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Luxury carmakers make way more than just cars

Whether it's as simple as Ferrari offering model cars or as opulent as Bugatti with an $84,000-belt buckle, practically every automaker does more than just sell cars to keep their brands visible. The profits from these ventures might not be enough to keep the lights on, but in such a competitive industry, any extra cash is welcome. For the automakers that get licensing just right, there is a ton of profit to be made. According to a recent story examining the practice by The New York Times, Ferrari makes around $2.6 billion from merchandising each year, and General Motors tops that at $3.5 billion. Beyond just a profit center, merchandising can also protect an automaker's name. Take Hummer for example. The GM division shut down years ago, but it has continued to produce licensed cologne on sale around the world. "Because we still have the active fragrance, we're protecting the brand if we ever decide to bring it back," Gene Reamer, a GM licensing senior manager, told the Times. The whole piece is a fascinating look into this often ignored, but quite lucrative facet of the auto business. Read it for yourself, here. Related Video: News Source: The New York TimesImage Credit: Luca Bruno / AP Photo Design/Style Earnings/Financials Marketing/Advertising Read This Ferrari GM Hummer branding

For EV drivers, realities may dampen the electric elation

The Atlantic, a decades-old monthly journal well-regarded for its intelligent essays on international news, American politics and cultural happenings, recently turned its attention to the car world. A piece that ran in The Atlantic in October examined the excesses of the GMC Hummer EV for compromising safety. And now in its latest edition, the magazine ran a compelling story about the challenges of driving an electric vehicle and how those experiences “mythologize the car as the great equalizer.” Titled “The Inconvenient Truth About Electric Vehicles,” the story addresses the economics of EVs, the stresses related to range anxiety, the social effects of owning an electric car — as in, affording one — and the overarching need for places to recharge that car. Basically, author Andrew Moseman says that EV life isn't so rosy: “On the eve of the long-promised electric-vehicle revolution, the myth is due for an update. Americans who take the plunge and buy their first EV will find a lot to love Â… they may also find that electric-vehicle ownership upends notions about driving, cost, and freedom, including how much car your money can buy. "No one spends an extra $5,000 to get a bigger gas tank in a Honda Civic, but with an EV, economic status is suddenly more connected to how much of the world you get to see — and how stressed out or annoyed youÂ’ll feel along the way.” Moseman charts how a basic Ford F-150 Lightning electric truck might start at $55,000, but an extended-range battery, which stretches the distance on a charge from 230 miles to 320, “raises the cost to at least $80,000. The trend holds true with all-electric brands such as Tesla, Rivian, and Lucid, and for many electric offerings from legacy automakers. The bigger battery option can add a four- or five-figure bump to an already accelerating sticker price.” As for the charging issue, the author details his anxiety driving a Telsa in Death Valley, with no charging stations in sight. “For those who never leave the comfort of the city, these concerns sound negligible," he says. "But so many of us want our cars to do everything, go everywhere, ferry us to the boundless life we imagine (or the one weÂ’re promised in car commercials),” he writes. His conclusions may raise some hackles among those of us who value automotive independence — not to mention fun — over practicalities.

Big electric trucks won't save the planet, says the NYT

When The New York Times decides that an issue is an issue, be prepared to read about it at length. Rarely will a week passes these days when the esteemed news organization doesn’t examine the realities, myths and alleged benefits and drawbacks of electric vehicles, and even The Atlantic joins in sometimes. That revolution, marked by changes in manufacturing, consumer habits and social “consciousness,” may in fact be upon us. Or it may not. Nonetheless, the newspaper appears committed to presenting to the public these pros and cons. In this recently published article titled, “Just How Good for the Planet Is That Big Electric Pickup Truck?”—wow, thatÂ’s a mouthful — the Times focuses on the “bigness” of the current and pending crop of EVs, and how that impacts or will impact the environment and road safety. This is not what news organizations these days are fond of calling “breaking news.” In October, we pointed to an essay in The Atlantic that covered pretty much the same ground, and focused on the Hummer as one particular villain, In the paper and online on Feb. 18, the Times' Elana Shao observes how “swapping a gas pickup truck for a similar electric one can produce significant emissions savings.” She goes on: “Take the Ford F-150 pickup truck compared with the electric F-150 Lightning. The electric versions are responsible for up to 50 percent less greenhouse gas emissions per mile.” But she right away flips the argument, noting the heavier electric pickup trucks “often require bigger batteries and more electricity to charge, so they end up being responsible for more emissions than other smaller EVs. Taking into consideration the life cycle emissions per mile, they end up just as polluting as some smaller gas-burning cars.” Certainly, itÂ’s been drummed into our heads that electric cars donÂ’t run on air and water but on electricity that costs money, and that the public will be dealing with “the shift toward electric SUVs, pickup trucks and crossover vehicles, with some analysts estimating that SUVs, pickup trucks and vans could make up 78 percent of vehicle sales by 2025." No-brainer alert: Big vehicles cost more to charge. And then thereÂ’s the safety question, which was cogently addressed in the Atlantic story. Here Shao reiterates data documenting the increased risks of injuries and deaths caused by larger, heavier vehicles.