2021 Pricing Changes on Model 3/Y

[vickh]

I am a sucker. Less then a month old SR+ was just devalued, by none other than Tesla themselves.

At a minimum the rear seats and heated steering wheel should be activated. How can anyone possibly recommend purchasing a Tesla with this behavior?

they did this during the tax credit phaseout, did not impact demand.

Happens regularly with other brands (same day even), but they're not as open with pricing.

 

[Two-rocks]

Trade in value seems to reflect a pending credit, digging deeper. Not good.

 

[CapeOne]

b/c Tesla doesn't "keep the credit" as other dealers do. Some like Pacifica even advertise the price w.$7.5K built-in making it hard to cross-shop.

How do dealers "keep the credit"? It must be applied for by the registered owner/customer. If the car is leased, it technically goes to the leasing company but the leasing company typically applies it to the deal by lowering the cap cost.

On Tesla leases, the federal tax credit was unfortunately (to the customer) applied to the residual instead of being used to reduce the cap cost which meant if someone wanted to buy the car at lease end, they'd essentially be paying Tesla back for the tax credit. I guess this was Tesla’s way of discouraging people from buying the cars at lease end.

As far as including it in the advertised price, Tesla was similar. They would not only apply the tax credit but other things like potential gas savings to show a lower price.

 

[jjrandorin]

I am a sucker. Less then a month old SR+ was just devalued, by none other than Tesla themselves.

At a minimum the rear seats and heated steering wheel should be activated. How can anyone possibly recommend purchasing a Tesla with this behavior?

This SPECIFIC discussion and thought process comes up whenever tesla drops / changes prices, completely ignoring that, for most car dealers, you and your neighbor could have bought the EXACT same car and paid WILDLY different pricing, depending on both of your ability to negotiate.

Once you buy a car, after you sign, any further changes dont mean you are now "owed something in compensation". The only people who are owed something are people who havent taken delivery yet.

 

[Two-rocks]

Once you buy a car, after you sign, any further changes dont mean you are now "owed something in compensation". The only people who are owed something are people who havent taken delivery yet.

Except you can't stop the OTA updates and user interface downgrades.

 

[jjrandorin]

Except you can't stop the OTA updates and user interface downgrades.

Or the power upgrades they applied for free, or the additional functionality they added since release like more voice commands etc, or things like sentry mode etc... and NONE of that has anything at all to do with "I paid XXX now the price has changed and I deserve compensation", argument many make, completely ignoring what I said in the other post.

 

[Two-rocks]

for most car dealers, .

Tesla is not a 'dealer' - they are a manufacturer. I expected more, but life is a lesson.

 

[jjrandorin]

Tesla is not a 'dealer' - they are a manufacturer. I expected more, but life is a lesson.

Sorry to pick on you, but that is always the "next thing" people say, as if they expect the product to be the price they paid, or more, forever. Thats the argument you are making. "no one should pay less than I did, ignoring the fact that for every car I have ever purchased other than this one, people have paid wildly different prices depending on where they lived, their negotiating skills, etc".

 

[Two-rocks]

Or the power upgrades they applied for free, or the additional functionality they added since release like more voice commands etc, or things like sentry mode etc... and NONE of that has anything at all to do with "I paid XXX now the price has changed and I deserve compensation", argument many make, completely ignoring what I said in the other post.

1) I did not get a power upgrade.
2) added functionally from what release? car is not a month old. The update the moment we got home made the UI suck balls.
3) Voice commands? really? you're easy...next they might have DVD players added, and off you go to blockbuster for a rental.

 

[jjrandorin]

1) I did not get a power upgrade.
2) added functionally from what release? car is not a month old. The update the moment we got home made the UI suck balls.
3) Voice commands? really? you're easy...next they might have DVD players added, and off you go to blockbuster for a rental.

These are all things that have been added, via OTA updates over the past couple years (including power increases for some models, for free). Like you said, you got your car a month ago.

If you didnt like the idea of OTA updates, you bought the wrong car. If you expect the price of a vehicle to stay the same or cost more than you paid for it, forever, then you should never have bought a new car at all, because no new car does that.

 

[Two-rocks]

Please stick to moderating, fanboi.

You are making straw man arguments for nothing I have said.

