Tesla is losing ground in its home State. Should Musk be concerned?
Things are not looking good for Tesla, but are we shocked? After months of risky stunts and unconventional business practices finally resulted in consequences. A drop in Q3 registrations in California by 13% doesn’t paint a pretty picture.
Research firm Cross-Sell released data to comparing Tesla’s registrations to Q3 YoY. in about 23 states.
Despite being the highest valued auto company, Tesla faced the full onslaught of the pandemic’s wrath. Its Q2 to Q3 numbers saw a 6000 units’ comparative rise. Meanwhile, Tesla’s Model Y took over Model 3 in terms of registrations. Apparently, releasing a crossover in an SUV market has its perks.
There was a time in California where Tesla accounted for more than half of the total registrations. This year, though, the sales tumbled by 60% on a YoY basis.
Interestingly, after reporting nearly 140,000 vehicles sold in September, Tesla even claimed it would be able to accomplish the ambitious target of selling 500,000 units in 2020.
Meanwhile, stakeholders started questioning Elon Musk’s decisions. Losing customer confidence is one thing but losing out on investor confidence is a different gamble altogether. There is no point in walking on eggshells during one of the worst times ever for the auto industry.
Musk is famous for making the most unconventional moves. In his opinion, he seems to feel that others may lack his insight and deep understanding of the situation. I mean, sure. For someone who actually made owning an EV cool, he deserves to be given some leeway. For now, it all seems like a part of an elaborate plan.
Also, Musk often makes bold claims, but he also usually put his money where his mouth is.
To be continued…