Tesla: Sales, Marketing, and Financial News
04-02-2023, 11:20 AM
#3521
Sanest Florida Man
#NoDemand #TheComptitionIsComing
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Comfy (04-02-2023)
04-06-2023, 09:45 AM
#3522
Anyways Tesla gained 50% marketshare in Norway with ICE sales completely obliterated. 
https://www.torquenews.com/14335/tes...0-market-share
By Jeremy Johnson Mar 29 2023 - 9:04pm
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Tesla in NorwayTesla has broken its own delivery record in Norway with 8,677 vehicles this quarter, and there is still time remaining. It delivered 8,670 in Q4, 2022. I expect that we will see Tesla deliver over 9,000 vehicles in Norway this quarter.
The second-closest competitor is Volkswagen at about 3,700 and third is Toyota at about 1,900. Tesla is still finding vehicles to deliver, even today. In fact, if you count those deliveries, Tesla is at 9,086 and has about a 44.9% EV share in Norway.
Some people see Tesla not even being able to have 12% share of the auto industry in the next 10 years, but I see Tesla having about 20% share of the auto industry because everyone else is so far behind in EVs. As the future goes, EVs will make up more and more of a percentage of vehicles.
Look for this lead in Norway to increase over the coming quarters this year as Tesla begins to have vehicles from Giga Berlin delivered throughout Europe. Giga Berlin is an advanced manufacturing facility and offers the midnight cherry red and quicksilver paint colors.Tesla in Europe
Norway used to have zero tax and VAT on electric cars until 2023, but it is now gradually changing the tax to be more and more the same as non-electric vehicles. The current, 2023, taxes and fees are at 25% VAT for the price above 500,000 NOK, as well as 12,5 NOK for kg the car weighs over 500kg.
Norway isn't exactly a huge country, however, what happens here is a good indicator of Tesla's supply overall in Europe.Norway also gives use a real-life illustration of what happens with EV adoption once you have enough supply and the price is right.
Lastly, this needs to happen in other countries to have this rate of EV supply. There are hundreds of millions of ICE vehicles on the road today, and it is going to take a long time to replace them all.
I expect to see this trend happen in other countries as the technology improves and people realize that buying an EV is a no-brainer.
What do you think about Tesla in Norway? Is this a good sign?
https://www.torquenews.com/14335/tes...0-market-share
By Jeremy Johnson Mar 29 2023 - 9:04pm
Tesla Is Running Away With Norway: Nearly 50% Market Share
Tesla is running away with Norway and there is nobody close to catching them. Look for this to happen in other locations.Advertisement
Tesla in NorwayTesla has broken its own delivery record in Norway with 8,677 vehicles this quarter, and there is still time remaining. It delivered 8,670 in Q4, 2022. I expect that we will see Tesla deliver over 9,000 vehicles in Norway this quarter.
The second-closest competitor is Volkswagen at about 3,700 and third is Toyota at about 1,900. Tesla is still finding vehicles to deliver, even today. In fact, if you count those deliveries, Tesla is at 9,086 and has about a 44.9% EV share in Norway.
Some people see Tesla not even being able to have 12% share of the auto industry in the next 10 years, but I see Tesla having about 20% share of the auto industry because everyone else is so far behind in EVs. As the future goes, EVs will make up more and more of a percentage of vehicles.
Look for this lead in Norway to increase over the coming quarters this year as Tesla begins to have vehicles from Giga Berlin delivered throughout Europe. Giga Berlin is an advanced manufacturing facility and offers the midnight cherry red and quicksilver paint colors.Tesla in Europe
Norway used to have zero tax and VAT on electric cars until 2023, but it is now gradually changing the tax to be more and more the same as non-electric vehicles. The current, 2023, taxes and fees are at 25% VAT for the price above 500,000 NOK, as well as 12,5 NOK for kg the car weighs over 500kg.
Norway isn't exactly a huge country, however, what happens here is a good indicator of Tesla's supply overall in Europe.Norway also gives use a real-life illustration of what happens with EV adoption once you have enough supply and the price is right.
Lastly, this needs to happen in other countries to have this rate of EV supply. There are hundreds of millions of ICE vehicles on the road today, and it is going to take a long time to replace them all.
I expect to see this trend happen in other countries as the technology improves and people realize that buying an EV is a no-brainer.
