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Model S Price Increase discussion

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How are you screwed? You based your decision on rumors, hearsay and a lot of assumptions. You seem to be putting value of the parking sensors ahead of everything else. The parking sensors are a $500 option, but you are acting like they are more desirable and valuable than the other $4,000 in options you are basically getting for "free" when compared to the new pricing model. I would be thrilled if I were you. Of course if you find the parking sensors so valuable, I guess you will pay the additional $4,000. In my case, it would have been nice to get them for $500, but compared to what I would be giving up, I'll stick with my current order that just went to production. I was offered the new options at the new prices, but declined after I realized that my car value will actually increase the moment I roll it off the lot.

I'm screwed because I was plenty happy with the $950 sound system and all the other options. But with the new pricing, I would have to spend tons more to get any sort of sound system, and a bunch of other things to approximate the feature-set I'd ordered originally. Seems unfair to me. I had hoped Tesla would be more reasonable for an order that is already placed but not in production yet. A reasonable, customer-friendly company, it seems to me, would say, okay, pay us $500 more and we'll throw the sensors in. Having to order an entirely new config with new pricing is BS, and not something a reasonable, customer-friendly company does.
 
I'm referring to the P85 cars that are $100k+ in response to the person who wrote that the Model S P85 is too expensive now and the BMW M5 a better buy/car.

If you're buying the Tesla for the right reasons (what ever those are), then why not just get the 60 kWh model.... you don't have to spend the extra $40k to go fast and have all the options...

I think if you're in the market for a $100k+ car, an extra $5-$10k to get what you really want should not put your financial situation in jeopardy, this has nothing to do with being worthy or unworthy of the car.



I agree with you, I just take issue with how easy it is for some to be dismissive of others who may be in a different financial situation but still want this vehicle for the right reasons. Labeling someone as somehow unworthy of buying this vehicle if they cannot tolerate a 10% swing in price is, shall we say, speaking from a unique point of view.
 
While I can't exactly say I am happy about the price increases. Some questions come to mind. Like did Tesla maybe switch suppliers to offer an improved experience?

Overall though, looking at the prices of many options I see some obvious advantages, especially for the S60 and S85 who can gain access to some options which were not available. If your the kind of person who chooses options wisely you get a lot from the new features such as winter package, parking sensor, new wheels and tires. The cost added was around 2k from what I count which seems to be reasonable. I think the people most effected are the ones with the urge to tick every option.

I think what they did is overall better as they are allowing more control over the customization. What I do find a little interesting is they removed the ability to get twin charging separately from the twin charger. I wonder why...


On an unrelated note, has anyone notice that no media channels have yet picked up on these new options? (unlike the P85+ option)
 
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if an extra $10k to get what you really want makes are breaks buying a car in the $100k range you shouldn't be spending that kind of money on a car....

I should explain in more detail...

I wanted to expose the city i live in with a population of 1.2 million+ to an EV that is capable of replacing a normal car. Ive shown hundreds of people (150+)my car and even gave around 25-30% of them a free test drive.
since i live in one of the oil capitals of canada, i know there are alot of people with money here but would not jump aboard unless this car was just awesome in every way. i am more or less trying to siphon oil money into pushing EVs to gain faster adoption.

as far as i can tell, i am the only person in Calgary with a Performance 85 and maybe 1 out of 4 Tesla Model S owners total, but i see HUNDREDS of M5s, M3s, C63AMG, S5 etc, etc

now with my original statement, i cannot advertise Tesla as being "better" than an M5 with this price increase, i dont have a leg to stand on with numbers to my arguments, and the people that were interested and ready for a deposit have now canceled because the price pushes the cost well over $25K from their original amount (canada price increases are much more significant).

I basically just wasted my time trying to promote interest and push EV adoption. This would of worked if they kept the pricing equiv to the M5 but added more features to make it more appealing.
 
@ AC1K

These people, would they be able to save money by not buying gas?

Do any of them have kids?
Do they plan to get any?
Could they possibly be made to sympathize with other people than themselves?
There is a kind of ‘holy grail’ argument. And that argument is Global Warming.
 
I've had my share of AMG and M cars and have a few friends that drive them now. It's really hard to bring them away from what they know and like, I've given them rides in my Tesla and let them drive it. While they are without question impressed with the car, they aren't trading in their cars for Teslas. The previous pricing or new pricing has no bearing on if they buy the Tesla or not, many of them are hard core performance car people and that's not what the Tesla is. Making the Tesla cheaper doesn't make it better or more attractive at the highest level, at least from what I see with regards to AMG and M car owners.

