Demand for Zotye - the $20,000, highway speed, electric SUV - much larger than expected

I recently wrote about a company called Spark EV that plans to sells Zotye, a $20,000, highway speed, electric SUV soon. Unfortunately, the order page says the company is not taking new orders even though it seemed the cars were for sale. What's going on? Too much demand! Michael Papp of Spark EV tells me his "back of my mind" goal for Zotye sales for this year was 250-300. Michael soon found demand would be a tad higher.
According to Papp, the company sent out 1,000 emails on January 11th, 2008 to everyone on the company's email list telling them the Zotye was available for sale. 10 days later 600 people were asking where to send their money. Some people simply sent the money (which the company returned). Papp said that no new orders are being accepted at the website "to slow this down. No matter how good the car is, how we perform in the beginning will define this company. We will get the first requested cars out, follow up, get feedback, and only then will we take more orders."
So, there are some lucky people out there getting an electric Zotye soon. The company is ramping up for orders and even looking at other platforms to convert to electric. Spark EV's Zotye may beat Miles and Zap to the market with a normal, affordable electric car. You could say they already have. It does not look like you have to worry about highway speed qualifications either. The cars are based on Daihatsu Terios. The Chinese company behind it looks like it makes good products and wants to come to US.
Watch out Miles and Zap. Spark EV's Zotye is the new it electric car on the block. What has this experience taught Papp? Continue below the fold to read how he described a TV commercial that he used to enjoy.
Related:
[Source: Michael Papp of Spark EV]
Papp:
There was a great television commercial that was out a while back - The scene was a nice, small, professional office, for a company that sold Widgets. Five or six executives were standing around a computer, and they were about to put the company on-line for the first time to sell their Widgets. "Here we go" said the computer programmer, he hit "enter" and they were live on the internet.
About five seconds go by, and the little counter on their screen blips - 1 sale - and the 5 people in the office yell "hooray" and give each other high-fives. Two or three seconds later, the counter hits 10 sales, 20 sales, 60 sales - and the group in the office are cheering with joy. Within a few seconds, the counter reads 10,000 sales, 400,000 sales, 12,500,000 sales - and all you see is the executives staring at each other in horror.
That commercial used to be funny to me. It is no longer funny.
Reader Comments (Page 1 of 2)
BlackbirdHighway 1:55PM (2/06/2008)
Lascelles, did Mr. Papp give any explaination about how they are able to produce (actually, I guess, convert), this vehicle so cheaply? I know the base vehicle must be pretty cheap, be the batteries alone normally cost a big chunk of what they are selling it for.
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Lascelles Linton 2:53PM (2/06/2008)
BlackbirdHighway, Their is a link in the article that shows highway certification is not a problem. I don't think they are in this as a charity so I would just say the cars are cheaper. No insult to the company but it looks closer to a $10,000 car than a $20,000 car to me so I think that explains it. I am excited about Zotye for the simple reason: it's basically here. Sure, a few months, maybe and low numbers but where are Zap and Miles EV?
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meme 3:21PM (2/06/2008)
Ok, this is getting less and less believable. Let's look at what they're claiming: that they can take a Zotye -- a $15-$17k vehicle:
http://auto.moldova.org/auto/eng/85/137/
Then import it to the US as-is, then convert it to an EV with a few tens of kWh of li-poly cells, an electric motor, controller circuitry, and so forth on a $3-$5k budget (plus what little they can get for its non-standard aftermarket parts)? Even at Chinese prices, that's ridiculous, yet they're planning to do this in the US. Then, to top it off, they're claiming that it'll get 3,000+ charge cycles. On li-poly cells? On what planet?
The more I hear about this car and the more I think about their claims, the less I believe them. At first, I was thinking it was just a loss leader. Now I'm leaning toward "scam".
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Lascelles Linton 3:29PM (2/06/2008)
meme, How much would you guess it will cost? 25, 30?
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meme 3:39PM (2/06/2008)
$35-40k. Batteries alone will cost them at least $6k if mass-produced in China, $10k+ from elsewhere or if there wasn't mass production. Assume at least $5k for the motor, controllers, etc. And $5k for labor, since it's being done in the US (this isn't just a Prius conversion; they're starting with a car that wasn't electric at all). Tack on a minimal profit, and you're looking at $35-$40k.
Of course, they'll never get those kind of cycle numbers with li-poly. Which is why I lean toward "scam" rather than "loss leader".
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Oracle 3:52PM (2/06/2008)
Still waiving the BS flag. You would think that if this is a real vehicle, Mr. Papp would have at least a few journalists drive and review the car to give it some legitimacy. If it sounds to good to be true, then it is...
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rogwild 4:55PM (2/06/2008)
Do NOT do any business with Spark~EV (aka Michael Papp). He still owes me a Zooom EV Scooter from last July 2007. He says it is in his 'shop', but will not send it, nor answer my emails.
I am the 'originator' of the NAME; "Spark~EV", when Michael Papp ran an internet 'contest' to rename his old 'troubled' company, "FLYBO-EV". After he announced me the winner of a New Zooom EV Scooter (promised delivery in 30 days), he kept coming up with 'excuses' (no word, in port; awaiting clearance, etc.). I still have not received my Zooom, but he has been 'operating' under the "SPAEK~EV" name for the past 7 months.
