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Sorry guys but, why do you vote up Sean's question. Tesla absolutely understands the problem with service capacity why do you want to give shorts real thing to scream about?

Because this is a critical, time-sensitive issue that puts Tesla's future at risk. You should view the fact that this question is far ahead both in shares (+45% over #2) and votes (+32% over #2) as evidence that this is actually a critical issue that threatens Tesla's future, and one that they need to address post-haste..

I know there's a tendency to minimize the risk that this issue brings, but I really think Tesla needs to be devoting as much time/effort toward improving their communications maturity as they are toward the Model Y roll-out, for example. It's a big deal, and it's reached the point where it's going to get much worse in terms of public backlash if nothing's done, as Europe/China get hit with giant delivery rushes just as the US did in the past two quarters.

I've personally had a mostly-positive experience with service on my 3 (I also happen to live just a few miles from my local SC, so I can just show up to get around the terrible call hold time and lack of email response). But I've also experienced many instances of--frankly appalling--lapses in Tesla's communication. Here's an incomplete list--no response to service emails after weeks; 30+ minute hold times routinely; online store order support not answering emails for months after charging for orders that never ship; referral program failing to meet their own deadlines for reward deliveries, repeatedly; online store doing the same thing; vehicle deliveries without adequate manpower to make new owners feel welcome and confident in their new vehicles; vehicle deliveries with obvious issues on vehicle quality. I'm also a member of a very active local Tesla group (>700 members), and I see the frequency with which Tesla drops the ball rising rapidly over the past year. A friend has a P3D- and has had to harangue Tesla to get any traction on the $5k refund that the company's CEO publicly announced on Twitter.

We are at the point that for many folks, terrible communication is *the expected response*.

The Rich Rebuilds fiasco is unacceptable. The response to that situation is unacceptable. Selling used vehicles for which the title is not on-hand is unacceptable. Delivering new vehicles without sufficient staff to give each new owner a walk-through to make them comfortable with their purchase is unacceptable. Postponing delivery dates at the last minute for more than an extremely miniscule percentage of purchases is unacceptable. Having service centers with 30+ minute hold times routinely is unacceptable. Public email addresses without reliable 24-48 hour response times is unacceptable. Maintaining an online store in 2019 that charges on order placement with no concrete delivery timetable is unacceptable. None of these assertions is in the slightest bit controversial, and yet they are but a small slice of the customer expectation management pie that Tesla routinely mucks up.

To be clear, I do not blame [much of] this on individual Tesla employees. Almost universally, the Tesla staff that I've come into contact with have seemed like dedicated souls who were legitimately trying their best to make a positive impression. I'm well aware that they are understaffed and overworked.

The company needs to carefully consider where to invest monetary and manpower resources. I understand that. However, in my opinion this self-inflicted wound is a *far greater threat* to Tesla's future than any competitor. They need to attack it, and attack it hard, *now*.

Frankly, Tesla's no longer the small upstart it once was. I was on board with minimizing the urgency with which Tesla should treat this issue when they were delivering single-digit thousands or low tens of thousands of vehicles/quarter--in those numbers, it's feasible to make things right on an individual basis. Now that they're rapidly approaching 100k vehicles/quarter, the blow-back from unacceptable communication is rising significantly. This will continue going forward unless Tesla's corporate culture changes to place customer communications much, much higher on the priority list.

We're past the time when this area should be swept under the rug. It's absolutely a valid topic for an investor Q&A session, and it's absolutely an area that should be of prime importance for Tesla's attention over the course of this year.
 
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Right, I'm a long time irrational Tesla basher :rolleyes:

To be clear, pointing out actual flaws in the company is not bashing. Keep your head in the sand at your own risk.

I take it you chose not to be a part of the solution here. Again, maybe recommend your idea to Tesla for loaner vehicles in remote areas unless I misunderstood the problem. I later read that this has more to do with State laws restricting in areas such as upstate NY rather than Tesla. So what would it hurt to offer your suggestion? It was your idea, just sayin'.
 