For me the attraction to Tesla was about something new, techie, unique and truly revolutionary, the fact the it performs well is an awesome bonus.



I should explain in more detail...

I wanted to expose the city i live in with a population of 1.2 million+ to an EV that is capable of replacing a normal car. Ive shown hundreds of people (150+)my car and even gave around 25-30% of them a free test drive.
since i live in one of the oil capitals of canada, i know there are alot of people with money here but would not jump aboard unless this car was just awesome in every way. i am more or less trying to siphon oil money into pushing EVs to gain faster adoption.

as far as i can tell, i am the only person in Calgary with a Performance 85 and maybe 1 out of 4 Tesla Model S owners total, but i see HUNDREDS of M5s, M3s, C63AMG, S5 etc, etc

now with my original statement, i cannot advertise Tesla as being "better" than an M5 with this price increase, i dont have a leg to stand on with numbers to my arguments, and the people that were interested and ready for a deposit have now canceled because the price pushes the cost well over $25K from their original amount (canada price increases are much more significant).

I basically just wasted my time trying to promote interest and push EV adoption. This would of worked if they kept the pricing equiv to the M5 but added more features to make it more appealing.
 
I should explain in more detail...

I wanted to expose the city i live in with a population of 1.2 million+ to an EV that is capable of replacing a normal car. Ive shown hundreds of people (150+)my car and even gave around 25-30% of them a free test drive.
since i live in one of the oil capitals of canada, i know there are alot of people with money here but would not jump aboard unless this car was just awesome in every way. i am more or less trying to siphon oil money into pushing EVs to gain faster adoption.

as far as i can tell, i am the only person in Calgary with a Performance 85 and maybe 1 out of 4 Tesla Model S owners total, but i see HUNDREDS of M5s, M3s, C63AMG, S5 etc, etc

now with my original statement, i cannot advertise Tesla as being "better" than an M5 with this price increase, i dont have a leg to stand on with numbers to my arguments, and the people that were interested and ready for a deposit have now canceled because the price pushes the cost well over $25K from their original amount (canada price increases are much more significant).

I basically just wasted my time trying to promote interest and push EV adoption. This would of worked if they kept the pricing equiv to the M5 but added more features to make it more appealing.

After reading this post I understand why you are a little upset as I would be as well. Maybe you could refine your options list a bit, why get the upgraded headliner with the sunroof, do away with the yacht floor (BMW puts carpet in M5s as far as I know) BMW doesn't offer the active air suspension (although I would get it on a model S) there are a few other things I would leave off, ambient lighting, rear facing seats (not available on the BMW) and so on. Just a few things to consider...

ETA: Just noticed you didn't have rear facing seats on your price list post, my bad.
 
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Kinda a cross post because I posted in the wrong forum earlier:

I'm certainly not happy with the price changes. I agree more options are great. But it seems they created more options out of bundles that were great deals before. Quite honestly I was about to make a reservation this month and now that the car I wanted jumped up another 10k it seems, I will be waiting for Gen 3. It is just sadly getting more and more illogical for me to purchase this great car. It's sad really, I wouldn't be the person you would call rich, but I make good money and I can afford to save up to have a nice payment on this vehicle. I was one of those people that went from rationalizing 40kwh all the way to 85kwh. Now, that this car is almost as expensive as my house, I would much rather pay off my house then purchase it. I mean, I am not saying buying a 100k car is sound financial advice, but I was really wanting the vehicle and I had the means to only finance 30k....

Like someone else on this thread I make about 120k with me and my wife and our only debt is our house. At this point its simply a logical choice and I am a bit disappointed I was "priced-out" as someone else noted. But I will also note that I think there are a lot of people in my situation that were stretching for the Model S, some more then others. For me it wasn't too much of a stretch, what with TSLA's stock doing well. But now its sadly a silly cost that I can't justify. I feel that there are many, many families or persons in the very situation as me. We love the car, we are in the middle/upper-middle pay bracket. We are poised to purchase or already made the purchase, but this has turned them off. I fear as I look at the other thread with the poll that many upper-middle families purchase this car, that this number will decline. So I am not only disappointed that it doesn't make financial sense for me, but I am concerned for the future of Tesla. I do hope their sales stay above their production, I wish them the best to be sure. Honestly, I feel many people may second guess their purchase like me.

Now with leather seats not including the trim, and the nappa leather separated and the fog lamps... weren't those in the tech package? Just far too much additional increase for what I thought was a reasonable cost.

I guess you could say this is the straw that broke the camels back. Just my opinion.
 
