Did you know that Tesla spends $0 on it’s marketing? Well, it is a fact that with Tesla follows 0$ marketing strategy. As Marketer I have gathered some information and I will share complete analysis of Tesla Marketing Strategy. Please read it to the end.
Here is the list of things I will discuss in this blog;
- Introduction to Tesla and it’s owner
- Products of Tesla
- Business Model of Tesla
- Tesla Marketing Strategy Analysis
Introduction to Tesla and it’s owner:
Tesla is well known car brand which specifically focus on electric cars along with renewable energy solutions. Tesla is also quite famous due to it’s owner who is seen in news every now and then due to his tweets and mission towards Mars. I know that you know his name but still I wanna mention him, he is none other than Elon Musk.
He is one of the richest men around the globe with with worth of $274.4 B.
Products of Tesla:
Moving further, here is the list of products which the company offers;
- Model S
- Model X
- Model 3
- Model Y
- Megapack Solar panels
- Solar Roof Tesla Energy Software
Business Model of Tesla:
They follow D2C business model which means that it directly deal with end clients for sales and service. They manage all their charging stations themselves. There is no middle man or any dealer between the company and end customer.
Their target audience is premium which is mostly high end clients who are ready to any amount to get the product.
Tesla Marketing Strategy Analysis:
Before discuss strategy of the giant, let’s compare the total spending of the different brands and Tesla;
The image is taken from mediahix which has compared all these brands and their spending on ads.
It would be wrong if I say they spend $0 as I have found different report saying it spends less than it’s competitors in the market, here is the marketing model of tesla;
- Customer Experience
- Word of mouth
- Sticking to company’s mission
Why spending millions of dollars on digital or TV ads when we can spend more time and money on our product to create such a product which sells itself. Tesla provides amazing customer experience to the end customers that they love using it and keep coming back, here is list how customer experience of Tesla is better than most of all;
- Referral Program
- Refer a customer and get a discount is one program which helps company grow, recent news is that it has ended referral program for tesla cars but you can still get discount of up to $500 in solar products.
- Sales and Service Centers
- Sales and Service center are physical places for company to promote their brand by providing comfortable services.
- Tesla Rangers
- The company call their team Rangers who can visit you and provide their services.
- Charging Stations
- Another great example of physical branding in which T does not have to spend an additional penny for it’s marketing, it does itself.
- Structure and make of the product
- Last but not the least, product speaks itself, its design, development, facilities and comfort it comes up with and everything anyone can look in the product.
Word of mouth:
I have discussed above the referral program which is one form of word of mouth but here is other list of spreading the word and get free marketing;
- Elon Musk twitter feed
- Billionaire uses his account to brand his products, his one tweet can hit hard to bitcoin and increase downloads of Signal, so yes it is biggest free marketing company can ever use. He has around 65.7 million followers on twitter and that is it’s target audience, mostly of them are business owners and other rich people and obviously his admirers.
- Test rides
- Another word of mouth when someone test ride the product, he becomes fan and tell other people about it. Yet another great FREE marketing.
- SpaceX promotion
- CEO also uses spaceX’s cross promotion.
Sticking to company’s mission:
Tesla provides best experiences and that’s what makes it better than it’s competitors.
Tell us in comments, how do you market your brand and how do you spend on marketing?
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