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AU Pricing

mhh

Member
Jul 24, 2014
333
53
Adelaide
I don’t get it, these price drops are not unique to the AU market. Tesla dropped the prices substantially for the Model S and X all over the world so it has nothing to do with what the local sales are doing.

My mistake. They have a worldwide sales problem then, not a local one. Anyway, the huge price drop will certainly stimulate demand.
 

ShockOnT

⚡️⚡️⚡️⚡️⚡️
Jun 26, 2016
3,346
3,034
Sydney
Of course the elephant in the room with Audi/Posche is 800V and the much faster supercharging that'll be possible
Fast DC charging is appealing to people coming from ICE vehicles, who are used to refuelling outside their homes and want the process to be quick.
Once I got my car I quickly realised I'd rather charge at home than at the supercharger 3 minutes away.
I'm sure I do more long distance driving than the average punter, and I find the existing superchargers plenty fast enough.

Basically what I'm saying is that I don't think fast DC charging is that big a deal, but then that's just me.
 

Tension

Member
Mar 31, 2016
141
66
Sydney Australia
I would hope that those who purchased new recently (and paid significantly more than what they cost now) can be given free unlimited supercharging or something. Something similar happened with the Model 3 price changes in the USA and people were offered refunds or FUSC.
 

Munka

Member
Mar 1, 2019
156
118
Perth
I don’t get it, these price drops are not unique to the AU market. Tesla dropped the prices substantially for the Model S and X all over the world so it has nothing to do with what the local sales are doing.

Not entirely correct. In USA the P100DL dropped US22k. Here they threw in free ludicrous mode. The price dropped ~AU75K. With 15K for the ludi that's (22+15) / 0.7 * 1.33 LCT and I still only get $70k. Its the free ludicrous in this market that if anything I think is a little unfair on recent buyers. That said, by the time I come to sell, the pricing structure will be so different that this one off discount is not a big deal, maybe its just the exclusivity of being one of a few P100DLs in WA that I like :)
 

paulp

Active Member
Jul 23, 2015
2,681
1,221
Adelaide, Australia
My mistake. They have a worldwide sales problem then, not a local one. Anyway, the huge price drop will certainly stimulate demand.
Given model s in US outsold every luxury car and model x outsold every luxury suv, it seems unlikely this was done to create demand. I still think there is some market positioning occuring to allow for an imminant announcement on new more expensive products that will significantly outperform ludicrous, or it could also have been done to protect market share from the imminant jaguar audi porsche vw competition, which will now be a lot more expensive comparatively. Note that tesla announced a major trim of costs with this change by going back to online selling rather than the current trend of falling for showrooms likem legacy manufacturers, so the end profit result can be unchanged.
 

djayz

Member
Aug 6, 2014
192
224
Melbourne
I have concerns about an online only sales model, especially in Australia. If you're in California, Norway etc where Teslas are everywhere then it might make sense but in emerging markets like Australia the average person will at the very least want to LOOK at the car and most likely want to test drive it first. It's a huge purchase, not a pair or shoes.

Us Tesla fans will happily order a $100K+ car sight unseen and undriven as we have seen them plenty of times but now that the Model 3 is going mainstream there will be many people who wouldn't have considered one until they saw it at Chadstone or Doncaster Westfield etc.

I personally have several friends who can easily afford a Tesla yet never even considered it UNTIL they ran into them at the Tesla galleries.

I have a strong feeling they will reverse this in the next 6-12months...while they may not reopen stores, they will I suspect at the very least start offering test drives via online bookings......they have to........there is NO WAY you can have a mass market car and be online only....
 

ShockOnT

⚡️⚡️⚡️⚡️⚡️
Jun 26, 2016
3,346
3,034
Sydney
I have concerns about an online only sales model, especially in Australia. If you're in California, Norway etc where Teslas are everywhere then it might make sense but in emerging markets like Australia the average person will at the very least want to LOOK at the car and most likely want to test drive it first. It's a huge purchase, not a pair or shoes.

Us Tesla fans will happily order a $100K+ car sight unseen and undriven as we have seen them plenty of times but now that the Model 3 is going mainstream there will be many people who wouldn't have considered one until they saw it at Chadstone or Doncaster Westfield etc.

I personally have several friends who can easily afford a Tesla yet never even considered it UNTIL they ran into them at the Tesla galleries.

