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Will there be a Price Increase 1/1/14?

Discussion in 'Model S: Ordering, Production, Delivery' started by Cattledog, Nov 30, 2013.

  1. Cattledog

    Cattledog Active Member

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    Last year, around this time, Tesla announced a price increase for 1/1/14. It was on the heels of the MT COY win, and not only did it not seem to damper reservations, reservations picked up each successive week in December as the deadline approached. With demand high, Asian reservations likely to pick up as deliveries flow, and Model X about to create another round of effort at the factory, is the time ripe for another price increase? Or is Tesla comfortable with where they have gotten their margins? Or does the recent media dirt-kicking have them more cautious?
     
  2. montgom626

    montgom626 Active Member

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    I hope the price goes up. Make my MS worth more.
     
  3. ItsNotAboutTheMoney

    ItsNotAboutTheMoney Active Member

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    The Q3 release suggested they were happy and on target for 25%. But they seem to love playing with prices, so, sure, why not.
     
  4. SCW-Greg

    SCW-Greg Active Member

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    I suspect prices will hold in the U.S., but add-on bells and whistles will be added, to effectively raise the price of a fully load model.

    I think they may be near the edge of affluence saturation and competitive brand conversion at this price point.
    Meaning the pent-up demand from the last couple of years has likely been exhausted, and now other forms of market reach are doing the work, with only so many people to tap with the resources, or those switching from Porsche, BMW, Mercedes, etc now. New markets will help.

    IMHO
     
  5. gg_got_a_tesla

    gg_got_a_tesla Model S: VIN P65513, Model 3 Res Holder

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    I hope not. With the $5k base price hike from 2012 as well as the now-costlier options, even my relatively barebones S60 would now cost well into the $90k+ range after sales tax and before tax credits/rebates. There are surely fewer and fewer buyers left at these levels.
     
  6. ItsNotAboutTheMoney

    ItsNotAboutTheMoney Active Member

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    I think the cell suppply constraints are frustrating for Tesla. If Tesla is now hitting 25% ex-ZEV margin, they're at target. One really key differentiator that the established manufacturers currently have are driver assistance technologies. With increased volume for Tesla, they should be able to negotiator lower prices through rapid amortization of development costs, and rather than further increasing margin Tesla might then be able to make the driver assistance technologies standard, backing up Elon Musk's claims that safety is their biggest priority. The ability to retrofit, even at cost, would then be an important PR coup to help owners maintain value.
     
  7. HHHH

    HHHH Member

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    IMO, they will not increase the base price, they will instead either change option pricing or add additional options. I think based on their current woes of fire, stock price, etc, they will tread lightly.
     
  8. Barry

    Barry Member

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    Isn't the unit cost of batteries dropping?
     
  9. bonnie

    bonnie Oil is for sissies.

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    I think there will be one more Model S price increase before pricing for the X is announced ... just my opinion.
     
  10. Twiddler

    Twiddler Member

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    Another price increase is worrisome with regard to Model X pricing. I placed my MX reservation before both MS price increases. I am afraid that another increase will price me out of the MX market..
     
  11. lloyds

    lloyds Member

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    Don't be surprised if they do
     
  12. Blue in NC

    Blue in NC Member

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    I will not be surprised but as a potential buyer sitting on the fence right now, one more price increase may put me off for good. I love the car and it is unique but frankly another price hike will likely make me go in another direction. I was one that got sucked in by the "low" price of the 40 (about $57K) and then put onto the 60 when the 40 went away. I am considering and likely leaning towards an 85 but only because I struggle to justify that and only on the basis of a comparison to what is now a severely increased 60 cost. Yes, I am only one buyer but I suspect that many others may be in my position.
     
  13. brianman

    brianman Burrito Founder

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    Yes. Now nobody can feign or assert unhappiness that they "didn't see it coming" when it happens.
     
  14. Canuck

    Canuck Active Member

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    How do you know this? I was told at my test drive yesterday that the "Destination and Regulatory Doc Fee" of $1,170 would be waived if I ordered before Dec. 31 but no price increase was mentioned.
     
  15. brianman

    brianman Burrito Founder

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    Psychic.
     
  16. Canuck

    Canuck Active Member

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    Powell from the Vancouver store just sent me this email:

    "I have just been informed that waiving the "Destination and Regulatory Doc Fee" only applies to inventory vehicles of which we have 2 in stock that do not compare to your ideal design/build. I am terribly sorry that I did not confirm this sooner. I did not intend to mislead you in any way. The standard fees will apply to any new build."

    Bummer.
     
  17. Gizmotoy

    Gizmotoy Active Member

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    I didn't say anything, but when I read your post the first time I thought that was a pretty sweet deal. As far as I'm aware, no one's gotten discounts from MSRP unless they're buying inventory. Bummer he was wrong and got your hopes up.
     
  18. Shumdit

    Shumdit Member

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    Here is what I can say I personally experienced and I think everyone else here would agree: the longer you wait to buy, the more you pay (or the less standard equipment you get for the same money. You are also that much closer to leaving this world without the joy of owning this car.
     
  19. Canuck

    Canuck Active Member

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    Boy, oh boy, are you good!!! I read your post to my wife and she agrees. She also told me that if I didn't post the waiver of the doc fee, that it would still apply. She said "of course he couldn't do it for you, after you told everyone about it!" I believed her at the time but now it sounds too much like a conspiracy theory to me.

    Now I have one angel on my shoulder saying "buy it, buy it", but on other shoulder is a devil saying "$110K for a laptop battery car, how many laptop battery have you have die in the past few years?"

    It's not that I can't afford it. At this point, it's only a question of how much of my kids' inheritance that I will spend before I "leave this world", as the wise elder Shumdit says. Decisions, decisions :confused:
     
  20. Zextraterrestrial

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    Boom! that 's the truth! 1 year of much improved life!! + my car is $18K more than when I bought it (+ some little goodies they don't put on S' anymore)


    I personally think the price has been raised so much from the initial 'price' and don't see a hike at the new year.
     

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