Tesla Price Cuts Across The Board

[Redline]

All I know is I'm glad I didn't get a Tesla.

Sponsored

 

[MaskedRacerX]

in related news Maytag announced a huge price cut.

Are their products considered an SUV? $7500 tax credit apply? Do they seat 5 AND handle delicates?

 

[MaskedRacerX]

The Model 3 Performance is going to be a really solid deal in that market segment. After the credit, around $48K.

You know, single display, Musk-BS, randomly removing hardware features aside ...

Even though it was a pretty shitty lease, I'm glad I'm not having to think about depreciation, er, unless I do something stupid like an early termination.

Because I need my R1S.

Now.

 

[NY_Rob]

didn't you hear, inflation is over.

Yeah, now it's just pure greed....

 

[3l3c7r1c]

Once I cross shopped SUV and sedan. Even all the way down to last two finalists: Lexus RX and Genesis G70. One reason was G70 lease price was extremely good (huge cashback with relatively high residual; sedan price was tanking in 2016-2017). So, either save money there or get the car we want to drive. Secondly, we already had an SUV and shopping for our first second car after having a baby. Plan was either get another SUV and replace our existing SUV with sedan sometime down the road or just get a cheap yet nice sedan.

Another time this happened when Lexus RX was totaled and we were looking for a car temporarily before model 3 arrives; had a day 1 model 3 reservation.

Not many but there could be real situation where people are cross shopping.

 

[sk00pie]

Just got home from the local show room, placed an order for a MY. Should be here in a week or so.
MY Order price yesterday: $66,000
MY Order price today (after discount + credit): $45,500

 

[Dirtman16]

I don't understand why people get so upset at a company trying to make money. I paid 7k more for a Model Y in early 2022 than it would cost now. But at the time, did I think it was a deal worth making? Obviously.

This is economics 101. You charge what you can while people are willing to pay it. When they are not, you cut the price.

 

[kvenom]

I doubt these price cuts are going to last long, this is probably to clear out existing inventory that has built up over the last month or so.

 

[Tahoe Man]

This will hit Rivian one way or the other, regardless if potential buyers cross shop or not. They're not out of the woods. If the "buy an EV at any price" era is coming to an end that's going to put pressure on all EV margins.

If the "Buy an EV at any price" era is about over, thank goodness, I was getting sick of it.

 

[xyskis]

I doubt these price cuts are going to last long, this is probably to clear out existing inventory that has built up over the last month or so.

Hope so! I want delivery of my 3rd Model Y asap.

 

[NY_Rob]

Just got home from the local show room, placed an order for a MY. Should be here in a week or so.
MY Order price yesterday: $66,000
MY Order price today (after discount + credit): $45,500

Wow!!!

Congrats on the huge savings and upcoming super fast delivery

Tesla is gonna rip on sales now....

 

[DJG]

I don't understand why people get so upset at a company trying to make money. I paid 7k more for a Model Y in early 2022 than it would cost now. But at the time, did I think it was a deal worth making? Obviously.

This is economics 101. You charge what you can while people are willing to pay it. When they are not, you cut the price.

Don't be ridiculous, a company should have to go back through their records and refund everyone who paid a higher price for something than the currently listed price, going back at least 30 years. After they do that, while going through records, they should also send a bill to everyone who paid a lower price over that 30 year period for the discount they erroneously received. It's only fair.....

 

[SoCal Rob]

Portal axles with gearing reduction will help out for the trailer and off-road.

Do you think these mods could affect the Tesla warranty coverage in any way?

 

[Prime]

Can't tell if you are serious. These cuts will destroy Tesla's margins and stock.

Let's assume Tesla currently makes $20k in profit per Model 3/Y and sells 1M units per year. Based on the $13k price cut, they would need to sell 2.85M units per year to make the same margin dollars. This is absolutely horrible for a for profit business. Their EPS will absolutely be crushed.

Teslas margins were over 30% per vehicle. Not surprising look at their interiors. Even with these cuts they are ahead of every ICE automaker margins and way ahead of BEV manufacturing in the US. Not too worried about their margins if they can keep sales up overall profit will still grow, but to be seen of course.

 

[Tahoe Man]

People do this all the time when a sales mania turns in a sales cliff and results in price drops...They throw a shit-fit even after they agreed to the price and signed a sales contract. Again, study social proof in sales.

Many did this in the 2009 housing downfall and then pretended as of they didn't know what they signed.

Sponsored