This has been posted previously. Nobody is suggesting they *can’t* adjust prices.
This text has been in every pre-order agreement Tesla has made. It is also similar to the text in Rivian’s, GM’s, and Ford’s pre-order agreements.
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Have I locked in a price
- Thread starter cbo111
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This text has been in every pre-order agreement Tesla has made. It is also similar to the text in Rivian’s, GM’s, and Ford’s pre-order agreements.
just not sure tesla is willing to deal with the bad publicity and backlash from 2 million pre order customers if they up the price. Im sure they are sweating bullets right now trying to come up with a solution. obvious they took down the website pricing to minimize the damage going forward and will raise the price for new orders. I could see them actually taking a break even or small loss for early orders and plan to make it up on accessories and upgrades later?? any tesla leak that price will go up or truck might not be built will send a flock of buyers to for and rivian immediately and that's teslas worst nightmare. tesla is taking advantage of the semiconductor excuse to delay production to find a way out
HellsKitchen
Member
Well, to stay in good faith, they can't raise the price all that much since it's an estimate.
People are over-stating the “loss” Tesla is going to potentially take here. I highly doubt anyone at Tesla is sweating bullets. Tesla priced the truck to make a profit. They might take a hit on margins, but they aren’t taking a loss.
Tesla‘s margins have been increasing during this supplier crunch. Whatever impact the chip shortage and supply cost hikes have had, the ~10% price increases have more than made up for it. Their current margins are higher than ever. They can suck up a 5-10% margin hit on a product launch. Particularly since it’s likely Tesla locked in prices with long term supplier agreements shortly after seeing demand for the truck skyrocket.
If you listen to the people on this thread spewing about huge price increases, keep in mind they are making those claims based on the assumption that Tesla never intended to deliver the Cybertruck for the prices they announced on launch day. That is the sort of deceptive marketing that lands you in court.
slvervper99
Member
I'm in between. Lots of post here. Do I think they "should" keep the price on the site before it was removed, I don't see why they shouldn't. Will Tesla bump the price up a bit 5-10% for when the time comes production starts....they certainly can. I'm not sure about you guys but call me foolish...will I pay the new price if they bump it to a max of 10% over the posted price prior to removal. I probably will....(one of the few) probably means I'm about 75% will still purchase the car at the bumped price.
I think you explain some logical thinking well here. I think tesla will still have built in buffer on the pricing just not what they expected. The reason I think there is some panic and serious think tanking going on is because everything they do is for there quarterly earnings reports and shareholders. they don't want to report lower than expected earnings or production rate. long term panic......not a chance......short term of course
Agreed, once you exhaust the Tesla fan base of buyers you will be left with trying to convert traditional truck buyer and the main draw will be the financial proposition of an EV truck. Range, towing ability and fuel savings. Furthermore, truck buyers are used to having lot of trims, options, accessories, etc. multifunction powered tailgates, running boards, spray in bed liners, wheel and tire packages, color options, sunroofs, power rear windows, etc. The point is truck enthusiasts will need more than just a stainless steel EV truck that goes fast. This is where Ford, Chevy and Dodge will retain the majority of the customer base and slowly migrate them to the Lightning and SilvErado as it makes financial sense.
Their goal is to get the industry switch to BEV; Ford, GM, Stellantis, Toyota, Nissan, and Honda, are all dragging their feet with trucks. Tesla has a chance with the Cybertruck to grab a massive amount of market share and push the whole industry here. With the Model 3, they creamed the premium sedan market. With the Cybertruck they are planning on doing the same thing to the truck market.
They have a big enough pre-order roll to put a huge dent in this market and scoop up massive market share. Any price increase is going to reduce that opportunity. A good chunk of people would tolerate a 5-10% increase, particularly if paired with some nice additional features.
I posted a link to some video in another thread, but they have a new beta truck in the wild. I suspect that has a lot to do with the changes to the web site. Hopefully we’ll get some update on this.
if you think they are "honoring" 1m+ pre-order prices - which legally they very directly explain is a reservation but no price locked in - then you are smoking something. that would translate into the first 4+ yrs of production being sold at much lower prices...
Plasmid_Boy
Member
What was the purpose of stating precisely $39,990, $49,990, etc.? How many people would have ordered had the reservation site been the way it is now with no prices and no specs? If Tesla does not honor the original listed prices for the people who reserved them at the time, it would look like a deceptive marketing scheme to me.
I suspect Tesla is going to do their best to honor existing pre-orders which were attached to prices. They won’t take a loss on the trucks, but I suspect they won’t need to. Tesla has a history of making long term supplier agreements to protect themselves from big pricing swings. We also know their steel supplier built a factory to produce steel for the Cybertruck which is a good sign they have a long term agreement In place.
Why do you think they waited this long to pull the pricing down if they knew they couldn’t or wouldn’t honor them? If they never intended to, they could have ridden it out to the end. If prices rose under them, then they should have pulled them months ago (years even). It’s not like this snuck up on them.
I find it odd that so many people think Tesla will act in bad-faith here.
dazedNconfuzed
Member
Still not seeing why the CT price "must be much higher". Musk has gone over the manufacturing improvements in detail, demonstrating the extensive cost-saving measures. They're cutting out paint, stamping molds, parts count, etc to an extreme (and leveraging SpaceX 30X steel to leverage volume unit-cost reductions).