I checked with his 'listed Florida distributor'. They said that they were 'considering' carrying his products, but got concerned when he kept coming up with excuses why they could not visit his 'assembly facility' in Penna.
DO NOT SEND THIS GUY ANY MONEY!!!!!!!
Yeah; his website says; "We take these vehicles, remove the engine, transmission (as well as stick-shift), fuel tank, exhaust, etc. We remove the interior completely, installing the 2,900 (That is two-thousand, nine-hundred) LiPoly cells throughout the vehicle, along with all required electronics, and re-install the interior. We install corrected gauges, modified power steering, motor-cooling, electro-ceramic heating, and AC motor. The end result is a vehicle that looks like it was not modified at all."
They do ALL THIS for under $20,000, but still have a picture of an 'UN-modified Zotye' (with an ICE tailpipe) on their web-page. You would think that if they had completed at LEAST ONE modification, they could take a picture of a 'MODIFIED' Zotye, and used it in their advertising.
"WHAT A POORLY DONE SCAM! At least he could have 'PhotoShopped' it out (if he had any talent).
Too bad the EV community has been 'blighted' with such SCUM! I would hope that a reputable enity like "AutoblogGreen" would do a better 'background research' before providing a national forum for someone like Michael Papp and his 'current company'; Spark-EV, to bilk others, and raise false hopes.
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Lascelles Linton 4:12PM (2/06/2008)
meme, Minus labor and play with some of your numbers, I can see how they could get $20's. You can get a car in the US for 10 K and do a good conversion for 10 K. 20 does not seem like that big a red flag to me.
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Dave 4:16PM (2/06/2008)
All,
We'll see how those first 300 buyers review the car. Then we'll know. That'll be within 2 months, probably before the first Tesla Roadsters hit the pavement.
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meme 4:26PM (2/06/2008)
The car retails for $15-$17k. And it doesn't matter how cheap you can make it, li-poly does not last for 3000 cycles. And how do you propose to tweak the above numbers *that much*?
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Spark-EV 6:07PM (2/06/2008)
Roger Wildermuth won a free ZOOOM! Scooter, which is sitting here in our warehouse. Roger, the time it takes for you to act this way, you could have come & got it by now. I did say free, right?
$6,000 for batteries? The packaging alone costs that much.
The Zotye itself costs me less than 1/3rd of what is assumed above.
Until you see, drive, look at the car, how about you drop the pitchforks & torches?
Lascelles, I told you so.
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Joseph 6:38PM (2/06/2008)
I hope that youtube vidoe isn't of the "electric" Zotye because at O:24 you can clearly see a tailpipe on that vehicle. Anyways, any confident company would use sound so that people can hear the silence of the "electric" car.
I'm very skeptical, to say the least.
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Lascelles Linton 7:23PM (2/06/2008)
meme, where does it say the car costs $17 exactly? I wrote about low costs cars when the Nano was released. $10,000 cars are out there today. Even if it retails for that price, we are talking about a distributer than might get bulk sale price cut.
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Lascelles Linton 7:34PM (2/06/2008)
Joseph, Not the EV! The gas one. Someone in a post to the first article mentioned it. If it were the EV, it would not be at th end of the article :D
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Lascelles Linton 7:39PM (2/06/2008)
BTW that is really Spark-EV in comments and I think that answers Oracle's question about the press. BTW Dave, I could not agree with you MORE :D
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meme 7:43PM (2/06/2008)
Doing a google search for Michael Papp, there are several dozen people out there who claim to have been scammed by him. People, don't fall for this.
http://www.google.com/search?hl=en&q=%22michael+papp%22+scam&btnG=Google+Search
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Oracle 8:14PM (2/06/2008)
Michael has started a forum now. You really should read the defensive responses and other propoganda that "Managing Director" is posting. Let's get out the pitchforks and torches and have some fun poking at and burning down this scam...
http://www.spark-ev.com/index.php
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Mr. Blake 10:22PM (2/06/2008)
I have never understood why eco-friendly cars have to be so ugly.
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calebe 9:36AM (2/07/2008)
You know, I just heard that two guys have said they made a machine that could fly,FLY i tell you. Scam, what a load of bull. Fly, can you believe it?
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The inconvenient treehugger 10:09AM (2/07/2008)
I´d hope mr. Linton would perform more professional about covering the Spark-EV Zotye developments. But then again ABG is not a major news media so basic rules of journalism do not so easily apply? As Spark seems as controversial as it does a more careful and critical approach would be welcomed. As it is now, you are losing credibility by quoting mr. Papp and Spark-EV website. Please provide more objective evidence. Have you e.g. seen the 600 emails asking where to send money? Have you seen the actual EV Zotye? And do not make loose assumption on how concrete the EV Zotye based on how real the ICE Zotye is.
Please keep a cool head even if you are an EV enthusiast, because I cannot. You really had me going with the report before I read the comments. I guess we are all EV enthusiasts here but I trust you to bring me the news. Return to your earlier style of writing and you should be fine.
So, mr. Linton please put some space between yourself and mr. Papp. You might need it sooner than you think.
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