I think you must be seeing things. Tesla is doomed because it laid off 7% of its workforce after expanding by 30%, remember? And don't forget, they're cutting the S/X graveyard shift, after switching to only high-margin S/X sales. DOOOM! ;)

I think perhaps the stock is so far in the red that it's wrapped back around and now looks green to our eyes.
I’m buying so many shares when it hits $0
 
Talking about efficiency: $500 for driving 25,000 miles.

Thats amazing! $2 for 100 miles. In Germany I paid with my old ICE car about $32 for 100 miles.

The Model 3 is 16 times cheaper in driving 100 miles..... That's incredible. Any questions about demand in Europe?

When people wake up and finally realize how much they can save they will embrace BEVs and never return..

The average gas price in Germany for the last 12 months was 1.43 EUR (for the more expensive super) and the average consumption for 100km is 7.9 litres:

11.30 EUR (12.88 USD) per 100 km
-> 18.07 EUR for 160 miles
-> 20.61 USD per 100 miles

I very much enjoy your posts, but if your car’s consumption is 50% above the average, your calculation that Model 3 is 16x cheaper to run seems to be more applicable to a minority. It is still fantastic that Model 3 is 10 times (!) cheaper to run than an average ICE car.

Kraftstoff-Durchschnittspreise

Durchschnittsverbrauch in Deutschland zugelassener Pkw | Statistik
 
THEY DIDN'T. This has been happening for years. I want an answer from Elon, as do many other people.

Given that they've literally answered questions about service issues before, and there's dozens of Musk tweets on the subject, it's nonsense to think that they've not heard service complaints. There is literally no way on this warming earth that they've not heard them. There's a huge difference between "not having heard service complaints" and either "deciding capital was more critically urgent elsewhere" or "trying to improve but failing / being overwhelmed by increasing volume".

Now, you are apparently of the view that conference calls are designed to be a complaint box.
They are not. Period. End of story. That's not their purpose. Their purpose is to learn about company plans.
 
Wow, and I'm TOTALLY sure Tesla hasn't noticed this. (/snark)

You're relatively new here, so I'll be gentle. This has been an issue with Tesla since the beginning, and if they've noticed, they've done a woefully inadequate job of actually addressing it. They've promised various levels of improvement over the years, many of them publically by various VPs, all of which have failed to move the needle. It's a deep corporate culture issue and it's not likely to change significantly until Elon Musk feels the pain.

By contrast, "Retail Investors Complaining About Their Terrible Service Experiences On Tesla Earnings Call" would be true if AWDtsla's question were asked as-is.

The goal of conference call questions isn't to gripe. It's to learn what Tesla's plans are.

Sometimes the dirty laundry doesn't get cleaned until others start to mention the odor. Better for it to be Tesla's investors/customers bringing it up on a conference call now than for customers to revolt en masse in the future. Frankly, if shorts want to harp on this issue, that's a completely valid thing for them to do.

I'm very long TSLA for nearly 6 years now. That hasn't blinded me to the problem.
 
Sometimes the dirty laundry doesn't get cleaned until others start to mention the odor.

To reiterate the snark: "Oh, I'm totally sure that Tesla has never heard about the service complaints!"

Better for it to be Tesla's investors/customers bringing it up on a conference call

Customers are literally the worst people to bring it up (does the most damage to the company), and a conference call is literally the worst place to bring it up (a "reputable", widely reported-on venue, and one in which "customer complaints" would be very abnormal). The only goal of doing so on a conference call would be to deliberately damage the company. Are you here to deliberately damage the company? Is your goal to try to scare people off from buying Teslas? To create negative media articles? Is that your goal? You want to scare people off from buying Teslas and create negative media articles in order to avoid... the possibility of people from being scared off and negative media occurring due to future customer complaints?

To reiterate: Tesla has seen people's complaints. They're not blind. You may not like how much they've balanced that off with how critical they consider their other financial needs, or you may think them incompetent for efforts to improve service failing or being overwhelmed by volume. But what is not true is that they somehow "don't know", as if we're the only people who noticed complaints directed at Tesla.
 
Let me post this stream of China news again, putting it into full context:

Vincent on Twitter

"2. Chen Jie, Shanghai Lingang Development & Construction Mgt Committee: In order to speed up the #tesla Shanghai GF3 construction, the Shanghai Lingang Gov changed the construction approval. Normal approval takes 15 months & #Tesla project only took 5 months."

