Have we all been played by Tesla?

[Garlan Garner]

Wouldn't the higher priced cars have a higher margin? Tesla is not going to sell an option at a loss. The more options, the higher price and higher margin.

Because I don't know for sure what the margins are....I can't say yes......and neither can anyone else.

 

[Garlan Garner]

I wonder if the algorithm is something like th is.

Produce X number of P3D. Priority goes in order of those who paid the $2500, followed by order of their reservation date.
Produce Y number of 3D models. Priority goes in order of those who paid the $2500, followed by order of their reservation date.
produce Z number of LR3 models. Priority goes in order of those who paid the $2500, followed by order of their reservation date.

With X P3D's having the highest production priority and LR3's having the lowest (currently).

So if you haven't paid the $2500, your out of the game until you do, regardless of reservation.... And of course there has to be some variation of this since they have to build your exact car. Meaning the longer you wait to pay the $2500 the longer you get pushed back in the line. It's likely that if you pay the $2500 by some arbitrary planning date your in and your priority will be adjusted based on your reservation.

One would hope so.

We would hope that the Priorities are listed as you say, however we have seen over the years where Priorities were respected as far as Geographic location is concerned.

For example: I feel safe in saying that California has the same number of Model 3's on the road as the rest of the country.....and California was the last state with an opportunity to place a reservation on the Model 3 on March 31'st 2016.

 

[Dr. J]

Moreover, some people are speculating in the Tesla Model 3 Forum

People like summerfun? Hee hee hee. We're on to you, dude.

 

[vzaitsev]

The simple fact is Tesla needs to survive, financially, in order to get every enthusiast their car. If you believe any bit of the doomsday articles discussing Tesla's cash flow and future, etc, they HAVE to prioritize however they can get the most cash/profit as soon as possible. Sorry Mr "I reserved day 1, but I want the base model running only $35k", you're just not going to help keep Tesla cash positive as much as Mr "Oh, yes, this is cool, and I'll spend $60k on a car". It's just business, people need to stop taking it so personally. I mean, if you put in a deposit on day 1 and you still don't have a product that you want (and/or it's still not even available) then I don't feel bad for you. Nobody twisted your arm saying you had to drop $1,000 on what was still basically vaporware at the time.

I agree that TESLA should give priority to the ones who pay more. The more you pay for car the faster you get it

Having said that My colleague has reserved M3 on May 27,2018 and configured on June 27th ,2018. I have reserved on April1st, 2016 and Configured on June 30th, 2018. He is getting delivery on July 17th and my delivery est is Oct -Dec'18. We both Ordered same configuration and mine is red and my colleague has chosen silver metallic. In fact i am paying 500$ more here for red and I don't find TESLA's M3 allocation process/algorithm reasonable or fair
we both live in same city and are non-owners

But who cares ! Maybe its sales model to deliver car sooner for people who configures first or maybe its sales model not to consider First-week enthusiastic reservation holders in 2016 Or maybe TESLA doesn't even care about who gets the car first.

 

[heems]

You completely misread my point and are completely missing what people are saying is happening with order priority. People now believe that the following is happening:

Customer A gave Tesla $1k on 4/2/16. Customer A configured his car, a white LR, PUP with wheel upgrade, and gave an additional $2500 on 7/5/18.

Customer B never made a $1k reservation. Customer B goes to Tesla.com on 7/4/18 and places an order for a white LR, PUP with wheel upgrade, and makes a $3500 deposit.

People now suspect that Customer B is ahead of Customer A in the queue for the exact same car. Those of us who made reservations very early do not think that is right. We should be rewarded for our early show of faith in Tesla and our loyalty for giving them an interest free loan for >2 years.

This is s good example to work off of. So lets say its 7/5 8:00 am. The factory has a confirmed order for customer b from the day before. Customer A's order hasn't come in yet. Should the workers sit still? They can't read customer A's mind. Maybe s/he will submit order at 2pm. Maybe she will get busy and forget until 7/6 to press the configure button. Should the workers just wait until 7/6 to start making cars?

I hope you see the fallacy of your argument. The confirmation order date is king. The reservation is only worth it if you use it to act on it and order. Sitting on it makes it simply an interest free loan.

 

[drawfour]

This is s good example to work off of. So lets say its 7/5 8:00 am. The factory has a confirmed order for customer b from the day before. Customer A's order hasn't come in yet. Should the workers sit still? They can't read customer A's mind. Maybe s/he will submit order at 2pm. Maybe she will get busy and forget until 7/6 to press the configure button. Should the workers just wait until 7/6 to start making cars?

I hope you see the fallacy of your argument. The confirmation order date is king. The reservation is only worth it if you use it to act on it and order. Sitting on it makes it simply an interest free loan.

Sure. But let's say that the work week was already filled up with orders to go. Now let's assume the next month is also booked up, except a spot opened up because someone who was slotted to be built cancelled. Which order do you insert into that slot? The one with the earlier reservation but later order date, or the one with no reservation and earlier order date? IMO, it should be the early reservation holder.

I definitely agree that if they have already met demand and are now actually building to order as opposed to having a huge backlog, then you build based on order date. But that's not the case now.

