The electric vehicle manufacturer Tesla launched a new program that allows buyers to get more incentives to their new customers if they have been referred by an old onea strategy long used by traditional automakers to boost sales.
The incentive, which Tesla has dubbed Refer and Earn on their websites, equates to about $500 cash back for new buyers in the United States who purchase the Model 3 and Model Y, as well as three months of its Full Self-Driving feature.
Profit in the big markets
The program has rolled out in Tesla’s largest markets, including United States, China, Germany, France, Canada, Mexico, Hong Kong and Singaporeaccording to regional websites.
Historically, automakers have used employee discounts and loyalty programs to lower the list price of vehicles. Until now, Tesla has focused on real-time adjustments to prices posted on its websites.
refunds
The company said it would offer new buyers of its Model Y and Model 3 vehicles in China a cash refund of 3,500 yuan ($483.69) if they could mention an existing owner’s recommendation.
Tesla, which has aggressively slashed prices since late last year, starting with China, it has slowed the discounts for new orders, but has raised them for cars that are already manufactured.
New sales record
The automaker said it delivered a record number of vehicles in the second quarter, beating market estimates. Tesla also achieved record deliveries of its China-made vehicles in the second quarter.
Tesla CEO Elon Musk doubled down on the price war in April, saying the company would prioritize sales growth over profits amid a weak economy and stiff competition.