Tesla’s inventory worth sank Thursday after Shopper Stories blasted the reliability of the corporate’s new Mannequin Three sedan and dropped it from a listing of beneficial automobiles.
“Customers count on their vehicles to final — and never be within the restore store. That’s why reliability is so necessary,” mentioned Jake Fisher, senior director of automotive testing at Shopper Stories.
Issues reported by Mannequin Three homeowners included free physique trim and glass defects, the organisation mentioned. The glass within the again window in Shopper Stories’ personal Mannequin Three check automotive cracked within the parking zone throughout a chilly snap.
Tesla’s inventory worth dropped sharply after the information was launched round 9:30am. PST and closed down 3.7% at $291.23.
Shopper Stories dropped the Tesla Mannequin S luxurious sedan from its beneficial checklist final 12 months. The Mannequin X luxurious SUV was by no means beneficial.
In October, Shopper Stories mentioned Tesla-branded vehicles basically had dropped to third-worst in reliability, with solely Cadillac and Volvo decrease.
Variety of Mannequin Three sedans that Tesla bought in 2018
Regardless of the reliability issues, the Mannequin Three ranks excessive in Shopper Stories’ buyer satisfaction survey, which gauges purchaser satisfaction over time. The newest survey got here out final month. In truth, social media complaints from Mannequin Three homeowners — which embody battery malfunctions, computer-system failures, door handles that gained’t open, and physique elements filling with snow and falling off — are sometimes accompanied by feedback comparable to “nonetheless love the automotive.”
The corporate is affected by sluggish response charges from customer support representatives, incapacity to get vehicles serviced, and waits for elements that may final for months.
Chief Govt Elon Musk acknowledged these issues in a name with analysts final month. He mentioned the corporate was reconfiguring its logistics system and introducing a telephone app to schedule appointments.
Tesla didn’t return requests for remark.
Musk himself had good issues to say about Shopper Stories in Could 2018, when he tweeted: “Tesla will all the time refute articles which can be deceptive and level out if there’s somebody with a sample of doing so. Many match this description however Shopper Stories is all the time honest & correct of their criticism.”
The organisation mentioned Thursday that destructive experiences on reliability surveys despatched the Mannequin Three and the Chrysler 300 “tumbling 11 spots” towards the underside of its automotive model rankings.
In a ready assertion, Tesla mentioned: “Not solely are our vehicles the most secure and finest performing automobiles out there as we speak, however we take suggestions from our clients very significantly and shortly implement enhancements any time we hear about points. That’s simply one of many the reason why, on this exact same survey from Shopper Stories, Mannequin Three was rated because the #1 most satisfying automotive, and why Tesla automobiles have topped Shopper Stories’ Proprietor Satisfaction survey yearly since 2013 — the primary 12 months Tesla was included in it.
“We’re setting a particularly excessive bar for Mannequin 3. We now have already made important enhancements to appropriate any points that Mannequin Three clients could have skilled which can be referenced on this report, and our return coverage permits any buyer who’s sad with their automotive to return it for a full refund. This new information from Shopper Stories comes from their annual Proprietor Satisfaction survey, which runs from July by means of September, so the overwhelming majority of those points have already been corrected by means of design and manufacturing enhancements, and we’re already seeing a big enchancment in our subject information.”
Tesla’s future is dependent upon the success of the Mannequin 3, initially positioned as a mass-market electrical sedan. After a sluggish begin riddled with manufacturing issues, the corporate bought 145,000 Mannequin 3s in 2018. Gross sales in Europe have simply begun, and gross sales in China are scheduled to start subsequent month. Social media boards in Europe are already busy with complaints about supply and high quality points.