Price Increase

Any other high-number (10,000+) reservation holders or those that deferred (e.g., holding out for red!) out there a bit concerned that with the "time to build" emails coming out quickly now and delivery dates that either start to look too early (more like Q1 and Q2; planned for Q3 or Q4) or too late (say Q2 or Q3 for red) and may not be able to finalize in a "fair, predefined timeframe" to avoid the now officially announced price increase? This concerns me because when I made my reservation, I was told August would be the earliest I should expect a car as my lease ends in November 2013. If I need to make a decision in December/January and take delivery in, say, May or else face a price increase, that will be hugely annoying. I'm stretching the budget to make the 60 kWH work, and really don't want the car without at least the 60 kWH battery and the tech package...I'm already planning to skimp and pass on the air suspension which I'm not thrilled about, but won't give up anything else to accommodate a price increase!

How are others feeling about this?

@Dahtye, reservation holders don't have anything to worry about IF they take delivery as planned. Since my car is likely to be ready well before my current lease runs out and I may need to defer, I don't think I get to not worry!

@riceuguy, you are absolutely right. Those who defer or take too long to configure will lose out. I have a few friends who are in that situation - one just bought a house and wants to defer about 6 to 12 months to ease the burden and the other is in a 2 year least on an Active-E BMW electric vehicle - he has about 14 months to go. But I guess TM has to draw the line somewhere.

I wonder if the price increase will be primarily to include the service plan with the car price so that it is no longer a required purchase to maintain warranty.

" an existing reservation prior to the effective date of the price increase and who also configures their car and finalizes their order within a fair, predefined timeframe." Sounds like you don't get to defer without limit, or for even for very long. So perhaps we'll see more people offering to swap places in line. (I believe I saw someone saying that was now permitted, but I'm not sure.)

I actually wonder if this is for all three models. Think about it: Tesla has a good grasp on the 85 kwh packs now, but maybe they're running into issues with the two smaller packs. We've known from the start that each pack would be different in some way, and it's largely the most expensive part of the car. Maybe Panasonic is putting the price on their cells up or something.

It's WAY too soon to do much speculating, but I do appreciate the heads up from Tesla. Now if only I'd made a few choices differently, I'd be able to reserve an S before *sigh*

" an existing reservation prior to the effective date of the price increase and who also configures their car and finalizes their order within a fair, predefined timeframe."

Does this mean there will have to be two versions of the design studio available for a while: one version with pricing/packaging for existing, and a different version for new reservation holders? May get confusing...

Every year automakers change the prices for next years model. Some go up, some go down. Good chance it will just be a economic price adjustment for the 2014 year. They already have 2013 booked. You can't honor reservations too far out or you put economics at risk.

Yes, I think it means that whenever you get your notification the the car can be "finalized", you get the usual 30 days, or thereabouts, to do so at existing (current, pre-Dec.2012) prices, the prices that obtained when you reserved. The same will apply to all who reserve before the hike date.

The software may have two versions; based on your ID/account you will see the one that applies.

I'm sure many will want to see both, so they can decide whether the "hit" for deferring or waiting to reserve is worth it, though.

Brian, you would be able to see both simply by starting a new design (as opposed to modifying your existing one).

Should work.

The price increase is bad PR now but needed for the “base” model in Q3 2013. All of the Sig’s paid a “Sig tax" of 3.5 to 8K for their cars (depending on options we would have ordered if we had a choice). Now that I have my Sig-P85, I feel it was worth every penny…over 3x what I payed for my last car!

IMHO the base car is worth 65K and the P85 is worth 130K before rebates (redsig @ TMC just got 140K for his Sig-P85 resale on the secondary market …. before the MT car of the yr award). TSLA stock will benefit from the extra cash so we all benefit by having a stronger company for the long run….you do want those firmware updates right? If it breaks your budget then hold off for a Gen III @ 30K.

BTY…it would take 200K to get me to sell mine…forget-about-it :)

FYI, here's an interesting take on the price increase and the stock price...

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