AMIRZA786

That's 100 percent wrong, I'm sorry. What manufacturers show is not what the vehicle sells for. MSRP doesn't mean a fricken thing, because you don't find out the final price until you get to the dealership because they are always trying to pull the rug out from under you. When I bought both my Polestar and Model Y, before I even put down my deposit I knew exactly to the penny what I was going to pay OTD. When I leased our Ioniq 5 recently, it took me over a month to lock down the price, than 4 wasted hours to finalize. To justify dealers adding ADM is just sad to me. Sure you don't have buy, but what if you need a car?

As far as Tesla's price cuts...I love it! It's forcing prices down on all manufactures. The only reason I got a deal from the Hyundai dealership was because of the Tesla price cuts. Before Tesla price cuts, they wouldn't even negotiate or give me the time of day.

Sure, price cuts hurt the value, and for people who trade up frequently and lost $20K it sucks, but generally people who buy Tesla's keep them for 10 years or more. At least everyone I know. And in 10 years, who cares if your car lost $20K LoL? You won't even remember, I can can barely even remember yesterday.

You know, this is a new one to me that leaves me scratching my head, people getting mad that prices are being cut on cars LoL

LeX2K

MSRP is short for?

AMIRZA786

I almost wish I needed another car LoL! If I had just waited until my 2020 Ioniq lease ended in November, I would 100 percent have a second Tesla sitting in my driveway...

LeX2K

For some reason I think the tune will change when Tesla reports a massive contraction in earnings per share. No matter how many times you tell yourself in for the long term, seeing your stock tank does emotional damage.

AMIRZA786

It does, and I've complained about it before, but it always rebounds. In fact it's a bit down now (1.01 percent). But looking at it from a consumer POV, it's pretty silly to be mad that a car company cuts prices, which is a win for consumers. IMHO of course

patgilm

I disagree, MSRP is an estimate of what the car costs and if ADM is charged it is shown up front and you can walk away. Had I known Tesla was charging $20k-$40k more at the time I bought my car I 100% wouldn't have bought it like I did.

Thinking about this more, there is only one time I have seen a manufacturer lower the MSRP of a car that much because of demand. In 2014 Dodge lowered the MSRP of the Viper $15k because of demand and guess what they did, they gave the owners who paid $15k more a coupon for $15k to buy another Viper. If Tesla even gave me a $20k coupon I would buy another Plaid today.

LeX2K

Depends how you look at it. As a consumer you'd prefer if the car was free, right? But if it was you'd soon have no support from the company because they'd be out of business. As an investor I want Tesla to make as much money as the market will allow because this makes me far more money than I will ever save from price cuts. Of course the 10 year 10,000 foot view is more cars means more FSD revenue. I hear it, but I don't believe it even though at the same time I am literally betting on it.

I can't shake the feeling that Tesla is trying to kill off their competition. I know Elon says more electric vehicles is good for everyone and that's what Tesla wants but they are going for the throat. Rivian loses huge $$$ on every vehicle sold. Lucid even worse they lose, last I checked, $350,000 on every car. If you want to destroy your competition you slash prices and still make a profit while your competition is forced to slash prices and loses even more. Ford, GM, VW are in the same boat.

AMIRZA786

In my experience, dealers make it up as they go along. An example is the Ioniq 5 we leased. The advertisement clearly stated "$2500 down, $299 a month" on an AWD SEL. When I arrived, the finance guy confidently put down a piece of paper and said "$4000 down, $550 a month". Not even close to what the email advertisement stated. When a friend of ours went to a different dealership, the offer they gave him was even crazier, something like $5K down $500 a month, same car and color as mine LoL!

Back in 2021 when I was shopping for an EV, the Model 3 RWD base was nearly $60K, so I went for the Polestar, which was $10K cheaper. Without having to set foot in a dealership and waste my time, I was able to see the complete breakdown of pricing for the Tesla and Polestar. With dealerships, they just make s h i t up depending on how gullible they think the customer is

patgilm

But at least you had a choice. Do you really think I would pay $40k additional markup if Tesla showed me a MSRP at the time but demand was high so they were charging more? No I absolutely wouldn't because I don't need to be the first one on the block to have one. It was actually one of the main reasons I bought the car besides performance, it was because I didn't have to play the ADM game with dealers. At least I know now how Tesla works and what they do. Fool me one shame on you, fool me twice...

AMIRZA786

I know putting myself in your shoes sucks. But think about the time you didn't waste buying your Plaid. Do you know how much time it took to get the deal I wanted for the Ioniq 5? One month. And then I wasted 4 hours signing papers and picking up the car. And I still got ripped off by the dealership in the end.

At least the money Tesla charges goes back to them. A dealership just takes a huge slice of the pie with absolutely no value added except maybe a chair to sit in and a cup of crappy coffee

AMIRZA786

I'm not asking for a free car, but hey Elon if you are reading this....

They are absolutely putting pressure on the competition. Even though no automaker sells even remotely the number of EV's Tesla does, Tesla has still lost market share. Elon has already shown he's a cut throat businessman

B Dot

I agree an adm is not close to the same as a 20-30% price drop on msrp. Like not even close.

AMIRZA786

So hold on. Are you saying my co worker who paid over $100K for a $68K MSRP MY2022 C8 2LT Trim is not the same? Or what about this?



You are absolutely right, it's not the same. ADM is way, way worse. Thank you for pointing that out

swajames

Higher prior purchase prices due to Tesla dropping prices as they see fit isn't analogous to dealers charging ADM.

Everyone who bought a Tesla on any given day paid the same price. If anyone did a deal on a particular day, they got the same deal everyone else got, and they made their own decision about that price being a price they were willing to pay.

It clearly sucks if something we buy at one price drops soon after, and it's not just Tesla who has done that to customers, but everyone knows upfront and with absolute certainty what you are going to pay for a Tesla if they leave now and go buy one today. That wasn't the case when dealers were getting away with ADM.

AMIRZA786

Excellent point. If I buy a Model Y in Black today, I pay XX dollars. So does all the thousands of people who buy a Model Y in Black. Tomorrow that price may drop, but everyone that buys tomorrow pays exactly the same price for the same model and configuration. On the other hand if I buy a Camry from a dealership, I may pay XX, but someone else that same day may pay XXX because they are not good at negotiating or just don't know any better. And that extra money goes in the pockets of the dealership and doesn't benefit the customer, nor the manufacturer even a little bit