Rolls-Royce Archives
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From the Rolls-Royce experimental archive: a quarter of a million communications from Rolls-Royce, 1906 to 1960's. Documents from the Sir Henry Royce Memorial Foundation (SHRMF).
Future car pricing strategy, competition, and the potential for a smaller model.

Identifier  ExFiles\Box 11\3\  03-page340
Date  30th August 1930 guessed
  
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doubled since the war, the American manufacturers are offering very much more than twice as much value for the dollars as they did in 1918.

Oy's memos of 1918 - 1919, if you recall, laid great stress on the fact thatbwe were then prepared to offer the only real luxury car known and appreciated here, in competition with domestic vehicles which were obviously not even intended to be in the same class. This is not true today.

Even if by searching economies we could arrive at a sell-ing price of £ 3000 for the large car and £ 1900 for the small car complete, ready for delivery into the hands of the user, we could only regard these as first steps towards production economy, which we believe must go very much further if Rolls-Royce busi-ness is to be permanently retained.

If one can possibly make a useful guess, we should say that the ultimate aim should be £ 2000 for the large and £ 1500 for the small car.

20/25

As we see more of the 20/25 we are more than ever con-vinced that a large slice of our business could be done with this car.

There is a distinct tendency toward smaller cars and smaller coachwork here and it is conceivable that the Rolls-Royce car of the future may prove to be the smaller model.

But first it is absolutely necessary to be able to offer it at not more than £ 2000.

contd.
  
  


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