Tesla Model S CPO Website - Now Live

[rocketenergy]

Posting this here as well, since two threads are discussing this:

To those who are saying they were removed because of the cost being too high - that completely contradicts Elon from the most recent conference call when he stated he was getting better returns on CPO Teslas than he expected...unless I misunderstood him.

This has been quite a mind-boggling situation though. Anything other than "website is ****ed up" seems too unrealistic.

Would someone come in and make a deal to buy a few hundred of these? Seems unlikely.

Would they suddenly decide to remove hundreds of cars from the market? Seems just as unlikely for a company that is in the business of selling cars.

But profit margins on these does not seem to be a reason that has any logic behind it. As I said, if anything, they would be purposely pushing these given that they have better returns on them than they expected.

 

[HankLloydRight]

Oh, but most people like to think they’re consistent, so once they reserve Model 3 (and commit in their head), it’s much less likely they'll reverse decision. It’s well investigated psychological behavior, starting with Cialdini:
Influence: The Psychology of Persuasion, Revised Edition: Robert B. Cialdini: 9780061241895: Amazon.com: Books

Yeah, Ok. But I still don't think Tesla removed 300 CPO cars as preparation of the M3 reveal to maximize M3 reservations in the absence of enough MS CPOs. Just IMHO.

 

[MsElectric]

Nope. On 2/17, 133 cars were removed. 35 have VINS less than 20k. The rest have VINs equally distributed between 20xxx all the way up to 77xxx. So that's 20% of the cars removed have VINs < 20k. 80% have higher VINs.

What I meant to say was that they seem to have removed most of the lowest VIN cars in their CPO inventory. Interesting that the removal included many higher VIN numbers as well and thanks for sharing that.

No one is intentionally trying to post non facts here. We are all trying to figure out what happened.

 

[rocketenergy]

Yeah, Ok. But I still don't think Tesla removed 300 CPO cars as preparation of the M3 reveal to maximize M3 reservations in the absence of enough MS CPOs. Just IMHO.

Using Elon's logic, he would never want to stimulate demand for a car that is years away from mass production with a ramp similar to previous models (maybe a bit steeper, but still a ramp), especially when he needs to be selling lots of cars to have cash flow to make that happen.

 

[HankLloydRight]

What I meant to say was that they seem to have removed most of the lowest VIN cars in their CPO inventory. Interesting that the removal included many higher VIN numbers as well and thanks for sharing that.

No one is intentionally trying to post non facts here. We are all trying to figure out what happened.

Ok, but you've posted this comment several times today, in pretty much the same way:

till it seems quite odd that the cars that were removed all pretty much have VIN numbers below 20,000.

That's very different than saying "it seems odd that they removed all the VINs below 20000 [along with hundreds more cars above 20000]".

Also adding this corralarly seems to support your original (incorrect) wording...

It's almost as if they did not want to offer CPO warranty coverage for those cars.

...since TM removed hundreds of other cars with higher VINs and better build quality and less wear and tear.

Words matter.

 

[MsElectric]

Ok, but you've posted this comment several times today, in pretty much the same way:



That's very different than saying "it seems odd that they removed all the VINs below 20000 [along with hundreds more cars above 20000]".

Also adding this corralarly seems to support your original (incorrect) wording...



...since TM removed hundreds of other cars with higher VINs and better build quality and less wear and tear.

Words matter.

I misspoke. I am sure you too misspeak at times.

I appreciate you pointing the matter of higher VINs also going "missing" but there is no need to be gratuitous about it as if I misspoke on purpose.

Yes, words matter and so does tone and yours was unwarranted.

Thanks for sharing the breakdown of VINs. Certainly makes the mystery more intriguing

 

[HankLloydRight]

I misspoke. I am sure you too misspeak at times.
.

Yes, being dyslexic, I misspeak all the time when I choose the wrong word(s) to express what I'm trying to say.


But what I don't do is mistype when trying to convey a concept online. I am extremely careful to make sure what I type out is exactly what I mean before I hit "submit." It prevents lots of confusion and misinterpretation down the road.

 

[MsElectric]

Using Elon's logic, he would never want to stimulate demand for a car that is years away from mass production with a ramp similar to previous models (maybe a bit steeper, but still a ramp), especially when he needs to be selling lots of cars to have cash flow to make that happen.

I agree. Whatever that happened I don't think it has anything to do with the Model 3.

Seems they either sold them off or needed them as extra loaners.

 

[Daniel Smith]

For what it's worth, something similar happened exactly 6 months ago. I wasn't actively looking at that time so I don't know how soon they were relisted.

The number of cars on Tesla's CPO site just dropped by ~310... what do y'all think is happening? : teslamotors

 

[mmd]

You folks are wasting your grey cells for nothing. It's simply to make the CPO buyers think that there is no other option but to buy a new Model S. Tesla needs new orders now more than ever to meet its Q1 delivery guidance. Now is the perfect time (from Tesla's pov) to get the new orders in, so they can be delivered by March end. If these cars don't show up again soon, rest assured they will be back by April/late March.