 

[jjrandorin]

Please stick to moderating, fanboi.

You are making straw man arguments for nothing I have said.

First, I am going to warn you that personal attacks are not allowed against anyone, me or otherwise, so consider that a warning.

Second, My arguments are specifically about you saying "Tesla should give me compensation because I bought the car a month ago". You were the one who started the strawman about "except I cant deny OTA updates" in relation to asking for compensation for the price reduction.

Finally, that "fanboi" argument is usually the final thing people turn to in this argument when they realize that the person telling them they are asking for everything to be the same or more than they paid, forever, is correct. The next step is normally to resort to some personal attack or other.

You can certainly feel however you want to, and we can certainly disagree on this, but refrain from the personal attacks.

 

[ElectricGoBoi]

So I guess my only question is to the people that are upset with the 1-2k drop in price, are you in a rush to sell your car because you’re unhappy with it after a month or so of ownership? Or just mad that you paid 1-2k more? In the grand scheme of things it’s only at most 2k. If you’re financing it wouldn’t make any real difference in monthly payments and used market seems to hold a pretty high resale which I don’t see changing because of the price change, considering the wait time to get a brand new one from factory. It’s to be expected in a new mass market where there wasn’t currently that much competition and prices will adjust to stay competitive.

 

[CapeOne]

This SPECIFIC discussion and thought process comes up whenever tesla drops / changes prices, completely ignoring that, for most car dealers, you and your neighbor could have bought the EXACT same car and paid WILDLY different pricing, depending on both of your ability to negotiate.

You don't typically see "WILDLY" different pricing like you may have in the past. This is thanks to the internet and that markups (invoice to MSRP) are not nearly as much as they were decades ago. Automakers have taken a lot more control over final transaction pricing these days. It used to be that the negotiated discount from the dealer was where most of the savings came from but now it usually comes mostly from the manufacturer rebates and/or special pricing offers.

However, even Tesla purchase prices can vary. Someone buying a new custom order car may pay many thousands more than someone else buying a discounted new inventory car at the same time.

The idea that everyone pays the same for the same year/model with Tesla is simply untrue. Tesla adjusts prices, Tesla offers special incentives, Tesla discounts new inventory cars, etc.

 

[jjrandorin]

You don't typically see "WILDY" different pricing like you may have in the past. This is thanks to the internet and that markups (invoice to MSRP) are not nearly as much as they were decades ago. Automakers have taken a lot more control over final transaction pricing these days. It used to be that the negotiated discount from the dealer was where most of the savings came from but now it usually comes mostly from the manufacturer rebates and/or special pricing offers.

However, even Tesla purchase prices can vary. Someone buying a new custom order car may pay many thousands more than someone else buying a discounted new inventory car at the same time.

The idea that everyone pays the same for the same year/model with Tesla is simply untrue. Tesla adjusts prices, Tesla offers special incentives, Tesla discounts new inventory cars, etc.

Now, I find this to be a fair point to have a discussion about, and mostly agree with you on this. Where I disagree, is that it can still be pretty different at a regular car dealership. If someone "puts in the work" they can arrive at "similar pricing" at a regular car dealer, that much I agree with.

Everyone buying a new, ordered, tesla pays roughly the same price if they are picking up the same day as someone else. Buying a car "in inventory" or a "dealer demo" or something like that skews things, just like it does at other car dealers.

The biggest difference with Tesla and other car purchases is, if I order a new tesla in CA and pick it up a week from now, someone ordering and buying the same build in Oklahoma will pay the same price if they pick up the same day I do. Most car dealers now have regional programs, so (for example) BMW incentives in CA are different than BMW incentives in Oklahoma, or New York.

But yeah tesla does do incentives sometimes, to move inventory cars just like other car dealers. Tesla "salespeople" say stuff to move cars that is sometimes incorrect, just like other car dealers. There is no promise that a discount on the car wont happen the day after you drive it home, just like other car dealers.

The only part of a tesla transaction that is different is that the pricing on ordered cars is usually the same at a specific date and time across the nation, and its "easier". You dont have to do research to avoid getting ripped off.

Otherwise, its a regular car transaction, with all the pitfalls of one.

 

[vickh]

How do dealers "keep the credit"? It must be applied for by the registered owner/customer. If the car is leased, it technically goes to the leasing company but the leasing company typically applies it to the deal by lowering the cap cost.

