10 Reasons The Chevrolet Corvette Z06 Is Such An Expensive Vehicle
Lamborghinis, Ferraris, and Rolls-Royces tend to turn heads because they're just so beautiful. That, and it's easy to be impressed by their powerful (and powerfully loud) engines. However, with price tags that can creep into the ten-digits range, few drivers have any hope of ever affording these automobiles. They are textbook definitions of luxury vehicles, but one manufacturer realized they can sell cars with similar aesthetics and performances at a fraction of the cost. At least, that's what General Motors originally intended.
Somewhat recently, GM has been selling budget luxury cars under its Chevrolet Corvette Z06 line. These cars are designed to look like high-end sports cars and go toe-to-toe with some of the fastest luxury cars on the market, all while charging customers significantly less money. However, the Z06 demonstrates the timeless nature of the phrase "the best-laid plans of mice and men often go awry." While Chevrolet's budget luxury cars are still far more affordable than almost anything that will roll off Lamborghini manufacturing lines, they are still prohibitively expensive at the best of times. To make matters worse, Z06 prices have seemingly skyrocketed, sometimes to the point where Lamborghinis and Ferraris are the cheaper options. These developments raise the obvious question of "Why?" The answer lies in the mercurial (and capitalist) nature of the automotive industry and the global economy, as well some oft-forgotten hidden truths of buying cars.
The high performance engine is the car's main draw
What makes a Lamborghini or Ferrari so expensive? Their cars are intentionally kept in short supply, not to create artificial scarcity but so manufacturers can focus on quality over quantity. Another major cause is their engines. Pound for pound, you will never find a Volvo, Toyota, or Honda that can match a Ferrari's performance, but any car that can is bound to have some pretty expensive pistons and crankshafts.
The main attraction of the Corvette Z06 is its LT6 engine. This 5.5-liter flat-plane-crank V8 engine can output a monumental 670 horsepower and 460 pound-feet of torque, with a max of 8,600 rpm. In plain language, the Z06 can rocket from zero to 60 in 2.6 seconds. As of writing, the LT6 is the world's most powerful naturally aspirated V8 engine. Thanks to this motor, the Corvette Z06 can even leave supercars like the Mercedes-Benz SLS AMG – and its 622-horsepower M159 engine — in the dust.
Admittedly, there's more to the Corvette Z06's performance than the most powerful commercially available engine. The car also boasts an 8-speed dual-clutch transmission, a proprietary "Magnetic Selective Ride Control" performance suspension, Michelin Pilot Sport high-performance tires, and a rear spoiler. All of these features (and more) brought the original 2023 Z06 model to an initial asking price of $106,395. That's around half the cost of Ferrari's and Lamborghini's cheapest options, which is a huge boon for anyone looking for a high-end sports car. Conversely, $106,395 is more than double the cost of most cars, so potential buyers really have to ask themselves if the price is worth it. After all, when was the last time you needed 670 horsepower under the hood?
The car has too many standard features to count
Cars have become exponentially more advanced over the years. Not only are automobiles more fuel-efficient, but engineers have invented countless technologies that have changed driving forever. Many modern cars are built with backup cameras and/or heated seats, but some manufacturers go above and beyond and add even more features. But the more a manufacturer adds, the more a car costs.
The Chevy Corvette Z06 is loaded with features that come standard in all or most versions of the car (more on that later). At its least expensive, which is still north of $100,000, every Z06 boasts 10 speakers worth of Bose audio, an infotainment system with an eight-inch touchscreen, leather seating, and rear park assist. These would increase the price of any normal car, and yet they are just the tip of the Corvette Z06 experience iceberg.
Anyone who goes beyond the official Z06's info page will find numerous components and systems that likely contribute to its overwhelming price tag. For instance, the Z06 comes with parental settings that help owners train teen drivers (and even provide feedback). Instead of featuring the industry standard gear stick or gear selector, every Z06 controls transmission via a series of buttons and levers. And since the Z06 is advertised as a sports vehicle, the car also includes several driving modes that alter handling performance and provide some pretty novel forms of live feedback. Installing sensors that can show live information on oil and tire temperature probably wasn't cheap.
Some models are more expensive than others
When purchasing a car, choosing a model is a multi-pronged decision. Aesthetics are one factor, but buyers also have to take into account a model's safety features and, perhaps most important of all, cost. Some car models are further split into subcategories that have their own price tags, and in the case of the Chevy Corvette Z06, the price differentials can be astronomical.
Anyone who buys a Chevy Corvette Z06 is hit with a tough decision right off the bat: Do they prefer coupes or convertibles? Aside from the lack of a roof, a higher base curb weight (how much the car weighs with a full tank of gas), and a larger price tag, the convertible is virtually identical to the coupe. The differences between Z06 models only split off further from there.
