Did I Make a Mistake Skipping EAP?

[BOBEDIGITL]

It's 100% a luxury decision. I'll admit the only reason I did decide to not get it was a financial one. It was either waiting for the standard battery and getting EAP or get the LR and no AP. Figured range was king and I can always unlock EAP later. However I did have AP1 while my car was in the service center for 3 weeks and then getting the 2 week trial, EAP is great. My commute is 6 miles so it's not all that necessary but when I'm driving around and there's traffic on the freeway, I do miss it. Is it worth 5k for me? Probably not. I'd pay maybe 2-2.5k for it. But if they somehow drop the price somewhere down the road, I would definitely reconsider.

 

[whatthe2]

I don't have long daily commutes besides on the weekends to go shopping, etc. but I think EAP is part of the Tesla experience I wouldn't want to miss out on.

This. I've had my car for a little over a month and have 550 miles on it. I commute to the airport every week (25 miles each way), so my car sits idle for most of the week. But I love every minute of EAP making that commute and definitely think it’s part of the Tesla experience.

 

[Uncle Paul]

Tesla has announced that they are expecting a new, improved, computer and chip to be released soon to allow better automated driving. Perhaps the price increase is anticipating this additonal costs for upgrading.

 

[Msjulie]

Tesla has announced that they are expecting a new, improved, computer and chip to be released soon to allow better automated driving. Perhaps the price increase is anticipating this additional costs for upgrading.

My understanding was that folks that had already purchase FSD would get the hardware for free, others would have to pay. It was not related to auto pilot though I'm sure some software is of course common..

 

[MMBTUS]

There is some talk on the forums of Tesla honoring the $6k post upgrade EAP price offer for current owners.

I’m trying to build support for the following Tesla policy:

1. Make TACC standard. It’s a safety feature. It’s inclusion in cars costing $18k means it has become de facto standard safety gear. Stuff like this happens with what seems like advanced tech. Add $1000 to the base M3 price. No one seems to care exactly where that price lands except the trolls pining for a $35k base M3. Eager M3 buyers don’t care. The car is worth it.

2. Offer TACC (only) to current non EAP owners for $1000

3. Refund or credit $1000 to current EAP owners. They paid for a feature that turns out should have been standard. Recognize the value they attached to TACC (which we have just established). Make them happy by having paid less for the other EAP features coming down and less for the car.

It would make me happy and I’ll bet more revenue than cost will be generated by this approach. Anyone agree?

 

[Saghost]

There is some talk on the forums of Tesla honoring the $6k post upgrade EAP price offer for current owners.

I’m trying to build support for the following Tesla policy:

1. Make TACC standard. It’s a safety feature. It’s inclusion in cars costing $18k means it has become de facto standard safety gear. Stuff like this happens with what seems like advanced tech. Add $1000 to the base M3 price. No one seems to care exactly where that price lands except the trolls pining for a $35k base M3. Eager M3 buyers don’t care. The car is worth it.

2. Offer TACC (only) to current non EAP owners for $1000

3. Refund or credit $1000 to current EAP owners. They paid for a feature that turns out should have been standard. Recognize the value they attached to TACC (which we have just established). Make them happy by having paid less for the other EAP features coming down and less for the car.

It would make me happy and I’ll bet more revenue than cost will be generated by this approach. Anyone agree?

No, I don't agree.

The limited adaptive cruise controls being included in *some* $18k cars (not many, so far,) are not at all equivalent to TACC.

Having a feature included in every car doesn't make it a safety feature. (Stereo radio? Cigarette lighter/12V power port?)

The relevant safety features here are forward collision warning and automatic emergency braking - both included on all Teslas already. TACC is a luxury, helping you drive more easily.

A lot of people seem care a great deal what the M3 base price is - folks have already been saying Tesla will never introduce the $35k version and claiming it was all a marketing ploy. Some of them are undoubtedly shorts, but why feed them?

The last argument is the biggest question, and the only legitimate argument in your post IMHO. Is the increased revenue from selling TACC only to more people (or everyone in your proposal) equal to the revenue lost from not selling eAP to folks who would opt for only TACC if given the choice at your pricing?

