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Tesla Model X sales lagging despite SUV boom

Tesla’s been all over the news for a number of reasons for the last few years, from the Gigafactory, stories surrounding their Autopilot self-driving hardware and the Model 3. More recently it’s been about worker safety but prior to all that was the coming of the company’s first SUV, the Model X.

Tesla Model X

The promise of technology and performance were huge and on most counts, the product delivered. There were a number of teething issues but Tesla’s addressed a many of them using over-the-air software updates. Some troubles required a more hands-on approach and the bugs related to the double-hinged falcon-wing rear doors have made headlines since the vehicle’s introduction roughly 20 months ago.

Mr. Musk’s plan to introduce a revolutionary utility vehicle more than five years ago was brilliant, at least it should have been. The North American market is in absolute love with anything utility, especially when the word “luxury” is attached to it. CUV and SUV sales have outpaced regular cars but somehow, Model X sales have stagnated, and even dropped.

Why is this occurring? A large part of the answer lies in the fact that most of the press surrounding the Model X has been negative. The other is that a base Model X 75D retails for $111,950 before incentives. In case you were wondering, the P100D sports a $199,800 sticker price…

The other possibility is that the coming of the highly and hotly anticipated Model 3 has potential customers holding on to their cash waiting to see how things will unfold for the occasionally controversial company.

Tesla’s become something of a religion and like any faith, believers will tell you to have faith. We believe that if the Model 3 is as good as promised, all will be forgiven and the company will be just fine.

 

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