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I'm screwed because I was plenty happy with the $950 sound system and all the other options. But with the new pricing, I would have to spend tons more to get any sort of sound system, and a bunch of other things to approximate the feature-set I'd ordered originally. Seems unfair to me. I had hoped Tesla would be more reasonable for an order that is already placed but not in production yet. A reasonable, customer-friendly company, it seems to me, would say, okay, pay us $500 more and we'll throw the sensors in. Having to order an entirely new config with new pricing is BS, and not something a reasonable, customer-friendly company does.

"Hey, I'd like the new model year feature, but can you tack it on to the old model year car with the old model year pricing?" That's what it sounds like to me. Parking sensors didn't used to be available. Now they are, but it's part and parcel of a revamping of the option packaging. It doesn't in any way change the car you decided to order.
 
Although I'm disappointed by the changes--a price increase runs counter to the idea that Teslas will become more attainable over time, as the technology matures and economies of scale are realized--it is on par with what other manufacturers are charging for options. The primary difference is that hardly no one pays MSRP for a BMW or Mercedes. Options in particular are more heavily discounted than the car as a whole, as they can push MSRPs beyond what most are willing to pay. When we were buying our E-Class, dealers weren't too keen on discounting a bog standard model, yet they were quite receptive to slashing thousands off one with an overpriced B&O stereo, active cruise control, and panoramic sunroof.

Speaking personally, the panoramic sunroof on the Model S was a no-brainer for $1,500. At $2,500, not sure if it's worth it, especially since the primary reason for getting it is rear seat headroom. (Tesla should really consider designing a slimmer headliner, or at least having cutouts for peoples' heads like on the pano cars.) Matte wood used to be standard with leather; now it's a $650 option. So 3M Di-Noc carbon fiber wrap it is.
 
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I guess in a way, for those of us that ordred before the increase, we should be happy that Tesla didn't change the model to be the "2014 Model S" then announce the option changes -- in fact, if they did, there would probably be a lot less fuss.

So, for those of us who ordered just before the bump, we do get a bit of a rise in potential resale values in the future if the pricing on the free market takes into account the current (increased) selling price (ignoring the Tesla guarantees). Since a Model S ordered last month is otherwise indistinguishable from a similarly equipped MS ordered today, the possible future resale price will either be an average of the two, or hopefully skew towards the higher price.
 
who the heck would spend 120k for a M5? complete waste of money

Who the heck would spend 135K CAD for a Model S?

And even in USD, some of the prices are just hilarously stupid. 1,000 USD for "Premium Interior Lighting"? That is 1,000 USD for a few LED strips. Or 1,500 USD for the CF spoiler. Or fog lights as an option (like the parcel shelf, which being optional was an insult to customers from the start)? Is Tesla serious or is this supposed to be some kind of April fools joke? Not even BMW with their sometimes hair-raising option pricing would charge so much for so little.
 
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Who the heck would spend 135K CAD for a Model S?

And even in USD, some of the prices are just hilarously stupid. 1,000 USD for "Premium Interior Lighting"? That is 1,000 USD for a few LED strips. Is Tesla serious or is this supposed to be some kind of April fools joke? Not even BMW with their sometimes hair-raising option pricing would charge so much for so little.

I thinks this sadly pushed me over to a fully loaded Audi S6. Too much for too little. Really does seem like nickel and diming. For $90k you get 0-60 in 3.7s, HUD, adaptive cruise control, 360 deg view camera, night vision, Google GPS, cup holders, folding mirrors, and much much more.

It's really annoying because all I've been doing for the past year is touting the superiority of Tesla... Oh we'll maybe in a few years things will have calmed down in Fremont...
 
It creates gross margins that keep Tesla highly profitable so the company can thrive until 2016/2017 when the Gen III line is introduced. This car will be priced so that it's interesting for the general public.

That is if Tesla can generate enough sales of Model S / Model X to actually ever be able to make a Gen III.
I think these price increases, which are quite drastic in some cases, leave a very bad aftertaste, as they show that Tesla is becoming like every other luxury carmaker when it comes to nickel and dimeing their customers on options. Only difference being that the Model S comes out at the losing end in many ways when you honestly start to compare it to cars like 5-series, Audi A6/A7, Porsche Panamera, Merc E-Class (even the current S-Class is much cheaper in many configurations!) on standard equipment, build-quality/refinement, amenities etc. And as someone else said, for that price difference of said M5 vs. MS you get a lot of fuel/maintenance (not that maintenance would be cheap for Model S to begin with - in contrast to what Tesla blabbered about "extremely advantageous compared to an ICE on maintenance and TCO". Bull**** I say.)

