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Tesla and other EVs are becoming more attractive to buyers despite the pandemic

The Tesla Model S, X, and Model 3. (Photo: MotorTrend)

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Tesla’s recent price reduction to three of its vehicles will likely encourage consumers to consider an electric car for their next automotive purchase. But the electric automaker is not the only company offering reduced prices on all-electric models during the pandemic, which makes the current time a favorable opportunity to purchase a new battery-electric or hybrid vehicle, pandemic notwithstanding.

On May 27, Tesla slashed the prices of the Model 3 by $2,000, and the Model S and Model X Long Range variants by $5,000. A study from Consumer Reports stated that incentives and general price reductions battery-powered vehicles is helping buyers save big, and the pandemic is undoubtedly a driving factor.

“The underlying reality is that there has been a dramatic slowdown in car sales since the pandemic swept the nation, causing an oversupply for many models and an eagerness to sell from manufacturers and dealerships alike. There are price reductions and great deals to be had, whether they are announced or not,” Associate Director of the Auto Test Program at Consumer Reports Gabriel Shenhar said.

While luxury-branded models are currently selling at a 10-16% discount according to data from TrueCar, many hybrids and EVs are selling between 5-9% less than their MSRP. Data suggests that some hybrid or EV models from veteran carmakers could offer as much as a 24% discount based on available incentives.

In times of low sales, franchised dealers can utilize incentives, promotions, and price adjustments to try and encourage buyers to purchase a car. Even though the automotive market continues to struggle as unemployment rates skyrocket, dealers are giving buyers tasty pricing on sustainable vehicles.

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But what do the discounts mean for Tesla?

Tesla operates with a direct-to-consumer sales model, cutting out the middleman of a dealership and sending cars straight to the customer who order them. This strategy is advantageous for the automaker, as it gives the company full control over the pricing of its vehicles and how price adjustments can be used to encourage sales.

Ultimately, Tesla can encourage more sales on its own using strategies that are specifically designed for its vehicles. This is evident in the company’s decisions with its cars’ pricing and features, as well as the rollout and retirement of variants such as the Mid Range RWD Model 3.

That being said Consumer Reports notes that today, customers have the upper-hand on automakers because of slumping sales figures. “Remember, it’s a buyer’s market now, so the consumer is in the driver’s seat,” says Shenhar.

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Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla Cybercab sightings on public roads are becoming more frequent

After it was unveiled a year ago by Tesla, the company has made some pretty drastic jumps in progress in terms of the Cybercab, but a recent development has truly pushed fans of the company to think it is probably going to be available soon.

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Credit: Petersen Museum

Tesla Cybercab sightings on public roads are becoming much more frequent, and they all are pointing to one thing: imminent production.

The Tesla Cybercab is the company’s vehicle developed for fully autonomous travel, as it will be manufactured without a steering wheel or pedals, according to CEO Elon Musk.

Tesla Robotaxi Cybercab: Seats, price, special features, release date, and more

After it was unveiled a year ago by Tesla, the company has made some pretty drastic jumps in progress in terms of the Cybercab, but a recent development has truly pushed fans of the company to think it is probably going to be available soon.

Last week, we reported on the first Cybercab sighting when the vehicle was finally being tested on public roads. The spotting was not a one-time deal, as we are now seeing many more sightings on public roads:

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The first spotting was in Palo Alto, just a few blocks from Tesla’s Engineering Headquarters in Los Altos. This second sighting appears to be relatively close to that first spotting, and it seems unlikely Tesla would be putting it on roads much further than that.

The public on-road testing of the Cybercab marks a major milestone in the entire project for Tesla. These early sightings and testing phases are usually followed by a lot of speculation about when the vehicle could end up in the hands of customers.

However, Tesla has already put a definitive date on when Cybercab production will begin, as Elon Musk said during the Q3 Earnings Call that it would roll off production lines in Q2 of next year.

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But the speculation regarding the Cybercab is slightly different than other vehicles because Tesla has been developing it for fully autonomous travel; it’s not meant to be driven by humans but instead by software and the company’s Full Self-Driving suite.