I have a strong feeling they will reverse this in the next 6-12months...while they may not reopen stores, they will I suspect at the very least start offering test drives via online bookings......they have to........there is NO WAY you can have a mass market car and be online only....
They are still planning to have “galleries” in high volume cities.
So Australia will probably keep one store in each big city, and a service centre on each big city.
 

paulp

Active Member
Jul 23, 2015
2,681
1,221
Adelaide, Australia
I have concerns about an online only sales model, especially in Australia. If you're in California, Norway etc where Teslas are everywhere then it might make sense but in emerging markets like Australia the average person will at the very least want to LOOK at the car and most likely want to test drive it first. It's a huge purchase, not a pair or shoes.

Us Tesla fans will happily order a $100K+ car sight unseen and undriven as we have seen them plenty of times but now that the Model 3 is going mainstream there will be many people who wouldn't have considered one until they saw it at Chadstone or Doncaster Westfield etc.

I personally have several friends who can easily afford a Tesla yet never even considered it UNTIL they ran into them at the Tesla galleries.

I have a strong feeling they will reverse this in the next 6-12months...while they may not reopen stores, they will I suspect at the very least start offering test drives via online bookings......they have to........there is NO WAY you can have a mass market car and be online only....

I first saw tesla on a tv doco. Then one day two hours before my flight back to adelaide we stumbled on a tesla in the middle of chadstone mall. I called the attendant a few days later, and he offered to bring the car to my hotel when next in melbourne, so a month later he made good on his word and arrived at Crown Towers. I was hooked during the first minute of driving, we got to the end and I asked to buy one, and he said he doesn’t sell them, that I’d have to do that online. So I went back to my hotel suite and ordered one on the ipad. In the meantime the tesla guy was downstairs feilding loads of enquiry from curious onlookers.
The personal experience was exceptional.
But I would never buy a car without sitting in it first, even with the 7 day money back guarantee on offer - bit tricky if already sold the last car.
 
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Brissienew

Member
Dec 9, 2014
380
137
Brisbane, Queensland
Wow, ludicrous mode model S for less than 170k. May be in 3 years an used one can be had for less than 100k. With only 30k spread from the base to the top model, it seems like Tesla is pushing potential buyers toward the top of the range model. There must have been huge profit margins on more expensive models under the old pricing structure. Carsales still has 2018 cars for 250k...
 
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djayz

Member
Aug 6, 2014
192
224
Melbourne
The personal experience was exceptional.
But I would never buy a car without sitting in it first, even with the 7 day money back guarantee on offer - bit tricky if already sold the last car.

Exactly!! The greatest sales advantage Tesla has is the experience. Anyone who sits in one and more importantly test drives it is instantly hooked leading to very high sales conversion.

If you remove that easy availability of sitting in one, asking questions and ultimately test driving it then I think sales will suffer.

I see Tesla realising this within next 6 months and then quaickly trying to find a way around it (eg travelling show rooms etc)
 

paulp

Active Member
Jul 23, 2015
2,681
1,221
Adelaide, Australia
Good point - pardon my dodgy grammer!
The service centres could become the first point of contact for prospective buyers. Given the stores may be closing.
I think tesla should maximise exposure by retaining galleries in a high traffic shopping centre in each city. Linking sales to a service centre that can be anywhere (ie cheaper real estate) seems more like something the legacy brands do. In some respects that is where the Adelaide model is very cost effective, other than an open shed is not a great service centre.
Fairly certain Elon said galleries would be retained to showcase the products.
 

ShockOnT

⚡️⚡️⚡️⚡️⚡️
Jun 26, 2016
3,346
3,034
Sydney
My first test drive was out of the basement of Star City casino in Sydney.
Maybe Tesla will run their sales operations nomadically, like in the early days.
 

Vostok

Active Member
Jul 1, 2017
1,395
1,492
Sydney
But our nanny state is all about us paying more tax to further enhance the central control of our lives!
Only the paranoid think that. And use of the phrase “nanny state” should invoke a variation of Godwin’s Law.

Maybe the “nanny state” is about minimizing the broader social costs from people doing dumb things, and reducing the risk of corporations (which have no social conscience) from causing social harm which they conveniently avoid paying for.

Once upon a time legislating to make the wearing of seatbelts compulsory was considered a “nanny state” act.
 

Vostok

Active Member
Jul 1, 2017
1,395
1,492
Sydney
It would nice if the LCT was further reduced or abolished for electric cars
I’ll update my pricing model when I get the chance, but I reckon with these price drops even a fully loaded performance Model 3 will come under the LCT threshold, or be close to it. So your wish will be granted, indirectly.
 
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