Tesla’s electric pickup truck, Cybertruck, launched in November 2023, was met with great interest and excitement. Cybertrucks, which sold for over $200,000 in the first place, are now selling for less than $190,000 in recent auctions.
So, what are the reasons for Cybertruck’s sales price drop, and how did Tesla react?
Why did the price of Tesla Cybertruck drop?
There are three main reasons behind the decline in Cybertruck’s resale prices.
The increasing number of Cybertrucks entering the resale market is tilting the supply-demand balance in favor of buyers, leading to a drop in prices. While some investors who paid high prices to buy the truck in the first place have seen their hopes of making a profit dashed, those who want to own the truck later are finding more attractive prices.
Some buyers may regret the high prices they paid in the first place. This is particularly evident in the so-called “Foundation Series” models, which sell for $20,000 more. Changing economic conditions or introducing alternative models at Cyberturck may increase the attractiveness of these prices in the future.
General economic uncertainty and rising inflation may cause people to limit their luxury spending. This could reduce demand for an expensive vehicle like the Cybertruck, leading to a price decline.
What does Tesla think about it?
Tesla wants them to sign a 12-month contract preventing them from reselling the vehicle to control Cybertruck’s resales and stabilize prices. We have already mentioned this contract to you. If you want more information about it, you can take a look at our related article.
On the other hand, the logic behind the contract is as follows:
- This contract, which aims to prevent investors from making a profit by quickly buying the vehicle and selling it at a high price, wants Cybertruck to be used as a real vehicle, not an investment tool.
- Tesla wants the Cybertruck’s price to remain stable and not be affected by sudden fluctuations. Limiting resales aims to optimize the supply-demand balance and keep prices under control.
- The company wants to protect the Cybertruck’s brand value. If the vehicle passes from hand to hand quickly and its price drops, it may damage the brand’s image.
The decline in Cybertruck’s resale price is a complex situation resulting from a combination of multiple factors. It could be a sign of saturation in the electric van market or a reflection of general economic uncertainties. Time will tell how far Tesla’s actions can curb this decline and what Cybertruck’s long-term market success will be.
Featured image credit: Tesla
