Tesla business discussion
01-06-23 | 10:41 AM
#226
Lexus Fanatic
Joined: Nov 2011
Posts: 31,687
Likes: 73
From: ON/NY
"demand continues to decrease" is interesting, considering they sold record level of vehicles last year, and overall EVs have record share in Europe and China.
Question is - will that demand go to Tesla and what is the limit of demand at current prices (which are extremely high).
In China, they dropped the pricing... almost to 2021 levels. In Europe, they are discounting available cars (they seem to have few hundred available cars in Europe). Hopefully with new boss at help of sales, that will mean they will start dropping the price to where it was in 2021.
At that point, they will have huge demand.
Rising prices by 30%-40% and doubling your manufacturing abilities to over 2m, this had to happen.
Next step after lowering the prices would be doing regular car stuff:
- Tesla owned finance company (this is how Toyota makes a lot of their money) and introduction of leases - right now Tesla sells 5% of vehicles via leasing vs >50% for other premium brands at similar prices
- Marketing and PR deparment
etc, etc.
They cant continue behaving if they are producing 400k vehicles anymore. Now they are serious manufacturer that wants to do 2m vehicles in 2023. This is on level of BMW, MB, but with market limited to where EV is possible (China, Europe, parts of USA).
Question is - will that demand go to Tesla and what is the limit of demand at current prices (which are extremely high).
In China, they dropped the pricing... almost to 2021 levels. In Europe, they are discounting available cars (they seem to have few hundred available cars in Europe). Hopefully with new boss at help of sales, that will mean they will start dropping the price to where it was in 2021.
At that point, they will have huge demand.
Rising prices by 30%-40% and doubling your manufacturing abilities to over 2m, this had to happen.
Next step after lowering the prices would be doing regular car stuff:
- Tesla owned finance company (this is how Toyota makes a lot of their money) and introduction of leases - right now Tesla sells 5% of vehicles via leasing vs >50% for other premium brands at similar prices
- Marketing and PR deparment
etc, etc.
They cant continue behaving if they are producing 400k vehicles anymore. Now they are serious manufacturer that wants to do 2m vehicles in 2023. This is on level of BMW, MB, but with market limited to where EV is possible (China, Europe, parts of USA).
Demand is softening. There is no doubt about it. The discounts prove it.
Last edited by Toys4RJill; 01-06-23 at 11:02 AM.
01-07-23 | 06:51 AM
#228
Lead Lap
Joined: Jan 2003
Posts: 4,178
Likes: 301
From: Maryland
The good news is red calipers and new brake pads for the model S as well.
01-07-23 | 11:07 AM
#229
Racer
Joined: Nov 2012
Posts: 1,970
Likes: 564
From: CA
01-07-23 | 11:39 AM
#232
Lexus Fanatic
Joined: Nov 2011
Posts: 31,687
Likes: 73
From: ON/NY
People will own nothing, but be happy
Last edited by Toys4RJill; 01-07-23 at 12:26 PM.
01-07-23 | 11:55 AM
#233
Lexus Test Driver
Joined: Feb 2002
Posts: 7,295
Likes: 72
From: New York
news from today are:
- S/X gets normal steering as default option
- S/X LR start sales in Europe
- S/X LR/Plaid start sales in China
- 3/Y get huge price cuts in China of 15%-20% to almost go back to 2021 levels
- 3/Y Inventory of vehicles available in Europe with small discounts ($3000-$5000).
- S/X gets normal steering as default option
- S/X LR start sales in Europe
- S/X LR/Plaid start sales in China
- 3/Y get huge price cuts in China of 15%-20% to almost go back to 2021 levels
- 3/Y Inventory of vehicles available in Europe with small discounts ($3000-$5000).
I just built a base Model Y and its $65k!!! Not including another $2-3k to install a stupid charger. This thing should be $50k max for the build quality and overall design.
I think the “look at me I have a Tesla so I’m cool” has played out and ppl are no longer impressed by it.
They need to update their stale products and introduce new models like CyberTruck.
The old OEMs will have a nightmare with EVs if Tesla can’t turn a profit with all the government money they got and no historic labor expenses to weigh down expenses. Remember Tesla has never been through a recession period - we shall see if it survives.
01-07-23 | 03:02 PM
#235
EV ftw!!!
Joined: Nov 2002
Posts: 8,596
Likes: 326
From: Lake Ontario
Well if that’s not indicator of softening demand- I’m not sure what is.
