Pricing strategy

[cyberwulf]

Incorrect.
withholdings don’t matter. Tax return or taxes due in April don’t matter. If line 16 of your 1040 is greater than $7500, you can get the credit. (unless your income is above the limit).
Look at last year’s tax return to see what your tax liability normally is. Even if your withholdings have been more than your tax due, so that in April you get money back, or pay a few hundred or a few thousand, that isn’t “your tax liability”. Line 16 is the key! (generally, talk to your CPA)

Change from 2024. The $7.5k tax credit can be transferred to the dealer. “Can" but isn’t mandatory. This 7.5k could potentially be apllied to down payment, or straight off the lot price.

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[ikwill]

I too have been concocting reasons why it would make sense for Tesla to keep the price low, but I realized that my logic was biased by motivated reasoning. It only makes sense for ME! It gets ME, MY truck inexpensively, but it hurts Tesla's bottom line. The excitement will remain plenty high and the backlog will NEVER be larger than it is right now. Sure, there will be some folks whose enthusiasm will take a hit if they get priced out of buying one because it comes out higher than the reveal night price, but if they're real fans of CyberTruck they'll instead get excited about new ways to make their budget fit the new price.

I've resigned myself to accepting what's best for the company, even at the risk of making Crissa mad for me telling Elon I'm willing to pay more. ?

Put me in the category of paying whatever is the price will be for (tri) but if they’ll decide for a quad, I’ll wait and again whatever the price they’ll ask for I’m willing to pay.

 

[HaulingAss]

Change from 2024. The $7.5k tax credit can be transferred to the dealer. “Can" but isn’t mandatory. This 7.5k could potentially be apllied to down payment, or straight off the lot price.

To be clear, witholdings don't matter in 2023 or 2024, even with the ability in 2024 to transfer the credit to the dealer. The amount of tax that has been witheld or paid, doesn't change your tax liability or eligibility for tax incentives, it's simply accounting for how much of your total tax liability has been paid, and how much is still owed.

 

[NASCARRon]

My approach would be to initially price the Cybertruck competitively to keep the momentum and excitement. You can gradually raise prices as improvements, options, and backlog grows. It is the most anticipated vehicle in the industry. Manage the market and customer loyalty; the brand will grow the price such that it becomes a huge revenue generator. Just my opinion.

My approach would be to price the truck on the higher side to offset the cost to produce, then move down as costs improved. The caveat would be to start at the top of the list and move down but give the order holders the opportunity to pass but not lose their spot. Then for ever cost reduction go back to the top and offer it again and keep doing this until all orders are filled.

 

[newwave1331]

My approach would be to price the truck on the higher side to offset the cost to produce, then move down as costs improved. The caveat would be to start at the top of the list and move down but give the order holders the opportunity to pass but not lose their spot. Then for ever cost reduction go back to the top and offer it again and keep doing this until all orders are filled.

Announcing a higher starting price for early deliveries could scare off many people thinking they will have to pay those prices when their number is called. This could lead them to purchase other vehicles and not being in a position to purchase when pricing falls and normalizes for ramp. You dont want to scare off people to the point it effects your demand for full capacity of 250k/yr otherwise your capital investment wouldn't have a desirable return. The giga press would set the new world record for heaviest and most expesive paper weight.

 

[PilotPete]

That's correct for this year. 2024 when the little people start receiving their CT is different. According to what has been released to date, the only ones to lose out on the money are those at the upper end. Still waiting for the final implementation guidelines...

 

[NASCARRon]

By the time we get to the bottom of the list (1.5k or so as long as they don’t loose their place in line) they should be able to make the much cheaper than when they started. That is when any new buyers can even get one.

 

[newwave1331]

By the time we get to the bottom of the list (1.5k or so as long as they don’t loose their place in line) they should be able to make the much cheaper than when they started. That is when any new buyers can even get one.

The first truck built will cost about $3B, they get significantly cheaper after that

Gus has the price for the first unit. How long until we are around $50k?

 

[Nolacyber]

I still don’t see any readon For Tesla to price first deliveries of the tri-motor at the same price as an S or even an S Plaid. I’d pay it.

 

[JoeRod97]

I too have been concocting reasons why it would make sense for Tesla to keep the price low, but I realized that my logic was biased by motivated reasoning. It only makes sense for ME! It gets ME, MY truck inexpensively, but it hurts Tesla's bottom line. The excitement will remain plenty high and the backlog will NEVER be larger than it is right now. Sure, there will be some folks whose enthusiasm will take a hit if they get priced out of buying one because it comes out higher than the reveal night price, but if they're real fans of CyberTruck they'll instead get excited about new ways to make their budget fit the new price.

I've resigned myself to accepting what's best for the company, even at the risk of making Crissa mad for me telling Elon I'm willing to pay more. ?

I ordered the 39k single motor.it has plenty of speed and power for me. I have a model 3 and it is plenty also.im not hauling concrete or a trailer.i just need a pickup again.my last pickup was a 74 Chevy.i miss having a truck.ive read for the last 3 years that mine is probably not going to be built.well, ive got the fever and i will psy whatever they want.can be any worse than the other car dealers who pack the hell out of their m.s.r.p. anywhere between 10- 100 k based on demand yet they get it! Teslas just a little more upfront about their pricing. Im all in like Ralphie wanting his Red Ryder repeating BB gun

 

[Amuma]

My approach would be to initially price the Cybertruck competitively to keep the momentum and excitement. You can gradually raise prices as improvements, options, and backlog grows. It is the most anticipated vehicle in the industry. Manage the market and customer loyalty; the brand will grow the price such that it becomes a huge revenue generator. Just my opinion.

Initial volume base is unlike any other design. It's a reason Elon went the stamping no paint route vs the standard dev route for this truck. Should be easier to assemble in mass vs other models. Volume sales helps the bottom line also.

 

[Crissa]

That's not how that works.

If you overpaid your taxes, you'll get a refund. It only doesn't give you a refund for any taxes you didn't have to pay.

So, it's like if your annual taxes were $25, but you already paid them, and the rebate was $25, you'd get $25 back as a refund.

But if your annual taxes were $10, but you already paid them, and the rebate was $25, you'd only get the $10 back.

-Crissa

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