Tesla offers first incentive in owner referral program

Announcing this program today, Tesla CEO Elon Musk said that it is a way for the company to possibly save money.

Florida is second in the nation in the number of new and used Tesla Model S cars on the roads, according to a report by Edmunds.com, a consumer vehicle research firm. Owners referring multiple customers are eligible for other rewards.

The program will pay current Tesla owners $US1,000 in Tesla credits to convince family and friends to buy a new Tesla.

Mr. Musk said the effort, now slated to run 90 days, is designed to promote online sales and avoid using retail outlets.

The Tesla Model 3, a $40,000 sedan due in 2017, is the company’s bid to build a mass-market auto.

Both ways of reaching potential customers are important, but, if we can amplify word of mouth, then we don’t need to open as many new stores in the future. “This is something we are going to try out”. “We don’t have any plans to shut down stores, and we’ll keep opening stores”.

While Tesla doesn’t employ traditional advertising techniques, such as running commercials, it does spend on marketing.

Out of all 1,600 Tesla Model S used electric cars in the country, there are more owners in Florida than in any state except California. It also has offered a resale-value guarantee.

Earlier this month Tesla said its deliveries rose 52 percent to more than 11,000 in the second quarter. This sales incentive could produce a big bump in demand as it races to sell 55,000 cars this year, a substantial increase over the almost 33,000 sold last year. “A wide-ranging buyer base is essential for a brand like Tesla that hopes to grow with mainstream shoppers”. Five referrals that result in purchases get you and a guest a tour of the company’s giant battery factory now under construction in Nevada. Sell 10, and you will have the option of purchasing a Founders Series Model X.

The first owner in each region – North America, Europe, and Asia-Pacific – to make 10 referral orders will get a fully loaded Model X for free. The referrals must come before October 31.

Mr. Musk wasn’t shy about the motives for this program, which comes as the company continues to struggle with existing auto dealership legislation in certain states, like Arizona and Texas. Now, Musk wants to take that concept a step further, by turning current Tesla owners into a nationwide sales force. A maximum of ten $1,000 discounts has been instilled on each account, which means you and 1 million of your closest friends are out of luck.