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Model Y gets a 3k price drop

  • Business, Transportation
  • Ged Smyth
  • July 13, 2020
  • 6:54 am

Tesla has been looking at its pricing strategy over the last little while and had made adjustments to all its current models back in May except the Model Y. It was announced late last week that the Model Y would get sweetened as well.

Tesla has announced that it will be reducing the price of its new smaller crossover by $3,000 USD. This will allow the Model Y in AWD to start at under $50,000 USD before taxes and incentives. 

Upgrade to Performance

If you want some more goodies you can pick up the performance model now for just under $60,000 before tax and incentives. The performance gives you the performance package as standard as well as a top speed increase of 155MPH (not that anyone needs to go that fast). This upgrade also gets you the 21-inch rims, bigger brakes, alloy pedals, and slightly dropped suspension. The downside, the performance package is it takes your total range from a rated 510KM down to 470KM. This is a small price to pay however to get all the extra goodies.

Success in a Pandemic

Tesla is coming off a great second quarter despite the world being in a pandemic with COVID-19. Tesla delivered 10,600 Model S and X. They also delivered 80,050 of the Model 3 and Y. This was above their projections and I would assume has allowed Tesla to look at their pricing strategy and come to the market even more aggressively.

 Thoughts

Sales in the car industry are down across the board. The industry is projected to drop north of 20% this year and the manufacturers are scrambling. The traditional dealership is being hit the hardest. Even after they were allowed to reopen, it was needed for them to change all internal procedures. Going in a dealership, walking around, and ‘scoping’ the lot for something you may be interested in is a thing of the past. Tesla’s business model as a whole suits the way the world and it will be interesting to see how they trend vs the rest of the car world.

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  • Business, Model 3, Model S, Model X, Model Y, Price Drop, Tesla
Ged Smyth

Ged Smyth

Contributor: Passionate about Home Theatre & everything Audio

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