Pricing of options, I hope the Model 3 is reasonable.

[ummgood]

If Apple tries, they'll end up in the same situation as GM is in with the BOLT. They'll be rebadging hardware from FOXCONN, just as GM is rebadging an LG car.

I am confused by this statement. Apple designs there stuff and foxconn builds it for them. Foxconn doesn't even source the parts Apple does that. So if Apple doesn't assemble the car they only get credit for putting their logo on it? Makes no sense to me. Also if GM sources the batteries from LG that makes the car an LG?

I usually agree with your point of view on most things but this comment makes no sense to me. Coming from someone who has had to deal with Apple and their design process.

 

[Red Sage]

I am confused by this statement. Apple designs there stuff and foxconn builds it for them. Foxconn doesn't even source the parts Apple does that. So if Apple doesn't assemble the car they only get credit for putting their logo on it? Makes no sense to me. Also if GM sources the batteries from LG that makes the car an LG?

I usually agree with your point of view on most things but this comment makes no sense to me. Coming from someone who has had to deal with Apple and their design process.

Meaning, I don't believe that Apple would build their own factory to build cars, anywhere, ever.

 

[MP3Mike]

Also if GM sources the batteries from LG that makes the car an LG?

It isn't just the batteries, it is the:

• battery pack
• battery heater
• on-board charger
• high power distribution module
• accessory power module
• power line communication module
• HVAC: electric climate control system and compressor
• instrument cluster
• infotainment system
• electric drive motor
• power inverter module
• OnStar telematics

So pretty much everything that makes it a Bolt.

 

[DaDr00]

Thank you all for continuing this highly speculative and hot topic!

I agree with @Red Sage , there will need to be separate tiers for the TM3. Having these bundled tiers would greatly speed up the production process and allow for simple "same-tier" upgrades after the big items (like battery, motors, etc) have been installed.

So, next highly speculative question; which options will be exclusive to each tier? Let's say each of these model tiers are: Base, Ranger, Performance and tier ambiguous options.

Keep in mind the assembly line process and logistically how these items could be queued up for the next stage in production, and how difficult would adding these options be during each stage.

I have created a Survey on Google Forms: Tesla Model 3 - Tiered Options

Edit: Link is not ready for prime time yet...

 

[AustinPowers]

If they intend to compete against the German premium brands' offerings like the A4, C-class, 3-series, as well as other premium competition from the likes of Volvo or Jaguar, they should not make bundled option packages only. Customers of premium cars, even in the smaller segment, expect a la carte options, not bundles. But then again, we don't know what will come up with or what their masterplan in that respect is.

 

[ricardocabesa]

If they intend to compete against the German premium brands' offerings like the A4, C-class, 3-series, as well as other premium competition from the likes of Volvo or Jaguar, they should not make bundled option packages only. Customers of premium cars, even in the smaller segment, expect a la carte options, not bundles. But then again, we don't know what will come up with or what their masterplan in that respect is.

Bundles are fine if they discount the items that are included but we know that won't happen. OTOH,if they build pre-bundled cars,it may decrease the wait time as opposed to 1m individual orders.A la carte is the way to go.

 

[Red Sage]

If they intend to compete against the German premium brands' offerings like the A4, C-class, 3-series, as well as other premium competition from the likes of Volvo or Jaguar, they should not make bundled option packages only. Customers of premium cars, even in the smaller segment, expect a la carte options, not bundles. But then again, we don't know what will come up with or what their masterplan in that respect is.

Perhaps. But those a la carte options lists typically find everyone getting their [BUMS] handed to them with both hands by the BMW 3-Series, year in, and year out. Perhaps it is time to try something different? In the U.S. in 2016, the Mercedes-Benz C-Class finally managed to outsell the BMW 3-Series... in a year where the C-Class sold less than it had the year before by around 12%, because the 3-Series was down about 24%.

For comparison, the 3-Series has sold over 100,000 units in 10 of the last 15 years. It sold at least 90,000 units in all but one, 2016. By contrast, the Mercedes-Benz C-Class has sold less than 70,000 units in 9 of the last 15 years. While never crossing 90,000 units even once. If even 40% of Model ☰ annual sales are to U.S. Customers, it will greatly outsell those perennial leaders in class.

