Tesla sustains strong demand through pandemic

Tesla CEO Elon Musk highlighted the ability of his company to sustain high demand during the coronavirus pandemic due to their streamlined online ordering process.

In the first part of a three-part interview with Jason Stein from Automotive News, Musk claimed that Tesla’s online purchasing process, which prevents visiting a dealer to purchase a vehicle, may have helped the electric carmaker sustain a healthy amount of demand during the pandemic.

“We saw strong orders through the whole pandemic; we still had good order volume,” he said.

Tesla thrives on the idea that all of its cars are available to any customer at the same price and negotiating with demanding automotive sales reps is not something the company has ever been interested in.

Tesla has used an electronic purchasing process and a direct-to-consumer distribution process to maintain the burden and confusion of buying a new vehicle at an all-time low. This strategy was used to alleviate any anxieties that a car buyer may have about dealing with salespeople and negotiating the price of a new vehicle.

“We make the buying experience very easy. You can buy a Tesla in just two minutes by going to our website. Go onto our website. You can literally order a Tesla in two minutes, maybe one minute if you’re really fast,” Musk added. “I guess people are less inclined to want to go to a dealership, do the test drive, and hang out in the lobby and that kind of thing.”

During the pandemic, this tactic seems to have complimented Tesla’s sales figures, which shut down several Tesla showrooms and forced car buyers to either wait to purchase a vehicle or order it online.

Demand has been something that many carmakers appeared to be grappling with throughout the first half of the year. When citizens were unemployed or out of jobs, automotive dealers suffered slumps in demand for their cars and consumers were either unable to spend the money on a new car or unable to risk their safety to shop for a new trip.

Tesla’s online ordering process efficiency, along with the stress-free process it involves, has helped the electric car maker remain on top of the game despite the pandemic.

Among the relaxed buying experience, Musk has said that the reason Tesla has maintained success during the pandemic is that the company loves its vehicles more than traditional legacy manufacturers. Adding video games, in-car entertainment, easter eggs and convenience all add to the success of the business despite tough times.

There is no question that demand for the company’s vehicles has not slowed. Tesla delivered 90,650 cars in the second quarter, led by the Model 3 sedan which was the world’s most popular vehicle in June.

Tesla also announced that it would open a new Gigafactory production plant in Austin, Texas, which would manufacture the iconic Cybertruck along with the Model Y for North America’s eastern half.

Part one of the interview with Tesla CEO Elon Musk given by Automotive News is available here.

Reported by Teslarati.

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