What do you think about Tesla in Norway? Is this a good sign?
04-07-2023, 01:15 PM
#3523
Sanest Florida Man
you can do this when you have healthy profit margins and aren't losing tens of thousands of dollars on every EV they make, like Ford
Last edited by #1 STUNNA; 04-07-2023 at 01:19 PM.
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Comfy (04-07-2023)
04-07-2023, 03:01 PM
#3524
My first Avatar....
In other words, when the car is over priced, and you've gouged your customers for years, to begin with. 
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civicdrivr (04-07-2023)
04-07-2023, 10:38 PM
#3525
04-08-2023, 12:49 PM
#3526
Whats up with RDX owners?
iTrader: (9)
So because they cut the middle man out, overcharging for a car (and raising prices steadily from 2020-2022) is a-OK?
04-09-2023, 06:34 AM
#3527
I ve been saying this all along. Tesla had raised prices only to help the rest of automakers not go bankrupt.
Toyota has already had their “oh sh**” moment as predicted. The rest will all have it one by one and then try to emulate Tesla, pretend that they’re the leaders in EVs while only producing a minuscule fraction of what Tesla is actually doing. Good luck to all.
04-12-2023, 10:07 PM
#3528
Sanest Florida Man
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Comfy (04-16-2023)
04-13-2023, 09:49 AM
#3529
Ex-OEM King
They recommend a lot more than that.
Cabin filter every two years, brake fluid every two years, HEPA filter (if equipped) every 3 years, AC desiccant every 4 years, clean/lubricate brake calipers every year, etc.
Edit: In case you don't believe someone who actually owned one (unlike you) here's the info straight from the horse's mouth:
https://www.tesla.com/support/vehicle-maintenance
Cabin filter every two years, brake fluid every two years, HEPA filter (if equipped) every 3 years, AC desiccant every 4 years, clean/lubricate brake calipers every year, etc.
Edit: In case you don't believe someone who actually owned one (unlike you) here's the info straight from the horse's mouth:
https://www.tesla.com/support/vehicle-maintenance
Last edited by SamDoe1; 04-13-2023 at 09:55 AM.
04-19-2023, 06:55 AM
#3530
Race Director
Tesla lowered the price of the Model 3 RWD to compensate for the loss of half the IRA tax credit. Intriguingly, the EV maker also cut the prices of the Model Y range even as they continue to benefit from the full $7,500 credit.
photo
When the IRS released the rules of origin for battery components, it was believed that the Tesla Model 3 RWD would not benefit. The LFP cells in its battery packs were imported from China, the very thing that the IRA was trying to dissuade. Surprisingly, Tesla managed to qualify the Model 3 RWD for a $3,750 credit, which still represents a $3,750 loss compared to the first quarter. Seeing Elon Musk's mindset for price cuts, we predicted that Tesla would compensate by lowering the Model 3 RWD price.
The price cut came in later than expected, but it's now official. The Model 3 RWD is $2,000 cheaper in the US, starting at $39,990. At the same time, Tesla has kept the Model 3 Performance price unchanged. We're confident that this will change, too, considering that the performance sedan is now price-squeezed by the Model Y Performance. Thanks to a healthy $3,000 price cut, the Tesla Model Y Performance is currently $53,990, only $1,000 more expensive than the Model 3 equivalent.
Not only the Model Y Performance saw a price cut, but the entire Model Y range. The entry-level Model Y AWD with 4680 cells is now $46,990, while the Long Range variant is $49,990, both $3,000 cheaper than before. The decision to cut the Model Y prices across the range is surprising, considering that the electric crossover is the most in-demand model in Tesla's lineup. Slashing the prices a day before the Q1 2023 earnings call is also controversial, unless Elon Musk is trolling investors.
Tesla's "serial" price cuts in the past months have rattled investors, who argued that such moves diminish the company's margins and affect stock value. Elon Musk, on the other hand, says he prioritizes volumes over profits, as he aims for extreme scale. We must give him credit since the market is moving in the right direction, with plummeting lithium prices and easing inflation. With two new gigafactories ramping up production and the recent cost-cutting measures, Tesla is better positioned to benefit than before the pandemic.