 

[AustinPowers]

Quite likely. However I was speaking from the perspective of the European market, especially (but not limited to) the German market. Over here, most cars, from cheapest to utmost luxury, are sold with a la carte options. Some Asian manufacturers try selling pre-configured cars or bundled ones with very few extra options, but the sales figures of those offerings are negligable. Then again, we don't usually buy new cars directly off the dealer lot either, something which seems quite common in the US from what I gather from comments here on the forum.

 

[melindav]

Then again, we don't usually buy new cars directly off the dealer lot either, something which seems quite common in the US from what I gather from comments here on the forum.

Off the lot or giving the dealer your list of preferred options/colors and they check inventory of affiliate dealers for a match if they don't have it on their lot. At least my experience...

 

[daniel]

Responding to the original question, I don't expect the options to be cheap. Tesla is committed to making electric cars affordable, and the base level will be a fine car. But the company is growing and needs cash flow, and I expect the options to be one way they get that cash.

I dislike option bundles. They force you to take options you don't want in order to get those you do. I hope I'll be able to choose exactly the options I want. And I expect to pay a lot more than $35,000. And I expect the car to be worth every penny.

 

[Red Sage]

Responding to the original question, I don't expect the options to be cheap. Tesla is committed to making electric cars affordable, and the base level will be a fine car. But the company is growing and needs cash flow, and I expect the options to be one way they get that cash.

I dislike option bundles. They force you to take options you don't want in order to get those you do. I hope I'll be able to choose exactly the options I want. And I expect to pay a lot more than $35,000. And I expect the car to be worth every penny.

I also rather 'dislike option bundles'. I believe there will be trim level bundles. I see that as slightly different.

Take a look at the current Model X Design Studio page at Tesla's website. Once there, choose the 'Interior' tab. Notice that you are given five interior trim options, but three of them include the 'Figured Ash Wood Decor'. Two of them include the 'Dark Ash Wood Decor'. But if you choose the 'Multipattern Black (Included)' arrangement, you lose the ability to change those wood inserts to 'Carbon Fiber Upgrade'. Hence, you can only pay the additional $250 for the Carbon Fiber inserts if you also choose one of the four $3,300 trim settings. In other words, the Carbon Fiber is in fact a $3,550 option.

Meanwhile, if you instead look at the Model S Design Studio page you'll see something else. Now you get the 'Premium Upgrades Package' as a $3,500 package. That contains only two items I would actually be interested in: Bioweapon Defense Mode, and Power Liftgate. But I would skip those options just to avoid all the other stuff I don't want.

So, I fully expect things for the Model ☰ to be very much like what we see for Interior options on Model X. I like those. I hope there are almost no feature bundles such as the 'Premium Upgrades Package' on the Model ☰. I think that is really, quite dumb, because it combines things that have nothing to do with each other and allows you no means to order them individually at all.

 

[ricardocabesa]

Like I said before,I'll only consider a bundle,if I have a choice at all,if the bundled price is discounted. After paint and Non-PETA must-haves, I'm only interested in maybe 3 more options,tops. Like you said,I don't want to be forced to pay for something I have no interest in or need for.

 

[daniel]

The only things I really care about are the safety things, all of which will be standard (except maybe autopilot?), and I'd much rather not have leather, and because my Roadster has spoiled me, I want handling and acceleration, which means I need dual motor and maybe ludicrous. And I'd probably get the biggest battery offered.

What I don't care about, and don't want, are the aesthetic things: fancy colors, designs, wheel shapes. If there's an option for the roof to open (sun roof, moon roof) to let air in, I want it. I would not spend money on air suspension. I look forward to seats more comfortable than the Roadster. I had to have the Ranger stuff some extra padding into my Roadster's seat. It had been giving me a sore butt.

I had to get several options I didn't want on my 2004 Prius, in order to get the added safety features. I understand the economics of options bundling, but I don't like it.

