What do you get when you cross Tesla with Isuzu? The answer could be Australia's next big thing | Opinion

Hyundai can’t do it. Neither can Mercedes-Benz or BMW. Tesla has become the name in electric vehicles and has cornered the market, with the Model 3 and Model Y outselling all of its sedan and mid-size SUV competition. 

Which is why Rivian decided to take a different path, despite its obvious similarities to Tesla - and I mean that metaphorically and literally. Both are all-new American carmakers and focused on all-electric vehicles, but Rivian has decided to focus on its off-road models which will appeal to a different audience than the current Tesla duo.

However, there’s another surprising brand that Rivian can learn from, particularly in the Australian market, and that’s Isuzu. At first glance the Japanese brand with a history of simple but effective vehicles has little in common with a trendy US start-up that sells branded dog bowls on its website, but scratch beneath the surface and some key traits emerge.

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Having recently experienced Rivians R1T ute for the first time, I’m convinced that it has the ingredients to make a successful entrance into the Australian market by taking elements from both Tesla and Isuzu.

From the former there’s the clear lessons around a new brand that can inspire Rivian. It doesn’t need a big dealer network or established infrastructure, instead you can be nimble, agile and disruptive. While from the latter, Rivian can see that having a limited line-up isn’t a downside if you offer the right two models.

The R1T and its R1S SUV sibling are effectively a more-premium, electric version of what Isuzu currently offers, the D-Max and MU-X.

Rivian has decided to focus on its off-road models which will appeal to a different audience than the current Tesla duo.

Now there are some obvious challenges for Rivian to match the volume of Isuzu given the price premium for EVs, but as the current crop of Ford Ranger Platinums and Raptors, Nissan Navara Warriors and Chevrolet Silverados shows, Australia’s aren’t afraid to spend big bucks on a ute.

Indeed, while Isuzu only offers two models, Ford isn’t much different here, with more than 85 per cent of its 2023 sales between January and July made up of just the Ranger and Everest. So clearly the Australian audience wants utes and large, off-road capable SUVs - exactly what Rivian is offering.

The first obvious challenge for Rivian is simply getting the R1T and R1S in Australia is ramping up production to include right-hand-drive markets.

The R1S SUV is effectively a more-premium, electric version of the Isuzu MU-X.

But the bigger challenge will come when it prices the range locally, because based on US pricing it will be difficult to get the Ranger-sized R1T to be less than the upsized F-150.

According to Rivian’s latest US pricing the range would begin at approximately $114,000 for the standard Dual-Motor AWD model and stretch to roughly $140,000 for the Quad-Motor AWD, which currently tops the range. In addition to this the ‘Large’ battery costs more than $9000 and the ‘Max’ battery a sizable $25,000.

It’s a safe assumption that Tesla wouldn’t be having the same success if its cars cost six-figures, as the demise of the Model S and Model X in the local market demonstrate. So, pricing will be the key to Rivian’s ultimate success, but if it can learn from Tesla and Isuzu there’s reasons for optimism.