Top takeaways from Tesla that enable automakers to revolutionize the automotive industry?
There is no wonder that the future of automotive will be autonomous and electric. With unprecedented development of the internet of things (IoT) and connected devices, the automotive industry of tomorrow will witness signification transformation. Already, the electrification of vehicles and autonomous cars is in the trial phase and ready to drive on the road sooner. With said these development trends, Tesla is leading the way into the automotive world making huge uptake in market capitalization by delivering innovative vehicle models.
By mid-January this year, the automotive giant’s market capitalization had reached US$107 billion, surpassing the German automaker Volkswagen and becoming the world’s second most valuable auto company behind Toyota.
Tesla has always been at the forefront of innovation and is developing innovative car models with the most reliable parts and solutions. This being innovative make the company apart from its competitors, giving it a huge competitive edge. Here are some top innovative approaches that deliver a substantial competitive advantage over its peers.
Landing Business in the World of Electric Vehicles
Tesla is expediting the world’s transition to sustainable energy with electric cars. Every major player in the automotive industry these days is increasingly working on developing electric vehicles and self-driving technology, with a myriad of new car models and features. But the key for these automakers will be to try and translate the rules of the game that Tesla is already playing by. Tesla is continuously adding a wide array of features to its large range of electric cars to reduce the energy consumption of vehicles.
In the ongoing COVID-19 pandemic, the company’s sales are remain holding up fairly well, with growth in China and other overseas markets. Tesla continues extending its lead by relentlessly pushing the development as a technology leader. While its advantage in battery technology is likely to be hindered by laws of chemistry, the company’s efforts toward fully autonomous cars may assist it to sustain its technology leadership.
Direct Sales Over Franchised Dealerships
Tesla essentially capitalizing on direct sales instead of selling through franchised dealerships like other automakers. To do so, the California-based vehicle manufacturer has built an international network of company-owned showrooms and galleries, mostly in prominent urban centers worldwide. By owning the sales channel, the company hopes to garner an advantage in the speed of its product development, and more importantly, create a better customer buying experience.
With this sales model, customers can only deal with Tesla-employed sales and service staff. As of the end of Q4 2019, the automaker giant has 429 locations around the world which include the showrooms, Service Plus centers, and service facilities.
Network of Supercharger Stations
Tesla has its own supercharger networks creating efficient recharging opportunities for its electric vehicle drivers. The company allows electric vehicle drivers to fully charge their Tesla vehicles in just about 30 minutes for free. Tesla’s current fleet of Superchargers ranges from 72 kW for Tesla’s Urban Superchargers up to 250 kW for the newest Superchargers being installed globally. The main purpose to build and own supercharger stations is to accelerate the adoption rate of electric vehicles.
Certainly, Tesla has created its reputation for developing amazing products, delivering its customers with exceptional products and superior service.