the pro level racing to the gas bikes, but at least have an option for the guys that want to come home from work and put a few laps in on their home track without the cops being called.

mx_563 wrote:

I think noise is doing a lot of damage to "the sport" and 4-strokes tend to be worse that 2-stroke when it comes to that sort...

I think noise is doing a lot of damage to "the sport" and 4-strokes tend to be worse that 2-stroke when it comes to that sort of thing. My local track got shut down about a year ago. Ione Sands MX is currently grappling with the noise issue...

https://www.vitalmx.com/forums/Moto-Related,20/Ione-Sands-MX-track-need…

Without a track to ride, the cost of a 65cc becomes irrelevant. Speaking of cost....I'm pretty sure the cost of a new 4-stroke 450 will soon reach Alta's price point. Especially when you factor in fancy aftermarket exhausts, Hinsen clutches, etc.

Fourth_Floor wrote:

100% agree on the noise factor which is why I'm a fan of the electric bikes. Do I want to go to a pro national or...

100% agree on the noise factor which is why I'm a fan of the electric bikes. Do I want to go to a pro national or supercross and watch silent racing? No way. Do I want to build a little practice track in my yard and not deal with bitchy neighbors? Absolutely. I have no interest in seeing electric bikes eliminating gas bikes, but I would like to see them become an option from all manufacturers. Keep the pro level racing to the gas bikes, but at least have an option for the guys that want to come home from work and put a few laps in on their home track without the cops being called.

RCF wrote:

So your neighbors wouldn't have a problem having their house or car covered with dust?

Fourth_Floor wrote:

100% agree on the noise factor which is why I'm a fan of the electric bikes. Do I want to go to a pro national or...

100% agree on the noise factor which is why I'm a fan of the electric bikes. Do I want to go to a pro national or supercross and watch silent racing? No way. Do I want to build a little practice track in my yard and not deal with bitchy neighbors? Absolutely. I have no interest in seeing electric bikes eliminating gas bikes, but I would like to see them become an option from all manufacturers. Keep the pro level racing to the gas bikes, but at least have an option for the guys that want to come home from work and put a few laps in on their home track without the cops being called.

RCF wrote:

So your neighbors wouldn't have a problem having their house or car covered with dust?

motogrady wrote:

Get real guy. Pa. WV. Md. We haven't seen dust in a year.

mx_563 wrote:

I think noise is doing a lot of damage to "the sport" and 4-strokes tend to be worse that 2-stroke when it comes to that sort...

I think noise is doing a lot of damage to "the sport" and 4-strokes tend to be worse that 2-stroke when it comes to that sort of thing. My local track got shut down about a year ago. Ione Sands MX is currently grappling with the noise issue...

https://www.vitalmx.com/forums/Moto-Related,20/Ione-Sands-MX-track-need…

Without a track to ride, the cost of a 65cc becomes irrelevant. Speaking of cost....I'm pretty sure the cost of a new 4-stroke 450 will soon reach Alta's price point. Especially when you factor in fancy aftermarket exhausts, Hinsen clutches, etc.

Fourth_Floor wrote:

100% agree on the noise factor which is why I'm a fan of the electric bikes. Do I want to go to a pro national or...

100% agree on the noise factor which is why I'm a fan of the electric bikes. Do I want to go to a pro national or supercross and watch silent racing? No way. Do I want to build a little practice track in my yard and not deal with bitchy neighbors? Absolutely. I have no interest in seeing electric bikes eliminating gas bikes, but I would like to see them become an option from all manufacturers. Keep the pro level racing to the gas bikes, but at least have an option for the guys that want to come home from work and put a few laps in on their home track without the cops being called.

RCF wrote:

So your neighbors wouldn't have a problem having their house or car covered with dust?

APLMAN99 wrote:

Personally, I think that Alta should have initially focused on getting (relatively) cheap small road bikes/scooters to the market and in the hands of university fleets...

Personally, I think that Alta should have initially focused on getting (relatively) cheap small road bikes/scooters to the market and in the hands of university fleets, students, businesses, etc before jumping in so heavily to the MX/Off Road market. Creating cash flow should have been the first priority, and selling to markets that are steeped in the culture of "sustainability" should have been their bedrock strategy.

After establishing that base cash flow, they probably could have spread out a lot of their fixed costs and produced their dirt products at a much lower price, increasing demand and allowing them even better cash flow to increase their production capabilities.

Woulda, coulda, shoulda, but their product certainly seems to be top notch and was only going to get better. I wish that their business plan would have been able to support them because their evolution would have been fun to watch.

APLMAN99 wrote:

Personally, I think that Alta should have initially focused on getting (relatively) cheap small road bikes/scooters to the market and in the hands of university fleets...

Personally, I think that Alta should have initially focused on getting (relatively) cheap small road bikes/scooters to the market and in the hands of university fleets, students, businesses, etc before jumping in so heavily to the MX/Off Road market. Creating cash flow should have been the first priority, and selling to markets that are steeped in the culture of "sustainability" should have been their bedrock strategy.

After establishing that base cash flow, they probably could have spread out a lot of their fixed costs and produced their dirt products at a much lower price, increasing demand and allowing them even better cash flow to increase their production capabilities.

Woulda, coulda, shoulda, but their product certainly seems to be top notch and was only going to get better. I wish that their business plan would have been able to support them because their evolution would have been fun to watch.

Dirty Points wrote:

That market is already pretty crowded.

Jaze wrote:

So no news from Alta recently?