Tesla, the electric car maker, came up with an exciting referral program last month in which a Tesla owner gets $1,000 for each successful referral, and the first to make 10 successful referrals receives a brand new “Founder Series” Model X SUV. Now it appears the company has found its winner.
Winner only after the deliveries
Bjorn Nyland, the supposed winner, already owns a Tesla Model S and is a famous YouTube personality from Norway. This man notified Musk of his 10 successful referrals via tweet, to which Musk replied, “Provided all 10 take delivery, you have indeed!” Nyland sought referrals through a video he posted on his channel, which currently has 13,000 subscribers.
Pros And Cons Of Tail Risk Funds
Editor’s note: This article is part of a series ValueWalk is doing on tail risk hedge funds. The series is based on over a month of research and discussions with over a dozen experts in the field. All the content will be first available to our premium subscribers and some will be released at a Read More
Later Nyland posted a follow-up video in which he revealed that of the 10 referrals he made, the majority came from Europe, and the remaining are believed to have come from the U.S. Nyland hit the referral target just days after Tesla announced its incentive program.
For every customer referred by a current Tesla owner, he or she gets $1,000 worth of credits from the EV firm. The company is also offering a discount of $1,000 to referred buyers, but in Virginia, the buyer gets both credits for a total of $2,000. No cash payment is involved in Tesla’s plans as incentives will be given out either in the form of credits or discounts.
Tesla’s referral program a smart move
Since Tesla cars are priced high, the company has introduced this incentive program with the intent of providing customers with some kind of relief on costs. Apart from helping buyers, the program also aims to cut on the firm’s selling costs. While announcing the program, Musk said it costs around $2,000 to sell a car through a Tesla Store. Cutting costs is really vital for the EV firm as a recent report from Reuters claimed that the firm is losing $4,000 per car.
Tesla is also using the referral program to gain access to states where its direct sales model is banned. Musk told Business Insider that the new program “is a way for us to sort have a guerrilla battle with some of the car dealer associations.”