Would Tesla lower price quicker if a bunch of cancellations happen?

[C T Rick]

Everyone knew that the initial $100. Fully refundable deposit caused a feeding frenzy. I assumed that at most only 20% would follow through. Now of course the big price increase, less of the original 4 year reservation holder will stick around. It would be interesting to see the dropout numbers.

Sure the current price is comparable to the other brands, so maybe new money will come in, but those who waited 4 years, are now faced with a 50-60% price increase.

Rick

Sponsored

 

[donnyb]

Remember when Rivian raised the price on the release of the R1T by 20% and a huge number of people canceled their orders? Rivian ended up honoring the original price and asking people who canceled to come back. It could happen, but it is not likely with 2+ million reservations. If you can wait 2-3 years, the price will decrease.

 

[JRu]

I think Tesla and the Technoking wouldn't price it based on reservations, and if 75% of reservations cancel that's still 2 years at volume production, probably 3 years including ramp-up time through most of 2024. Then there's the converts that want to buy without reservations.

My hope is in 12-18 months from now when most of us will start to execute our orders they'll further optimize productions and can drop the price a bit, like they did with S/X recently

 

[Startreknerd]

Ok so we all know a lot of us have an extra reservation for X reasons.

Some like me are on the verge of walking out mostly because of price.

Well my peeps, Tesla got 2+ million reasons to overprice. But It's a hollow demand that we created for whatever your reason.

So what if we all just cancel one of those extra spots to move that demand needle backwards a bit.

Would that make them rethink pricing?

And this might be too much to ask but what if somehow we organize to do it at the same time. You think that would grab their attention?

I think continued high rates will cause prices to come down more than cancellations.

 

[swengl]

I went through some anguish when ordering my Model S almost 9 years ago: Do I wait longer for better features / price or pull the trigger? Here's my take: pull the trigger now (if you can). You don't know what the future holds and future FOMO should not overshadow from the current need/desire to own the Cybertruck. Plus, you can always (after at least a year), sell yours and purchased another if you have the means and the desire to do so.

 

[swengl]

Remember when Rivian raised the price on the release of the R1T by 20% and a huge number of people canceled their orders? Rivian ended up honoring the original price and asking people who canceled to come back. It could happen, but it is not likely with 2+ million reservations. If you can wait 2-3 years, the price will decrease.

Rivian also is in the position Tesla was when the Model S was released: new company, new vehicle, struggling to make money. Tesla is in a very solid position currently, they will not go too crazy with price fluctuations on the CT due to the heavy demand and limited supply.

 

[intimidator]

In my opinion, no.

If there are 1.5 million reservations, and let's say 1 million people cancel, that still leaves 500,000 orders to fill. Which will take all of 2024, all of 2025 and part of 2026.

There would be no reason to lower prices until 2026.

 

[bigrin]

I've had some time to digest the new pricing and decided I'm going to hold onto my reservation. After seeing all the youtube reviews, and seeing the comp prices with other vehicles... purchasing will be in my opinion a good investment. And I'm about 35K in the que, so game on.

 

[rizvend]

Shit.. Goodbye kidneys, hello Cybertruck.

Going rate for that would buy you a hood and tires.

 

[Jclark87]

Not trying to be mean or rude, but there are PLENTY of us who have been saving for 4 years and have ample financial resources to be able to afford the higher priced truck. There have been enough indicators through the past 4 years that this truck was definitely going to be higher priced than the guidance put out initially. It’s also priced competitively for other high trim trucks. Check out a Platinum or Limited Ford Super Duty or Denali/High Country Sierra/Silverado from GM. All three at or near $100k. Demand wont be an issue for at least 2 years. Supply will be the biggest issue, especially since they think they can only make 250k per year. I am an early 112 reservation holder and I’m not expecting to have my truck until mid to late 2024. Most reservation holders won’t see theirs till 2025 or later. Save up now. There’s still plenty of time to get a bigger down payment, plus don’t forget the $7500 tax incentive can be used at time of purchase starting in January. That gets AWD down to $72400 right off the bat.

 

[bigrin]

Reservation order # 112? You should be getting your truck in late 2023 or early 2024.

 

[davelloydbrown]

Lets say that there are 1 million reservations. Initial wisdom was that the conversion rate would be 40%, now with the change in prices and performance that is probably down to 20%.

Initially most of the reservations were for tris and duels and very few for singles. Now maybe 10% of the 200 k or 20 k will order a tri and they will be filled first. When you think about it, the only difference between the tri and the duel (they have the same battery which is the most expensive part) is the extra motor and some software so the profit margin on the tri is massive.

Most of the tri reservation holders will switch to duel and some of the duel will switch to single and don't expect a price reduction for at least a couple of years.

 

[Bill W.]

Personally, I don't think that anything we reservation holders say or do will change the current CT pricing. Pricing should come down eventually, but there are other variables to consider. Will the current EV tax credit/rebate still be around when some of us take delivery? Difficult to predict, and it would be a best-guess anyway.

Many have stated that the pricing is in-line with the current competition. While true, it also means that the other BEV trucks are now competitive, at least price wise. My reservation is fairly high (RN115...), so I will be waiting and watching for the next few years.

The CT looks like a nice vehicle, especially if you want to stay within the Tesla family. I would sure hate, however, to be the person that took delivery one day before a price change.

The youtube reviews are nice, but I'm looking forward to hearing the opinions/comments from the forum members as they take delivery and put some real-world miles on these trucks.

Should be an interesting few years!

 

[Darryl2006]

Does the EV tax credit include the base price only or is it all in, including options. If they make us include upgrades like tires or hitches or even storage bins for under the rear seats, we'll immediately be over the max 80k. Does anyone know?

 

[bigrin]

Off the Base MSRP., is my understanding. They want you to be able to get the $7500 off so as to beat the competitions comparable equipment/trim pricing... ie: Ford Lighting.

Sponsored