The eAdventure​ movement

Los Angeles – A few months ago, I was reading the comments section of an article that recommended investing in Rivian, the startup electric car company. At the time, its stock price was trading about 25% below its IPO price from November 2021.

Many commenters were criticizing the author, saying Rivian was way overvalued, especially after they went public without having delivered a single vehicle to customers. Moreover, some suggested it was “game-over” for Rivian whenever Ford, GM, Toyota and other car manufacturers finally ramped up their EV production. 

I can’t speak to the market valuation of Rivian, but these commenters were missing a huge point: Rivian is not like Ford, GM, or Toyota. Rivian is the world’s only maker of electric adventure vehicles.

I know this because it’s the first thing they say on their website, right after their name on the browser tab. They also say it in their S-1: “Engineered for all of life’s adventures, our Electric Adventure Vehicles combine performance, utility, and efficiency.”

The problem with thinking that all EV manufacturers are the same (or that even all EV truck manufacturers are the same) is that it completely misses what makes companies wildly successful: category design.

Position yourself

Rivian has positioned (ie, designed) itself as the leader of their own market category. You could say they are trying to take over the leader-less electric truck or SUV market, but that would also be missing the point. Being the “category king” is about being different and building a community of fans and followers.

In Rivian’s case, they are appealing to people who want to help save the planet and have fun, especially outdoors. 

I think the “have fun” part is really really important. In fact, it underscores the paradox of customer behavior, which is that customers are completely irrational. Customers buy on emotion, and then justify their decisions after the fact with data and information.

I think eVTOL (electric Vertical Take-Off and Landing) aircraft manufacturers, and others in the Advanced Air Mobility (AAM) space, can learn a lot from Rivian. Positioning yourself in a new market is just as important as any other aspect of business strategy, and I think necessary for AAM to truly take off.

Currently there are many eVTOL manufacturers vying to be the leader in the AAM market, and several have gone public despite being years away from generating revenue. To date, I’m not sure any eVTOL manufacturer has truly resonated with customers in terms of their company mission, point of view, or overall brand. 

It seems as if most eVTOL manufacturers are espousing safety, low noise, and affordability as the top concerns of customers in the AAM market. You can see it in the copy on their websites and S-1 statements.

Don’t get me wrong: safety, low noise, and affordability are all very important. So is equity, convenience, and spending less time in traffic. But I’m not sure these truly “move the needle” for the typical “irrational” customer. What’s not being spoken about enough, in my opinion, is the fun and excitement. This is not only the best part, I think it’s the key to getting AAM off the ground, at least initially. 

The first thing that comes to my mind with eVTOL’s is the pure joy of flight – ie, flying like it was meant to be. It’s the complete opposite of your typical commercial flight today, which is a powerful prospect on its own. I know flying at low altitude in a small aircraft is a frightening prospect for some people, but those people are probably never going to be eVTOL customers, no matter how safe the industry ultimately becomes. 

For this reason, I think eVTOL manufacturers, and everyone else working in the AAM sector, should consider “electric adventure” – or eAdventure – as an opportunity to get market traction and differentiate from the rest of the pack. 

I think this would not only galvanize a customer base and community following, but also open up the opportunity for these startups to build a larger ecosystem (or market vertical) of products and services.

Evangelize the problem

According to a National Geographic survey of air travelers, more than a third of Americans would pay extra to offset their flights’ CO2 emissions (1). Unfortunately this doesn’t directly translate to an addressable market for eVTOL’s, but it is an indicator of how important carbon footprint is to people today. 

When it comes to eVTOL manufacturers and category design, one of the strategies for startup success is to identify your enemy. David Sacks frames this perfectly in his article Your Startup Is a Movement:

“Your startup has an opponent, but it’s not your competitors; it’s some version of the status quo. You need to name this enemy.”

So who (or what) is the enemy for eVTOL startups? Is it carbon travel as represented by fuel-guzzling jet planes or the black smoke from tailpipes? Is it mass transportation as represented by sterile airplane cabins or cramped metro trains? 

For what it’s worth, I would gladly vacation to a place like Pismo Beach, California (150 miles north of LA) by electric air taxi instead of Hawaii by traditional airplane. The reasons why are easy – getting to my destination faster, personalized service, and seeing the California coastline at low altitude – an experience I’m likely to never forget and, more importantly, tell others about. 

Oh, and zero emissions. 

A traditional airplane trip to Hawaii involves 6 hours on a plane plus 3 hours of getting to and through the airport, impersonal and uncomfortable airline service, and not having any meaningful experience along the way. 

And not having done better for the environment.

What this tells me is that the journey is more important than the destination, and that the enemy is bad travel – bad for your health and well-being and the environment. Whatever we end up calling this enemy, it stands in stark contrast to eAdventure travel that eVTOL’s can offer. 

Build a community, start a movement

I think the eAdventure category can be a movement when you consider all the different companies, products, and services that have synergies in this space. Aside from eVTOL manufacturers, this includes manufacturers of electric airplanes, cars, trucks, boats, bikes, scooters, jet skis, and even surf boards.

The e-transportation market has synergies with the ecotourism industry in the form of sustainably designed resorts and rental properties, as well as manufacturers of wearable fitness products. Considered together as an entire ecosystem, eAdventure could become a whole new industry for all-electric, zero emission, adventure travel and leisure. 

Perhaps I’m drinking too much electric kool-aid after recently getting my first e-bike, but it’s hard not to see the cohort of people who are fanatics about Rivian, or Tesla, or e-bikes, or eVTOLs as a community of like-minded people who want to be good stewards of the environment and conscientious consumers. 

If an eVTOL manufacturer can capitalize on this category potential, I think it could lead to tremendous success in establishing the AAM industry, especially in a city like LA where adventure travel and leisure could be a much bigger part of the city’s identity. 

Where to start

Before AAM becomes a reality across a city like LA, the industry has to overcome some key challenges today. There are still major regulatory hurdles to cross, such as eVTOL certification, airspace regulations, and vertiport design standards. Moreover, community interests need to be accommodated as to where ground infrastructure is located.

What this means is that flying over cities is a hard problem that won’t be solved for some time. However, one of the benefits of an eAdventure market approach is shifting the focus away from cities and populated areas.

For example, eAdventure hubs or vertiports could be developed along the coastline where flying over water is much less restrictive. These mobility hubs could be temporary or permanent structures at existing marinas and piers to establish a regional network of air-based (and even water-based) taxis.

With such a network in place, transportation agencies and companies (including legacy airlines and water taxi companies) could start offering connecting services from existing airport hubs like LAX to other coastal communities to enhance regional tourism and mobility.

Such eAdventure hubs could be designed to integrate multiple modes of e-transportation, as well as serve as places to build community around sustainable mobility that is also convenient and fun. 

I realize there’s a downside of this proposal, which is that it focuses investment in already prosperous coastal communities when equitable access to transportation is a real problem. However, I see this as a beginning for AAM and a way for the industry to get the awareness and market traction they need.

We have a long way to go, but I think focusing on what makes AAM exciting – combined with the promise of zero emission travel – has massive market potential. I, for one, look forward to the day when the status quo is no more.