GM Servicing Tesla... profits GM how?

[tpedwards]

I have read it before, but GM president Mark Reuss has been quoted that GM dealers have built a business servicing Teslas. That is not hard to understand between tires, wheels and well-document repairs (e.g. Model S door handles). What I don't understand is how in the heck this benefits GM. Other than bragging rights, how does GM profit from their dealers servicing Teslas as a side hustle?

GM dealers make money from GM when they do warranty work on GM vehicles. I don't see how GM makes money when the vehicle is a third party.

I certainly would not want my local GM dealer working on my Model S or Model Y.

 

[Yelobird]

Paid hourly service is paid service shouldn’t really matter what car they are working on.

 

[tpedwards]

Paid hourly service is paid service shouldn’t really matter what car they are working on.

But it is paid to the dealer not to GM. No money is going to GM, but they get bragging rights? GM gets nothing out of a dealer servicing a Tesla and getting paid by the Tesla owner. What am I missing?

 

[Yelobird]

But it is paid to the dealer not to GM. No money is going to GM, but they get bragging rights? GM gets nothing out of a dealer servicing a Tesla and getting paid by the Tesla owner. What am I missing?

Possibly. But at $200/hour rate I am certain that doesn’t go to the service tech. Likely a share of that rate goes to the dealer and OEM just like any other service. I had my Honda oil changed at a Ford dealer not much different.

 

[tpedwards]

Possibly. But at $200/hour rate I am certain that doesn’t go to the service tech. Likely a share of that rate goes to the dealer and OEM just like any other service. I had my Honda oil changed at a Ford dealer not much different.

I have no idea how franchise fees are garnered, but I would be surprised if any of that would go to GM for work done by a GM dealer on a Tesla. It boggles the mind that GM is bragging about it - as if this is a new revenue source for them. For GM dealers, perhaps. For the mother ship, not likely.

 

[SpicyPaneer]

GM can’t fix their own car issue let alone let them touch my Tesla, no thanks.

 

[bigjoey101]

They are fighting hard for market share in the EV market, I think that servicing Teslas and publicizing that service is all a part of that strategy.

 

[Yelobird]

They are fighting hard for market share in the EV market, I think that servicing Teslas and publicizing that service is all a part of that strategy.

Or the only way GM will ever see a profit in the EV environment.

 

[SpicyPaneer]

Or the only way GM will ever see a profit in the EV environment.

I would never let a non Tesla dealer service any part of my vehicle. I just don’t trust anyone especially a competitor. You just do t k ow what they are capable of any sabotaging you vehicle for more future service.

 

[AMPd]

I would never let a non Tesla dealer service any part of my vehicle. I just don’t trust anyone especially a competitor. You just do t k ow what they are capable of any sabotaging you vehicle for more future service.

That’s a bit crazy don’t you think?
Having your tires replaced at Tesla only because you fear sabotage? If you think another company would sabotage your vehicle, why is Tesla different?

 

[SpicyPaneer]

That’s a bit crazy don’t you think?
Having your tires replaced at Tesla only because you fear sabotage? If you think another company would sabotage your vehicle, why is Tesla different?

Because experience with GM stealerships with previous owned GM vehicle, went it with a small issues with a brake and came back and a/c didn’t work, someone pulled a compressor hose off so I would return back to service . As for tires , I’d go to a reputable tire installer and not the dealer for super high prices .