How Tesla is reinventing the Wheel of Sustainability? A Case Study

Tesla is reinventing the Wheel of Sustainability?|2023| The Enterprise World

Tesla didn’t invent the electric car, nor did Elon Musk establish Tesla. But today, both have become synonyms and represent the EV industry globally. While that is true, it is quite easy to overlook behind-the-scenes stuff that went into making it the giant of today.

To answer the “who founded the company then?” question— it was the duo of Martin Eberhard and Marc Trepanning, Silicon Valley engineers. In 2003, they founded the company in San Carlos, California, and named it after the famous physicist Nikola Tesla.

Until Tesla popularized it in 2008, no other automotive manufacturer took notice of electric cars. At its debut, the company took the EV industry by storm, it launched the Roadster. Soon enough, the sporty-looking car became a hit, with Hollywood stars like George Clooney among others ordering their own Roadster.

At the origin, the goal was to make Electric cars that are better, quicker, and more fun to drive than gasoline cars. Now, sustainable energy has become the need of the century. And with issues such as global warming making things unfavorable, electric cars with their zero-emission characteristic are an ideal substitute for gasoline cars. Expanding on sustainable energy, the company has established its presence with 400+ stores and galleries, about 100 service centers, and 30,000+ superchargers around the globe.

Why People Love the Brand?

The renowned EV maker has a huge fanbase across the globe. Ever wondered why? Here is a list of things that could explain why the EV giant has such a cult following:

Tesla is reinventing the Wheel of Sustainability?|2023| The Enterprise World

1.  Showing that EV ≠ Boring

When you thought of electric cars, the notion was that they are low mileage, slower compared to their gas-powered counterparts, and in general meh. However, Tesla single-handedly changed those opinions with the launch of their first car, The Roadster.

The Roadster looked sporty and luxurious, was exhilarating to drive, and rocked a combo of impressive range and speed—all the things that were unheard of in an EV. After the launch of the Roadster, all the other automotive companies also started keeping their eyes on the EV industry, with many coming up with their own EV variants.

2. Self-Driving Cars

Although the accuracy of Autopilot is debatable, the fact that your car could drive you to your desired location, without human input was bound to catch some eyeballs, and so it did at the time. It sounded cool, turning many into loyal fans of the brand.

3. The Safety Quotient

The U.S. EV maker has maintained a very high ceiling for the safety of its cars. National Highway Traffic Safety Administration (NHTSA), has rated the company with 5 stars in every single category, barring the rollover test section, where it received 4 stars.

4. Webbing the Supercharging stations

Making recharging hassle-free, Tesla has knitted a web of supercharging stations around the globe. It remains the only brand offering a supercharge E-power connection today, enabling you to fully juice up your car in mere 30 minutes at any of its stations.           

5. The ‘Elon’ factor

For many, Elon Musk is Tesla, and vice versa. Since the very beginning, Elon made his beliefs in the company clear, investing $6.5 million way back in 2004. Would the company still be in this high position if it weren’t for Elon and his vision? Well, that’s a topic for debate. While your opinion of Elon could vary, his contributions to Tesla along with the science and engineering field are hard to ignore.

An Improved Outlook on Sustainability

Trying to tackle Global Warming, the brand has been a key factor in the transition toward sustainability globally, helping people move away from burning fossils. In the pursuit of solving this problem, the company has built products to replace some of the most pollution-emitting elements. Here, we are highlighting some of the key products that impact the environment positively.

Tesla is reinventing the Wheel of Sustainability?|2023| The Enterprise World
Credit – Sjoerd van der Wal-Getty Images

1. Batteries

The brand uses advanced lithium-ion batteries in its products, be it electric cars such as the Model S, or energy storage products like the Powerwall and Powerpack. The said batteries have changed the face of the renewable energy industry, enhancing the adaptability and storing capability of the energy produced by renewable sources such as solar and wind.

2. Electric Vehicles

Along with being one of the safest, the cars are also fun to drive. After the launch of its first electric vehicle, the brand made a massive impact on the whole EV industry, catching the attention of the whole world. With energy generation and storage products working in sync, the company wanted to augment the impact of electric vehicles for a greener future.

3. Solar-powered

Tesla has a decorated solar portfolio, with products like solar panels, solar roofs, and the solar inverter. With the production of solar energy, the company makes a difference in the residential and commercial spaces, solving the needs of the industries along the way. The company’s acquisition of SolarCity in 2016 was also a key step toward the solar-powered future.

4. Open-Sourcing Patents

In 2014, the company announced that it will open-source all its electric vehicle-related patents, helping other manufacturers in their EV development. This showcases a selfless approach amid the cut-throat competition in the automotive industry.

