No Direct Model S Sales For Tesla In Texas, But Still 1,800 Registrations Nonetheless

FEB 19 2015 BY JAY COLE 30

Tesla Model X Spent Some Time Promoting Tesla's Boutique Store Program In Texas In January

Tesla Model X Spent Some Time Promoting Tesla’s Boutique Store Program In Texas In January

Last month, Tesla CEO Elon Musk took one of his prototype Model X all-electric SUVs to the Texas legislature to try and convince state politicians that allowing direct EV sales in the state was a good idea.

Tesla CEO Takes Questions From Model S Owners In Texas While Promoting Direct Sales To Legislators Last Month (via YouTube user Raz Friman)

Tesla CEO Takes Questions From Model S Owners In Texas While Promoting Direct Sales To Legislators Last Month (via YouTube user Raz Friman)

However, just like multiple previous attempts, the company failed to crack the most entrenched pro-dealer state.

Last month, Mr. Musk told the Texas Tribune during the Texas Transportation Forum that the company is far from considering the traditional dealer model in the state, saying that “If we were to go through them, we would fail.”

But according to the Tribune and Bill Wolters, who is the president of the Texas Automobile Dealers Association, that hasn’t stopped multiple Texas dealers from still propositioning the company (unsuccessfully) to sell the Model S for the Californian company.

Of interest: The Texas DMV (via the Texas Tribune) reports that 1,800 Model S all-electric sedans have been registered (through January 2015) in the state that Tesla isn’t allowed to sell direct in.

Put another way, about 1 in every 21 Tesla EVs sold in America, are sold in Texas strictly by word-of-mouth.

Tesla Owners Line Up Their Model S Sedans At The Texas Capitol In Support Of Hearing For HB 3351 2013

Tesla Owners Line Up Their Model S Sedans At The Texas Capitol In Support Of Hearing For HB 3351 2013

One Of The First Tesla Model S Sedans Is Delivered In Texas In 2013 By A Third Party Outfit.  Of Note:  Tesla Is Not Allowed To Deliver These Cars Themselves On AnyTruck With Company Markings, Nor Are They Permitted To Unwrap Or Touch The Car While In The Act Of Selling Or Delivering The Vehicle

One Of The First Tesla Model S Sedans Is Delivered In Texas In 2013 By A Third Party Outfit. Of Note: Tesla Is Not Allowed To Deliver These Cars Themselves On Any Truck With Company Markings, Nor Are They Permitted To Unwrap Or Touch The Car While In The Act Of Selling Or Delivering The Vehicle

Here are the top ten counties for Model S sales in the state:

  1. Harris (Houston)- 428
  2. Travis (Austin) – 345
  3. Dallas – 313
  4. Collin – 123
  5. Tarrant – 111
  6. Bexar – 86
  7. Denton – 75
  8. Fort Bend – 67
  9. Williamson – 41
  10. Montgomery – 34

The Texas Tribune, Hat tip to Josh B!

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30 Comments on "No Direct Model S Sales For Tesla In Texas, But Still 1,800 Registrations Nonetheless"

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Maybe the Koch brothers need to make a couple phone calls.

That won’t be necessary after Apple buys Tesla.

http://www.benchmarkmonitor.com/apple-inc-nasdaqaapl-will-acquire-tesla-motors-inc-nasdaqtsla-for-75-billion/184296/

Then you can just buy your Tesla at the nearest Apple store. 😉

Texas politics suck…

I would disagree that the cars are sold strictly by word of mouth. Tesla does have several “galleries” in busy malls around Texas. They just recently opened one here in Dallas, and they’ve had these galleries for a while in Austin and Houston.

Can you order online in Texas?

Of course. That’s how everyone buys one here. The most pleasant car buying experience ever.

So I assume then there’s some online advertising as well, and it’s not just word of mouth.

No,there is no paid advertising at all, online or otherwise. Lots of free publicity about Tesla online, of course, but there are no ads to click on. Buyers have to Google it or type teslamotors.com all by themselves.

Including free ads made by others.

You can’t fight free. 😉

‘MERICA. 😀

It’s just a matter of time…patience.

I assume there are hypocrites in all political parties and governments, but this is more blatant than usual.

The Republicans run Texas. When it suits them, they can be very in favor of free markets. Many of them claim to be libertarians, when it favors their friends and contributors.

In this case, I’m sure the Republicans would like Tesla to be able to sell direct. But they also like the giant “donations” they are getting from the car dealers even more.

Mmmm, dark money. Mmmmmm…

And big oil.

Yes, Texas is definitely a prime example of crony capitalism where the good-ole-boys run the state.

On the other hand, the resulting economy is very robust and given the average Texan’s woeful lack of knowledge about the issues, or anything more than 50 miles away for that matter, perhaps this way works better at this time.

Ironically, as the strong economy draws in more outsiders voting patterns will inevitably shift as more people ask why they can’t do modern things like buy directly from a manufacturer. On the plus side, there is not much state bureaucracy, so decisions to change the rules can be made quickly when that time comes.

There is an interesting parallel in alcohol sales as many suburban dry counties populated by outsiders are now voting to go wet. And Walmart just launched a suit over an obscure Texas rule that prevents public companies from selling spirits. Texas is changing.

“resulting economy”, from “crony capitalism” was a bad lead in. The results are from oil.

Ths is closer to a communism were freedom of commerce is for the few fat cats not crony capitalism.

“Texas is changing.”
—–

Wait, I thought we weren’t supposed to mess with Texas?

🙂

CherylG's_DirtyLittleSecret

Big ol Texas with big ol Idiot Politicians who are lined with Stealership funds.

Big oil money has power in American politics.

CherylG's_DirtyLittleSecret

Everyone in Texas, just keep buying from out of state and Texas will lose the revenue to outlying states…..lol

Doesn’t the state still get the sales tax?

Reminds me a bit of prohibition, but also the culture of class and status, where ‘things are just done a certain way, if you are of a certain class and status and you know the right people.’

Having something no one else has, who is not in your class is very important…and people who are in the class below you, realistically know their place!

Of course Tesla sales are restricted over and above price in certain states. It reinforces what is seen as the proper order of things.

And such views hurt us all, even in states without such restrictions. How pitiful.

Big oil owns Texas.

Buying online was the coolest car buying experience I ever had. Don’t see value in a dealership network that makes you wait hours to get the best deal when buying a car. Even the service from Tesla is the best. I get a new Tesla Model S loaner that is dropped off where-ever I am at, home or work or wherever. My car is then taken away to do any scheduled service or preventive maintenance.

When they take your car away do they give you another car to drive? Did you have a trade in when you purchased your car? How did they appraise it?

They give me a loaner car anytime my car is in for service. I chose if they come meet me to swap my car with the loaner car, or if I drive my car to the service shop to swap and get the loaner car.
I did not have a trade-in, I sold my prior car on Craigslist to maximize my sale price.

None of the money trying to stop Tesla in Texas is from oil companies, it is all auto dealers.

The energy companies all have boat loads of natural gas that they are trying to find a use for. Some extra electricity demand wouldn’t upset them too much.

Exxon is already predicting shrinking oil demand just a couple decades out.

I’m guessing the difference between a showroom and a gallery is that one allows test drive and the other doesn’t. Are both staffed with knowledgeable employees? We bought our Tesla at a showroom. After our questions were answered, the sales Rep walked us over to a PC where we placed our order online, just as of we were at home.

Has to be a lot cheaper than the typical car salesroom model. Only 1 or 2 onsite salesreps. No onsite managers or finance department.