Model 3 cannibalize Y Pre-order after price reduction

[MyMai]

Hi, Does anyone think model 3 will start cannibalizing model Y's pre-order, due to price cut? Elon said prior to Launch event that since Y is 10%-15% bigger in size compare with model 3, the price will also be 10-15% higher, and announced price for Y is right about 10% higher than model 3. but now with average $1000 to $2000 price cut for M3, while the price for pre-ordering Y still remain the same, The cost between two models widened quite a bit. What make matter worse is that pearl white is now standard color for M3 but Y still have to pay extra $2500 to get the color. This is pretty frustrating since price for Y already went up once, and now model 3 received both price cut and free pearl white color. To us who pre-ordered Y early, even if tesla decide to offer free pearl white color to Y, to change color is means to have price going up again. FSD price is schedule to going up in August. Personally, at this point unless Tesla start throwing in some good packages to sweet the deal for Y, I will only keep my pre-order for a while longer then cancel it to get a 3 instead. It is no longer a better option to get Y instead 3 if situation remain unchanged. Price cut for 3, and price hike for S,X,Y is definitely a strategy mistake raised from overconfident for Tesla.

 

[Watts_Up]

I think that the the Model Y will in fact cannibalize the Model 3 sales.

The Model Y will be slightly less efficient than the Model 3 and cost slightly more, but will be more practical and spacious.

I hope that both the Model 3 and the Model Y will offer a tow hitch option.

 

[ewoodrick]

Not at all. I'm not sure why you think that it would. The prices haven't really changed on the Model Y, because it wouldn't be prudent to do so until there's actually a car.
I'm expecting Tesla to right-size the Model Y pricing as it gets ready to release. And not only right-size the pricing, but also right-size the configurations and options.