It should be noted that Tesla is lowering prices after two years of constant price hikes. The most affordable Model Y variant, the standard-range RWD, cost $39,990 in Q1 2021, with the Long Range variant at $49,990 and Performance at $60,990. Two years later, the most affordable version (AWD) costs $46,990 and the Long Range variant is still $49,990, although the Model Y Performance is now $53,990. Tesla reported a 26.5% gross margin in Q1 2021, and it should maintain a healthy margin even after slashing the prices.
Even so, we expect Tesla to be bombed with questions about the price cuts and automotive margins during the Q1 earnings call. According to Tesla's Investor Relations webpage, Martin Viecha will attempt to answer the questions. A more significant event will be the 2023 Annual Shareholder Meeting, scheduled for May 16.
photo
When the IRS released the rules of origin for battery components, it was believed that the Tesla Model 3 RWD would not benefit. The LFP cells in its battery packs were imported from China, the very thing that the IRA was trying to dissuade. Surprisingly, Tesla managed to qualify the Model 3 RWD for a $3,750 credit, which still represents a $3,750 loss compared to the first quarter. Seeing Elon Musk's mindset for price cuts, we predicted that Tesla would compensate by lowering the Model 3 RWD price.
The price cut came in later than expected, but it's now official. The Model 3 RWD is $2,000 cheaper in the US, starting at $39,990. At the same time, Tesla has kept the Model 3 Performance price unchanged. We're confident that this will change, too, considering that the performance sedan is now price-squeezed by the Model Y Performance. Thanks to a healthy $3,000 price cut, the Tesla Model Y Performance is currently $53,990, only $1,000 more expensive than the Model 3 equivalent.
Not only the Model Y Performance saw a price cut, but the entire Model Y range. The entry-level Model Y AWD with 4680 cells is now $46,990, while the Long Range variant is $49,990, both $3,000 cheaper than before. The decision to cut the Model Y prices across the range is surprising, considering that the electric crossover is the most in-demand model in Tesla's lineup. Slashing the prices a day before the Q1 2023 earnings call is also controversial, unless Elon Musk is trolling investors.
Tesla's "serial" price cuts in the past months have rattled investors, who argued that such moves diminish the company's margins and affect stock value. Elon Musk, on the other hand, says he prioritizes volumes over profits, as he aims for extreme scale. We must give him credit since the market is moving in the right direction, with plummeting lithium prices and easing inflation. With two new gigafactories ramping up production and the recent cost-cutting measures, Tesla is better positioned to benefit than before the pandemic.
It should be noted that Tesla is lowering prices after two years of constant price hikes. The most affordable Model Y variant, the standard-range RWD, cost $39,990 in Q1 2021, with the Long Range variant at $49,990 and Performance at $60,990. Two years later, the most affordable version (AWD) costs $46,990 and the Long Range variant is still $49,990, although the Model Y Performance is now $53,990. Tesla reported a 26.5% gross margin in Q1 2021, and it should maintain a healthy margin even after slashing the prices.
Even so, we expect Tesla to be bombed with questions about the price cuts and automotive margins during the Q1 earnings call. According to Tesla's Investor Relations webpage, Martin Viecha will attempt to answer the questions. A more significant event will be the 2023 Annual Shareholder Meeting, scheduled for May 16.
04-19-2023, 08:41 AM
#3531
Sanest Florida Man
04-19-2023, 03:09 PM
#3532
My first Avatar....
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civicdrivr (04-19-2023)
04-19-2023, 08:59 PM
#3533
Whats up with RDX owners?
iTrader: (9)
Baseless opinion regarding the 3, but I think they may be getting ready to reintroduce the 3 Long Range, so they're creating "room" between the base RWD model and the Performance model.
04-20-2023, 06:22 AM
#3534
Race Director
Tesla just released its Q1 2023 earnings report and the numbers are solid. Tesla again turned a profit, which makes that fourteen quarters in a row in which Tesla has reported a profit. Tesla basically met expectations last quarter.
The main financial details from the Q1 2023 report are as follows:
However, in regard to gross margins, Tesla reported that at 19.3%, which means that despite aggressive price cuts, Tesla maintains a strong margin. Tesla states:
Although we implemented price reductions on many vehicle models across regions in the first quarter, our operating margins reduced at a manageable rate. We expect ongoing cost reduction of our vehicles, including improved production efficiency at our newest factories and lower logistics costs, and remain focused on operating leverage as we scale.