I just built a base Model Y and its $65k!!! Not including another $2-3k to install a stupid charger. This thing should be $50k max for the build quality and overall design.
I think the “look at me I have a Tesla so I’m cool” has played out and ppl are no longer impressed by it.
They need to update their stale products and introduce new models like CyberTruck.
The old OEMs will have a nightmare with EVs if Tesla can’t turn a profit with all the government money they got and no historic labor expenses to weigh down expenses. Remember Tesla has never been through a recession period - we shall see if it survives.
I just built a base Model Y and its $65k!!! Not including another $2-3k to install a stupid charger. This thing should be $50k max for the build quality and overall design.
I think the “look at me I have a Tesla so I’m cool” has played out and ppl are no longer impressed by it.
They need to update their stale products and introduce new models like CyberTruck.
The old OEMs will have a nightmare with EVs if Tesla can’t turn a profit with all the government money they got and no historic labor expenses to weigh down expenses. Remember Tesla has never been through a recession period - we shall see if it survives.
01-07-23 | 03:30 PM
#236
Racer
Joined: Nov 2012
Posts: 1,970
Likes: 564
From: CA
Yeah, I am worried about tesla going forward. 40% YOY growth, the Model Y the #1 car in the world by revenue, of any kind and the Model 3 is close behind.
If you understand capitol equipment manufacturing, you understand the importance of smoothing the delivery schedule and factory utilization to spread indirect cost over more incremental deliveries.
If you understand capitol equipment manufacturing, you understand the importance of smoothing the delivery schedule and factory utilization to spread indirect cost over more incremental deliveries.
01-07-23 | 04:47 PM
#237
Instructor
Joined: Aug 2022
Posts: 1,167
Likes: 407
From: NY
They need more models, especially in the lower price range. The S and the X are niche cars for the wealthy, the 3 and the Y aren't enough to sustain that sales growth, even if you add the kooky looking cyber truck to the mix. They need a Corolla sized vehicle in sedan and CUV form factors. I thought the plant in Mexico would have been announced already.
01-07-23 | 05:00 PM
#238
Lexus Test Driver
Joined: Apr 2019
Posts: 7,455
Likes: 1,034
From: FL
They need more models, especially in the lower price range. The S and the X are niche cars for the wealthy, the 3 and the Y aren't enough to sustain that sales growth, even if you add the kooky looking cyber truck to the mix. They need a Corolla sized vehicle in sedan and CUV form factors. I thought the plant in Mexico would have been announced already.
Size of the Chevy Spark EV.
Throw in something in the RX size.
And don't make them boring and goofy looking! lol
01-07-23 | 05:06 PM
#239
Lexus Champion
Joined: Oct 2019
Posts: 14,601
Likes: 2,304
From: California
They need more models, especially in the lower price range. The S and the X are niche cars for the wealthy, the 3 and the Y aren't enough to sustain that sales growth, even if you add the kooky looking cyber truck to the mix. They need a Corolla sized vehicle in sedan and CUV form factors. I thought the plant in Mexico would have been announced already.
01-07-23 | 05:09 PM
#240
Lexus Champion
Joined: Oct 2019
Posts: 14,601
Likes: 2,304
From: California
Well if that’s not indicator of softening demand- I’m not sure what is.
I just built a base Model Y and its $65k!!! Not including another $2-3k to install a stupid charger. This thing should be $50k max for the build quality and overall design.
I think the “look at me I have a Tesla so I’m cool” has played out and ppl are no longer impressed by it.
They need to update their stale products and introduce new models like CyberTruck.
The old OEMs will have a nightmare with EVs if Tesla can’t turn a profit with all the government money they got and no historic labor expenses to weigh down expenses. Remember Tesla has never been through a recession period - we shall see if it survives.
I just built a base Model Y and its $65k!!! Not including another $2-3k to install a stupid charger. This thing should be $50k max for the build quality and overall design.
I think the “look at me I have a Tesla so I’m cool” has played out and ppl are no longer impressed by it.
They need to update their stale products and introduce new models like CyberTruck.
The old OEMs will have a nightmare with EVs if Tesla can’t turn a profit with all the government money they got and no historic labor expenses to weigh down expenses. Remember Tesla has never been through a recession period - we shall see if it survives.
-Jedi Master Yoda
BTW, the "Stupid charger" you mention is $400. Bringing a 240v circuit is probably another $200 to $400. One or two months not having to fill up with stupid gas will more than pay you back
Last edited by AMIRZA786; 01-07-23 at 05:16 PM.