No way. It’s exactly the person who WILL rent a Tesla to ‘see what this EV thing is all about.’
This is a total stroke of brilliance for all parties involved. The more I think about it, the more brilliant it becomes.
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Discussion: Hertz orders 100,000 Model 3's
- Thread starter Akr
- Start date
This is a total stroke of brilliance for all parties involved. The more I think about it, the more brilliant it becomes.
CapeOne
Active Member
It's not like Tesla hasn't discounted new cars in the past, and even in the current environment they've offered new inventory M3s at small discounts. I would not have been surprised to learn that discounts were involved in the Hertz deal but obviously "no discount" sounds better (for Tesla).
I simply question the "no discount" claim for a couple of reasons:
1. The deal was just announced yesterday which likely means the order was finalized (order button was pushed so-to-speak) only recently. If it was as recently as Friday, that would make the per unit retail price of the U.S. cars $45,190 and that would be for SR+ sedans in white with no options. If it was within the previous few weeks, it would be $43,190 each. 100k units at either price would already be more than the $4.2 billion ($42k per car) figure stated in articles and if any of these cars have added options, different colors than white, etc. that would push the prices even higher.
2. The deal includes cars for Europe where M3s can carry retail prices much higher than the figures above, further casting doubts on the "no discount" claim.
But as I’ve said, some details of the deal are vague so hopefully more information will come out over time.
Knightshade
Well-Known Member
Hertz is buying the cars at full retail.
On what basis is that tesla "resorting" to anything.
Should they start refusing to sell cars at normal price based on who the buyer is?
Knightshade
Well-Known Member
You've already had this debunked. It's weird you keep on it anyway.
Tesla increases Model 3 and Model Y prices, cheapest car is now $42,000
Tesla has implemented a price increase across its entire Model 3 and Model Y lineup in an overnight update to...
electrek.co
$41,990 was the price increase October 6th. Less than 3 weeks ago.
Funny enough- $41,990, times 100k cars, is just about exactly 4.2 billion dollars.
Even weirder, if the price was HIGHER for the SRs it'd make your "they maybe also got LRs!" argument even less based in reality.
Europe: Tesla Noticeably Lowers Model 3 Prices
An interesting move from Tesla has been spotted in Europe. The company has lowered Model 3 prices quite noticeably.
insideevs.com
This suggests the SR is 39,990 euros retail, but only 33,990 after subsidy- that's 39k to 46k USD roughly depending on if the subsidy can get passed back to Tesla in some way.
(note it looks like this price was since raised by 2k- but not until... October 6th same as US raise... so again the deal was likely based on the pre-Oct 6 pricing)
But it AGAIN debunks your notion the order would include higher trim cars since prices are HIGHER STILL on those.
TexasTezla
Member
Weird how people worry about a theoretical resale value on their car in x years time, and yet are not ecstatic that 100k EVs will replace gas burning ICEs! I'd happily lose a couple of grand on resale to get 100k ICEs off the road. Now we need to push Avis et al to follow suit...
So.... if you return it almost 'empty' that means turn around time could be 6-7 hours unless SpCs are installed at each facility.
CapeOne
Active Member
It has not been debunked. If the deal was finalized Friday (order button was pushed so-to-speak), that would mean even if all of the cars were U.S. SR+ sedans in white with no options, the retail value of 100k units would be hundreds of thousands above the $4.2 billion quoted in articles. If the deal was finalized a week or two ago, the retail value would still also be above the $4.2 billion figure. If the deal involves cars for high priced European counties, it could mean the retail value is more than $4.2 billion.
Official press release information has been kind of vague and/or non-existent and therefore nothing...zero...nada...has been debunked one way or another. Hopefully more details are to come. Things like the breakdown of the cars in the 100k order i.e., trim level, options, colors, etc. Things like the breakdown of where the cars are to be allocated i.e., US, Canada, UK, etc. Things like the exact date the deal was closed/finalized. None of these details have been made public to my knowledge and therefore nothing can really be considered debunked at this point.
bjrosen
Member
I'm sure Hertz has thought of this. My guess is that they will have urban Superchargers at each location. They don't need V3s because they have to clean the cars before they send them out again, as long as they can charge them in an hour that's good enough.
bjrosen
Member
What's the time frame for this deal? I assume it's multi year nut how many, I can't imagine that Hertz would want to roll out Tesla everywhere at once. I'd guess that they'll start in California and get some experience and then roll it out to other regions with good Supercharger coverage.