Tesla Stats that might Surprise you;

Tesla is reinventing the Wheel of Sustainability?|2023| The Enterprise World
Credit – Sjoerd van der Wal – Getty Images

Curious to know the numbers behind the brand? We got your back. We did some number-digging for you and here’s what we found.

1. Number of employees: As of March 2023, the company has 1,28,290 employees

2. Total Cars Produced: In 2022, the company produced a total number of 1,369,611 cars

3. Total Cars sold: As of March 2023, the brand has sold more than 3,600,000 vehicles.

4. Revenue: The company saw an increase of 51% YoY revenue, taking it to $81.462 billion in 2022

5. Brand Value:  The most valued automotive brand, Tesla had a brand value of $66 billion as of 2023

6. Market Cap: As the 7th most valuable company in terms of market cap, the company is valued at $604.03 billion

7. Market share in the US:

In the United States, it has a market share of 68%

8. Energy Deployment:

As the company primarily focused on sustainability, the brand deployed 6.5 GWh of energy, as of 2022

Source: Demandsage

No Department, only Marketing

We have some news for you. As it turns out, Tesla has no advertising or marketing department. However, not having a marketing department doesn’t mean you can’t have a great marketing strategy, and the brand showcases it perfectly. While we don’t know the exact amount the brand has spent on its marketing, here are some important strategy elements that could help you get a deeper insight into its marketing.

1. Everything revolves around you

Much like the other marketing strategies, at the helm of Tesla’s marketing is ‘you’—the audience. The company relies on building an emotional bond with you to strengthen your relationship with them, thus increasing brand presence.

2. Innovation leading the charge

The company is always keen on developing innovative products to one-up the previous driving experience. To achieve its goals, it spends billions of dollars on R&D. Whether it’s the sentry mode reporting the weather threats to you, or the much-talked-about Autopilot feature, the innovative solutions ensure that the audience maintains their interest in the brand.

3. Eye-catchy Referral Programs

Tell your friend about us, and get a reward, that’s referral programs in a nutshell for you. Those rewards could be anything from accessories, free servicing of your car, and software updates. Referrals could work wonders to lead more people to a brand, alluding to this, the brand has conducted many referral programs for many years.

4. Elon Musk and the Word of Mouth

“What message is your brand sending?” “What story does it tell?” These are some of the additional questions that matter to customers. Having said that, nothing quite gives you a FOMO like your friend or a family member raving about the newly bought car they love—That’s the magic of word of mouth.

As is the case with most things related to the brand, Elon Musk plays a significant role here as well. From making headlines for tweeting, to buying the whole Twitter, his journey has been a rollercoaster. As an influential figure with millions of followers, His tweets can have a huge impact on the company mentioned in the said tweet, directly or indirectly. If you ask us, this could also be considered an example of word of mouth.

Electrifying Competition

As the world is moving away from gasoline-powered cars, many have started switching to electric. The big players in the automotive industry —Volkswagen, General Motors, Ford, Hyundai, and others are rapidly making waves in the EV space. However, Elon Musk says, the biggest competition for his company comes from Chinese EV makers. While Elon hasn’t mentioned any specific names, we believe those Chinese automakers could be BYD, Nio, and XPeng.

3 Products to Lookout for

Tesla is reinventing the Wheel of Sustainability?|2023| The Enterprise World
(Source- carbuzz)

Note: We are assuming that these products won’t get delayed again, for whatever reason

1. Cybertruck

Expected Release: 2023-Year End

With constant delays making a regular appearance, the Cybertruck has been hyped for quite some now. And if you follow Tesla and Elon Musk, you’ve probably witnessed the infamous hammer test fail more than once. However, Cybertruck is the most powerful tool they have ever built. Made with peak durability and passenger protection in mind, Cybertruck also has an impressive driving range of more than 500 miles. While the release date is yet to be confirmed, the company aims to start deliveries in Q3, 2023.

2. Roadster

Expected Release: Beginning of 2024

Here is another delayed product, the Roadster. To give you a perspective on the delay, people have been talking about the Roadster since 2016. Elon, in a tweet posted in 2021, said that the Roadster should ship in 2023. The official website says that the Roadster will be an all-wheel drive, with a seating capacity of 4 people, it also mentions that the car could go 620 miles on a single charge, and could rock a top speed of 250 miles.

3. Model 2 baby EV

Expected Release: 2024 or 2025

Affectionately calling your car ‘baby’ isn’t a new phenomenon. However, this might be the first instance of the brand itself having ‘baby’ in its official name. If the rumors are true, the car will cost you around $30K and will not be available before 2024.

Earning the Adoration of the world

Tesla is one of the most adored brands today. With a clear vision of making sustainability the new norm, it is surely moving toward achieving it. While views about the company or its CEO may differ, when it comes to EVs, it would not be an exaggeration to say that this is ‘The Brand’ that ingrained the belief in the hearts of people that—the future could be electric.

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