With competition becoming more and more present in its category, the Tesla Model Y has reason to worry! And we'll tell you why, because it's not the only reason!
It could well be that the tide is turning for the Tesla Model Y. And Tesla should take the problem seriously seriously if they don't want to lose a lot of market share. Why do we have the right to worry about the American brand? It's very simple actually. Tesla has increased the price of his Model Y and the competitors are increasingly present in this market.
Tesla's pricing policy
Since the creation of the American brand's general public models, the latter has had an unfortunate tendency to vary prices of its models along the way. So it's commendable when prices are falling, but not when they are rise. And precisely, this is the direction that Tesla has decided to take for its Model Y. If the prices of the Tesla Model Y have increased for North America by $1,000 on March 1, they will increase by another $1,000. An increase which is also valid in France since the Tesla Model Y now costs €2,000 more expensive.
This is therefore one of the reasons why the Tesla may be worried. If for a car that costs more than €40,000, an increase of €2,000 may not seem like much, it makes this Model Y at the mercy of its direct competitors. Because yes, one of Tesla's strengths has always been a relatively reasonable price compared to the services offered.
The price argument is therefore less and less verifiable. Because certain Chinese and European brands are entering the market with electric SUVs at the same price as the Model Y or even cheaper. Electric SUVs that would like take market share from the Model Y.
In France, the Tesla Model Y ranked eighth in the ranking of best-selling cars in 2023, all engines combined. It is also the best-selling electric car in France in 2023.
The French are showing their fangs!
It had to happen one day. Tesla has often been alone in the “affordable” electric SUV market with its Model Y. But everything has changed in the space of a few months. In its sector, we can cite several models from French manufacturers and two Chinese electric SUVs. To best compare the American to the competition, let's talk a little technical. THE Model Y in propulsion versionthe basic version, offers 299 hpa 57 kWh battery For 450 km of autonomy in WLTP cycle. In this configuration, the Model Y is now sold at €40,990, bonus of €4,000 deducted. For his part, Peugeot just presented us with his new E-3008. In its basic version, the Peugeot offers 210 hpa 73 kWh battery, 525 km of autonomy in WLTP cycle for a price again of €40,990 bonus deducted. In the midst of a revolution, where should we say “Renaulution”, the diamond brand presented the Scenic E-Techfreshly elected car of the year 2024. In its basic version, the Scénic offers 170 hpa 60 kWh battery And 420 km of autonomy in WLTP cycle. Certainly, its performance is a little below compared to the Model Y, but the Scénic in this version is sold at the price of €35,990, bonus deducted. That’s €5,000 cheaper!
The Chinese in ambush
It is a region which is shaking the entire global automobile market alone. One reason for this, an ever more aggressive pricing policy! And the same goes for electric SUVs. Be careful though, this has recently changed in France with the change in the ecological bonus. In fact, the latter is no longer assigned to vehicles which are not produced in Europe.
In the electric SUV market, you have a newcomer from the middle country. It's the BYD Seal U. In its basic version, the Seal U offers 218 hp of power, a 71.8 kWh battery, 420 km of autonomy in WLTP cycle for a price of €41,890. And how can we not also talk about M.G. who recently launched the Marvel R. An electric SUV that offers 180 hpa battery of 70 kWha range of 402 km in WLTP cycle for a base price of €44,490. Certainly these two models are more expensive than the Tesla Model Y, but Chinese manufacturers have proven to us more than once that they can offer electric models at lower prices for essentially the same services.
For fans of the Tesla brand, you can rest assured while waiting the restyled version of the Model Y which should arrive shortly.