BTW no doubt that it's the Superchargers that made this deal, they wouldn't dare try it with any other EV. There is a rental car company in Europe (I think Germany) that had a mix and they've now dropped all of the non-Teslas because of the charging issues on other networks.
BTW no doubt that it's the Superchargers that made this deal, they wouldn't dare try it with any other EV. There is a rental car company in Europe (I think Germany) that had a mix and they've now dropped all of the non-Teslas because of the charging issues on other networks.
Knightshade
Well-Known Member
It has.
The CEO of Tesla says they were all sold at full retail price.
The math announced confirms they're all SRs at full price.
The specs on hertz.com also confirms they're all SRs.
The only party still pretending we don't know the details here is you.
Knightshade
Well-Known Member
Hertz said:
So all 100k deliveries happen over roughly the next 13 months.
And the word initial suggests they might order more later on top of that.
I'm not even certain it'll be that long... The language in the actual press release states:
"Beginning in early November and expanding through year end, customers will be able to rent a Tesla Model 3 at Hertz airport and neighborhood locations in U.S. major markets and select cities in Europe. To learn more, visit hertz.com/ev."
That sounds like year end 2021. Would be a heck of a thing but if they're churning the cars now, entirely possible, given build capacity per quarter ... and given that they're all standardized configs - would assume more factory efficiency as they wouldn't be switching out tooling, paint, or minor parts during the "Hertz run." Just white SR+, 18" wheels, black interior, LFP battery all day long 24x7 for the next 6 weeks or whatever it takes?
CapeOne
Active Member
Unfortunately, it doesn’t “debunk” it. Musk has had too many questionable or misleading tweets over time that have gotten him in trouble, including jeopardizing his board seat (stepping down as chairman in 2018) and CEO position, for me to take his tweets as 100% fact.
The "math announced" doesn't confirm anything either since there are no details as to the breakdown of the models (trim, colors, options, etc.), the allocation of cars by countries, when the deal was closed/finalized, etc.
The specs from Hertz only confirm what is available in their current fleet, not what may be included or available as part of the 100k order.
Nothing...nada...zip...zilch...zero...can be debunked regarding potential "discounts" with the limited and vague information that has been provided thus far. Given that, there's no point in continuing to go back and forth on this.
incorrect. the specs are listed on a dedicated website Hertz launched with the announcement of the 100k order. it is not about "what they currently have in their fleet" (does Hertz even have Model 3s in their fleet? all i ever see are "specialty cars" Model S)
overall I think it's a smart idea by Hertz... that being said: if in fact all the Model 3s are SR+ only and 100k represent ~20% of Hertz total fleet ... this means it'll be a very common vehicle type and deployed widely across locations in US/Europe. Maybe not a big deal in Ireland or Denmark - but renting a car in Texas or Colorado and ending up with maybe ~150 miles range in adverse conditions / when going fast does require a lot more route planning/ trip planning than a comparable ICE car with 2x the range
CapeOne
Active Member
M3s are available at select Hertz locations. They are also offering free Tesla network charging for pickups in November, December and January.
The Hertz press release states that the recently announced deal "includes an initial order of 100,000 Teslas by the end of 2022" but does not provide specific details about when the deal was closed/finalized or how it will play out though the end of 2022, what cars are being allocated to which countries, etc.
Knightshade
Well-Known Member
Which ones are they available at right now to rent, say, tomorrow, specifically?
I ask because the first deliveries of the 100k order, which we know for a fact are all SRs as explained to you 6 times now, start in November per Hertz own statements.
Huh... so that ALSO starts in November.
Same time the first deliveries of their SRs from the 100k order come in.
Almost like everything you keep insisting we "don't know" we actually do know and you keep accidentally confirming it
It's 100k of the same car.
Though I suppose a smaller # might be RHD if the y plan to offer it in any RHD markets. Still gonna be LFP SRs though.
Half of the Teslas in the order will apparently be available to Uber drivers. That’s another remarkable shift for a major car rental company.
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www.reuters.com
Uber partners with Hertz to offer 50,000 Tesla rentals to U.S. ride-hail drivers
Uber Technologies Inc on Wednesday said it is launching a new partnership with rental car company Hertz to offer 50,000 Tesla Inc vehicles as a rental option for its ride-hail drivers by 2023.
www.reuters.com