I don't know the answer, but I'm pretty sure it's not the slam dunk you seem to be suggesting. To break even at those prices, they'd have to sell 5x as many TACC only licenses as they lose in eAP. I'm quite certain that more than 20% of Tesla buyers buy eAP...

 

[CullinKin]

So I just took delivery of my Model 3 LR RWD last Thursday and love it so far. My buddy took delivery of his P3D this past weekend. I'll admit, having the extra power would be nice, but it just wasn't feasible for me financially. He does though, have EAP.

I did however, skip out on EAP. The unit I test drove had it, but I just couldn't justify the 5K for it. After riding around in my friend's car, I suppose I see more value in it now.

Does anyone else regret not getting EAP? I'm not too fond of the idea of plopping down 6K to get it now (versus financing it over 5 years), so I guess I'll just have to live without it. I'm just curious how others without EAP feel? One thing I will say is, I think TACC should be standard. That's an option I had on an Altima rental car a few weeks ago, I'm rather surprised Tesla doesn't offer that as standard.

Same. I skipped out on it too. There are some times I regret it, but then I remember how fun it is to drive these things in the first place. Maybe I’ll get it in the future, but for now I’m good.

 

[daniel]

I agree that TACC should be standard. But my decision to get EAP was influenced more by TACC than by autosteer which, at the time, I didn't particularly trust. If TACC had been standard, or a stand-alone $1,000 option, I might never have gotten autosteer, which I now think is the coolest thing ever and I'm really glad I have it. So yes, as a common safety feature, TACC should be standard. But I'm glad it wasn't when I bought my car.

 

[poorelephant]

When your budget is fixed, get the most HARDWARE you can get. LR, AWD. You can't add these things later. EAP and FSD would be what I would give up first. They can always be added later. Surely, you pay a premium over buying when new, but that's the price of having that flexibility. That being said, I did get the EAP with my initial order. To me, it's one of the killer features of a Tesla, and I have quite a bit of stop-and-go driving. Also, in NJ, there is no sales tax on an electric car purchase, so buying EAP with the car, I saved 7% compared to buying it after. For FSD, who knows when it will actually come out, and when it does, how good it will even be. I didnt' want to compromise elsewhere to stretch myself to get that.

If you didn't get EAP, don't fret. I am sure that Tesla will have situations in the future where they need to get some cash for an end-of-quarter push, and having a sale to get $5000 from hundreds of customers who didn't bite on initial purchase, for what amounts to flipping a bit over the air, will be an easy way to get high-margin revenue.

 

[Dana1]

It now shows $7K in my account to get EAP after purchasing the car. Strange marketing strategy, it would be nice if Tesla sent an email before raising the price. They’re shaking people off the fence into the wrong yard.

The new price doesn’t apply to recently purchased cars.

 

[Dana1]

You also have to take into concideration what you would do with that $5K if you didn't spend it on EAP.

Some people would prefer a nice vacation or upgrade to the house.

Others would turn that $5K into $10K - $12K, so the cost for EAP is actually $160-$200/month which is much higher than what you paid for it.

I intend to live at least another 25 years so EAP would cost me at least $450K, neglecting taxes, inflation, trading costs, etc, etc.... OK, it's a wash, and I blew too much money on the Tesla when I should have gotten a used Prius .

For $5000 to be worth $450000 in 25 years you’d have to earn 19.7% every year....

 

[Dana1]

There is some talk on the forums of Tesla honoring the $6k post upgrade EAP price offer for current owners.

I’m trying to build support for the following Tesla policy:

1. Make TACC standard. It’s a safety feature. It’s inclusion in cars costing $18k means it has become de facto standard safety gear. Stuff like this happens with what seems like advanced tech. Add $1000 to the base M3 price. No one seems to care exactly where that price lands except the trolls pining for a $35k base M3. Eager M3 buyers don’t care. The car is worth it.

2. Offer TACC (only) to current non EAP owners for $1000

3. Refund or credit $1000 to current EAP owners. They paid for a feature that turns out should have been standard. Recognize the value they attached to TACC (which we have just established). Make them happy by having paid less for the other EAP features coming down and less for the car.