Vincent on Twitter

"1. Chinese gov media CCTV reported: Construction company said they speeding up the #tesla Shanghai Gigafactory project and did not receive the Lunar New Year holiday notice."

The Lunar New Year is a usual annual ~10 days of happy festivities in China, while absolutely nothing gets done by anyone, anywhere. Except the Shanghai Gigafactory construction site, which will keep on building GF3.

Remember, China is not our usual western economy when pushing big, prestigious industrial projects:
  • The construction company building GF3 is one of the biggest ones, owned by the Chinese state.
  • Most Chinese banks are state owned as well, and Tesla got a $3b loan in record time.
  • The Tesla Shanghai Gigafactory got a large industrial power connection to the electrical grid in record time, 3 times faster than the average approval and build-out time.
  • Can you imagine the U.S. government exempting Tesla construction work from federal holiday rules?
China is in many ways still a dictatorship ruled by technocrats, where 90%+ of the high level Chinese leaders have a stellar educational background in engineering or sciences.

See:


If there's a political leadership anywhere on the planet that "gets" Tesla, then I believe it's the Chinese.

The architecture in Shanghai looks like the future. In many ways it’s more impressive than Down Town LA here in the states. Can’t wait to see how the GF3 will look like in the next several months.
 
Given that they've literally answered questions about service issues before, and there's dozens of Musk tweets on the subject, it's nonsense to think that they've not heard service complaints. There is literally no way on this warming earth that they've not heard them. There's a huge difference between "not having heard service complaints" and either "deciding capital was more critically urgent elsewhere" or "trying to improve but failing / being overwhelmed by increasing volume".

Now, you are apparently of the view that conference calls are designed to be a complaint box.
They are not. Period. End of story. That's not their purpose. Their purpose is to learn about company plans.

I read the question as acknowledging the current state of things and asking what will be done to improve them. That sounds perfectly reasonable to me. If they don’t solve this(quickly), they’ll be in trouble.

Right now, they survive entirely on word-of-mouth(remember, no advertising). If that word of mouth sours, you absolutely will see a drop in demand. Their cars can be the best in existence(and are), but if the slightest thing going wrong(say, a flat tire) means you have to spend months fighting with them to end up with a poor outcome, there are a lot of people that will be turned off by that. *I’m* starting to get turned off by that and I’ve been one of the most consistently positive posters on this forum.

If any company should understand the importance of immediately addressing an existential problem that they’re currently making worse, it should be this one.
 
Customers are literally the worst people to bring it up (does the most damage to the company), and a conference call is literally the worst place to bring it up (a "reputable", widely reported-on venue, and one in which "customer complaints" would be very abnormal). The only goal of doing so on a conference call would be to deliberately damage the company. Are you here to deliberately damage the company? Is your goal to try to scare people off from buying Teslas? To create negative media articles? Is that your goal? You want to scare people off from buying Teslas and create negative media articles in order to avoid... the possibility of people from being scared off and negative media occurring due to future customer complaints?

To reiterate: Tesla has seen people's complaints. They're not blind. You may not like how much they've balanced that off with how critical they consider their other financial needs, or you may think them incompetent for efforts to improve service failing or being overwhelmed by volume. But what is not true is that they somehow "don't know", as if we're the only people who noticed complaints directed at Tesla.

You seem very focused on whether Tesla's image will be damaged by this question possibly getting asked on the conference call. That's not the right approach, for a few reasons:
  1. Tesla's image is already being damaged by this issue.
  2. Tesla's image deserves to be damaged by this issue.
  3. Tesla can word the question as they like on the call, as they would be the ones asking it of themselves on behalf of the author.
You also reiterate that Tesla's aware of the issue. Certainly, on some level, they are. When they begin to take action that is visible by their customer base in the form of much-improved outcomes on this front, then we can rest assured that they've actually seen people's complaints.

In any event, this isn't really a 'complaint' question, as much of a 'this is a weak area for the company. How do you plan to turn it into a strength?'
 
If it's not a complaint question, then make it not sound like a complaint question.

