Tesla Motors, Elon Musk’s electric car company, is seeking to redefine the automotive industry in more ways than just producing the most advanced emission-free vehicles on the road.\u00a0 The company is well known for its advanced technology in high powered mobile batteries, a network of ‘supercharger’ stations to quickly recharge a Tesla vehicle during long trips, (somewhat controversial) autonomous driver aids, and recently solar power storage for people’s homes.\u00a0 Less widely known is the company’s sales model which is completely different than any other automotive manufacturer’s in the country.<\/p>\n
The traditional sales model for cars is a network of independent dealers that contract with certain manufacturers who sell cars to them wholesale.\u00a0 The dealers have full control over pricing, financing and incentives while generally providing maintenance services as well.\u00a0 These vast dealer networks are generally loather by consumers who find the process of purchasing a new car to be somewhere between a hassle and a nightmare.\u00a0 Contrary to all industry trends, Tesla has engaged in a direct sales method, where customers can only purchase a new Tesla from the company’s website.\u00a0 The only brick-and-mortar facilities the company owns are small stores, generally located in shopping malls in high-income areas, where a prospective buyer can go to see the car, learn about it from the company’s agents, and even schedule test drives.\u00a0 However, these stores are not engaged in closing deals, but function more as marketing and brand awareness.\u00a0 This is a fantastic example of the rise of non-sales selling.\u00a0 No orders are taken, no deals are closed, but these stores and the employees who work there are instrumental in selling the idea of Tesla as a company and the merits of its vehicles to consumers.<\/p>\n
The elimination of a traditional dealer network is appealing to many consumers, especially the technologically-inclined demographic interested in purchasing a new Model S sedan, Model X crossover, or upcoming Model 3 compact.\u00a0 Buyers generally report a hassle free process and appreciate not needing to deal with competing dealer incentives and car salespeople, who for right or wrong posses a stereotype of being pushy and abrasive.<\/p>\n
Unfortunately, most of the news regarding Tesla’s revolutionary car buying experience has focused on legal battles and lobbyists rather than the success and popularity of the model.\u00a0 Some states have passed laws that have effectively outlawed selling Tesla vehicles within their boarders by requiring automotive companies to sell through their dealer networks.\u00a0 So far, Musk and his company have stuck to their guns and eaten any lost profits from restricted selling protocols.\u00a0 Interestingly, but not at all surprisingly, these restrictions have been heavily supported and lobbied for by independent dealers and General Motors, a company that seems to believe in resorting to political influence, straw-man advertising, and according to Al Oppenheiser, chief engineer for the current-generation Camaro, a top to bottom guiding principle in the company “to beat the s*** out of anything that Ford puts on the road” will prove to be a sustainable method for selling cars in today’s environment.<\/p>\n
It is only appropriate to praise Tesla for its commitment not only to designing and building undeniably groundbreaking and high quality vehicles but also for its resolve in finding a sales process that spares its customers from the hassle of dealing with dealers pushing to meet quotas, providing poor service, and marking up prices in order to profit on the margins.\u00a0 They have developed and implemented a system unlike any other manufacturer which focuses on providing the best buying experience for the people who will decide if the (currently quite unprofitable) company will become economically viable.\u00a0 Now about that Model 3 concept that promises to make Tesla’s EV technology to those otherwise considering a fully loaded Honda Accord, in addition to current offerings which compete with the likes of a BMW 7-series or Porsche Cayenne…<\/p>\n","protected":false},"excerpt":{"rendered":"
Tesla Motors, Elon Musk’s electric car company, is seeking to redefine the automotive industry in more ways than just producing the most advanced emission-free vehicles on the road.\u00a0 The company is well known for its advanced technology in high powered mobile batteries, a network of ‘supercharger’ stations to quickly recharge a Tesla vehicle during long […]<\/p>\n","protected":false},"author":66,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2462","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/posts\/2462","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/comments?post=2462"}],"version-history":[{"count":2,"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/posts\/2462\/revisions"}],"predecessor-version":[{"id":2502,"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/posts\/2462\/revisions\/2502"}],"wp:attachment":[{"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/media?parent=2462"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/categories?post=2462"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/gccwebsites.com\/startupsales\/wp-json\/wp\/v2\/tags?post=2462"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}