A market capitalization of nearly $1 trillion places Tesla as the most valuable automaker in the world. Only a few of the issues Tesla has faced since it became a mass car manufacturer include shipping delays, fires, autopilots that have gone haywire, and charging times that have yet to match the time it takes to fill up a gasoline tank. Despite these issues, however, its electric cars appear to be hugely popular with the general public. It has garnered a huge fan following due its its unique products.
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What sets Tesla apart from competition?
High-Quality Engineering and Design
Even Tesla sceptics can agree on one thing: Tesla has changed the way people think about electric cars. For any driver, prior to the introduction of the Model S, all electric vehicles were unacceptable. Despite their ugliness, weight, and charging time, they were a worthwhile investment. So it’s understandable that electric car interest has been spotty at best.
All of that changed when Tesla debuted the Roadster and Model S.
The Model S was a sports car with Toyota-like safety features and a charging time of minutes rather than hours, as was the case with previous EVs. In fact, the Model S was the safest car ever tested by the National Highway Traffic Safety Administration, earning top marks in every category.
In addition to its environmental advantages over a gas guzzler, the Model S’s performance was unmatched by any other EV at the time, and this was critical to Tesla’s overall success as it attracted thousands of gearheads who were not opposed to the environmental advantages of an electric car over a gas guzzler.
A New Age Battery
When it comes to making the switch to an electric vehicle, range is always going to be the most important consideration for drivers. With a gas car, you can drive as much as you want or need, and you only have to stop at the gas station every now and then. Because Tesla was aware of this, it built a network of Superchargers and a special battery pack.
For the time being, Tesla’s battery pack is the best on the market. Tesla vehicles can travel 370 miles on a single charge. That equates to a range of 370 miles per charge. The Audi e-tron SUV and BMW i3 are the closest rivals, both of which have a maximum range of less than 300 miles and a range of only 200 miles.
However, Tesla’s success would not have been possible solely on the basis of its batteries. That necessitated the use of power outlets. As a result, Tesla set up a network of Superchargers to make charging as convenient as possible. Elon Musk, Tesla’s CEO at the time, said that unlimited free charging was no longer sustainable. A change in Musk’s heart was evident last year, when the free unlimited option was reinstated by Tesla.
Next-Generation Automobiles
It appears that Tesla owners agree with Elon Musk that Teslas are “laptops on wheels.” It’s interesting to note that people are enamoured with features that have yet to be added to Teslas; they’re enamoured enough to pre-pay and wait years for them to arrive. Tesla announced in 2016 that it would release a fully self-driving vehicle, but it didn’t until 2018. During this time, people spent between $3,000 and $5,000 upgrading their devices.
Tesla isn’t your typical automaker, according to some customers and analysts alike, and that’s evident. Tesla is more like a software company than a car company, according to a Tesla owner on Quora. Rather than having to wait for a new model to fix what is broken, they fix it right away using the software capabilities of the product they’ve already developed. According to most, Tesla is a car of the future that has already arrived.
The Internet’s power
Although it’s an interesting question, it’s unlikely that Tesla would have achieved its current level of success if it weren’t for the internet. The only way to purchase a Tesla directly from the manufacturer is through the internet. In other Tesla news, the company is taking a novel approach to car manufacturing and sales. Tesla stores exist all over the world, but they are informational hubs rather than physical locations where customers can buy cars. At a Tesla store, you can learn all about the cars, but you can’t buy one.
While traditional car buyers have to haggle over price and wait hours to sign paperwork, Tesla buyers don’t seem to mind because they can design their own vehicles at their leisure in the comfort of their own homes. One relevant survey found that as many as 60 percent of car buyers would prefer to buy directly from the manufacturer, eliminating the need for a dealer altogether.
The paperwork, the haggling, and the time it took to buy a car in a traditional dealership were the things that bothered the most customers. Tesla, on the other hand, does not suffer from these issues. Buying a car is as simple as going online, picking out the features you want, and then paying for it. Visit a Tesla store in a mall near you for some initial research.
Tesla’s retail locations are also unique in that no one there would try to persuade you to buy a car.
Fun is a great way to get people to buy your product
Even the most ardent Tesla detractors must concede that these vehicles are anything but dull. With a 0-60 mph time of 2.5 seconds, the Model S was crowned the world’s fastest production car in 2016. Even the Model 3, Tesla’s entry-level model intended to broaden the company’s appeal, can reach 60 mph in 3.2 seconds.
However, speed isn’t everything. They love their Teslas because they enjoy the entire driving experience. While there are some who prefer the sound of a “silent racer” over a revved-up engine, there are also a number of people for whom noise is less important.
It’s no secret that Teslas are fun to drive, but the Ludicrous mode, which allows the Model S to accelerate from 0 to 60 mph in just 2.3 seconds, is the most talked about feature. The appeal of Teslas, or at least the CEO’s sense of humour, is a major part of their success despite the many delays and unrealistic expectations that they have faced.
