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FredTMC
Model S VIN #4925
Wow. Nice observation. It would certainly be another margin enhancing addition to model S
If Tesla were to offer an AWD version of the S before they start delivering the X, I'd have to think long and hard about whether to keep my Sig or trade up to AWD. I'd hate to give up the Sig's early VIN number but, honestly, I think an AWD S would be just about perfect for my year-round needs (it would allow me to go ahead and ditch my AWD ICE, which I only drive now when it's snowing out, grumbling all the while). I would drop my Sig X reservation, then, too: I don't need the bigger, taller X, and I think the S is better looking, too.
With the card arrangement the person buying had the choice to hand in the card or not. I imagine that pushy sellers would not see the cash later.
I would hope Kevin's extra year (or years) of warranty would be transferable to the next Tesla!
Vger
Active Member
I had very much the same experience. Just this once, I wished I lived in Texas, so I could lead a class-action law suit against those SOB's. To the barricades!
Elon is so much more appealing when he lets his feelings show a little. He is so amazingly smart, but that is not enough. The connection with people is, I believe, profoundly important.
It's funny. Wouldn't this law preventing direct sales be the most blatant violation of the commerce clause? It clearly acts as an impediment to interstate commerce which is unconstitutional. The commerce clause has been used to defend far weaker arguments. Why doesn't Tesla just go direct to the federal courts I wonder? Get these types of laws preventing direct sales as unconstitutional?
CapitalistOppressor
Active Member
It would make a lot of sense to offer an AWD Model S. That just leverages their investment even more.
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The existing laws have already been tested in the courts back in the 50's. The North Carolina law banning internet sales though is a new thing, and definitely should be challenged.
kevin99
Member
Regarding referral reward program for Models S owner. First of all, I don't want to sound greedy for suggesting the incentive program to Elon, as one of the readers accused me in PM which I responded by WTF. I wasn't actually plan to brought this up in the meeting. It is something in my mind for a while and then Eon start talking about the owners are the best sale people then I wrote the question down. Second, if you watch the webcast, I ended the question by saying "I will sell as hell", when Elon didn't really offer anything. The question is not about me gaining one or two years of services at all, it is about doing the right thing, as Telsa seems to demonstrate in their various innovative scheme in financing program, resale guarantee and service loaner.
Now in order to research SCTY, another fascinating stock which I don't understand as much as Tesla, I just signed my SolarCity contract, and got this thank-you note from the sales consultant:
"You can also start taking advantage of our referral program and help your friends and family members make the switch to cleaner, less expensive energy with SolarCity. Each referral that signs up with us will earn you $400. "
If SC can offer $400 bonus for a sale of ~$160,000 ( $70/month x 12 months x 20 years) over a 20 years contract, then why $400 of one year service is too much for Tesla's $80k one time sale?
Now in order to research SCTY, another fascinating stock which I don't understand as much as Tesla, I just signed my SolarCity contract, and got this thank-you note from the sales consultant:
"You can also start taking advantage of our referral program and help your friends and family members make the switch to cleaner, less expensive energy with SolarCity. Each referral that signs up with us will earn you $400. "
If SC can offer $400 bonus for a sale of ~$160,000 ( $70/month x 12 months x 20 years) over a 20 years contract, then why $400 of one year service is too much for Tesla's $80k one time sale?
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As long as it will be Demand >>> Supply its just a losing strategy for Tesla to reward referrals, especially since it has shown that existing costumers already promoting the Model S in a big way even without referral rewards.
But I think it can be a good thing in the future when the production rate is no longer limited.
What is important thou is that the reward is in form of something like "one year service", I think it would be terrible to offer straight cash, people would question the enthusiasm behind some Model S owners and think they was want the 400$ (or whatever amount it is).
In other cases I noticed how paranoid people can be as soon as the hear that you are taking a profit by promoting them something.
Even if the economics of a referral program work out, I much prefer Tesla owner's testimonials to be completely genuine, and perceived as such. Even if they are still completely genuine grass-roots testimonials, even with a financial incentive, the perception will be that the owner just wants the $400, or free service, or whatever. "Fox and friends" will have a field day with this.
GSP
GSP
kevin99
Member
Definitely I will avoid cash reward, that is why I suggested one year service.
But I want to dig deeper than the "Demand >>> Supply" rational, which seems to be the prevailing theory right now. However it is about doing the right thing, being fair and give credit when credit is due. Selling a new car is a significant effort and should be rewarded. And read the following before you jump to conclusion.
Majority of the Model S owners (>95%) are financially solid, that I suspect one year of service is not enough a motivation to introduce the car to family and friends. It just come as a form of thank-you. At least that is the case for me. With or without any reward, I will offer rides, and give my impression to friends when they are interested. It does not affect me. My motivation of selling the car is still pure and genuine, has nothing to do with the reward or the shares that I own. It is simply the car is a good buy for someone who can afford.
It you take the theory about "In other cases I noticed how paranoid people can be as soon as the hear that you are taking a profit by promoting them something.", then there is a bigger concern for Tesla share holders to recommend the car. To me that is a bigger conflict of interest. The owner basically has to disclose whether he/she owns any share before he recommend the car. Otherwise he can be suspected for pumping the stock price of TSLA. Won't that be a bit ridiculous?
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^^^ This.