The one thing I do know about the Model 3 is that since Tesla is building it, it's going to be an awesome car. And bigger than I'd really like. My old 1989 Honda Civic wagon was the perfect size for me. Which is why I never bought a Model S.

 

[MP3Mike]

Like I said before,I'll only consider a bundle,if I have a choice at all,if the bundled price is discounted.

If the options are only available in bundles how would you know if they are discounted or not?

 

[ccutrer]

I also rather 'dislike option bundles'. I believe there will be trim level bundles. I see that as slightly different.

Take a look at the current Model X Design Studio page at Tesla's website. Once there, choose the 'Interior' tab. Notice that you are given five interior trim options, but three of them include the 'Figured Ash Wood Decor'. Two of them include the 'Dark Ash Wood Decor'. But if you choose the 'Multipattern Black (Included)' arrangement, you lose the ability to change those wood inserts to 'Carbon Fiber Upgrade'. Hence, you can only pay the additional $250 for the Carbon Fiber inserts if you also choose one of the four $3,300 trim settings. In other words, the Carbon Fiber is in fact a $3,550 option.

Meanwhile, if you instead look at the Model S Design Studio page you'll see something else. Now you get the 'Premium Upgrades Package' as a $3,500 package. That contains only two items I would actually be interested in: Bioweapon Defense Mode, and Power Liftgate. But I would skip those options just to avoid all the other stuff I don't want.

So, I fully expect things for the Model ☰ to be very much like what we see for Interior options on Model X. I like those. I hope there are almost no feature bundles such as the 'Premium Upgrades Package' on the Model ☰. I think that is really, quite dumb, because it combines things that have nothing to do with each other and allows you no means to order them individually at all.

Ugh, I hate the new interior decor bundles for the Model X. I'm very glad I got mine before they did that. I just feels too much like "you can have any color you want, as long as its black". I really like how "warm" my interior feels with non-glossy brown wood and the white seats. The all black and white is too stark of a contrast for my tastes. It also means that you now have no choice but to spend money on a trim "upgrade" when all you really want is a seat upgrade (when I purchased, seat upgrade was $2500, and if you chose a non-base trim upgrade --- including Carbon Fiber --- it was an orthogonal $750). Actually, it's kind of funny how put-off I am by the lack of trim choice now, since originally I didn't care much about it, and just went with whatever was free at the time, but ended up loving it (and felt lucky that I got the trim I did as the free one, when a week later they switched the freebie one to a different trim).

The PUP is also interesting (note that both X and S have PUP options... your post read like it was only an S option). It was a huge source of contention when the X design studio opened up. Mostly because its constituent parts are so different. Many people ended up not getting it because they only wanted one piece, and couldn't justify the $4,500 price tag (still its price as of writing this for the X; S is $3,500 as you stated) to get the whole thing. Of course, others got it specifically to get their car sooner, as it was one of the main options that if you didn't get would delay your build in the early days. Personally, I was put off by the high price, but ended up getting it as I was mildly interested in most of its parts, and the wife (whose car the X technically is) wanted ventilated seats, regardless of pricing/packaging of them. Which makes things even more interesting, because as of a few days ago the X Design Studio doesn't mention ventilated seats at all... and the price hasn't dropped either!

I'm not sure where I'm going with this post, besides maybe to illustrate a trend by Tesla to reduce choice in configuring your car -- a trend that may continue with the Model 3, and hope that it doesn't. If it's really an economics issue, maybe they have bundles at the low end, but as you go up the trim levels (AWD, larger battery, performance) you're allowed more flexibility in picking and choosing. Or take the fast food approach - combo meals will save you some money, but you can still get a la carte if you really really want, it just costs more.

 

[Red Sage]

Ugh, I hate the new interior decor bundles for the Model X. I'm very glad I got mine before they did that. I just feels too much like "you can have any color you want, as long as its black". I really like how "warm" my interior feels with non-glossy brown wood and the white seats. The all black and white is too stark of a contrast for my tastes. It also means that you now have no choice but to spend money on a trim "upgrade" when all you really want is a seat upgrade (when I purchased, seat upgrade was $2500, and if you chose a non-base trim upgrade --- including Carbon Fiber --- it was an orthogonal $750). Actually, it's kind of funny how put-off I am by the lack of trim choice now, since originally I didn't care much about it, and just went with whatever was free at the time, but ended up loving it (and felt lucky that I got the trim I did as the free one, when a week later they switched the freebie one to a different trim).