Tesla’s name is often preceded by its quality. No matter what your opinion of Tesla’s CEO is, Tesla’s vehicles are unlike any other on the market today.
Some other electric cars have regenerative braking, one-pedal driving and instant acceleration, as well as fast charging. Yet this does not elevate them to the level of Tesla. And no car brand, from the EVs to the gasoline-fueled options, comes with as many hidden modes and settings as Tesla.
Tesla-exclusive features that makes it unique
The use of a single touch screen
With the Model 3 and the Model Y, Tesla has introduced two new vehicles with a minimalist interior and a single centre screen that controls everything from running the car to finding driving directions. No other vehicle has a more minimalistic design. One button opens the glove compartment, and that’s it.
Autonomous driving
Autopilot has been available as an add-on feature for a steep fee since around 2015 when it first became available. The advanced driving system would auto-steer, keep up with other vehicles, brake for slower traffic, and generally help out with highway driving, as long as the driver kept eyes on the road and hands on the wheel.
Tesla’s basic safety system now includes most of these features. With the Full Self-Driving mode upgrade, however, you can have a hands-free driving experience that includes automated lane changes, automatic stop signs, and eventually auto-steering on any road, even off the highway. There are currently only a few beta testers who have access to the full FSD software. In densely populated areas, FSD mode has struggled.
Supercharging stations
Exclusive to Tesla owners, Tesla has its own charging network. More than 25,000 superchargers are in circulation. In just 15 minutes, the fast charging provides 200 miles of range. To use the service, you must load a credit card into the car computer because it is no longer free as it was in the early days of Tesla.
Over-the-air upgrades are also free
Tesla was the first to treat its cars like smartphones, and now other automakers are following suit. Tesla’s software connects to WiFi and can update a long list of car functions, just like you can update your iPhone’s iOS over the air. An OTA update even fixed a braking issue a few years ago.
The use of a key card.
Basically, it’s like a hotel room key card for your car. If you have it out, you can unlock the door by touching it to the door side panel with it. Tesla’s smartphone app can also be used to open the car.
Ludicrous and Plaid
If you’re driving a Model S and you turn this feature on, be prepared for some serious acceleration. When Plaid is engaged, the vehicle has a top speed of 200 mph and a 0-60 time of less than two seconds.
Defense mode against biological weapons
During the devastating wildfires that ravaged the Western United States in 2020, this mode proved invaluable. For Model S and X cars equipped with a HEPA filtration system, it’s only available as an optional feature.
Streaming services such as Netflix
In your Tesla, you can watch all of your favourite television shows. Streaming to work requires that you leave your car at home, so don’t get too excited just yet. Streaming services can be accessed while you’re waiting for your car to charge.
Caraoke feature
In the car, there’s more fun! Once you’ve parked, you’ll be greeted by karaoke lyrics on your touchscreen. However, due to its location in the car, it has been given the name “Caraoke.”
The fricking frunk
The term “frunk” was coined by Tesla as a portmanteau of “front” and “trunk.” In the front compartment, people store everything from gifts and dogs (see image below) to extra charging cords. Tesla’s Model S was the first electric vehicle to include a cargo area under the hood, a feature that is now standard on nearly all other electric vehicles as well.
In business strategy, what sets Tesla apart?
It’s becoming more and more popular to buy all-electric vehicles. There are many reasons for this, including new safety and emissions regulations, technological advancements, and shifting expectations from customers. However, Tesla Motors Inc. (TSLA) and its innovative business model are responsible for a large part of the general public’s enthusiasm for and acceptance of electric vehicles.
With the mission of “accelerating the advent of sustainable transport by bringing compelling mass-market electric cars to market as soon as possible,” Tesla CEO Elon Musk founded the company.
When it comes to Tesla’s successful business model, this mission serves as its foundation.
Sales made directly to the customer
Tesla sells directly to customers, unlike other car manufacturers, which sell through franchised dealerships. It has established a worldwide network of company-owned showrooms and galleries, mainly in major cities around the globe.
Tesla believes that by owning the sales channel, it can gain an advantage in product development speed. As a result, it improves the customer’s experience when purchasing. Tesla showrooms have no conflicts of interest, unlike car dealerships. Customer service and sales are only handled by Tesla-employed employees.
As of the end of 2021, Tesla has 438 locations around the world, including showrooms, Service Plus centres (a combination of retail and service centres), and service facilities.
Customers can also order and customise a Tesla from the comfort of their own home.
Services at home
Tesla Rangers, or mobile technicians who make house calls, are employed by the company in some areas. Occasionally, the service is provided via the internet. It’s possible for technicians to diagnose and correct some issues with the Model S wirelessly.
Network for Superchargers
A network of “supercharger stations” has been established by Tesla, where drivers can charge their Tesla vehicles for free in about 30 minutes at these stations. The goal, of course, is to speed up the adoption of electric cars by making it more affordable and easier to maintain them.