Here's the current question:

"Owners, many of them with large followings online, are becoming very vocal about Tesla's worsening customer service experience with delivery, service, and repair. This has a severe impact on sales and returning sales. What are you doing to change this growing negative reputation?"

First off, it's false. "Owners" collectively are not. Some owners are. Not all owners have had problems with Tesla's service, and many are quite happy with it. Does that mean that it's okay that some owners have had bad experiences? Of course not. But making it sound like all owners are mad with their delivery or service experiences is outright FUD.

Secondly, it's beating a dead horse, every last sentence dripping with negativity. It's entirely structured as a gripe, even though it ends with a question mark.

Try:

It seems that there have been more public reports recently on Youtube and elsewhere of people who have had problems with delivery, service, or repair. How does Tesla plan to address this in the future so that it doesn't have a negative impact on future sales?
 
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. Better for it to be Tesla's investors/customers bringing it up on a conference call now than for customers to revolt en masse in the future. Frankly, if shorts want to harp on this issue, that's a completely valid thing for them to do.

I'm very long TSLA for nearly 6 years now. That hasn't blinded me to the problem.
My PUP refund check was sent to the wrong address (after very poor communication getting it in the first place). Supposedly they are escalating the replacement but It's been almost 2 weeks with no response to my emails asking about it.

Communication is an area where I rate Tesla an F. It really is embarrassing and I feel like I'm dealing with a shady mom and pop operation sometimes.

Same with the spoiler and badge debacle. I can't get too upset because I'm basically getting them for free (eventually?) but it's ridiculous how they handled it. I should have received an email before delivery noting the missing items, I should have been told at delivery (I had to ask about it), and since then there has been NO official communication. It's genuinely baffling. It is not hard to send a mass email out to all PUP buyers that says "sorry about the missing stuff, we are working on it. We will update you once a month with an ETA until you receive them".

That would take about 2 man hours, versus spending god knows how many man hours (hundreds for sure) answering customer questions about them.

I'm very long on Tesla and a huge Fanboy. If they don't correct this it will be a huge drain on their growth. Early adopters are ok with that kind of stuff, mainstream buyers will lose their sh$t.
 
The average gas price in Germany for the last 12 months was 1.43 EUR (for the more expensive super) and the average consumption for 100km is 7.9 litres:

11.30 EUR (12.88 USD) per 100 km
-> 18.07 EUR for 160 miles
-> 20.61 USD per 100 miles

I very much enjoy your posts, but if your car’s consumption is 50% above the average, your calculation that Model 3 is 16x cheaper to run seems to be more applicable to a minority. It is still fantastic that Model 3 is 10 times (!) cheaper to run than an average ICE car.

Kraftstoff-Durchschnittspreise

Durchschnittsverbrauch in Deutschland zugelassener Pkw | Statistik

My calculation was based on 11 l/ km consumption on a price of € 1.60/liter. Actually my real average consumption of my car was rather at 13 Liter for 100km. So in reality it was even more that 16 times.

Both numbers are the real numbers (downplayed gas consumption plus real price at gas station) I had when I sold my car a few months ago. Gas prices went down if I hear you correctly ... don't ask me I am not going to visit them any more... but lets be realistic prices will go up again.

As you said that's not likely the consumption for all average Germans driving but more people who have cars in the price range of € 60k and more. Larger more expensive cars usually consume more, So what I try to say is that if you look at the current price of Tesla BEVs you compare higher cost BEVs to higher cost ICEs.

If you add all low consumption models and take the consumption of a Fiat Punto versus the Model 3,S,X than you compare IMHO apples to oranges.

No offense but I believe its a fair comparison given but you are fully right this numbers are not applicable for all in Germany and all cars.
 
Just curious: why is that? As they order the invoice number should increase for them too - so the next new private customer reporting a new invoice number would show up in the spreadsheet.

Or are bigger purchases invoiced by Tesla in an entirely separate process, with different invoice number sequencing?

Possibly a different process (range of numbers).

Or they get 1 invoice for 50 cars. That I would consider more likely.

European tax law (value added tax) requires an incremental invoice number but allows different number ranges, for example 1901xxx for all January invoices, 1902 xxx for February and so on.