Interest In Tesla’s EVs May Be Waning, According To Survey

According to Kelley Blue Book, interest in Tesla’s EVs may be dropping in the US. The automotive website’s recent survey points to a notable dip in car shopper interest in Tesla’s models. In fact, per Electrek, KBB goes so far as to say interest in Teslas has “plummeted.”

We’re talking about KBB’s Brand Watch survey, which provides some insight into the current success of automotive brands. However, since it’s a survey, it’s not hugely scientific or telling, but it does give us some things to keep our eyes on.

KBB notes that shopper interest in Tesla’s lineup of EVs dropped significantly quarter over quarter. Note that this is not a year-over-year comparison. Tesla continues to sell many more cars each year than it did in the previous year, and 2022 will prove to be a huge record for the brand. At this point, KBB is just referring to interest from one quarter in 2022 to the next.

The publication shares that Tesla dropped from the fifth position to the sixth position among the most popular luxury car brands. More specifically, the survey suggested that 12 percent of luxury shoppers considered a Tesla model in Q3 2022. In Q2 2022, that number was 15 percent. It may seem like a small drop, but it marked the largest quarter-over-quarter decline in the luxury segment.

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KBB goes on to share that people considering the Tesla Model 3 dropped by 10 percent in Q3 compared to Q2. Moreover, the Model S and Model Y are no longer on the list of the most-shopped-for luxury vehicles, where they’ve both held a position for two years.

With all of that said, looking at the bigger picture reveals that the Model 3 is still third on the list of the most desired vehicles, as well as the top model in the luxury category. So, while KBB is citing a decline, it may not be as bad as it looks on paper.

At any rate, Electrek has pointed to a specific reason that it believes Tesla’s models may be seeing a drop in interest this time of year. The new US federal EV tax credit is coming, so shoppers may be waiting in hopes of a $7,500 credit in 2023.

Added to this, while shoppers do tend to shop during the holidays and at the end of the year, the economy has put many people in a tough spot right now. With holiday spending around the corner, or already underway, it may not be the time to invest in a pricey EV. 

Finally, with CEO Elon Musk sort of stepping away from Tesla and not doing so much of his usual social media promotion (he’s way too busy with Twitter), people may simply be waiting to see how it all plays out. The vocal CEO certainly hasn’t been working to appease people or make new friends these days, and the media is having a field day reporting on Musk’s antics.

Will Musk shift his primary focus back to Tesla? Will his reputation smooth out if the social media company becomes a proven success? Will Tesla’s sales actually drop if there continue to be concerns about the future of Twitter?

There’s really no way to know how it’s all going to play out. You’d better bet we’ll be keeping our eyes on the situation to keep you apprised. In the meantime, get out your crystal ball and let us know how you think this is all going to unfold.