After years of restrictions from the dealer lobby, Rivian has secured the passage of a special law that allows direct sales only for their brand and Lucid Motors. The turning point came when Rivian threatened to put the issue to a vote. According to preliminary estimates, the costs of such a campaign could amount to $30 million. As a result, dealer associations abandoned their resistance.
According to legislator Andrew Barkis, the bill quickly passed approval after that.
The sales system through independent dealers has been in place in most US states for decades. However, Rivian has shown that it can be bypassed. Tesla already uses a similar model.
According to company surveys, about 70% of buyers support direct car sales. The manufacturer believes that this approach improves customer experience and increases profitability.
At the same time, dealer organizations oppose the changes. They believe that the traditional model ensures price competition and access to service.
The law in Washington State is limited in nature, but sets a precedent. Rivian is considering promoting similar initiatives in other states, including Ohio and Oklahoma.