Author Topic: Tesla can now establish their own dealerships  (Read 542 times)

Richard230

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Tesla can now establish their own dealerships
« on: January 05, 2013, 05:20:19 PM »
At least in Massachusetts, according to an article in the business section of my newspaper, written by Jerry Hirsch of the LA Times. The article says that Tesla got approval from the town of Natick to open up a company-owned dealership to sell their electric vehicles.  They were then sued by the Massachusetts State Automobile Association that wanted to prevent Tesla from opening its own stores, without them getting a piece of the action.  The lawsuit was dismissed by a Superior Court Judge, saying that state law did not intend "to protect a motor vehicle dealer from an unaffiliated manufacturer operating a motor vehicle dealership"  Elon Musk said: "We are confident that other states will also come to this same conclusion and look forward to following through on our commitment to introduce consumers to electric vehicle technology in an open, friendly, no-pressure environment" .  A lawsuit against the public officials of Natick for approving the dealership is still pending.

I found this particularly interesting. The article goes on to say:  When Tesla started selling its flagship Model S luxury hatchback last year, it decided to bypass the traditional dealership network to open its own stores. By selling directly to consumers, Tesla gets to keep the profit that dealers make on new-car sales. It's also the only way an electric car will get a fair shake, Musk said at the time. "Existing franchise dealers have a fundamental conflict of interest between selling gasoline cars," Musk said. "It is impossible for them to explain the advantages of going electric without simultaneously undermining their traditional business."

Reading that statement makes me wonder how electric motorcycles will be marketed at established major brand IC motorcycle dealerships once the initial novelty and surge of early adopter sales have subsided. And when the major IC motorcycle brands, such as BMW, enter the field, things might even get tougher for EV start-ups, like Brammo and Zero, who can't establish their own dealerships, like Tesla can.

The other thing that fascinates me is how some H-D dealers are taking on electric motorcycles.  Those guys sure didn't do a very good job of selling the Buell. Most of the time they kept the bikes hidden from their customers on the showroom floor.  My friend who bought a Buell City-X (I think it was called - the one with the 900cc motor and a see-through blue "tank") from the Redwood City H-D dealer (now defunct) had a heck of a time getting his bike serviced. They said that their Buell mechanic was only at the shop on Fridays and that was the only day he could bring his bike in for service. Hopefully, the dealers have learned their lesson and won't let their "lifestyle" customers' attitudes toward anything different, get in the way of selling the bikes.
current bikes: 2018 16.6 kWh Zero S, 2011 Royal Enfield Bullet 500 Classic, 2009 BMW F650GS, 2007 BMW R1200R, 2005 Triumph T-100 Bonneville, 2002 Yamaha FZ1 and a 1978 Honda Kick 'N Go Senior.

Deadly Silent Ninja

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Re: Tesla can now establish their own dealerships
« Reply #1 on: January 05, 2013, 05:37:16 PM »
Reading that statement makes me wonder how electric motorcycles will be marketed at established major brand IC motorcycle dealerships once the initial novelty and surge of early adopter sales have subsided. And when the major IC motorcycle brands, such as BMW, enter the field, things might even get tougher for EV start-ups, like Brammo and Zero, who can't establish their own dealerships, like Tesla can.

The other thing that fascinates me is how some H-D dealers are taking on electric motorcycles.  Those guys sure didn't do a very good job of selling the Buell.

In my opinion, it's very clear that H-D killed Buell. They had a good product and could have been selling well if it wasn't for H-D dealers sabotaging the sales.
I believe that multi-product dealerships, like Scuderia, will probably be the way to go later on for Brammo and other electrics. It would be even cool if they stopped some of the bickering between Zero and Brammo and actually started a supporting system for people who would want to open a new dealership or transition to an all-electric store.

Another option is for them to try and get on with Tesla and starting selling their products in Tesla dealerships... The products are different enough that it wouldn't hurt either business and would definitely have some people who understands the benefits of electric motors on the floor.

Richard230

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Re: Tesla can now establish their own dealerships
« Reply #2 on: January 05, 2013, 08:42:48 PM »
My opinion is that Scuderia West is not a "typical" multi-brand Japanese dealer. I think they are probably one of the best dealers in the Bay Area and, depending on how you rate dealers, perhaps the best one. I used to spend a lot of time down there, between 2004 and 2010, when I owned my exploding Aprilia RS50. Everyone at the shop is very friendly, they have a diverse and interesting selection of motorcycle and scooter brands, have a knowledgeable service department and a great parts counter. I think that Brammo is a perfect fit for them, being that the San Francisco motorcycle scene is not typical and loves unusual and "quirky" vehicles that might not be so popular in someplace like Bakersfield.  ;)  My only complaint is that they are located in San Francisco and I hate riding into the City, as I can't deal with the congested traffic, not so skilled drivers, Muni buses and the J-walkers - plus public parking is pretty tight and getting tighter all the time.   ::)

current bikes: 2018 16.6 kWh Zero S, 2011 Royal Enfield Bullet 500 Classic, 2009 BMW F650GS, 2007 BMW R1200R, 2005 Triumph T-100 Bonneville, 2002 Yamaha FZ1 and a 1978 Honda Kick 'N Go Senior.

Shinysideup

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Re: Tesla can now establish their own dealerships
« Reply #3 on: January 06, 2013, 12:20:11 AM »
Richard, as a daily SF rider, you left out:

* double-parked trucks and buses
* hundreds of pedestrians plugged into their iPods or iPhones WWT (walking while texting)
* couldn't-care-less or downright NYC hostile taxi drivers
* SUV soccer moms on cell phones
* bicycle messengers that ride like they're on meth
* a daily barrage of fire trucks with sirens
* cop cruisers not signalling for illegal turns
* tourists heading up the wrong way on one-way streets and/or turning out of the wrong lanes
* 90-year-old drivers doing 9 mph
* squids on crotch rockets trying to time the lights, and..

but, hey, this is what makes riding in the city INTERESTING!  :'(

And the Empulse is just the bike for it! (Zero too. ;))
« Last Edit: January 06, 2013, 12:22:18 AM by Shinysideup »

Richard230

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Re: Tesla can now establish their own dealerships
« Reply #4 on: January 06, 2013, 10:56:36 AM »
Richard, as a daily SF rider, you left out:

* double-parked trucks and buses
* hundreds of pedestrians plugged into their iPods or iPhones WWT (walking while texting)
* couldn't-care-less or downright NYC hostile taxi drivers
* SUV soccer moms on cell phones
* bicycle messengers that ride like they're on meth
* a daily barrage of fire trucks with sirens
* cop cruisers not signalling for illegal turns
* tourists heading up the wrong way on one-way streets and/or turning out of the wrong lanes
* 90-year-old drivers doing 9 mph
* squids on crotch rockets trying to time the lights, and..

but, hey, this is what makes riding in the city INTERESTING!  :'(

And the Empulse is just the bike for it! (Zero too. ;))

It's all true.   ;)
current bikes: 2018 16.6 kWh Zero S, 2011 Royal Enfield Bullet 500 Classic, 2009 BMW F650GS, 2007 BMW R1200R, 2005 Triumph T-100 Bonneville, 2002 Yamaha FZ1 and a 1978 Honda Kick 'N Go Senior.