 

[MsElectric]

You folks are wasting your grey cells for nothing. It's simply to make the CPO buyers think that there is no other option but to buy a new Model S. Tesla needs new orders now more than ever to meet its Q1 delivery guidance. Now is the perfect time (from Tesla's pov) to get the new orders in, so they can be delivered by March end. If these cars don't show up again soon, rest assured they will be back by April/late March.

Interesting theory Especially that a good part of the CPO inventory is now not too far from just buying new.

 

[Drucifer]

You folks are wasting your grey cells for nothing. It's simply to make the CPO buyers think that there is no other option but to buy a new Model S. Tesla needs new orders now more than ever to meet its Q1 delivery guidance. Now is the perfect time (from Tesla's pov) to get the new orders in, so they can be delivered by March end. If these cars don't show up again soon, rest assured they will be back by April/late March.

Dealerships do a similar trick to sell new cars. They keep used cars of their own brand on the used lot near the new cars. They mark the prices to be very close to the new cars. This does two things.

1. People on the fence between new and used just go ahead and buy a new one, because with new car financing, the payment will be the same or even better on new.
2. People get the impression that "these cars really hold their value".

The dealerships used operation is still free to sell used cars of other makes at market price, so no real business lost.

 

[labfm]

And sadly this is what TM is doing right now. CPO auto pilot cars with 10K+ miles are probably, at best, 1-5K less than a brand new auto pilot (including incentives on the new price).

Basically, you're better off going new at the moment instead of CPO if you're looking for auto pilot enabled.

 

[Skotty]

You folks are wasting your grey cells for nothing. It's simply to make the CPO buyers think that there is no other option but to buy a new Model S. Tesla needs new orders now more than ever to meet its Q1 delivery guidance. Now is the perfect time (from Tesla's pov) to get the new orders in, so they can be delivered by March end. If these cars don't show up again soon, rest assured they will be back by April/late March.

But that doesn't make any since. The reason I want a CPO car is because my budget won't allow a new car. If I had the money for a new car, I would buy a new car. In my opinion, the whole reason for a CPO program is to sell off used cars to the market segment that can't afford the new ones. Removing the less expensive CPO cars will not get me to buy a new car, it will get me to not buy a car at all.

 

[MsElectric]

But that doesn't make any since. The reason I want a CPO car is because my budget won't allow a new car. If I had the money for a new car, I would buy a new car. In my opinion, the whole reason for a CPO program is to sell off used cars to the market segment that can't afford the new ones. Removing the less expensive CPO cars will not get me to buy a new car, it will get me to not buy a car at all.

You probably just expressed the sentiments of most CPO car buyers.

Now seems like a bad time to buy a CPO car with a bunch of the inventory removed.

 

[freeewilly]

But that doesn't make any since. The reason I want a CPO car is because my budget won't allow a new car. If I had the money for a new car, I would buy a new car. In my opinion, the whole reason for a CPO program is to sell off used cars to the market segment that can't afford the new ones. Removing the less expensive CPO cars will not get me to buy a new car, it will get me to not buy a car at all.

Sadly, it makes completely sense. Tesla said by year end Model S gross margin is 30%, so Tesla makes 30k for a 100k Model S. How much do you think Tesla makes for a CPO car.

The best time to purchase a CPO was end of 2015, there were so many cars available and deal were the best I've seen.

 

[dhanson865]

Sadly, it makes completely sense. Tesla said by year end Model S gross margin is 30%, so Tesla makes 30k for a 100k Model S. How much do you think Tesla makes for a CPO car.

The best time to purchase a CPO was end of 2015, there were so many cars available and deal were the best I've seen.

I'm assuming a better CPO purchase will be down the road when a 70D CPO is nice and cheap because Model 3 CPOs are coming into play.

As in there will be good deals in the future long term, don't let weeks or even a few months of lull bring you down.

 

[MsElectric]

Sadly, it makes completely sense. Tesla said by year end Model S gross margin is 30%, so Tesla makes 30k for a 100k Model S. How much do you think Tesla makes for a CPO car.

The best time to purchase a CPO was end of 2015, there were so many cars available and deal were the best I've seen.

I'd say even better times are coming for CPO cars. Just be a little patient.

Pricing and inventory levels will return to what they were with the added benefit of D models with Autopilot being on the horizon as well.

 

[tga]

Historically for the 2+ years I've been following Tesla, there's always been a quarter-end push to sell inventory cars (and later, CPO's) to help make the numbers (not just # of new cars delivered, but financials as well).

I see no reason this wouldn't continue, regardless of any guidance that may have been given. I think you'll see the inventory go up by mid-March to start liquidating some of those assets.

 

[freeewilly]

I'm assuming a better CPO purchase will be down the road when a 70D CPO is nice and cheap because Model 3 CPOs are coming into play.

As in there will be good deals in the future long term, don't let weeks or even a few months of lull bring you down.

Model 3 CPO? OMG, that's just way too long in the future. I'm assuming we are talking about next few months maybe up to 6-8 months.