Meghana KandraTesla is pushing for direct sales provision in the New York state. This time they use the “Tesla Engage” platform to gain support from Tesla fans. To this day there are states which do not allow direct sales of vehicles, which Tesla specifically insists on. Despite the direct sales benefiting customers and automakers largely, but there are old laws protecting dealers. Which is about protecting people who work in the sales and service workforce.
Image credits- Electrek
Tesla is known for selling its vehicles directly to customers through its own franchises. There are times when customers shared their bad experiences with dealerships where extra charges are involved and the customer has no clue as to what is happening. In Tesla, the prices at which vehicles are sold as the same as mentioned on their website. Which gives the same price for everyone who purchases a Tesla.
However, the situation was different earlier. States have implemented some laws to avoid misuse and monopoly of direct car sales to third-party dealers. Tesla fights against these laws stating various aspects, especially as the company never sold through third-party dealers. In 2014 the state allowed the company to have five stores in the state. However, later as the company is trying to expand, the attempts have been failing.
Tesla Engage platform
This time Tesla is trying a different method, by gaining support from its fanbase. Last year they launched a platform called Tesla Engage. The platform is about Tesla owners and other Tesla fans who come together to form a community. People who support sustainability are also in this community.
On the platform, Tesla NY Club manager Stephen Pallota stated, “New York State has adopted the strongest climate law in the country, yet it is 23rd in electric vehicle adoption per capita and lags far behind states like California, Colorado, Florida, and Massachusetts that are leading in EV adoption. Florida allows direct sales without restriction and has over 50% more electric vehicle registrations per capita than New York simply because it is easier to buy an electric vehicle there. This has to change.”
Furthermore, the automaker asks the supporters to approach Governor Hochul and NY leadership in support of EV direct sales. For years now Tesla was the only automaker in this category to sell directly. However, new automakers like Lucid and Rivian are also coming to the market who plan to sell directly to customers. Hence it is expected that the state laws are being revised and implemented accordingly this time.