Tesla to increase prices by an average of 3%

Following its most recent financial re-evaluation, Tesla has decided to keep more of its stores open, resulting in raised prices

Tesla Factory Tour - sign

Tesla has announced that it will increase prices for its range by an average of three percent from 18 March this year. The raised pricing will support the company’s decision to keep more of its dealerships open, opposing Musk’s recent plans to close some of Tesla’s dealer network and push customers through an online buying process.

Only the Model S, Model X and more expensive variants of the Model 3 will be affected by the pricing increase, with Tesla still promising to provide a $35,000 entry-point for the Model 3. The UK Model S base-price will rise from £72,000 to around £74,200, while the cheapest Model X will jump from £80,200 to around £82,600.

The best electric cars on sale

This latest development follows Tesla’s model range restructure from earlier this month, which slashed more than £40,000 off the retail price of some Model S and Model X variants.

At the same time Tesla announced its had placed its entire dealer network under review after moving all sales online. While the American firm has closed 10 percent of its locations which “didn’t invite natural foot traffic”, the latest is that Tesla is currently monitoring the performance of a further 20 percent of its stores which, depending on their performance over the coming months, could face closure.

Tesla’s sales method is unique in the automotive industry. Instead of visiting a dealership to buy from the forecourt, Tesla’s sales are carried out online. Staff in the firm’s sales locations show potential owners how to order their car from their smartphone, holding only a limited inventory for test drives and hurried buyers.

Musk claims that customers should be able to spec and order their car in “around a minute,” while the firm’s 1000 miles or 7-day return policy provides a safety net for buyers unable to test drive or view their model before they purchase it.

What are your thoughts on Tesla’s planned pricing increase? Let us know in the comments section below…

Recommended

Tesla Model 3 bids for ‘king of the EVs’ crown as new facelift hits the UK
Tesla Model 3 facelift - Munich
News

Tesla Model 3 bids for ‘king of the EVs’ crown as new facelift hits the UK

Tesla’s updated Model 3 is priced from £39,990 and gets up to 421 miles of range
17 Oct 2023
Munich Motor Show 2023: news round-up and all the new cars
Auto Express Munich Motor Show 2023 guide header image
News

Munich Motor Show 2023: news round-up and all the new cars

This year's Munich Motor Show saw big reveals from BMW, Cupra, Mercedes, MINI, Renault, Tesla and Volkswagen
6 Sep 2023
Tesla Superchargers: who can use Tesla's charging stations and how do they work?
Supercharger
Tips & advice

Tesla Superchargers: who can use Tesla's charging stations and how do they work?

Tesla has created its own charging network, but who can use the Superchargers and how do they work?
25 Aug 2023
New V4 Tesla Supercharger available to all electric cars
V4 Tesla Supercharger
News

New V4 Tesla Supercharger available to all electric cars

Tesla has unveiled its newest EV charger which can be used by anyone and boasts a contactless card payment reader
25 Aug 2023

Most Popular

‘Forget leasing a car, a cut-price van should be your next everyday vehicle’
Opinion - Fiat Scudo
Opinion

‘Forget leasing a car, a cut-price van should be your next everyday vehicle’

With some huge savings to be had, Mike Rutherford thinks a van could be the perfect vehicle
3 Dec 2023
Deal of the Day: Spacious Skoda Superb is a peerless estate for £223 a month
Skoda Superb Estate - front tracking
News

Deal of the Day: Spacious Skoda Superb is a peerless estate for £223 a month

The Superb is one of our favourite estates and our Deal of the Day for Monday 4 December
4 Dec 2023
New Renault 5: price, specs, launch and on sale dates
Renault 5 EV concept at 2022 Goodwood Festival of Speed
News

New Renault 5: price, specs, launch and on sale dates

Renault’s reborn Renault 5 will start from €25,000 in Europe, suggesting a circa-£30k price in the UK. It's due on sale in the summer of 2024. Here's …
1 Dec 2023