Sure, Tesla could jack the profit margin way up. Short-term gains are a poor choice when given the rare opportunity to break established competitors, deeply undercutting their production costs while still making a substantial profit.
Even if there is a price increase due to not-predicted supply chain and inflation issues, that will hit everyone across the board.
Digital cameras used to cost a lot more, and performed worse, than most film cameras ... but customers recognized the value of extremely low operating costs, switched from film to files en masse, and digital camera prices plummeted while quality radically improved.
EV prices are plummeting, and features improving, to the point that it's gonna be hard to go truck shopping without choosing the electric pickup - very much like other electronic technology revolutions.
No reason for CT to not happen, and do so at a very competitive price. "But there's no finished factory! no prices on Tesla.com!" - there's a factory being built, and a website easily activated to take orders.
Sure, Tesla could jack the profit margin way up. Short-term gains are a poor choice when given the rare opportunity to break established competitors, deeply undercutting their production costs while still making a substantial profit.
Even if there is a price increase due to not-predicted supply chain and inflation issues, that will hit everyone across the board.
Digital cameras used to cost a lot more, and performed worse, than most film cameras ... but customers recognized the value of extremely low operating costs, switched from film to files en masse, and digital camera prices plummeted while quality radically improved.
EV prices are plummeting, and features improving, to the point that it's gonna be hard to go truck shopping without choosing the electric pickup - very much like other electronic technology revolutions.
No reason for CT to not happen, and do so at a very competitive price. "But there's no finished factory! no prices on Tesla.com!" - there's a factory being built, and a website easily activated to take orders.
I keep coming back to this point myself.
Ford and GM rely on profits from their ICE trucks to keep the lights on. Given the choice, they will milk those product lines as long as they possibly can.
Insert Cybertruck selling going from zero to 1m trucks in 4 years. Suddently Ford and GM absolutely MUST build a an electric truck or watch Tesla walk away with the entire truck market. Not only that, they must make it reasonably affordable. The rest of the truck industry will have to follow too, but most of the other competitors are less reliant on truck income.
Tesla wants the industry to move to EV as quickly as possible, by attacking trucks hard, they force Ford and GMs hands. Either they move more quickly, or Tesla takes the truck market by storm. Ford sees this, that’s why they launched the F150 Lightning and it’s why they set the prices where they did.
If Tesla takes the foot off the gas here, it gives GM and Ford breathing room and they can.
they'll "honor" that existing Cybertruck RWD $39k order by not producing a RWD Cybertruck until 2025+ and by adding "premium interior" and "adaptive steering" (or whatever marketing buzz) to the $49k Cybertruck AWD for an extra $10k (...) ... or ... "FSD comes standard" with all Cybertrucks and the price goes up by $10k ...
Again, this assumption that Tesla is going to act in bad faith.
The fact that Tesla won’t produce the single motor until 2025 (or later) is known. Within a week of launch, Tesla has told us they will be produced last. A perfect example of them acting in good faith.
None of what you say remotely matches any previous launch. It’s like you expect someone secretly replaced Tesla’s management with a bunch of snake oil salesmen who are trying to make a quick buck before they pack up their bags and wreck some other company.
dazedNconfuzed
Member
Yes, it's understood that preorders are subject to long delay before manufacture begins, outright product cancellation, and offering of highly desirable upgrades at additional cost.
Pre-order is $100, refundable. Between that, and incentive for Tesla to actually produce something, darned good deal. Alternative is to tick off a half-million skin-in-the-game customers, who once burned are unlikely to return for the privilege of paying more.
As one, yes I fully expect production delays (heck, I want a delay to line up the cash), and expect to pay substantially more for after-delivery installation of, or completely forego, highly desirable options (consider the solar tonneau a must-have). For the right to an early purchase at locked-in prices, despite limitations, the $100 was worth it. Savings on FSD alone will be worth it, probably paying for the post-purchase solar tonneau.
Pre-order is $100, refundable. Between that, and incentive for Tesla to actually produce something, darned good deal. Alternative is to tick off a half-million skin-in-the-game customers, who once burned are unlikely to return for the privilege of paying more.
As one, yes I fully expect production delays (heck, I want a delay to line up the cash), and expect to pay substantially more for after-delivery installation of, or completely forego, highly desirable options (consider the solar tonneau a must-have). For the right to an early purchase at locked-in prices, despite limitations, the $100 was worth it. Savings on FSD alone will be worth it, probably paying for the post-purchase solar tonneau.
Usually a firm price is not specified until the customer configures their order. Will have prices of options like wheels, interiors, battery size, number of drive motors etc. Base prices move up and down all the time with existing lines as well.
Tesla usually honors the base price at the time a deposit is placed, but the total cost of the vehicle might change. Can expect changes to delivery costs etc. as well.
Tesla usually honors the base price at the time a deposit is placed, but the total cost of the vehicle might change. Can expect changes to delivery costs etc. as well.
I hope Musk is paying attention to the cool feature on the Rivian and incorporates them into the CBYRTRK.
9 amazing features that make the Rivian R1T the coolest EV pickup around
9 amazing features that make the Rivian R1T the coolest EV pickup around
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