It would make me happy and I’ll bet more revenue than cost will be generated by this approach. Anyone agree?

As a cost accountant I’d have to say no, lol. #3 is a direct cash drain. #2 devalues a feature folks paid $5k or more for. If one out of five cars buy it you’re all good cash wise. E.g, five people pay $1k or one person pays $5k it’s a wash. If two people pay $5k you’re $4k ahead. #1 pretty much same idea as #2. It’d be interesting to know what percentage of cars have EAP currently.

 

[WattsHappening]

Of all the great things about Teslas, EAP has to be in the top 3. I couldn't imagine not getting EAP. I would pay $10K for it.

 

[paulvinh]

Was an absolute must for me! I also drive 70 miles total per day in heavy Los Angeles traffic so EAP has helped saved my sanity. I have friends that said the car is so great that they like the experience of driving it rather than EAP. But driving on a clear day with no traffic vs heavy traffic are two different experiences.

 

[MXWing]

Making TACC standard is akin to not buying the cow because you get the milk for free.

Tesla offered selling bio defense for Model X independent of $6,000 PUP.

When TMCers were raving about saving over 5000 on their cars, Tesla kiboshed that within days.

 

[MXWing]

As a cost accountant I’d have to say no, lol. #3 is a direct cash drain. #2 devalues a feature folks paid $5k or more for. If one out of five cars buy it you’re all good cash wise. E.g, five people pay $1k or one person pays $5k it’s a wash. If two people pay $5k you’re $4k ahead. #1 pretty much same idea as #2. It’d be interesting to know what percentage of cars have EAP currently.

I’m a game theory economist and I would argue it’s better Tesla sells none of the hypothetical $1000 TACC packages.

People might actually hold on to their old Tesla’s if it had that functionality.

Rather than pay 7000 on an aging and heavily depreciated asset, they turn it into Tesla and buy a new car with 5000 EAP.

Tesla takes the trade in and raises the market value of the CPO by 2500 just by turning on EAP.

 

[cylryu]

I am admit EAP is one of the "standard option" for me to purchase M3, otherwise I will go for toyota

 

[daniel]

I am admit EAP is one of the "standard option" for me to purchase M3, otherwise I will go for toyota

Are you saying that if they raise the base price by $5,000 and include EAP, you'll buy the Tesla, but that if they charge the same amount but list EAP as a separate line item in the price you'll buy a gas car instead?

Or are you merely saying that with EAP the car is $5,000 too expensive, and you'll buy it if they lower the price by $5,000?

It doesn't matter whether features are "standard" or "options." What matters is the total cost of the car, configured as you want it. It's perfectly understandable if an EAP-equipped Tesla cost $5,000 more than you're willing to spend. You can get a Toyota for a lot less money and you'll have very reliable transportation, that burns gas and does not have EAP. It's wishful thinking to want Tesla to drop the price by $5,000 so that the EAP-equipped car comes down to the price you are willing/able to pay.

 

[Dutchie]

I think a Tesla isn't realy a Tesla without EAP. I like the idea it being standard.

 

[Saghost]

Are you saying that if they raise the base price by $5,000 and include EAP, you'll buy the Tesla, but that if they charge the same amount but list EAP as a separate line item in the price you'll buy a gas car instead?

Or are you merely saying that with EAP the car is $5,000 too expensive, and you'll buy it if they lower the price by $5,000?

It doesn't matter whether features are "standard" or "options." What matters is the total cost of the car, configured as you want it. It's perfectly understandable if an EAP-equipped Tesla cost $5,000 more than you're willing to spend. You can get a Toyota for a lot less money and you'll have very reliable transportation, that burns gas and does not have EAP. It's wishful thinking to want Tesla to drop the price by $5,000 so that the EAP-equipped car comes down to the price you are willing/able to pay.

I read his post as "I wouldn't buy a Tesla without eAP, and if eAP wasn't part of the Tesla, I'd buy a Toyota instead."

An option that you have to get to make the car experience what it should be, rather than any sort of commentary on how Tesla apportions things between standard features and options or the price.