In the automotive industry, advertising has long been an adequate means of making their vehicles known for almost all manufacturers. But not for Tesla: As the Statista service has now announced, the electric car pioneer in the USA did not spend any money on advertising in 2019 to make its own vehicles known. The other manufacturers are much more cost-intensive. Statista compared its advertising expenditure and calculated it down to the number of vehicles sold. This results in values that indicate the budget per vehicle. The Hyundai brand Genesis paid a good $ 2,000, BMW $ 200 per vehicle in the US and Tesla just $ 0.
Tesla increased sales without advertising
Manufacturers who sold at least 5,000 vehicles in the United States in 2019 were compared. For the comparison, 19 formats were evaluated whose publications contain advertising of all kinds. In addition to print magazines, this also included radio, TV and Internet offers. This does not include paid search suggestions in the major search engines. Statista also did not evaluate advertising related to social media platforms and paid promotions. This is more of an area in which Tesla is developing some activity, at least this year. But if CEO Elon Musk gets attention on Twitter, it’s free for Tesla, of course.
According to Statista, Tesla did not spend any money on advertising in the USA in 2019, at least in traditional media, in order to achieve its increasing sales figures. CEO Musk has already said that he prefers to invest in the products themselves. He wrote on Twitter: “Tesla doesn’t pay for advertising or referrals. Instead, we use the money to make our products better. ”Following this logic, the buyer of a Tesla does not pay an additional cent for advertising that does not benefit the product.
Advertising waiver at Tesla not forever
But Tesla does a small marketing expense that is not included in the Statista data: the referral bonuses for recommendations from customer to new customer in the form of supercharger electricity for 1500 kilometers and lots for Model Y and, more rarely, a Tesla Roadster. But that is at least one position from which your own customers and their acquaintances can benefit.
It is uncertain whether Tesla will not pay for advertising in the future. Musk said a while ago, “We should probably be promoting at some point”.