Tesla Marketing Communication Mix

Tesla marketing communication mix explains the usage of individual elements of the marketing communication by the alternative fuel vehicles manufacturer. These elements include print and media advertising, sales promotions, events and experiences, public relations and direct marketing.

Tesla Print and Media Advertising

Tesla uses print and media advertising sparingly as a part of its unconventional marketing strategy. The alternative fuel vehicles manufacturer does not spend money at all on traditional advertising platforms such as TV, radio, magazines, newspapers, billboards and posters.

Instead, Tesla’s unconventional marketing strategy also involves the promotion of fan-made ads that come for no cost for the electric automaker. The company launched Project Loveday, a contest for fan-made videos advertising Tesla.

Project Loveday was named for Bria Loveday, a fifth grader who suggested the idea for the contest to CEO Elon Musk.[1] Project Loveday ad contest winners such as Electric Life’s “Embrace the Energy” and Thy Future’s “A Better Future.” and ‘Spaceships. For Earth.’ have been watched in YouTube millions of times, contributing to the level of Tesla brand awareness in a cost effective manner.

Tesla also manages to get celebrity endorsement free of charge. The list of celebrities who were enthusiastic about the company and therefore, promoted the brand and its products for free include TV host Stephen Colbert, actress Alyssa Milano, director Jon Favreau, and Teller, the silent partner in the magic duo Penn & Teller to name just a few.

Tesla Sales Promotions

Tesla uses the following sales promotions techniques in order to increase the sales and boost the level of its brand awareness:

• Referral Program. Tesla car owners who refer more customers to the company can qualify for a wide range of awards including Solar Roof, 21” Arachnid Wheels for Model S or 22” Turbine Wheels for Model X and VIP invitation for Tesla Unveiling events.[2] Tesla Referral Program is occasionally updated.

• Showroom Incentives. Tesla offers showroom incentive discounts occasionally. For example, at the end of Q3, 2017, the company announced showroom discounts of up to USD 30,000 to address cashflow problems and improve its overall sales performance for the quarter.[3]

• Special discounts. The electric automaker has offered special discounts in the past for its end-of-the-quarter push. The company authorized its sales people to offer two years of Supercharging for free and it discounted inventory vehicles by matching them with cheaper orders.[4]

Tesla Inc. Report contains a full analysis of Tesla marketing communication mix and Tesla marketing strategy in general. The report illustrates the application of the major analytical strategic frameworks in business studies such as SWOT, PESTEL, Porter’s Five Forces, Value Chain analysis, Ansoff Matrix and McKinsey 7S Model on Tesla. Moreover, the report contains analyses of Tesla leadership, organizational structure and organizational culture. The report also comprises discussions of Tesla business strategy, ecosystem and addresses issues of corporate social responsibility.

[1] Nudd, T. (2017) “Tesla Crowned This Commercial as the Winner of Its Fan-Made Ad Contest” AdWeek, Available at: https://www.adweek.com/brand-marketing/tesla-crowned-this-commercial-as-the-winner-of-its-fan-made-ad-contest/

[2] Lambert, F. (2018) “Tesla announces new round of referral program” Electrek, Available at: https://electrek.co/2018/04/19/tesla-regerral-program-new-round/

[3] Lambert, F. (2017) “Tesla offers ‘up to $30,000 showroom discounts’ and lowers interest rates to boost sales before end of the quarter” Electrek, Available at: https://electrek.co/2017/09/01/tesla-offers-showroom-discounts-lower-interest-rates-boost-sales/

[4] Lambert, F. (2019) “Tesla allows discounts and offers 2 years of free Supercharging for end-of-the-quarter push” Electrek, Available at: https://electrek.co/2019/09/13/tesla-discounts-free-supercharging-end-of-the-quarter-push/