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Stretching to buy the car is one thing, but the price of the Model S didn't go up by much. The price of the top of the line performance edition with all the bells and whistles went up up by quite a bit, but strangely I don't have as much sympathy for somebody stretching their budget to get the fanciest edition of a car.

But when many of the bells and whistles on the Model S are standard on many of the competition then it becomes annoying.
If it takes KKK Dollars to bring Model S up to specs with the competition then there is something very wrong with Tesla's reasoning.
Coming from the German market, I can now see even less Model S's sold over here. Remember, no EV incentives here, so just being a 100K Euro novelty item will not sell the thing (or any future Tesla under the same marketing philosophy) here.

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Hold up. The Model S was always intended as a LUXURY sedan.

PREMIUM was the wording. No one said anything about luxury. On the contrary, pricing was always one of the main selling points before the car came out. Remember how they advertized it on their website as an EV for under 50K Dollars (if you factor in the tax incentive). So luxury I think was not what they had in mind back then.

I think they are seeing now how well the Model S (at current prices / options) is selling and think "hey, let's use this momentum to up the prices to get to that 25% profit margin asap".
What they don't think about is how this will alienate many potentiel buyers who would have been happy with a MS 40 or 60 for 75K Dollars (quite a few options included) who would now have to spend quite a hefty bit more (as the prices have gone up so steeply and the 40 isn't even available any more), going so far as to take the car out of the reach of the lower end of the former potential customer base alltogether.
Bad move, especially as this is basically a big middle digit at those who would really have loved to drive this car (and thus advertise for Tesla) but for whom it would have been quite a stretch to do so.

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The primary difference is that hardly no one pays MSRP for a BMW or Mercedes. Options in particular are more heavily discounted than the car as a whole, as they can push MSRPs beyond what most are willing to pay. When we were buying our E-Class, dealers weren't too keen on discounting a bog standard model, yet they were quite receptive to slashing thousands off one with an overpriced B&O stereo, active cruise control, and panoramic sunroof.

Hadn't though about that before, but true, that's an even worse point against Tesla.
Espcially when comparing that M5 from the example a couple of pages back. The 135K CAD for the Model S stand firm as a rock, while the 120K for the M5 are going to be subject to a substantial discount for sure.
I can see the execs in Stuttgart, Ingolstadt and Munich really rubbing their hands and grinning about that move by Tesla, thinking "right Tesla, go on and show the world that EV's are only for a select minority - like we said all along..."

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I thinks this sadly pushed me over to a fully loaded Audi S6. Too much for too little. Really does seem like nickel and diming. For $90k you get 0-60 in 3.7s, HUD, adaptive cruise control, 360 deg view camera, night vision, Google GPS, cup holders, folding mirrors, and much much more.

That's the kind of potential customer I am talking about.
Actually, come to think of it, I can't think of a lot of good arguments any more that I could tell people why they should buy a Model S in comparison to the competition. And don't tell me "but the competition doesn't sell an EV", because that is the least important part that people care about in that equation.
 
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That's the kind of potential customer I am talking about.
Actually, come to think of it, I can't think of a lot of good arguments any more at all that I could tell people why they sould buy a Model S in comparison to the competition. And don't tell me "but the competition doesn't sell an EV", because that is the least important part that people care about in that equation.

If you're a person with time and cash to burn then maybe you can justify a gas guzzler. If you don't have time to waste at the pump and repair shop then the Model S makes more sense.
 
If you're a person with time and cash to burn then maybe you can justify a gas guzzler. If you don't have time to waste at the pump and repair shop then the Model S makes more sense.

Ahem, you have seen some of the current models from Audi, BMW, Merc, Lexus, Jaguar, Porsche? Gas guzzlers??? Have you seen the actual MPG's you get from current PREMIUM sedans half the price (but double the standard equipment) of a Model S?
Waste time at the repair shop? You do know how reliable current cars have become over the last decades and how little maintenance is needed? That is in contrast to the Model S, which you have to mandatorily service each year (which would be quite a disadvantage even when compared to my almost ten year old car - never any wasted time in a repair shop with that).

Waste time at the pump? Right, 5 minutes at the pump vs. half an hour at a SC. Maybe my math is wrong but I thought 5 min < 30 min ???
(And that is not even taking into account that on longer trips that EV disadvantage multiplies the more often you stop to refuel/recharge).

Actually, if I really HAD money to burn I certainly would buy a Model S! (That is because I would love to drive an EV just for the fun of driving it - which imho is the only selling point for a Model S right now).
 
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