Tesla added a comment specifically related to its pricing strategy too:
Our near-term pricing strategy considers a long-term view on per vehicle profitability given the potential lifetime value of a Tesla vehicle through autonomy, supercharging, connectivity and service.
Tesla also says that it pricing will evolve over time and could trend either upward or downward, so expect more price adjustments in the future.
Tesla previously announced its Q1 2023 production and delivery figures. At 422,875 global deliveries of the Model Y, Model 3, Model S and Model X combined, Tesla beat expectations and set a new all-time delivery record.
The main financial details from the Q1 2023 report are as follows:
- $ 23.3 billion in revenue
- $ 0.85 profit per share (Non-GAAP)
- Profit per share: ~ $0.85 to $0.94 per share
- Revenue: ~ $23.617 billion to $24.048 billion
However, in regard to gross margins, Tesla reported that at 19.3%, which means that despite aggressive price cuts, Tesla maintains a strong margin. Tesla states:
Although we implemented price reductions on many vehicle models across regions in the first quarter, our operating margins reduced at a manageable rate. We expect ongoing cost reduction of our vehicles, including improved production efficiency at our newest factories and lower logistics costs, and remain focused on operating leverage as we scale.
Tesla added a comment specifically related to its pricing strategy too:
Our near-term pricing strategy considers a long-term view on per vehicle profitability given the potential lifetime value of a Tesla vehicle through autonomy, supercharging, connectivity and service.
Tesla also says that it pricing will evolve over time and could trend either upward or downward, so expect more price adjustments in the future.
Tesla previously announced its Q1 2023 production and delivery figures. At 422,875 global deliveries of the Model Y, Model 3, Model S and Model X combined, Tesla beat expectations and set a new all-time delivery record.
04-20-2023, 09:46 AM
#3535
Ex-OEM King
04-20-2023, 10:57 AM
#3536
Whats up with RDX owners?
iTrader: (9)
100%
04-20-2023, 12:19 PM
#3537
Team Owner
"
04-20-2023, 12:27 PM
#3538
Is this the competition you are talking about….?
or you are talking about all the other non existing… soon to be introduced…. Scale model concepts… or hyper expensive EVs….. or those that are sold only in minuscule numbers….? Please clarify. .
or you are talking about all the other non existing… soon to be introduced…. Scale model concepts… or hyper expensive EVs….. or those that are sold only in minuscule numbers….? Please clarify.
.
04-20-2023, 01:16 PM
#3539
Ex-OEM King
You don't slash prices on products that don't have competition and/or declining sales, you jack them up until sales start to slow. Doing otherwise is idiotic and would never happen. Only reason to cut prices is to drive additional sales your way. If there was no lack of demand and no competition, the prices would never have come down and would likely have gone up.
These are the laws of economics, your opinions and overall love affair with a car you don't own are irrelevant.
These are the laws of economics, your opinions and overall love affair with a car you don't own are irrelevant.
04-20-2023, 01:17 PM
#3540
Ex-OEM King
04-20-2023, 10:45 PM
#3541
Sales will come from all segments. Tesla is the only automaker who can slash prices and still survive in the long run. The real target of Tesla is mainstream vehicles. That is part of the mission. Elon Musk even talked briefly about zero margins during the earnings talk. That means Tesla is getting ready for the kill. The KO punch for ICE makers will come from Giga Mexico it seems.
But the competition…LOL.
But the competition…LOL.
04-21-2023, 09:28 AM
#3542
Ex-OEM King
the only LOL part of all that is your incredible lack and ignorance of basic economics and business.
04-21-2023, 10:44 AM
#3543
Moderator
Join Date: Oct 2004
Location: Not Las Vegas (SF Bay Area)
Age: 39
Posts: 63,195
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With the recent price cuts and fed/ca credits/rebates I was entertaining the idea of a MY or M3. But then I saw this 
I typically don’t have any tax liability. Usually a refund because stock losses
I typically don’t have any tax liability. Usually a refund because stock losses
The electric vehicle tax credit, or the EV credit, is a nonrefundable tax credit offered to taxpayers who purchase qualifying plug-in electric or “clean” vehicles. Nonrefundable tax credits lower your tax bill by the corresponding credit amount. If you do not have any tax liability, you will not get the credit back as a refund.
