AMPd
Well-Known Member
I disagree, there’s great margins in used cars.
The reason they don’t like selling used cars is because it doesn’t count as a sale on their quarterly report.
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Plaid Trade-in $83K WOW
- Thread starter haikaa
- Start date
The reason they don’t like selling used cars is because it doesn’t count as a sale on their quarterly report.
AMPd
Well-Known Member
Yes but I still believe their goal is to meet the sales numbers. Used cars don’t tickle wall streets fancy.
CapeOne
Active Member
People talk about Tesla "not wanting to be in the used car business" yet Tesla continues to be in the used car business. If they don't want to be in that business, why don't they just get out? They could sell off all of their used Tesla trade-ins (they show more than 400 in U.S. inventory right now) similar to how they sell off their non-Tesla trade-ins. They have chosen to remain in the used car business, at least for now.
Because some people make it worth it to them by taking their silly trade offers coupled with how they can alter the car to make it worth more with options not previously assigned to that vin.
and considering their value and size as an automaker 400 available used vehicles nationwide is next to nothing.
and considering their value and size as an automaker 400 available used vehicles nationwide is next to nothing.
ElectricIAC
Good-Natured Rascal
ElectricIAC
Good-Natured Rascal
Kerry Blue
Member
You’ve fallen into the expensive very nearly new issue. People willing to pay $130k for a new car need a huge discount to encourage them to buy used. 10-20k less but used typically isn’t enough to buy something that might not be your preferred spec and you have no idea how it’s been driven. Couple of years ago I bought a limited run high-end performance car, changed my mind after a couple of months and was looking at a 30% hit. I think they’re low balling you but not by as much as you might think.
CapeOne
Active Member
Tesla frequently low balls but not always. Sometimes Tesla trade offers are competitive with, or even better than, places like CarMax, Carvana, Vroom, etc. I also wonder how many people actually accept the especially low Tesla offers versus going to other dealers or trying to sell privately. The majority of very low Tesla offers I hear and read about tend to end up being sold elsewhere.
As far as their current 400+ U.S. used vehicle inventory, they’ve typically had a lot more but inventories are still down right now for a variety of reasons.
Despite what some others may think plus Tesla’s sub-par shopping and delivery process (e.g., no online pictures, minimal cosmetic prep, etc.), I actually think Tesla still wants to be in the used car business right now. Otherwise, they would get out.
AMPd
Well-Known Member
They don’t have to get out of it to not want to be in it. They can still offer used cars without wanting to accept trade ins or sell them.
Accepting trade ins is simply a convenience feature for their customer that the customer pays dearly for in most cases.
CapeOne
Active Member
They could still accept trade-ins for the convenience of customers without actually having to remain in the retail side of the business. They do it on the non-Tesla trade side and could so the same on the used Tesla trade side. They probably finds the potential profits from retailing used Teslas too hard to give up right now.
They set the prices at what the business is worth to them, which is why it varies, and they're indifferent whether you go elsewhere. It's a function of the Law of Large Numbers.
It's the highest valued car company by far now, BTW.
It's the highest valued car company by far now, BTW.
Tesla is offering 71k to buy my 2018 X100D FSD 38k miles , free supercharging. Up from 64k 6 months ago. Carmax came at 67k.
Im thinking on swapping to the MYP, but since it has a Dec delivery, Tesla says I keep my X til they deliver the Y, but they'll re-evaluate the offer then. Seems a bit strange that I'd need to go ahead with the trade-in, and maybe subject to a lower bid in December.
I told them I could give my X to them now, and wait for the Y, but they say they can only get my trade-in when I get the delivery.
Reasons I'm thinking of swapping are:
- I think prices are never gonna be this high, with the chip shortage, lack of Xs til March.
- X is going out of warranty next year. Cant imagine cost of fixing those Falcon doors...
- Prices will prob fall harder after March 2022, when refreshed model is out.
Other choice is to just keep it, wait for the refresh of the Y with the new battery pack, yoke, prob mid-2022.
Tought choice!
Im thinking on swapping to the MYP, but since it has a Dec delivery, Tesla says I keep my X til they deliver the Y, but they'll re-evaluate the offer then. Seems a bit strange that I'd need to go ahead with the trade-in, and maybe subject to a lower bid in December.
I told them I could give my X to them now, and wait for the Y, but they say they can only get my trade-in when I get the delivery.
Reasons I'm thinking of swapping are:
- I think prices are never gonna be this high, with the chip shortage, lack of Xs til March.
- X is going out of warranty next year. Cant imagine cost of fixing those Falcon doors...
- Prices will prob fall harder after March 2022, when refreshed model is out.
Other choice is to just keep it, wait for the refresh of the Y with the new battery pack, yoke, prob mid-2022.
Tought choice!
ElectricIAC
Good-Natured Rascal
I’d check out the car buying services instead. Currentautomotive shot me a quote on our MX Raven that was pretty much what we paid for the thing new!
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