Lets hope Tesla doesn't go bankrupt with 35K model 3

[turtlesz]

Way too many changes, closing most of the store to offset the cost of a negative margin 35K model 3... I don't know if that's a great idea. They need to keep galleries for sure so people can see these cars. They should announce model Y ASAP and at least get some cash in with reservations

Doubt many will reserve. Majority of day 1 Model 3 reservations were people who wanted to qualify for the federal tax credit before the phase-out. The ones knowledgeable about Tesla's will wait till the steep price drops after production is ramped up.

 

[juanmedina]

Texas, South Carolina and many other don't have show rooms or anything and some how I see Tesla's around all the time. This is nothing new for Tesla. I bought my car without test driving it and placing the order online.

 

[ChrisH]

Doubt many will reserve. Majority of day 1 Model 3 reservations were people who wanted to qualify for the federal tax credit before the phase-out. The ones knowledgeable about Tesla's will wait till the steep price drops after production is ramped up.

Yep. We learned there was almost no point in reserving the 3 early.

They are supposed to reveal the Y in a couple of weeks.

 

[Brentt]

Classic Silicon Valley. The 35K car is about dominating the market.
Sales will increase, which means more batteries, and more giga factories, which means lower cost,
And more power walls and Power packs, which means even more batteries. Every OEM supplier in the world will be clamoring for
A piece of the pie, which means better prices and terms.

 

[TheGrimSweeper]

I really think people are overreacting to this.

Not every Tesla store is closing. Tesla Service Centers from what I have seen all have a storefront part to them. I would imagine those will stay.

I think what's happening is:

Service Centers + Stores will remain (and a lot more of these will open).
Stores only will mostly close (except very high traffic ones as Musk mentioned).

Brick and mortar stores are closing all the time as companies move to e-commerce. If Tesla knows they have a bunch of slow traffic stores that can't offer service it makes absolutely no sense to keep them. Real estate is a huge cost. Their real estate should be able to do both service and sales, like other car dealerships.

 

[Stirfelt]

We all agree we want Tesla to survive.
There appears to be areas of concern however. Inside EV reports that sales have fallen significantly from December when the tax credit halved. Many predicted that would be problem. Additionally, February sales were reportedly lower than January ... a time when EV sales increased overall.
Meanwhile, other EV's are entering the market .... and buyers will still get the $7500 credit.

Time will tell if price changes and closing sales outlets was a wise decision.
More significant to me was what appears to have been a corporate decision to accelerate assembly and delivery, and sacrifice QC, relying on SC's to correct assembly missteps.
Whether real or imagined ... the perception caused me to postpone a purchase even at a time when prices and features appear to be more attractive.

 

[electrictorque]

I really think people are overreacting to this.

Not every Tesla store is closing. Tesla Service Centers from what I have seen all have a storefront part to them. I would imagine those will stay.

I think what's happening is:

Service Centers + Stores will remain (and a lot more of these will open).
Stores only will mostly close (except very high traffic ones as Musk mentioned).

Brick and mortar stores are closing all the time as companies move to e-commerce. If Tesla knows they have a bunch of slow traffic stores that can't offer service it makes absolutely no sense to keep them. Real estate is a huge cost. Their real estate should be able to do both service and sales, like other car dealerships.

I pretty much said the same thing a few posts back..