On Tesla leases, the federal tax credit was unfortunately (to the customer) applied to the residual instead of being used to reduce the cap cost which meant if someone wanted to buy the car at lease end, they'd essentially be paying Tesla back for the tax credit. I guess this was Tesla’s way of discouraging people from buying the cars at lease end.

As far as including it in the advertised price, Tesla was similar. They would not only apply the tax credit but other things like potential gas savings to show a lower price.

Yes, The difference is how they advertise the price on say cars.com. Not all dealers do it that way either (I did a nationwide search with Pacifica and some prices were "crazy eddie" low, which meant I had to contact the dealer to find out whether they subtracted the fed credit already. Some dealers just raise the price over the MSRP since it's a moving target.

Tesla does it with the gas savings but easy enough to move the slider over to purchase price. But, Tesla never advertised the SR at ~$30K which would have spurred a lot of sales, since a lot of people don't believe that what I paid for a new Tesla

Leasing is a different story (which I am using with Tesla panels where they keep the credit)

 

[vickh]

Now, I find this to be a fair point to have a discussion about, and mostly agree with you on this. Where I disagree, is that it can still be pretty different at a regular car dealership. If someone "puts in the work" they can arrive at "similar pricing" at a regular car dealer, that much I agree with.

Everyone buying a new, ordered, tesla pays roughly the same price if they are picking up the same day as someone else. Buying a car "in inventory" or a "dealer demo" or something like that skews things, just like it does at other car dealers.

The biggest difference with Tesla and other car purchases is, if I order a new tesla in CA and pick it up a week from now, someone ordering and buying the same build in Oklahoma will pay the same price if they pick up the same day I do. Most car dealers now have regional programs, so (for example) BMW incentives in CA are different than BMW incentives in Oklahoma, or New York.

But yeah tesla does do incentives sometimes, to move inventory cars just like other car dealers. Tesla "salespeople" say stuff to move cars that is sometimes incorrect, just like other car dealers. There is no promise that a discount on the car wont happen the day after you drive it home, just like other car dealers.

The only part of a tesla transaction that is different is that the pricing on ordered cars is usually the same at a specific date and time across the nation, and its "easier". You dont have to do research to avoid getting ripped off.

Otherwise, its a regular car transaction, with all the pitfalls of one.

good points. Only thing I'd add is their demo pricing wasn't that great compared to buying brand new. They'd also throw in small goodies but nothing big like Free AP/FSD

 

[T3SLAROD]

I think at this point there needs to be a separate section on the forum that allows new owners to bitch and complain about what Tesla owes them because of a price change. It seems like every 6 months we get this thread because Tesla decided to adjust the price. BTW, I’m still waiting on my Model Y that Tesla owes me because I got my Model 3 a two weeks before they announced the Model Y. Now they owe me a heated steering wheel because I paid more for my TM3 that didn’t come with one.

 

[vickh]

You don't typically see "WILDLY" different pricing like you may have in the past. This is thanks to the internet and that markups (invoice to MSRP) are not nearly as much as they were decades ago. Automakers have taken a lot more control over final transaction pricing these days. It used to be that the negotiated discount from the dealer was where most of the savings came from but now it usually comes mostly from the manufacturer rebates and/or special pricing offers.

However, even Tesla purchase prices can vary. Someone buying a new custom order car may pay many thousands more than someone else buying a discounted new inventory car at the same time.

The idea that everyone pays the same for the same year/model with Tesla is simply untrue. Tesla adjusts prices, Tesla offers special incentives, Tesla discounts new inventory cars, etc.

Agree about the internet making things more transparent with traditional dealers, but you still have to negotiate. MachE is a good example of where I can't find any at Ford's sticker price.. yet. Same thing with MB with the "starting at" price. Tesla did sell me the SR at the advertised price, even though I'm not related to Elon (went to school with him, but that's a different story!)

Tesla everyone pays "menu price" on the same day at least. They make their real money with emission credits and thier stock I wonder why their non-commissioned sales model hasn't caught on more..

 

[chewychiu]

Me too too delivery on 12/30/20.

I’m on the same boat as you guys. I took delivery on 1/15/2021. Sucks.