Well, as I understand it, Luna Cycle is selling everything they can get their hands on. That's the DIY side...
I have seen that they seem to be doing well, but like you said that is the DIY side of things. I had looked at doing that, but by time I priced out decent quality parts (stress decent there and not the cheapy $200 kits off eBay) and a cheap donor bike I was at the same price as a factory made bike (I'll admit that I'm basing that factory price off of what they are selling for in my area which is the aforementioned 50% off or more). If they were not on clearance in my area, then the DIY route would potentially still be a viable alternative. However, the DIY market isn't going to help the ebike industry if off the shelf bikes don't sell. The biggest hurdle, purely in my opinion, is the crazy prices they go for. How many people are going to go out and drop $3000 - $6000 for a bicycle? Granted, there are peddle bikes that cost more than that (which is also nuts), but still