Honoring Original Estimated Pricing

Status
Not open for further replies.

Diehard

Well-known member
First Name
D
Joined
Dec 5, 2020
Threads
23
Messages
2,127
Reaction score
4,247
Location
U.S.A.
Vehicles
Olds Aurora V8, Saturn Sky redline, Lightning, CT2
Country flag
That’s because their EV business has negative profits. (-40%)
Part of (not the only) reason it does is that they priced Pro based on announced $40K CT. If you remember, when CT was revealed it was pulling an F150 (they are indeed tied together). It is a two way thing; What happens there, has impact here. Pro price, set the floor for CT. Not because Tesla has to but because no reasonable customer can now object (unless Silverado WT can hold it's $40K price).
 

Alpine

Well-known member
Joined
Mar 24, 2022
Threads
38
Messages
397
Reaction score
843
Location
Tehaas
Vehicles
911
Country flag
Ford just had another price increase. Pro is now $20K more than what I paid for it.

1680226624104.png
They mostly brought the bottom up. Look at the difference in price between pro and xlt. Only about 3k now. Way more price difference before so perhaps they are bringing it up to xlt level now with battery and all
 

CyberGus

Well-known member
First Name
Gus
Joined
May 22, 2021
Threads
67
Messages
5,819
Reaction score
19,102
Location
Austin, TX
Website
www.timeanddate.com
Vehicles
1981 DeLorean, 2024 Cybertruck
Occupation
IT Specialist
Country flag
There are numerous examples of products with demand far in excess of supply: PlayStation5, the newest iPhone, Franklin’s BBQ.

I wonder why they all just sell at regular retail prices?
 


Jhodgesatmb

Well-known member
First Name
Jack
Joined
Dec 1, 2019
Threads
63
Messages
4,914
Reaction score
7,093
Location
San Francisco Bay area
Website
www.arbor-studios.com
Vehicles
Tesla Model Y LR, Tesla Model 3 LR
Occupation
Retired AI researcher
Country flag
Just a curious it’s factor. If we paid a deposit in 2019 to reserve a vehicle at a certain price. We have been exceptionally patient for the past 4 years. I would think that they should be obligated to come within 10% of the original promoted price. Anyone purchasing one that did not pay the deposit would pay whatever they choose to sell it for. It’s an awesome way to finance the facilities needed by collecting 250,000 deposits of $150 a mere 37,500,000 interest free loan for 4 years time. Collectively we have been an invaluable asset and therefore should be locked into the 2019 pricing?
You paid $150? Or it’s been so long that you forgot that you only paid $100? Or it’s been so long that you added the interest on $100 over 4 years (at a really good rate)? :)

Like others have said, that money is to reserve a place in line, but I do not think you could find a person here that doesn’t think Tesla should honor their original pricing if they can. But they are not ‘legally’ required to do so.
 

Diehard

Well-known member
First Name
D
Joined
Dec 5, 2020
Threads
23
Messages
2,127
Reaction score
4,247
Location
U.S.A.
Vehicles
Olds Aurora V8, Saturn Sky redline, Lightning, CT2
Country flag
I have invested at least $20K worth of time on the Forum for it. SCALPING wouldn't get me much of a profit. However if CT comes out with a good range/price option, trading may not hurt as much. For now keeping a car may be better than holding cash in case bankers help economy collapse a little faster.
 

cvalue13

Well-known member
Joined
Aug 17, 2022
Threads
74
Messages
7,131
Reaction score
13,725
Location
Austin, TX
Vehicles
F150L
Occupation
Fun-employed
Country flag
That’s because their EV business has negative profits. (-40%)
So?

Tesla Cybertruck Honoring Original Estimated Pricing 7B8DC0B2-4E9C-4D2B-87B7-485E92BA06C2

  • unlike Ford, Tesla’s net profit numbers above were heavily subsidized by selling emissions credits and bitcoin (eg nearly $2B worth in 2020);
  • unlike Tesla, Ford spent nearly $3.5B on BEV R&D last year (roughly equiv in life cycle to Tesla’s 2017, when Tesla spent only $1B in R&D), which contributes a good bit of net profits loss for a company only selling 90,000 BEV’s in the same year (that’s $39,000 of R&D per BEV sold);
  • meanwhile, all that lost profit is before tax, meaning those amounts are basically banked against tax in future year’s revenues;
  • and meanwhile-meanwhile, when the profits of Ford’s dealers are combined with those of Ford manufacturing, the overall profit margins per vehicle are far north of ~40%, which means Ford’s pricing power is far greater than seems (as Ford’s manufacturing scales, the distribution and sales channels already exist and require no further investment by Ford, while those same increases in inventory means it’s the dealers, not Ford, absorbing the resulting price reductions);
  • meanwhile-meanwhile-meanwhile, 30% of Ford’s BEVs sold in 2022 were to its internal joint venture partner, Fleet sales, at wholesale - with the revenues from those sales attributable to Fleet not Ford e (parent Co. still happy)

just these few nuances laid out: what exactly is the relevance of Ford’s -40% profit margin per BEV in 2022, or Tesla’s -20% profit margins per BEV in 2017?

I’m not arguing whether Ford’s EV business is good or bad, just that people shouldn’t use dumb “evidence” to prove it up in uninformed quips that demonstrate nothing more than their unfamiliarity with corporate spending
 


Deleted member 3316

Guest
You paid $150? Or it’s been so long that you forgot that you only paid $100? Or it’s been so long that you added the interest on $100 over 4 years (at a really good rate)? :)

Like others have said, that money is to reserve a place in line, but I do not think you could find a person here that doesn’t think Tesla should honor their original pricing if they can. But they are not ‘legally’ required to do so.
Canadian Dollars….

Elon said specifically they cannot launch at original prices.
 

Deleted member 3316

Guest
Did he? What's the exact quote?

-Crissa
Was either at the last investor day or the shareholders meeting I’d have to go searching… it referred directly to inflation etc. in relation to Cybertruck and that it’s not what was at reveal.

Edit:

"A lot has changed since then, so the specs and pricing will be different," said Musk. "I hate to give a little bit of bad news but there's no way to have anticipated quite the inflation that we've seen and various issues. But what I can tell you is that the Cybertruck is gonna be one hell of a product and it's gonna be like a damn fine machine."
 
Last edited by a moderator:

Deleted member 3316

Guest
There are no facts here only your unending rant.
There’s no sense in your unending drivel but I still try to interact with you honestly.

Are we going to continue this puerile schoolyard taunting or shall we have an adult conversation?
 

Deleted member 3316

Guest
Did he? What's the exact quote?
"A lot has changed since then, so the specs and pricing will be different," said Musk. "I hate to give a little bit of bad news but there's no way to have anticipated quite the inflation that we've seen and various issues. But what I can tell you is that the Cybertruck is gonna be one hell of a product and it's gonna be like a damn fine machine."
The part about “various issues” I believe includes the production ramp when coupled with the unprecedented demand.
Sponsored

 
Status
Not open for further replies.
 




Top