04-21-2023, 10:52 AM
#3544
Ex-OEM King
^ You don't pay any taxes? The credit reduces your overall federal tax liability which is calculated per your income. The $7500 will just increase your refund, you don't have to owe $7500 over what was already withheld to qualify. Basically as long as you paid more than $7500 in federal tax (guessing you qualify for that), you'll get the whole thing back.
04-21-2023, 10:57 AM
#3545
Race Director
It's your overall tax liability that counts - you can usually only offset a minimal amount of stock loses against regular income. Most folks who can comfortably afford a $50K car are usually above income limit and many don't have a $7500 tax liability so the number of folks who qualify for the whole amount is limited. And, of course, you need to wait till the next year filing to get your money. And you need to pay the fees/tax on that 7500 when you take delivery.......
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Comfy (04-22-2023)
04-21-2023, 11:21 AM
#3546
Ex-OEM King
It's your overall tax liability that counts - you can usually only offset a minimal amount of stock loses against regular income. Most folks who can comfortably afford a $50K car are usually above income limit and many don't have a $7500 tax liability so the number of folks who qualify for the whole amount is limited. And, of course, you need to wait till the next year filing to get your money. And you need to pay the fees/tax on that 7500 when you take delivery.......
04-21-2023, 03:45 PM
#3547
Moderator
Join Date: Oct 2004
Location: Not Las Vegas (SF Bay Area)
Age: 39
Posts: 63,195
Received 2,778 Likes
on
1,979 Posts
I’m still confused. 
so let’s say for 2023, my tax liability will be 10k and I withheld say 12K. That should normally mean I get a 2K refund ya?
so say I got the $7500 credit. Where does that go? Reduce my tax liability from 10k down to $2500? Meaning I should get a refund of $9500?
so let’s say for 2023, my tax liability will be 10k and I withheld say 12K. That should normally mean I get a 2K refund ya?
so say I got the $7500 credit. Where does that go? Reduce my tax liability from 10k down to $2500? Meaning I should get a refund of $9500?
04-21-2023, 06:09 PM
#3548
Ex-OEM King
I’m still confused.
so let’s say for 2023, my tax liability will be 10k and I withheld say 12K. That should normally mean I get a 2K refund ya?
so say I got the $7500 credit. Where does that go? Reduce my tax liability from 10k down to $2500? Meaning I should get a refund of $9500?
so let’s say for 2023, my tax liability will be 10k and I withheld say 12K. That should normally mean I get a 2K refund ya?
so say I got the $7500 credit. Where does that go? Reduce my tax liability from 10k down to $2500? Meaning I should get a refund of $9500?
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Mizouse (04-21-2023)
04-22-2023, 06:23 AM
#3549
Race Director
04-22-2023, 06:39 AM
#3550
Race Director
LOS ANGELES — Jurors in what appears to be the first trial related to a crash involving Tesla's Autopilot feature told Reuters after the verdict on Friday that the electric-vehicle maker clearly warned that the partially automated driving software was not a self-piloted system, and that driver distraction was to blame.
A California state court jury on Friday handed Tesla Inc a sweeping win, finding that the automaker's Autopilot feature did not fail to perform safely and awarding plaintiff Justine Hsu zero damages.
The jurors' impressions are important because Tesla is bracing for a spate of other trials starting this year related to the semi-automated driving system, which Chief Executive Elon Musk has claimed is safer than human drivers.
While this trial's outcome is not legally binding in those other cases, it serves as a bellwether to help Tesla and other plaintiffs' lawyers hone their strategies, experts say.
Hsu, a resident of Los Angeles, sued the EV maker in 2020, saying her Tesla Model S swerved into a curb while it was on Autopilot and then an airbag was deployed "so violently it fractured Plaintiff's jaw, knocked out teeth, and caused nerve damage to her face.”
Tesla denied liability for the 2019 accident.
After the verdict on Friday, juror Mitchell Vasseur, 63, told Reuters that he and his fellow jurors felt badly for Hsu, but ultimately determined that Autopilot was not at fault.
"Autopilot never confessed to be self pilot. It’s not a self-driving car," Vasseur said. "It's an auto assist and they were adamant about a driver needing to always be aware."
Jury foreperson Olivia Apsher, 31, said the Autopilot system reminds drivers when they are not adequately taking control.
"It's your vehicle," she said. "There are audible warnings and visual warnings both for the driver, indicating that it is your responsibility."