A referral program may work without too many negative consequences several years from now, but today, once folks learn that owners are getting paid to refer the car, they will write Tesla off as another Amway. It can only hurt and won't help.
roblab
Active Member
Selling a Model S is NO effort. The reward is in driving it, in hearing the "Wow!" from friends and neighbors, seeing the "Tesla Grin" on faces as you punch the pedal. The car sells itself. Or, the internet takes the order.
I got a mug, a toy car, an extra parcel shelf (returned). I got emails from new friends, chances to meet Elon and George, free repairs. There are a hundred ways to say thanks, and I think Tesla really tries to use them all. To tell you that showing off your new car (best car in the world, drop dead gorgeous, wicked fast, amazingly safe), should be rewarded by giving you a perk, well I don't agree, is all. I get perks every time I drive it. I get perks looking out my window and seeing it sitting there in the sunshine. I get perks driving past gas stations with 30 cars lined up waiting to put explosive poison into their car.
And how are you to know which person convinced a new buyer? Let's say he knows two or three Tesla owners, or sees the car at the golf club, wanders around it, goes on line. Is not the guy at the golf club somewhat responsible? Or I show it off, and 4 months later the wife sees one at her friend's house, and mentions the fact to hubby. Who gets the credit? Do we keep a log of who we give rides and demos to? Do we go before an arbiter to see who gets what cut of the promo?
It gets complicated.
kevin99
Member
I can't agree more with all your passionate note. Trust me on that.
However I am afraid that you are mixing up the topic.
As for logistic concern, it has been discussed in earlier comments.
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bonnie
I play a nice person on twitter.
Kevin, I'm not so worried about the motivations as I am about the bad press. I totally understand your point, but respectfully disagree. Free service for the year IS a monetary reward. "Owners Get Free Service For Convincing Others to Buy Car" is a headline I'd really not like to see. And if Tesla were to do that, it takes away their ability to say that owners are so happy that they're convincing others to buy the car. Just not something I hope Tesla will do.
I've sold many Model S (and Model X reservations) at this point and I disagree that it is a significant effort. A ride in the Roadster seems to do the trick
. To roblab's point, I feel that Tesla has made sure I feel appreciated and has found different ways to thank me over the years that doesn't involve any monetary reward.
kevin99
Member
Kevin, I'm not so worried about the motivations as I am about the bad press. I totally understand your point, but respectfully disagree. Free service for the year IS a monetary reward. "Owners Get Free Service For Convincing Others to Buy Car" is a headline I'd really not like to see. And if Tesla were to do that, it takes away their ability to say that owners are so happy that they're convincing others to buy the car. Just not something I hope Tesla will do.
I've sold many Model S (and Model X reservations) at this point and I disagree that it is a significant effort. A ride in the Roadster seems to do the trick
Points well taken. I agree that it does not take much to sell a Tesla. :smile: Again I don't want to sound insisting on something or being greedy. This is just purely for discussion and to help Tesla make the right decision. Either they do it or not dose not affect how I will do.
As for bad press, is there a head line "SolarCity is a pyramid scam: owners get $400 when referring a friend"?
How about Tesla visits local markets once or twice a year and takes owners to lunch.
Invitations go out first to owners who contribute the most to their community by doing outreach, providing feedback or produce referrals. Then to other owners as space allows.
Instead of top level executives, Tesla rewards employees we wouldn't otherwise know much about, but who are good at dealing with the public.
I wouldn't turn down a chance to talk with Elon, George or JB - but I am also interested to talk to anyone who designs, builds or services my Tesla.
Keep it intimate - no more than 15 people or so, with 1 or 2 Tesla employees.
It provides a reward all the way around, and gives a good opportunity for face to face contact and exchange of ideas.
Invitations go out first to owners who contribute the most to their community by doing outreach, providing feedback or produce referrals. Then to other owners as space allows.
Instead of top level executives, Tesla rewards employees we wouldn't otherwise know much about, but who are good at dealing with the public.
I wouldn't turn down a chance to talk with Elon, George or JB - but I am also interested to talk to anyone who designs, builds or services my Tesla.
Keep it intimate - no more than 15 people or so, with 1 or 2 Tesla employees.
It provides a reward all the way around, and gives a good opportunity for face to face contact and exchange of ideas.
gg_got_a_tesla
Model S: VIN 65513, Model 3: VIN 1913
I feel rewarded everytime someone asks me about the car and I get to evangelize and educate. Early on, I was thinking about the referral angle as well but, it just doesn't seem right. I've referred folks to SolarCity too but, they've always had fewer naysayers and folks waiting to pounce on any kind of ammunition that they can beat up the company with; Tesla, on the other hand, needs a lot of goodwill to thrive.
Kevin, I see where you are coming from and appreciate you asking the question at the meeting too. However, I feel that the fabulous overall treatment that we, as owners, get from everyone we interact with at Tesla - marketing, service, ownership, executives - is plenty.
I love "selling" the car but, I really don't want to be actually selling the car; at the end of the day, gestures such as free service are a form of indirect incentive too whether one sees it that way or not. Even if we don't do the sales pitch with that incentive in mind, it still boils down to it in the eyes of the doubters.
Kevin, I see where you are coming from and appreciate you asking the question at the meeting too. However, I feel that the fabulous overall treatment that we, as owners, get from everyone we interact with at Tesla - marketing, service, ownership, executives - is plenty.
I love "selling" the car but, I really don't want to be actually selling the car; at the end of the day, gestures such as free service are a form of indirect incentive too whether one sees it that way or not. Even if we don't do the sales pitch with that incentive in mind, it still boils down to it in the eyes of the doubters.
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