Enough Service Centers?

[Carl_Drogo]

Sorry if this has been covered, but with Tesla growing exponentially how will they handle all the service that will need to be done on their cars? I have an ICE car (waiting for a Model 3 still) and can get it serviced at dozens of places nearby, but it seems like people need to take their cars to Tesla when they have issues. Will auto mechanics re-train to fix electric cars? Will Tesla offer some certification program for non-Tesla shops / people?

I'm long Tesla and not one of these people predicting bankruptcy, doom and gloom, etc. What I am concerned about, though, is the customer experience / brand if things break and people have to wait months or something to get things fixed. Does Tesla have a plan to handle the increased volume?

 

[mblakele]

Tesla has been expanding service centers and building new ones, plus turning a lot of work over to mobile technicians. So I'd say they have a plan.

As an owner, I'd like to see Tesla offer certification to independent mechanics. I've always figured that the best mechanics will want to work for themselves. Any good mechanic can already do much of the work that can be done on a Tesla: brakes, steering, suspension, tires.

However I think Tesla will want its own service technicians to handle certain areas: warranty repairs and recalls for example. I suspect they'll also want to hang onto any work associated with the drivetrain, battery, or on-board computers. And as an investor, maybe that's best.

 

[Tiger]

See related discussion:

• Tesla Service Center Stats
• Tesla’s global fleet has 1068 cars per service center and offers room for efficiency improvements
• Tesla's Service Center Push Keeps Slowing Down - Tesla, Inc. (NASDAQ:TSLA) | Seeking Alpha

 

[Carl_Drogo]

Tiger: I had actually found that first link (Tesla Service Center Stats) but it looked pretty stale with no new posts since some time last year. I see you just asked for an update in that thread. Thanks!

 

[neroden]

Sorry if this has been covered, but with Tesla growing exponentially how will they handle all the service that will need to be done on their cars?

They won't. They're failing to keep up with service center expansion.

I sort of understand this since service center expansion is expensive. Perhaps they'll catch up once they're showing a profit, next year.

 

[defc0n]

I only came here to say I like your username.

 

[Carl_Drogo]

I only came here to say I like your username.

Thanks. I never read the books, so the first time I saw the show I honestly thought that was his name.

 

[TaoJones]

There has been a significant commitment to mobile tech hubs. Depots to which parts are shipped and from which vans are dispatched. Zero customer interface on the premises. Think of these as analogous to UPS distribution points without the union-related friction/overhead.

The mobile techs will be able to accomplish a great deal - think of all of the things our chariots require that don't necessarily need a lift to get done. 12V batteries, door handles, triangle window replacement to cut wind noise, charge port replacements, and probably the 1st and 3rd year annual servicings as well, if not the 2nd year (brake fluid flush).

Now, granted, one mobile tech is not a double crew removing yer front clip and associated parts and pieces in 8 minutes, but what does it matter if you're at the office while the work is being done anyway?

I would much rather have a mobile tech come to my home or office than my having to go to an SvC. Very happy that Tesla has invested in this extension of service that ideally will take some of the load off the SvCs, which is to say will enable a slower/more cost-effective buildout of new SvCs. The mobile tech depots need be little more than light industrial space.

 

[neroden]

I like the mobile techs but the fact is I've needed my car to go into the shop for at least half the repairs it's needed. The crucial problem here is how far away the shop actually *is*. Many of my repairs were quite quick in the shop but took 4 hours to get to the shop and 4 hours to get back (by valet), which is *highly cost-ineffective*. Even a shop with one lift, which was an hour away, would alleviate this problem.

 

[jaguar36]

Tesla is expanding their service network quite rapidly. They just opened one new service center in NJ and are already working on another. Expanding the service center network is quite difficult and expensive though. Far more so than expanding the supercharger network. I think they are doing a reasonably good job staying ahead of it, obviously with some shortcomings. Going to be a long time before they have the same sort of coverage as the classic car dealers though.

The bigger issue is for older, out of warranty cars where folks don't want to pay the exorbitant rates at the service centers. Tesla doesn't seem to have a plan for this, and doesn't seem to care.

 

[neroden]

No, I would say that the bigger issue is geographical location of service centers. There needs to be a service center within 2 hours drive of every metropolitan area. There isn't. They could achieve this in a year or so, but they haven't yet.