Given the recent resurgence of interest in scooters, does Vespa have room for expansion?
Kevin Andrews: A little bit, and we’re also working on at refining what we have. We have some new products coming, one is the Vespa S 50 [with a carbureted 50cc four-valve engine.] It’s a new engine for us. The Vespa 150 is very similar to the LX 150, which is our top selling scooter volume-wise. The S 50 will be similar size, style and all that, but will have a 50cc engine. The four-valve just gives it more power compared to the LX 50, which is not a four-valve at this time. One of the concerns people have on a 50cc is that acceleration, getting the thing going, and there is marked improvement in this 50cc 4-valve.
We’ve got that coming, and we’ve also got a 300 Super coming, production begins in January of 2009. It will be the largest displacement Vespa ever, and the fastest Vespa ever, and obviously we’re pretty excited about that as well. Other than that, we like the way we’re set up. We’ve got the LX 50, S 50, three 150s being the LX, the S, and the LXV from the vintage collection. And then the GTV 250, and the newest Maxi Scooter the 300. We like the way Vespa’s panning out for us.
Do you have prices yet on the new 50 and 300?
Kevin Andrews: Yes, the Vespa S 50 will be priced at $3,199, and when it’s out the 300 Super will be $6,199. The 300 is available in Europe now, and in the States we have special edition 250 Supers, and they’re styled exactly the same [as the 300]. And they come in two colors: black and white. The Super 300 is differentiated from the 250 by painted black weels, a different IP [instrument panel], a different seat, and an airvent on the right side panel by the rear wheel, a few things like that. It’s a sharp looking bike.
Sounds like you’re going into both directions, with the smaller and the bigger bikes. Are you expanding dealerships, too?
Kevin Andrews:We’re up over 300 dealerships right now in the U.S., and we will be expanding a little bit more in 2009, but not at the rate we had been.
Are there any plans to merge the MP3 with the Vespa lineup?
Kevin Andrews: No, not at all. Vespa is Vespa, and we’re always going to stay true to that design, that style. Putting two wheels in front of a Vespa is something we’ve never entertained.
What do you tell people when they look at the prices of Vespas and comparatively Vespa has a premium on the price? What’s your justification for that?
Kevin Andrews: Well, there’s a premium to the price, but we feel that it’s more than taken care of with the product itself. The main thing with the Vespa is the steel monocoque frame, which provides a much better ride. And also, long term durability. That Vespa is going to be hanging around for a while, if it gets knocked over it’s not going to fall apart. And that’s one of the reasons you see so many of these old Vespas on the road, because they last. The steel frame really adds to the rigidity and the luxurious ride you get. Maybe out there in LA you saw Sue Carpenter’s article in the LA Times, this was probably back in the spring, where she had an LX150, I think a Kymco and a Buddy, and she said that the LX was the only one she felt comfortable enough to take on the highway. And it really was, more than anything else, because of that steel frame. It just had that solid feel to it and you felt comfortable and safe on it. So you get that on a Vespa.
Additionally, we’ve been doing a lot of analysis recently on our product and tearing down some of the competition. When you look at internal components such as belts and pulleys, and I can send you some of this too, the competition doesn’t hold up to what we have. It doesn’t compare. Our product is overbuilt, and the quality of the components are there for long term durability. Because of that, we can justify their premium.