But if you have configurations that were already built and not allocated to people, and there is one car left that two orders that match that spec, then you take the first order, because at the time you received the order, it was the only order in your queue, and by the time the second order comes in, the first order is already being fulfilled.

 

[heems]

Sure. But let's say that the work week was already filled up with orders to go. Now let's assume the next month is also booked up, except a spot opened up because someone who was slotted to be built cancelled. Which order do you insert into that slot? The one with the earlier reservation but later order date, or the one with no reservation and earlier order date? IMO, it should be the early reservation holder.

I definitely agree that if they have already met demand and are now actually building to order as opposed to having a huge backlog, then you build based on order date. But that's not the case now.

But if you have configurations that were already built and not allocated to people, and there is one car left that two orders that match that spec, then you take the first order, because at the time you received the order, it was the only order in your queue, and by the time the second order comes in, the first order is already being fulfilled.

I agree with your logic. I suspect the bulk of the scenarios fall based on your last paragraph. The cars are stock piled. They need to be moved and first order gets the vin. Its who gets to order first. The reservation holders have a privileged position to do so only if they act on it.

In the rare cases of cancellations, etc. they could allocate an earlier reservation but I don't think that's going to make a dent.

 

[drawfour]

I agree with your logic. I suspect the bulk of the scenarios fall based on your last paragraph. The cars are stock piled. They need to be moved and first order gets the vin. Its who gets to order first. The reservation holders have a privileged position to do so only if they act on it.

Yeah, me too. I do think, though, that Tesla should have known that there would be a TON of people interested, but it would take some time, and therefore give a "grace period" of a week or something to give people time to order who were waiting. That would allow for early reservation holders to get their spot in line at one of the pre-built cars. I doubt that 10 minutes after configuring, the car was being driven to a waiting truck to deliver. Though I don't really know how how the logistics are.

 

[vzaitsev]

This is s good example to work off of. So lets say its 7/5 8:00 am. The factory has a confirmed order for customer b from the day before. Customer A's order hasn't come in yet. Should the workers sit still? They can't read customer A's mind. Maybe s/he will submit order at 2pm. Maybe she will get busy and forget until 7/6 to press the configure button. Should the workers just wait until 7/6 to start making cars?

I hope you see the fallacy of your argument. The confirmation order date is king. The reservation is only worth it if you use it to act on it and order. Sitting on it makes it simply an interest free loan.

They dont manufacture car after seeing Customer Order. Already manufactured lot would be assigned to Orders. It doesnt always work like this. WOrkers dont wait for Order Confirmation to Start. In a week tesla can manufacture may be 5K and Orders are ton more in the last few days of June

 

[dsvick]

Tesla has totally mishandled the Model 3 allocation process and abandoned their most enthusiastic, patient, and loyal customers, many of whom had waited over two years! The way they have suddenly abandoned their waiting list and prioritized based on when someone put in their configuration order while ignoring other buyers who had been on the list longer but may have been traveling and didn’t happen to click quickly with their additional $2,500 payments is egregious.

With only a few choices available to order, it seems to me they could have run their new configuration list against their prior deposit list and at least attempt to give priority to buyers who had waited longer as they had previously committed to do!

The reservation was never more than one of many factors that would determine when you would be invited to configure, when you configure has always been the prime factor in when you get your car. So, yes, someone that configures before someone else will, more than likely, get their car first. How long do you think they should have waited to make sure everyone that wanted to had configured? A week? Two weeks? Maybe they should have waited a whole month before setting a production schedule.

 

[JGard]

I agree that TESLA should give priority to the ones who pay more. The more you pay for car the faster you get it

Having said that My colleague has reserved M3 on May 27,2018 and configured on June 27th ,2018. I have reserved on April1st, 2016 and Configured on June 30th, 2018. He is getting delivery on July 17th and my delivery est is Oct -Dec'18. We both Ordered same configuration and mine is red and my colleague has chosen silver metallic. In fact i am paying 500$ more here for red and I don't find TESLA's M3 allocation process/algorithm reasonable or fair
we both live in same city and are non-owners

But who cares ! Maybe its sales model to deliver car sooner for people who configures first or maybe its sales model not to consider First-week enthusiastic reservation holders in 2016 Or maybe TESLA doesn't even care about who gets the car first.

You chose the wrong color (as did I, in fact). For whatever reason, there's more of a backlog of the whites and reds. They seem to be the most delayed of any color according to what I've been reading on this forum

 

[Autolycus]

You chose the wrong color (as did I, in fact). For whatever reason, there's more of a backlog of the whites and reds. They seem to be the most delayed of any color according to what I've been reading on this forum

Clearly the multi-coat paints are more trouble. I'm sure it's why there are fewer of them coming out of the factory and why they're now $500 more than the others.

 

[Chris350]

Certainly, there was issues with the white... I've seen may threads about the mismatch color bumpers....

Not sure about the red...

 

[Garlan Garner]

Clearly the multi-coat paints are more trouble. I'm sure it's why there are fewer of them coming out of the factory and why they're now $500 more than the others.

I thought the paint part of the manufacturing process was all robotic.

