Tesla Has Recently Lowered Model S Reservation Amount 50%

Tesla Has Recently Lowered Model S Reservation Amount 50%

While this is not "breaking news," a recent conversation amongst the staff about the reservation structure of Tesla Model S led us to notice that we (along with most every other media outlet) had failed to cover this topic since change was implemented about a month ago.

So, we are going to put that right now...after-all, there could still be some people on the fence about whether or not to order a shiny new Tesla; this might push them over.

The Tesla Model S reservations, that at one time were $5,000, have been reduced to $2,500.

When speculating on the reasoning behind the decision to halve the deposit, we arrived at one of 3 most logical reasons:

  • Tesla saves between $35 and $70 in merchant fees on credit card purchases (the bulk of how reservations are made)
  • Many online transaction can be tedious/difficult to get approved/processed at $5,000
  • Tesla wants to remove a barrier to ownerships/thinks this will help sell more cars.
Regardless of the reason, $2,500 is the new magic amount to reserve yourself a new Model S.

Interestingly, $5,000 is still required to lock yourself into a Model X purchase (and $40,000 for a Model X Signature).  No formal announcement, or reason behind the change, has been provided by Tesla.

(hat tip to Josh for reminding us that we are supposed to report all EV news)