Tesla Announces Year-End Discount On Model S In China


Tesla Model S

Tesla Model S

After a strong third quarter in China, Tesla intends to achieve an even stronger fourth quarter – something needed to hit the significant mark of at least 50,000 deliveries in a single calendar year.

Q4 needs to be not only the best quarter ever, but much better than any other before with at least 17,000 sales. U.S. and Europe will need to get support from Model S sales in Asia.

And here comes new incentives… Tesla Motors announced on its Chinese blog in November a year-end discount of up to 80,000 Chinese yuan (today over $12,500) if a Model S buyer switches from non-electric or other electric cars.

As we understand the idea, Tesla applies the discount for those who will use a special replacement program (launched in early 2014) enabling Tesla to sell on behalf of the owner on the old ICE car in a convenient one-stop service on various auction platforms.

The facilitation of quick sale (without fees from Tesla), combined with discount. probably will be an interesting promotion that lowers the price of the Model S by at least several percent.

Xinhua Finance notes that only Guangzhou and Shenzhen will benefit:

“The US electric car maker’s plan may boost its sales as in Guangzhou and Shenzhen, auto purchase is still under restriction. Currently, Tesla Motors directly runs 9 experience stores and service centers in 6 Chinese cities including Beijing, Shanghai, Hangzhou, Shenzhen, Chengdu and Xi’an.”

Now we just need to wait see if there is any improvement on S sales this quarter versus the 1,345 sold in China in Q3.

Source: Xinhua Finance


Categories: Tesla


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5 Comments on "Tesla Announces Year-End Discount On Model S In China"

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Facelift must be coming for 2015, and they have over produced Chinese cars and for fear of not being able to sell they are heavily discounting?

Tesla has done many things to “manage demand”… in other words, to generate or increase demand. In fact, when they started making the “D” dual drive Model S, they gave a slight discount to all existing demo/loaner Model S’s which at the time were at Tesla showrooms and service centers.

But this is the first time, I’m fairly sure, that Tesla has actually offered a discount on all Model S’s in a region.

Interesting that Tesla has gone to the extent of offering this incentive in China, while still avoiding paid mass marketing everywhere. (Note I did not claim Tesla avoids all paid advertising; their recent program offering $1000 to any Model S owner who uses word-of-mouth advertising to sell a Tesla car, certainly qualifies as “paid advertising”. But Tesla has to date avoided paid mass advertising.)

Once upon a time, there was a car maker that was so different than all the others 🙂

Technically Tesla is offering a year end discount in all regions with their $1000 off referral program. The program ends on December 31st so it is a year end deal. Unless Tesla runs the referral program again there isn’t any way to get a discount on a Tesla (unless you live in China). You can click on my name to get $1k off your Tesla.

LOL. Trying to win your referal award?

$1000 is nothing compared with this “$12,500” discount.