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William Maley

Tesla Cuts Model 3 Price Again

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Tesla isn't done with price cuts it seems. Bloomberg reports that the automaker has dropped the price of all Model 3 models by $1,100 - bringing the base price to $42,900. The reason cited by Tesla was the end of a customer referral program that ended up costing them more than they realize.

The program gave new owners six months of free supercharging if they were referred by a friend. Those who referred a number of people got rewarded with various prizes such as getting the next-generation Tesla Roadster.

This is the second price cut for Model 3 this year. Last month, Tesla instituted a $2,000 price cut on their lineup to soften the blow of the Federal Tax Credit being cut from $7,000 to $3,750.

Source: Bloomberg


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15 minutes ago, Drew Dowdell said:

Great! Now start building the $35k base model you promised.

Yeah... my friend wasn't thrilled about that, but nonetheless, he shelled out the money, like Tesla banked on.

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At forty two grand...these will be fantastic used car buys when i replace the Beetle in a year or two. I may have actually purchased my last ICE automobile. Kind of wild.

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2 minutes ago, A Horse With No Name said:

At forty two grand...these will be fantastic used car buys when i replace the Beetle in a year or two. I may have actually purchased my last ICE automobile. Kind of wild.

I've heard the Tesla used car buying experience can be horrific...hopefully that will improve in the future.

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1 minute ago, Robert Hall said:

I've heard the Tesla used car buying experience can be horrific...hopefully that will improve in the future.

Interesting...had not heard that.

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32 minutes ago, A Horse With No Name said:

Interesting...had not heard that.

I am sure there will be other options too as in a few years we will see the iPace and MQC EVs show up on the CPO scene plus there is always the Bolt which is in CPO now.

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5 minutes ago, Drew Dowdell said:

What have you heard?

This was mostly from the Rich Rebuilds podcast about his experience buying a used Model X, but IIRC things like waiting months for the car to be delivered locally (w/ Tesla providing dates that kept changing), lack of photographs of the car, poor communication over the phone w/ untrained people, cars stored at a 3rd party auction lot, etc.  Seems like core issues are that Tesla doesn't have used car lots or used car sales processes like normal dealers.. from comments it sounds like it's not an isolated event. 

Edited by Robert Hall
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Just now, Robert Hall said:

This was mostly from the Rich Rebuilds podcast about his experience buying a used Model X, but IIRC things like waiting months for the car to be delivered locally (w/ Tesla providing dates that kept changing), lack of photographs of the car, poor communication over the phone w/ untrained people, cars stored at a 3rd party auction lot, etc.  Seems like core issues are that Tesla doesn't have used car lots or used car sales processes like normal dealers..

That sounds like it is specific to Tesla sales though.  No reason you couldn't also buy a Tesla from a local Buick-GMC-Cadillac dealer. 

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4 minutes ago, Drew Dowdell said:

That sounds like it is specific to Tesla sales though.  No reason you couldn't also buy a Tesla from a local Buick-GMC-Cadillac dealer. 

Good question..I wonder if there are used Teslas at non-Tesla dealers...I suppose that could happen. 

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22 minutes ago, dfelt said:

I am sure there will be other options too as in a few years we will see the iPace and MQC EVs show up on the CPO scene plus there is always the Bolt which is in CPO now.

I have seen a bunch of EV vehicles on the road here in Columbus....yesterday i saw an I8, a couple dozen Teslas, several bolts, Several Leafs...

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1 minute ago, A Horse With No Name said:

I wonder if these are getting traded back in for ICE autos or what....

Yes, it seems so weird to imagine Teslas on a regular used car lot.    I guess I haven't been to a used car lot in a long time.     I thought with EVs it was 'once you go electric, you never go back' but who knows....

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20 minutes ago, A Horse With No Name said:

I wonder if these are getting traded back in for ICE autos or what....

Around here with all the steep hills and mountains and snow, AWD is becoming a standard requirement for many here in the Tech industry. I suspect it was traded in for an AWD or 4x4 ICE auto.

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1 minute ago, dfelt said:

Around here with all the steep hills and mountains and snow, AWD is becoming a standard requirement for many here in the Tech industry. I suspect it was traded in for an AWD or 4x4 ICE auto.

That makes sense. I know if I lived out there I'd be driving my JGC.   

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2 minutes ago, Robert Hall said:

That makes sense. I know if I lived out there I'd be driving my JGC.   

Current storm this week.

 

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14 minutes ago, dfelt said:

Around here with all the steep hills and mountains and snow, AWD is becoming a standard requirement for many here in the Tech industry. I suspect it was traded in for an AWD or 4x4 ICE auto.

Most Teslas are AWD these days.

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7 minutes ago, Drew Dowdell said:

Most Teslas are AWD these days.

True, but the ones on the dealer lots around here like the two I posted above are RWD only. Very weird.

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1 minute ago, dfelt said:

True, but the ones on the dealer lots around here like the two I posted above are RWD only. Very weird.

Some could be tech industry resource units that relocated from the SF Bay Area or Austin or other non-snowy climate locales..  I used to see that in Denver.  Coworkers that moved from So Cal or Austin that had 2wd SUVs...

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It is nice that the price has dropped, these were selling like crazy before the price cut, so I expect they will continue to sell fast.  I think this shows too that EV costs will drop over time.

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