As previously mentioned, the Corvette Z06 has numerous standard features, but what General Motors considers "standard" for the coupe and corvette depends on the trim. Each model comes in either the 1LZ, 2LZ, and 3LZ trims, and the components mentioned in the previous slide are included in the 1LZ, but what if 10 speakers aren't enough? The 2LZ and 3LZ trims cram in 14 Bose speakers. The 1LZ's leather seats are no slouch, but the 2LZ and 3LZ provide softer, higher quality leather seats. And anyone who wants a warm butt during the winter months has to pony up for a 2LZ or 3LZ and their heated seats. The more features, the higher the price, and for the Chevy Corvette Z06, these inclusions cost quite a few thousand dollars.
Add-ons add on to the cost
Part of a luxury car's appeal is that it stands out in a crowd, and nothing stands out quite like a unique item. That's why many manufacturers offer customization options that turn already head-turning cars into one-of-a-kind rides. However, these add-ons are a lot like Lay's Potato Chips: You can't buy just one. If only they were as inexpensive as potato chips.
While General Motors offers an overwhelming number of standard features for the Chevy Corvette Z06, the company also sells plenty of customization options that deliver even more, both functionally and aesthetically. For instance, buyers can purchase performance upgrade packages for a few thousand extra dollars, and anyone indecisive about owning a convertible can shell out for a transparent, removable roof panel. General Motors also provides plenty of seat, paint, and wheel color alternatives that vary in price. A white paint job doesn't cost anything extra, but people who want their Z06 in blue or yellow will have to spend a few hundred bucks, or more if they also want racing stripes.
Corvette Z06 owners who want the true luxury car experience can also select from add-ons that don't have analogous standard features. General Motors sells carbon fiber spoilers and front splitters, but buyer beware: Purchasing an additional front lift is 100% necessary to protect splitters from speed bumps. Some add-ons don't even go on the car. While the Z06 doesn't have much trunk space, owners can carry their luggage in style with emblazoned leather bags, and for a somewhat hefty fee, new buyers can take a VIP tour of the National Corvette Museum and see their luxury vehicle on display before driving it home.
Part shortages lead to higher prices
2020 was a horrible year for one big reason: COVID-19. Many people stayed home either out of concern of catching the virus and spreading it or because their employers required it. Countless industries were hamstrung as a result, including the tech sector. Perhaps you heard how COVID-19 resulted in a computer chip and superconductor shortage that prevented many gamers from purchasing a PlayStation 5. The Chevrolet Corvette Z06 also fell victim to this issue.
As stated previously, the Z06 is a high-tech car. Drivers can change how the vehicle handles with the twist of a knob, and each car comes with a robust infotainment hub. These features are powered by computer chips. Technically, all cars use chips these days, so the pandemic-caused shortage affected the entire automotive industry. However, since the scarcity hit before General Motors could start producing Z06s, the company didn't have any existing supply to rely upon until the global supply chain could finally meet demand. And boy, was there demand.
This lack of computer chips forced General Motors to push back production and roll back expectations for the 2023 Z06. The company wasn't able to start manufacturing the cars until September 5, 2022, so to make sure workers didn't become overwhelmed, General Motors temporarily barred customers from creating new orders, which resulted in a shortage of Z06s. Then the market did what it does best when supply can't meet demand.
Dealers are marking up prices
Purchasing a car is an involved process because even after customers decide what make and model they want, they have to figure out where to buy it. While General Motors gives people the option to order many cars straight from the factory, one might want to purchase the vehicle from a local dealer instead, to avoid lengthy waiting periods or hefty delivery fees. Then again, buying from General Motors directly might be the cheaper option for anyone who wants a Chevy Corvette Z06.
The chip shortage of the early 2020s had wide-reaching consequences for every wing of the tech sector and the industries that rely on it — General Motors included. Because the company couldn't produce as many Corvette Z06s as they wanted, turning a profit became much more difficult. To compensate, numerous dealers sold the cars for much more than the suggested MSRP. In some cases, these new prices eclipsed the sticker costs of rival bona fide luxury cars. Why did dealers mark up Z06 prices? Because that's just how the market works.
Licensed sellers weren't the only people trying to make a quick buck off the Z06's scarcity. More than a few purchasers tried their hands at flipping the car, not on stunt ramps but on the aftermarket. On certain websites, some would-be sellers asked for up to $300,000 for their Z06s. Technically, flipping is different from scalping because you can't purchase these cars in bulk — anyone who tries would go broke — but the concept is the same. Like scalping, flippers try to profit off an item's scarcity, but unlike scalpers, Z06 flippers weren't responsible for the car's rarity.
General Motors is hiking prices across the board
What goes into a product's price? The market and economy are major contributing factors, but at the end of the day, the manufacturer has the final say. If a company wants to increase the price of an item, they usually are within their legal rights to do so. And nine times out of ten, they don't single out just one product.