She said she would love to have Autopilot features in her own car but added: "The technology is something that's assisting you and we want that message to be clear. Drivers should understand that before they sit behind and take control of the vehicle using those features."
Donald Slavik, an attorney for Hsu, said that while he understands the jury believed his client was distracted, she only received a warning to put her hands on the wheel less than a second before the curb strike.
A Tesla representative could not immediately be reached for comment.
The trial unfolded in Los Angeles Superior Court over three weeks and featured testimony from three Tesla engineers.
Vasseur said Hsu's accident would not have occurred if she had been more attentive, which he said was a mistake that anyone could make.
"I personally would never use Autopilot," he said. "I don't even use cruise control."
A California state court jury on Friday handed Tesla Inc a sweeping win, finding that the automaker's Autopilot feature did not fail to perform safely and awarding plaintiff Justine Hsu zero damages.
The jurors' impressions are important because Tesla is bracing for a spate of other trials starting this year related to the semi-automated driving system, which Chief Executive Elon Musk has claimed is safer than human drivers.
While this trial's outcome is not legally binding in those other cases, it serves as a bellwether to help Tesla and other plaintiffs' lawyers hone their strategies, experts say.
Hsu, a resident of Los Angeles, sued the EV maker in 2020, saying her Tesla Model S swerved into a curb while it was on Autopilot and then an airbag was deployed "so violently it fractured Plaintiff's jaw, knocked out teeth, and caused nerve damage to her face.”
Tesla denied liability for the 2019 accident.
After the verdict on Friday, juror Mitchell Vasseur, 63, told Reuters that he and his fellow jurors felt badly for Hsu, but ultimately determined that Autopilot was not at fault.
"Autopilot never confessed to be self pilot. It’s not a self-driving car," Vasseur said. "It's an auto assist and they were adamant about a driver needing to always be aware."
Jury foreperson Olivia Apsher, 31, said the Autopilot system reminds drivers when they are not adequately taking control.
"It's your vehicle," she said. "There are audible warnings and visual warnings both for the driver, indicating that it is your responsibility."
She said she would love to have Autopilot features in her own car but added: "The technology is something that's assisting you and we want that message to be clear. Drivers should understand that before they sit behind and take control of the vehicle using those features."
Donald Slavik, an attorney for Hsu, said that while he understands the jury believed his client was distracted, she only received a warning to put her hands on the wheel less than a second before the curb strike.
A Tesla representative could not immediately be reached for comment.
The trial unfolded in Los Angeles Superior Court over three weeks and featured testimony from three Tesla engineers.
Vasseur said Hsu's accident would not have occurred if she had been more attentive, which he said was a mistake that anyone could make.
"I personally would never use Autopilot," he said. "I don't even use cruise control."
04-22-2023, 09:05 AM
#3551
My first Avatar....
I've said it before, if you love autopilot so much, take a bus.
04-23-2023, 08:31 AM
#3552
Ex-OEM King
04-23-2023, 11:13 AM
#3553
My first Avatar....
Just because the price of cars has skyrocketed, doesn't mean the number of people who can afford them has skyrocketed too. People are sinking in debt.
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civicdrivr (04-24-2023)
04-23-2023, 09:05 PM
#3554
https://finance.yahoo.com/news/tesla...161039452.html
Tesla price cuts offer long-term benefit to Mercedes, BMW: analyst
Tesla's (TSLA) price cuts hit the electric vehicle maker's bottom line in the first quarter,generating consternation among investors and industry watchers this week. Many, including Ford's (F) Jim Farley, believe an electric vehicle price war is coming soon to the US."Price wars are breaking out everywhere," Farley said at an event on Thursday, according to a Bloomberg report. "Who's going to blink for growth?"
But there might be a reason why Ford and other mainstream automakers are concerned about it more than others.
That's because the big winner in this EV price war could be the luxury automakers.
"[Mercedes and BMW are] still holding onto their brands," London-based Bernstein Research analyst Daniel Roeska wrote in a note to clients on Thursday. "In the long-run, this may actually be good for the premium OEMs."
Roeska added Tesla's price cuts mean "Mercedes and BMW's offerings have now moved clear out of Tesla's price range."
European automakers that remain in what Roeska called the "firing line" of Tesla's price cuts are automakers like Volkswagen, Stellantis, Renault (in Europe), and to a smaller extent Volvo.