The PUP is also interesting (note that both X and S have PUP options... your post read like it was only an S option). It was a huge source of contention when the X design studio opened up. Mostly because its constituent parts are so different. Many people ended up not getting it because they only wanted one piece, and couldn't justify the $4,500 price tag (still its price as of writing this for the X; S is $3,500 as you stated) to get the whole thing. Of course, others got it specifically to get their car sooner, as it was one of the main options that if you didn't get would delay your build in the early days. Personally, I was put off by the high price, but ended up getting it as I was mildly interested in most of its parts, and the wife (whose car the X technically is) wanted ventilated seats, regardless of pricing/packaging of them. Which makes things even more interesting, because as of a few days ago the X Design Studio doesn't mention ventilated seats at all... and the price hasn't dropped either!

I'm not sure where I'm going with this post, besides maybe to illustrate a trend by Tesla to reduce choice in configuring your car -- a trend that may continue with the Model 3, and hope that it doesn't. If it's really an economics issue, maybe they have bundles at the low end, but as you go up the trim levels (AWD, larger battery, performance) you're allowed more flexibility in picking and choosing. Or take the fast food approach - combo meals will save you some money, but you can still get a la carte if you really really want, it just costs more.

Yeah, I had only noticed that the trim bundles only appeared under the Model X. I didn't realize the Premium Upgrade Package was shown under both Model S and Model X. When it comes to such packages, I doubt that there can actually be a verifiable 'savings' by purchasing items together instead of separately. I may put a higher value on one feature than others do. I just know I don't care for leather at all. I would be perfectly happy if every surface was clad in a tan Alcantara. And I especially don't like that the carpet only comes as Black, or that the Trunk/Frunk liners seem to only come in Gray/Grey. If the interior of the cars weren't so bottomless pit Black, I'd have no need for interior accent lighting.

.

.

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"'It's the wild colour scheme that freaks me out,' said Zaphod, whose love affair with the ship had lasted almost three minutes into the flight. 'Every time you try and operate these weird black controls that are labeled in black on a black background, a little black light lights up in black to let you know you've done it.'" -- Zaphod Beeblebrox, 'The Restaurant at The End of The Universe' by Douglas Adams​

 

[ricardocabesa]

If the options are only available in bundles how would you know if they are discounted or not?

Simple-common sense. They won't be. Individual options will be available-maybe not all though. And please quote me both now and when ordering starts.

 

[ohmman]

One thing that's worth mentioning is that the AP suite is likely to cost the same as the rest of the fleet. So for "full self-driving capability," we're talking about $8k atop the base price. And my thought is that it's quite likely there will be other prerequisites before you can even tack that on.

 

[Red Sage]

One thing that's worth mentioning is that the AP suite is likely to cost the same as the rest of the fleet. So for "full self-driving capability," we're talking about $8k atop the base price. And my thought is that it's quite likely there will be other prerequisites before you can even tack that on.

I seriously disagree with that. It will cost less by the time it is legal on all U.S. public roads. And it will cost less at the outset for Model ☰ as compared to Model S and Model X. Since the hardware will be standard across all trim levels, the only prerequisite is to buy one.

 

[ohmman]

I seriously disagree with that. It will cost less by the time it is legal on all U.S. public roads. And it will cost less at the outset for Model ☰ as compared to Model S and Model X. Since the hardware will be standard across all trim levels, the only prerequisite is to buy one.

I know you're usually good with the analogous situations from other manufacturers (namely, BMW). Is there an example where the exact same hardware/service offering is priced differently across the vehicle lineup?

The only thing that seems to make sense to support a difference in pricing would be if the S/X had an updated suite or software set. But that goes against what I know about Tesla to date.