After the decline in revenue over the last few months, Tesla Inc is reportedly trying to increase its supercar sales in China, one of which is by changing the insurance incentive scheme.
This sales strategy was carried out by a company owned by Elon Musk because during last October Tesla’s electric car sales in China continued to record a decline of 14 percent and were only able to deliver 71,704 electric vehicles (EVs). The number is down from a record high in September.
This is the reason that spurred Tesla to issue a new strategy that could drive the company’s growth, with the plan with the change that every purchase of an electric car for orders in November made by the Chinese community will get an incentive of 8,000 yuan.
While purchases in December will be cut by 4,000 yuan, the amount of the incentive is slightly higher when compared to the offer of a cut in the previous month.
At that time Tesla only offered an incentive of 7,000 yuan for orders between October 1 and December 30.
“As long as you like it enough, grab a Tesla right away!” Tesla said in a statement quoted by Reuters.
In addition to changing the incentive scheme, Tesla is reportedly also cutting the price of electric cars for Model 3 and Model Y series vehicles.
A number of these steps were deliberately carried out by Tesla Inc. to encourage the company’s revenue coffers.
Considering that during the third quarter of 2022, Elon Musk’s company was only able to print revenue of 21.45 billion US dollars, lower than the company’s forecast that projected a profit of 22.5 billion US dollars.
In October, Tesla cuts prices of Model 3 and Model Y in China by up to 9%. The price of the Model 3 electric sedan was lowered to 265,900 yuan ($36,727.03) from the previous 279,900 yuan. Meanwhile the price of the Model Y fell to 288,900 yuan from 316,900 yuan.
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