The fear for luxury automakers like BMW, Mercedes-Benz, and Audi has been that price cuts for Tesla's Model 3 and Model Y would hurt sales of popular models like the BMW 3-series, Mercedes C-class, and Audi's A4 and Q4 lines.
In the US market, Tesla overtook BMW as the top "luxury" automaker in terms of overall sales for the first time at the end of last year.
But the question is what constitutes a luxury brand versus a premium brand — if not for factors like price.
As prices came down for the Model Y and Model 3 — for instance the Model Y LR price went from $65,900 at the start of the year to $49,900 today — these entry-level Tesla models are no longer playing in the rarefied air of German luxury vehicles, but are now doing battle in the realms of Ford and Volkswagen.
"The residual value of any Model 3 should now be much lower," Roeska wrote. "Individuals who financed their Tesla have now seen the value of their asset fall. Fresh Tesla customers should be quite angry."
On the company's first quarter earnings call on Wednesday, Tesla CEO Elon Musk said, "We've taken a view that pushing for higher volumes and a larger fleet is the right choice here versus a lower volume and higher margin. However, we expect our vehicles, over time, will be able to generate significant profit through autonomy."
In price-conscious markets like the US, price cuts and the ubiquity of brands can hurt perceptions among consumers — and give an edge to brands who retain an air of exclusivity, Roeska argued.
"Tesla is not only sacrificing its EV margins to achieve its volume ambitions," Roeska wrote. "To some extent it is also placing the goodwill and brand equity that it has built up on the altar too. This is most important in the premium-end of the market, where brand perception and social status are the crux of sales."
Last edited by Comfy; 04-23-2023 at 09:09 PM.
04-23-2023, 10:00 PM
#3555
#1 selling car in Europe
Okay guys, you should’ve seen this coming. Ignore individual countries in Europe. That’s history now. Tesla is the #1 selling car in Europe this quarter. Including ICE, plug-ins, hybrids, and all cars sold in the Eurozone (not just BEVs).
And winner 🏆 by what margins… almost double the second spot vehicle.
And winner 🏆 by what margins… almost double the second spot vehicle.
Last edited by Comfy; 04-23-2023 at 10:05 PM.
04-24-2023, 09:03 AM
#3556
Ex-OEM King
Debt is a huge problem in this country and a big part of that is lack of education.
That's exactly the reason Tesla has reduced prices of 3 and Y. There is enough demand for these vehicles, but the demand is meaningless if it's beyond the means of customer. Tesla is moving aggressively closer than ever to mainstream autos and will decimate them as it has done in the luxe segment. But one thing we can all be glad of is that the premium automakers are now mostly off the hook from Tesla's cross hairs. As long as they price themselves well above the 3 and Y they would be fine. Acura is probably still within its range and getting devoured.
If demand was high and inventories were low, there's no reason to reduce price. Keep selling and making more money. Tesla is not in the business of kindness, they are in the business of profits and return to shareholders.
04-24-2023, 11:57 AM
#3557
You can keep denying all you want but you can’t hide the truth for long. Tesla has beaten every other automaker to the punch in Europe and you keep on turning blind eye on them. You’re hilarious. High prices or low it doesn’t matter High demand or no demand, it doesn’t matter. They are #1 now. Numero uno…Capeesh??
That’s about to happen in USA too. LOL.
That’s about to happen in USA too. LOL.
04-24-2023, 02:05 PM
#3558
Ex-OEM King
I never said that wasn't good. In fact it's great but stop spreading lies and bullshit. Also I think it's rich for you to say that I keep turning a blind eye towards them when I'm the one who actually bought one lol.
04-27-2023, 12:09 PM
#3559
Race Director
There's a heated debate in the Teslasphere about the need to advertise to accelerate sales. Despite repeated price cuts in the past months, Tesla vehicles don't sell as much as Elon Musk would want. The statistics show that inventories are building up on both sides of the Atlantic, as Musk still claims the demand for his cars is "infinite."
For the past half of the year, people have debated whether Tesla has a demand problem, with Elon Musk denying it and others pointing to sluggish sales. Tesla is used to double-digit growth year over year, but as the volumes increase, the growth is harder to accomplish. Even as the EV maker has operated massive price cuts in recent months, Musk insisted that demand for his cars is infinite, although people don't have money to spend on electric vehicles.
