Pagani. The customer never leaves.
Pagani has built fewer than 700 cars in 30 years, each costing over 2 million pounds, and still makes money on every one of them. The price is the entry fee.
THE GIST ON PAGANI: "After Sales"
Who is Pagani?
Horacio Pagani started the company in 1992 in Modena. He still owns it and still designs all the cars. There have only ever been three models: the Zonda, the Huayra and the Utopia. The Utopia costs 1.7 million pounds, and there's a three to five year waiting list.
How does it keep earning?
Most car companies take all their money on day one. Pagani is still making it. Old Paganis come back to the factory to be rebuilt from the ground up, at half a million pounds a time and a 40% margin. There's a programme that lets people redesign cars they've already bought, and another that flies them and their cars to Monza and Spa for track days.
Why does that work?
Every Pagani ever built is still a customer. A Zonda from 2002 sells today for more than the original buyer paid. The company never stops maintaining the cars, the cars never stop appreciating, and the customer never stops paying.
Who else does this?
Patek Philippe figured this out with watches, Hermes with handbags. Most brands spend their lives chasing new customers. Pagani has had fewer than 700 in 30 years, and none of them have ever left. The customer who never leaves is always on pole position.
Would you rather own a rare car or a rare watch?
Your take. One tap, then see how everyone else voted.
Quick answers
How many cars has Pagani built?
Fewer than 700 in 30 years, across three models: Zonda, Huayra and Utopia.
How does Pagani keep earning after the sale?
Rebuilds at around half a million pounds with a 40% margin, redesign programmes and track day trips to Monza and Spa.
Who else works this way?
Huw names Patek Philippe with watches and Hermes with handbags.
See you on the next one.
What should the next one be? Suggest a topic for Huw to explain
The conversation
Comments
Nothing here yet. Start the conversation: Huw reads every comment before it is published.
