Tesla continued to attract strong attention from new-car shoppers in 2025, with its Model Y remaining a key draw, according to the latest Brand Watch study from Kelley Blue Book.
The study, which tracks vehicle consideration across non-luxury, luxury and electrified segments, found that Tesla remained among the most considered luxury brands last year, holding steady in ninth place year on year. However, the data showed intensifying competition, with Genesis edging ahead of Tesla as buyers weighed a broader range of premium electric options.
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Kelley Blue Book said Tesla’s brand appeal remains strong but noted signs that some consumers now view the automaker as less novel than in earlier years, as rival EV brands enter the market with new designs and aggressive marketing strategies.
At the model level, however, Tesla posted a notable gain. The Tesla Model Y was one of only four luxury vehicles to record year-over-year growth in shopper consideration in 2025. The study said the result reflects a broader consumer shift toward SUVs and crossovers, supporting demand for Tesla’s best-selling model even as competition increases.
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Tesla also maintained a solid position in the broader electrified segment, which includes battery-electric vehicles, hybrids and fuel-cell models. Overall consideration for electrified vehicles rose in 2025 despite declining government incentives in several markets. Within this segment, Tesla ranked fourth, behind Toyota, Honda and Ford Motor, but ahead of Hyundai Motor.
The study showed Tesla improved its ranking year on year, overtaking Hyundai. Once again, the Model Y was a key contributor, standing out as one of only three electrified models to see increased shopper consideration, alongside Toyota’s Grand Highlander Hybrid and the Hyundai Tucson Hybrid. Kelley Blue Book attributed Tesla’s resilience to pricing adjustments and the broad consumer appeal of the refreshed Model Y, which helped sustain interest even as overall Tesla sales softened.
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Not all Tesla models performed as well. Consideration for the Tesla Model 3 declined in 2025, a shift the study linked to waning demand for electric sedans as buyers increasingly favour crossovers or explore newer sedan offerings from rival automakers.