The problem is the price cuts don't seem to work as intended. Once hailed as a master strategist and businessman, Elon Musk appears overwhelmed by the situation, and his obsession with Twitter doesn't help. Even the recent price cuts appear chaotic, followed by price hikes that make no sense. No wonder they don't have the intended effect, and this is becoming obvious in Tesla's quarterly results and inventory trackers.
Earlier this month, Tesla reported a marked discrepancy between the number of Model S and Model X produced and the corresponding sales. Those who pointed to it, myself included, were crucified by Tesla fans that insisted that the difference is justified by the number of cars in transit to various markets. Well, it's not, and we see how the difference is inflating inventories. The biggest offender is the Model X, but the Model 3 numbers don't look that good either.
Troy Teslike, who tracks Tesla production, sales, and inventories, explains that these are not cars in transit to buyers. They don't have a buyer yet and are listed under "new inventory" on Tesla's website. Keep in mind that Tesla inventory doesn't track individual cars, but batches of similar configurations, so the numbers may appear smaller than they are in reality. To put things into perspective, the inventory is now even higher than in January, when Tesla operated its first massive price cuts.
The same picture is revealed by Tesla in its Q1 2023 shareholder deck, albeit it uses the "days of supply" metric. In this case, the Q1 2023 global inventory reached 15 days of supply, up from 13 in Q4 2022 and 8 days in Q3 2022. Many will point to Tesla's increased production to explain the burgeoning inventory. Still, the same shareholder deck shows that Tesla's production has remained flat in the first quarter compared to Q4 2022, at around 420K vehicles.
This shows how Tesla shuffled production even as it ramped up Giga Berlin and Giga Austin. Basically, it slowed production in Fremont to make room for Giga Texas. At the same time, Giga Shanghai reduced production to allow Giga Berlin room to breathe. It will likely continue to do so in the future and even more aggressively as the demand lags production. Perhaps it's time for Tesla to consider paying for advertising?
For the past half of the year, people have debated whether Tesla has a demand problem, with Elon Musk denying it and others pointing to sluggish sales. Tesla is used to double-digit growth year over year, but as the volumes increase, the growth is harder to accomplish. Even as the EV maker has operated massive price cuts in recent months, Musk insisted that demand for his cars is infinite, although people don't have money to spend on electric vehicles.
The problem is the price cuts don't seem to work as intended. Once hailed as a master strategist and businessman, Elon Musk appears overwhelmed by the situation, and his obsession with Twitter doesn't help. Even the recent price cuts appear chaotic, followed by price hikes that make no sense. No wonder they don't have the intended effect, and this is becoming obvious in Tesla's quarterly results and inventory trackers.
Earlier this month, Tesla reported a marked discrepancy between the number of Model S and Model X produced and the corresponding sales. Those who pointed to it, myself included, were crucified by Tesla fans that insisted that the difference is justified by the number of cars in transit to various markets. Well, it's not, and we see how the difference is inflating inventories. The biggest offender is the Model X, but the Model 3 numbers don't look that good either.
Troy Teslike, who tracks Tesla production, sales, and inventories, explains that these are not cars in transit to buyers. They don't have a buyer yet and are listed under "new inventory" on Tesla's website. Keep in mind that Tesla inventory doesn't track individual cars, but batches of similar configurations, so the numbers may appear smaller than they are in reality. To put things into perspective, the inventory is now even higher than in January, when Tesla operated its first massive price cuts.
The same picture is revealed by Tesla in its Q1 2023 shareholder deck, albeit it uses the "days of supply" metric. In this case, the Q1 2023 global inventory reached 15 days of supply, up from 13 in Q4 2022 and 8 days in Q3 2022. Many will point to Tesla's increased production to explain the burgeoning inventory. Still, the same shareholder deck shows that Tesla's production has remained flat in the first quarter compared to Q4 2022, at around 420K vehicles.
This shows how Tesla shuffled production even as it ramped up Giga Berlin and Giga Austin. Basically, it slowed production in Fremont to make room for Giga Texas. At the same time, Giga Shanghai reduced production to allow Giga Berlin room to breathe. It will likely continue to do so in the future and even more aggressively as the demand lags production. Perhaps it's time for Tesla to consider paying for advertising?
04-27-2023, 12:30 PM
#3560
Whats up with RDX owners?
iTrader: (9)
#thecompetitioniscoming