Tesla said it will offer a $1,000 discount on a new Model S or on service, for owners who recommend a Model S to a new buyer, according to reports, with the new buyer also getting the discount.
The program will pay current Tesla owners $1,000 in Tesla credits to convince family and friends to buy a new Tesla.
Those only making it half way there will still get $1,000 for every one of referrals, but will also be invited to the grand opening of Tesla’s gigafactory in Reno, Neveda. 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.
It also theoretically helps them increase sales in the many states that have banned vehicle companies from selling directly to buyers, instead requiring them to sell through third party dealerships or online. As a part of strategic planing to determine how many new stores to open, it occurred to Musk and Tesla’s leadership that it might make sense to borrow a page from the tech industry and Musk’s experiences at PayPal.
In classic Musk fashion, he said he didn’t even have a name for for the incentive program.
Musk, in a conference call with reporters, described the referral program as “a guerilla tactic against auto dealers in certain states” that do not permit Tesla to sell its luxury electric cars directly to customers.
According to that analysis, only a quarter of new Model S owners earned less than $100,000, Edmunds.com said Wednesday. The $35,000 level Model 3 is expected to be delivered in 2018, and promises to put Teslas in the hands of many.
Tesla Model X at CES. Musk said. “And the key element of that is how does word of mouth compare to store-based sales”. These will always be important to allow people to check out new models and ask our product specialists detailed questions. “If not, we’ll say that was an intersting experiment and we’ll move on”.
Musk noted that this experiment was similar to how customers were grown at PayPal/X when he was at the company in 1999. “But I think it’s worth trying out because if it is a fundamental improvement of cost of scale and we can pass it along to customers, I think that’s just really a good thing”. Reaching ten orders (assuming someone already got the free Model X) will give you access to purchase a Founder Series Model X with all the extra bells and whistles at no extra cost.