Tesla, a company whose first car was released only 10 years ago, has quickly become the most popular electric car maker in the U.S. How did they do this? How did a company go from startup to success in such a short time? The answer - innovation. First off, Tesla reimagined the electric car. Most electric cars today are small and look generally unappealing. However, Tesla broke the status-quo when releasing their Model S, and again when releasing their SUV, the Model X. This shift made consumers rethink what they knew about electric cars, and allowed for Tesla to quickly sell their product. Furthermore, Tesla does not have any dealerships. Instead, Tesla has showrooms and service centers. These allow people look at the cars, schedule test drives and even place an order. Ordering is done through the Tesla website. This makes it so you can just as easily order from the showroom than from your living room. Because of this, the price of the cars are fixed and not open to negotiation. The Tesla employees are simply there to answer questions you may have. When you decide to purchase, they’ll walk you over to a computer where you can customize your Tesla and order online. Another aspect that is allowing Tesla to revolutionize the car market is their integration of technology into their cars. In the Model 3, all of the cars controls and functions are all set through a touchscreen on the dash. Tesla’s now come standard with their “autopilot function” which allows the car to drive itself… These adaptations to modern technology have allowed Tesla to stand-out in the car market.
There are many lessons that Tesla can teach us which we can apply to any company. First of all, innovation and ingenuity should be leveraged to any product or business. If Tesla were to have built the typical electric car like the the Nissan Leaf or the Chevrolet Bolt, then it probably wouldn’t have been the popular brand it is today. Reconceptualizing the electric car allowed Tesla to succeed without much advertising or marketing efforts. Second, Tesla’s “drip” marketing establishes stronger connections with customers and creates a more loyal customer base. An example of this is through the use of updates to the car. Because the car is integrated with wireless technology, the car’s computers are constantly updating over the air. People regularly get into the car to find that their dash now looks entirely different! Also, Tesla regularly connects with Tesla owners to guarantee maximum satisfaction, even years after purchase. Consumer reports have shown that Tesla owners are the most loyal customer base in the car industry. Lastly, when Tesla was starting out, Musk frequently turned to Toyota for advice and guidance. This partnership helped Tesla with production goals, marketing techniques and much more. Companies who seek help from those who know more can open up doors to new opportunities and expand capabilities.