The excitement behind the Model 3 is almost tangible at this point, and Tesla Motors is just as excited to get people behind the wheel of its affordable sedan. However, the car’s reservation process has become more considerate for buyers. Although Tesla is still not sharing much about the Model 3’s development, investors as well as the public got a little more insight into how things are going at company’s latest earnings call. From what we are being told, there is very little to worry about. Today, LearnBonds looks at a few interesting aspects about Tesla’s most affordable car yet as well as those in line to get it.
On the investment side of things, shareholders have a lot to keep an eye on, too. The Model 3 is set to help significantly boost Tesla’s EV production rate from 100,000 cars to 500,000 by the end of 2018. Any analyst would admit to the ambitious nature of that claim. However, it is not without considerable evidence and the demand is certainly there.
The upcoming Model 3 is set to sell at an assured $35,000 at its most standard. Many of the initial buyers stand to get the car for a bit less if they qualify for regional tax discounts. At its latest profit announcement, Tesla assured investors and those in line for the Model 3 that everything is on track. The car is set to start production in July just as scheduled. The company’s CEO Elon Musk also reiterated that the Model 3’s delivery process will begin this year just as promised.
An interesting thing to note is that Tesla Motors stopped giving out official Model 3 reservation numbers several weeks after the car’s unveiling. The number thrown around for about a year now is 400,000 paid pre-orders, but analysts are certain that number must have grown a considerable amount. Between 31 March and 15 May 2016, the Tesla Model 3 secured 373,000 reservations. The company has since gone silent in terms official reservation numbers, leaving fans and experts with no choice but to speculate it booking.
Long wait for Tesla Model 3
When asked to give more details about the reservations, the company once again shied away from official numbers. Musk did admit, however, that Tesla anti-sells the Model 3. It is no secret that the first year of Model 3 production is already sold out and Musk says his company has no desire to keep people waiting in line forever. For this reason, the company tries to push people onto its other existing models instead.
“When somebody comes into our store to buy a Model 3, we say, ‘Well, you know, why don’t you buy a Model S or X instead?’” Musk admitted. “So we anti-sell the 3. Still, a lot of people ordered the 3, but whatever.” … “As for the Model 3 reservation number, this is not something we comment on, and not something that is a figure of merit in any way.”
Not long after the Model 3 was unveiled a year ago, the company dialed down promotional talks about the car. The company has admitted to the public’s overwhelming response, although the great demand means many people will be in line for long time. “We don’t want to make the line longer,” said Jason Wheeler, the outgoing CFO at Tesla.
Those waiting to see a final version of the Model 3 before it goes into production shouldn’t hold their breath. Musk has admitted that a final showcasing of the affordable Tesla is still months away.
“I’m not sure if it kind of makes sense for us to show the final version before starting production or after,” he shared. “[I]n terms of showing a final version, probably at least a few months away or as far as July itself.”
Tesla fans are massive supporters
What is interesting to note is the actual support from Model 3 reservation holders. Despite facing long waiting periods, many Tesla fans are fully behind the company and its Model 3 initiative. Their eagerness in understandable, but feedback shows that users are a lot more interested in Tesla getting the car right than it rushing to get the car out.
“I don’t mind waiting,” writes one LearnBonds reader, JamesCE, who is in line to get his hands of the new Model 3, “but I’d like to see or hear progress. Options being raised, better pricing for accuracy, or even progress of production with suppliers. Anything that lets me see the inner workings of progress. I would be happy to even play with the configurator for a few months,” he added.
He is not alone in this view. There are several Model 3 reservation holders who have shared their eagerness to know more. “Would be happy to get monthly updates,” write Demetrius Roman, another Learnbonds reader and reservation holder, “and a configurator to play with while we waited.”
“I am 76 and could be dead before I get it,” another reader joked. “I want to see one.”
Tesla has nearly half a million people around the world simply waiting on the edge of their seats for Model 3 updates. Although reservation holders seem quite patient and understanding, their anxiety about learning more is understandable.
Model 3 fans are in no rush
Tesla has a history of not meeting its own projections and over-promising on most of its developments. The delayed release of the Model S and Model X are only the most noted of the company’s frustrating behavior. While there is hope that the company is learning from the mistakes which come from being too ambitious at times, there are many who believe Tesla will disappoint on its Model 3 delivery goals.
Again, some people don’t mind the delay. A few Tesla fans have the same patient attitude toward the upcoming Model 3.
“Tesla is the only auto company dedicated to help save the planet and [most articles] frets about a few months here or there. I am a reservation holder and Tesla can take all the time it wants to get it right,” writes a reader who goes by JimGord. Judging by these comments, it would seem that the support behind Tesla is greater than outsiders might think.
As few weeks back, LearnBonds took an in-depth look at the Model 3’s price incentives and performance aspects. Judging by Tesla’s assurances thus far, the auto scene can expect a game-changing vehicle to roll out later this year. If you would like to take a look at our Model 3 cost report, click here. Those looking for an in-depth update about the affordable Tesla and when it will be seen on our roads can click here.
Are you in line to get Tesla’s upcoming Model 3? We would like to hear your thoughts in the experience. Not a Tesla fan? Let us know what has deterred you from the company and its promises. As usual, you can also keep the conversation going by sharing this page on social platforms.