Despite the vehicle being spotted with a steering wheel and pedals in the recent sightings, Musk has maintained that the Cybercab will not be developed with typical controls for a human. He recently confirmed this, and it does not seem the company is willing to veer too much from its plans for an autonomous car.

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Tesla Model Y Performance is rapidly moving toward customer deliveries

New drone images from noted drone operator and Gigafactory Texas observer Joe Tegtmeyer show Tesla is moving forward quickly in terms of its progress in producing the new Model Y Performance.

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Credit: Tesla

Tesla has rapidly progressed in the production of its most anticipated Model Y trim level: the Model Y Performance.

New drone images from noted drone operator and Gigafactory Texas observer Joe Tegtmeyer show Tesla is moving forward quickly in terms of its progress in producing the new Model Y Performance.

The vehicle is being spotted more frequently at the factory located just outside of Austin, with what appears to be the first units rolling out to outbound lots:

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In the United States, Tesla unveiled the Model Y Performance on September 30, the newest iteration of the fastest trim level of the best-selling car in the world for the past two years. It was launched on the very last day of the $7,500 electric vehicle tax credit in the United States.

It featured a handful of performance improvements, including a 0-60 MPH acceleration rate of 3.3 seconds, a trim from the 3.5 seconds the 2025 version offered.

Additionally, the range has gone from 277 miles to 308 miles, a notable improvement in terms of how far it can travel on a charge.

There are also a handful of hardware changes that Tesla made to improve its aerodynamic performance, which all likely can be attributed to the boost in speed and acceleration, as well as range.

The vehicle was initially launched in Europe, which was not surprising, especially as Tesla was testing the new Performance trim at the famed Nurburgring in Germany.

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Deliveries are currently slated for late November, but some orders are getting projections of mid-December for their Model Y Performance, which would help Tesla bolster its end-of-year delivery figures and follow up on an extremely bullish finish to Q3, which was the company’s strongest performance in history.

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Twitter co-founder Jack Dorsey endorses Elon Musk Tesla pay package

Dorsey framed the pay package as an engineering and governance crossroads for Tesla.

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Twitter co-founder and Square CEO Jack Dorsey has publicly backed Elon Musk’s leadership ahead of Tesla’s pivotal shareholder vote, which is expected to be decided later today at the company’s 2025 annual meeting. 

Dorsey framed the pay package as an engineering and governance crossroads for Tesla.

Dorsey’s public nod framed as an engineering defense of Musk

In a post on X, Dorsey weighed in on Tesla’s post about being in a “critical inflection point.” As per the Twitter-co-founder, the vote on Musk’s 2025 performance award is not about compensation. Instead, it’s about ensuring the path for the company’s engineering in the coming years. 

“This is not about compensation. it’s about ensuring a principled (and exciting!) engineering approach to the company’s future,” Dorsey wrote on his post, later stating that users of Cash app with TSLA shares would be able to vote for the CEO’s proposed 2025 performance award. 

Elon Musk appreciated Dorsey’s endorsement, responding to the Twitter co-founder’s post with a heart emoji. Musk has been pretty thankful for the support for is fellow tech executives, also thanking Michael Dell recently, who also advocated for its proposed 2025 performance award.

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Musk’s support

While Elon Musk’s 2025 performance award has received opposition from proxy advisors such as Glass Lewis and ISS, it has received quite a lot of support from longtime bulls such as ARK Invest, and, more recently, Schwab Asset Management following calls from TSLA retail shareholders. 

“Schwab Asset Management’s approach to voting on proxy matters is thorough and deliberate. We utilize a structured process that focuses on protecting and promoting shareholder value. We apply our own internal guidelines and do not rely on recommendations from Glass Lewis or ISS. In accordance with this process, Schwab Asset Management intends to vote in favor of the 2025 CEO performance award proposal. We firmly believe that supporting this proposal aligns both management and shareholder interests, ensuring the best outcome for all parties involved,” Charles Schwab told Teslarati.

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