 

[Stirfelt]

This thread ask ... have we been played by Tesla?

Clearly I have no idea ....... but my guess is Yes in one sense.

From all I have read .... Tesla appears that they did manipulate the inventory by stockpiling built, undelivered vehicles .... then releasing them at the end of the quarter to announce that the goal of 5k had been achieved.

A thought: some of those 5k cars were assembled "way-back" and do not enjoy manufacturing upgrades that (hopefully) occurred as the assembly process continued. So, in that situation, I suspect "we were played." Personally, I would not want an early vehicle that has been in storage for an undefined period of time.

Okay ... Tesla shipped 5k vehicles the second quarter. The real question is .... will they be able to deliver 5k the 3rd quarter (assuming they have exhausted and shipped all of the stockpiled cars).

I feel badly for those of you that feel Tesla has mis-led you. I reserved over a year ago, but never intended to take delivery before now, or even in the next 8-10 months. I am relaxed about the situation; perfectly willing to allow anyone that reserved after me to leapfrog over me. For starters, Tesla is not yet building the vehicle that I want (short battery and interior color). Meanwhile, I am waiting and watching as refinements seem to be occurring.

 

[kengchang]

This thread ask ... have we been played by Tesla?

Clearly I have no idea ....... but my guess is Yes in one sense.

From all I have read .... Tesla appears that they did manipulate the inventory by stockpiling built, undelivered vehicles .... then releasing them at the end of the quarter to announce that the goal of 5k had been achieved.

A thought: some of those 5k cars were assembled "way-back" and do not enjoy manufacturing upgrades that (hopefully) occurred as the assembly process continued. So, in that situation, I suspect "we were played." Personally, I would not want an early vehicle that has been in storage for an undefined period of time.

Okay ... Tesla shipped 5k vehicles the second quarter. The real question is .... will they be able to deliver 5k the 3rd quarter (assuming they have exhausted and shipped all of the stockpiled cars).

I feel badly for those of you that feel Tesla has mis-led you. I reserved over a year ago, but never intended to take delivery before now, or even in the next 8-10 months. I am relaxed about the situation; perfectly willing to allow anyone that reserved after me to leapfrog over me. For starters, Tesla is not yet building the vehicle that I want (short battery and interior color). Meanwhile, I am waiting and watching as refinements seem to be occurring.

There's are so many things wrong this post that I don't even know how to start....

 

[Dr. J]

There's are so many things wrong this post that I don't even know how to start....

Allow me.

This thread ask ... have we been played by Tesla?

Clearly I have no idea ....... but my guess is Yes in one sense.

From all I have read .... Tesla appears that they did manipulate the inventory by stockpiling built, undelivered vehicles .... then releasing them at the end of the quarter to announce that the goal of 5k had been achieved.

A thought: some of those 5k cars were assembled "way-back" and do not enjoy manufacturing upgrades that (hopefully) occurred as the assembly process continued. So, in that situation, I suspect "we were played." Personally, I would not want an early vehicle that has been in storage for an undefined period of time.

Okay ... Tesla shipped 5k vehicles the second quarter. The real question is .... will they be able to deliver 5k the 3rd quarter (assuming they have exhausted and shipped all of the stockpiled cars).

I feel badly for those of you that feel Tesla has mis-led you. I reserved over a year ago, but never intended to take delivery before now, or even in the next 8-10 months. I am relaxed about the situation; perfectly willing to allow anyone that reserved after me to leapfrog over me. For starters, Tesla is not yet building the vehicle that I want (short battery and interior color). Meanwhile, I am waiting and watching as refinements seem to be occurring.

The 5,000 cars referenced were all manufactured in a week, so they've not been lying around gathering dust and rust. So...maybe you'd like to rethink how we've been played. Maybe?

 

[Stirfelt]

Some of you have the ability to turn a loyal Tesla supporter into a doubter.

All I can say ...... my comment was based on what I have read on this Forum. Many post have mentioned 'hidden" M3.
Others have speculated that some, at least, of the stored vehicles were included in the 5k.
I do not live anywhere near the Tesla factory ..... I have not seen any transporter trucks leaving the factory; in truth I have only seen one M3 and that was at a distance. I can only base my thoughts on what I read HERE.

Now, that said, no one wants Tesla to succeed more than I do. I am committed; I am anxiously awaiting my turn. And, I am giving absolutely no thought to asking for my deposit back ..... unlike so many other writers that seem to rejoice in listing all the reasons why they have backed-out.

 

[goto10]

5000 was a production goal, not a delivery or shipment goal. Now it's quite possible - likely even - that they stockpiled batteries, drivetrains, and other parts in order to do a burst of 5000+ for a single week so they can claim hit their number even if they can't maintain it consistently yet. But they did produce 5000 at least for that one week.

 

[dsvick]

Many post have mentioned 'hidden" M3.
Others have speculated that some, at least, of the stored vehicles were included in the 5k.

As has been mentioned the 5K was a production goal not a delivery goal so nothing that was produced and stockpiled prior to that would week would have counted towards the 5K. The reason many people think that they were stockpiling cars was to avoid going over the 200K US deliveries before July 1st.