On the 2023 edition Chevy Corvette Z06's website, the lowest price listed is $106,695, which buys the coupe and nothing else. Meanwhile, the 2024 edition's current listed price is $111,795. This is understandable since the newer model includes features unavailable in the 2023 edition, such as lane assist and forward-facing crash prediction sensors. However, General Motors keeps raising prices. As you might recall, when the 2023 Z06 was released, the vehicle was originally set at $106,395. And according to reports, the price of 2024 Z06s increased $2,100 late last year.
To be fair, the 2023 and 2024 Z06s weren't alone in their price hikes. C8 Chevys saw a cost spike across the board. Even delivery fees will bite bigger holes out of the wallets of Chevrolet customers. But why? Inflation in general might be to blame, but some car enthusiasts believe these increased premiums are part of a ploy to get back at the United Auto Workers union, due to recent strikes and their fight for higher wages. Factory staff will get their bigger paychecks, but only because customers are footing the bill. At least, that's how the theory goes.
Cars are more expensive in some countries than others
Our globalized economy has brought prosperity to many countries, but it's a difficult, mercurial road to navigate. Not only do people have to worry about fluctuating conversion rates, but companies are known to increase prices in some regions but not others. The Xbox Series X and PlayStation 5, for instance, are more expensive in Europe than the U.S., and the same applies to the Chevrolet Corvette Z06 when sold in Australia.
As expensive as the Z06 is in the States, it is even more pricey in Australia. The 2024 edition costs over AU$336,000, which converts to anywhere between $220,000 and $229,000 depending on the exchange rate. That's a $99,000 price hike over the U.S. version, and to rub salt in the wound, Australian customers are getting less vroom for their dollarydoos. In the United States, the Z06's engine can output 670 horsepower, but Australians will receive the re-tuned European engine, which clocks in at only 637 horsepower.
The staggering increase in price can likely be linked to various fees that are unique to the Australian car market. These include Australia's Goods and Services tax and its national luxury tax. Plus, Aussie automobile aficionados have to deal with hidden fees, such as on-road costs and a stamp tax, that allegedly drive up the Z06's prohibitive price. Unless a customer can afford a Ferrari or a Lamborghini, the Chevy Corvette Z06 is a really tough sell in Australia.
There's more to a car's price tag than the car itself
If you can't afford a Chevrolet Corvette Z06, you probably can't afford a Ferrari Purosangue, either. But when most people look at a car's cost, they only see the sticker price. While this takes up the majority of the check buyers inevitably write, the act of purchasing a car includes quite a few hidden fees, doubly so for people buying a Z06.
It probably comes as no surprise that the Z06's sticker price, regardless of where one purchases it, doesn't include taxes. Buyers still have to shell out for sales tax and other taxable charges such as documentation, but those are only the beginning. Owners also need to pay for registration, filing, car titles and plates, and insurance. However, these premiums are standard for cars and aren't unique to the Z06.
When someone buys a Z06, they will be hit by the Gas Guzzler Tax. This charge was designed to discourage people from purchasing cars that don't meet modern fuel efficiency standards. People can still buy whatever automobiles they want, but their wallets will be $1,000 to $7,700 lighter if their new vehicle doesn't get 22.5 miles to the gallon. Since the Corvette Z06 averages 15 MPG, it will run up buyers an extra $3,000. Moreover, since the Z06 is a fancy car with a luxury-level paint job, some new owners might be tempted to protect their investment with add-ons like protective paint films. These options, which are usually only offered by third-party companies, guard against scratches and errant projectile pebbles, which is probably crucial for anyone who opted for one of the more expensive paint jobs. It's not exactly insurance, but it provides the same peace of mind.
Chevrolets cost a lot in the long run
When you buy something like a car, it's not uncommon to keep paying for it after the initial purchase. We're not talking about payment plans but the time, effort, and money that goes into upkeep. The Chevy Corvette Z06 is no exception, and because it requires more money to obtain, its aftercare also tends to make wallets bleed more than other cars.
As previously stated, buyers need to register and insure their vehicles, but these aren't one-time costs. In order to keep registration and insurance up to date, all car owners have to keep paying their premiums, and the more expensive the car, the more expensive the recurring fees. However, these are far from the only annual costs attached to the Z06.
Like every other car, Z06s require maintenance, repairs, and fuel. Once again, since Z06s are expensive from the outset, their upkeep costs more as well — it's a leitmotif among all luxury cars. Since the Z06 is made out of components that rack up the car's price, replacing them isn't cheap. This means annual repair fees for these vehicles are above average. Moreover, since the Z06's fuel efficiency is abysmal, owners have to fill it up more often than most cars, which adds up. If you want to really save money, you could always just buy the Z06 and use it as a display piece, but where's the fun in that?