15 Takeaways From Tesla's Marketing Strategy
Elon Musk is a celebrity CEO who is the driving force behind Tesla's success.
Tesla is at the forefront of innovation and the vision Elon is presenting is extremely exciting.
Volkswagen, Ford, General Motors, Toyota, and BMW jointly spend more than $25 billion on advertising each year.
Tesla spends $0.
As a result, Tesla is the most Googled automotive company in the United States and the "Most Valuable American Automobile Manufacturer."
Why doesn't Tesla Advertise?
Elon Musk would rather use that money to create a fantastic product.
Because great marketing doesn’t sell a shit product.
But a great product can market itself.
1. Communicate The Goal
The strongest cult-like brands have die-hard fans who believe in the vision.
Share the same mission.
And believe in the strategy.
Share it and attract fans.
Vision:
"Build the most appealing automobile company of the twenty-first century by leading the world's transition to electric automobiles."
Mission:
"To hasten the arrival of sustainable transportation by bringing enticing mass-market electric automobiles to market as soon as feasible."
Strategy:
"Make a sports automobile."
"Use that money to create a cheap automobile."
"Use that money to produce a car that is even more inexpensive."
“While doing above, also provide zero-emission electric power generation options."
Consumers who share these beliefs will become die-hard supporters.
2. Building In Public
Everything begins with attention and ends with trust.
This is why building in public is so powerful.
Your fans get to join along for the ride.
And become more devoted as the journey continues.
3. Own Titles
People want the best of the best.
Possessing titles inspires an instinctive need for the next greatest thing.
Tesla holds the following titles:
- The world's fastest production automobile
- The safest vehicle ever constructed
- The longest-distance electric car
- Fastest SUV in the World
The automotive aficionado will scream with delight if he or she owns a vehicle that can lay claim to this distinction.
4. Use Twitter As A Communication Tool
Of course, we had to incorporate Elon Musk's Twitter account.
And with good cause.
Elon uses Twitter to share memes and stir up controversy, but he largely uses it to communicate.
Twitter is where you can get the latest updates, important news, and teases.
With over 51.8 million followers, Elon pushes a single button to reach out to all Tesla enthusiasts.
This isn't a coincidental occurrence. They disbanded its public relations department and chose social media as its primary communication method.
5. Start A Newsletter
A newsletter is a direct channel of connection with your target audience.
In contrast to social media, where the algorithm dictates how many people you target, email marketing does not alter.
If you have a million individuals on your email list, you can reach out to all of them with a single click.
With this, as well as promising updates, teasers, news, and events, you can guarantee Tesla enthusiasts are dropping their email addresses.
6. Experience-Driven Lead Generation
For lead generation, most businesses provide ebooks, webinars, email series, free trials, among other things.
But what about using a once-in-a-lifetime experience as a lead magnet?
Tesla sent out a mailing to drum up interest in their Semi Truck.
But there's more to it.
If you signed up for the newsletter, you'd be entered into a raffle to race a Tesla semi-truck around a track.
You can't help but join up for a once-in-a-lifetime experience.
7. How Tesla Generates Hype
Elon is notorious for dropping teasers.
Because of the nature of Tesla raving fans, this creates a lot of attention.
Thousands of followers take to social media the moment these teasers are released to spread the word.
The next thing you know, Tesla is trending on Twitter, and every newspaper is scrambling to publish an article on "what they know."
Content Marketing ➡️ Earned Media ➡️ Virality
8. Creating WTF Moments
Steve Jobs did this with the "1000 songs in your pocket" campaign and even by pulling a MacBook Air from an envelope.
Elon, on the other hand, went out of this planet with a WTF moment.
Literally.
He hooked his Tesla Roadster to a rocket in preparation for a Space X launch.
Minutes later, it was on its journey into space, piloted by "Starman."
What a bold move.
Using SpaceX to launch and promote Tesla.
9. Events
Tesla events, like Apple events, are a BIG DEAL.
You go to watch the evolution of society with your own eyes.
Elon's easygoing showmanship always produces a spectacle that makes a splash.
- Falcon doors ➡️ Viral
- Cybertruck Broken Glass ➡️ Viral
- Semi Truck ➡️ Viral
Then we take control.
We tweet every update, piece of news, or rumor.
We use social media to share photos, thoughts, and views.
We publish thousands of articles on the event and what comes next.
10. User-Generated Content (UGC)
I don't believe there is any car manufacturer that creates more user-generated content (UGC) than Tesla.
Tesla's features generate massive quantities of UGC.
Content-type:
- Reaction Videos
- Automobile Dancing Videos
- Tesla racing other sport cars
- Ludicrous Mode
- Falcon mode
The experience of owning or riding in a Tesla is not comparable to that of any other car.
When someone experiences something new, they are more likely to tell others about it.
11. Free Ads
Consider garnering millions of views without running a single advertisement.
Tesla developed "Project Love Day" in response to a letter from a 10-year-old Bria Loveday, which accomplished just that.
The most spectacular video competition of all video competitions.
If you wanted to take part, you had to create a 90-second ad for Tesla and post it to YouTube.
The winners would be chosen and announced.
There were hundreds of entries, which resulted in millions of views and PR.
The top ten finalists from "Project Love Day" received over 3 million views.
Marques Brownlee is an American Youtuber who won the top prize.
His video has received over 1.2 million views.
12. Rotation of Referral Programs
According to Elon, "one consumer should produce three."
"Word-of-mouth is the greatest way for things to happen."
This is why Tesla emphasizes their referral program.
It is continuasly being improved.
Through its referral programs, Tesla always finds a way to provide an incentive worth sharing or an experience worth experiencing.
13. Customer Service Is A Marketing Strategy
Everyone wants to brag about how nicely a company treated them.
One positive encounter can help shape the expectations of the company in the eyes of thousands.
And thanks to social media, it will reach millions of people.
Here's a fantastic example:
A man was diagnosed with stage 4 cancer and has just 3-4 months to live.
His Model 3 was the last item on his bucket list...
However, manufacturing was remained restricted.
Tesla brought him to the Fremont delivery center, where he received VIP treatment and even received his Model 3.
It's a tearjerker of a story.
Positive or negative word of mouth both have the potential to spread like wildfire.
14. Use Scarcity To Influence Customer Behavior
Supply and demand can be a real hassle.
Limited production combined with a waitlist is a lethal combination for creating urgency.
Elon has done this with practically every product, from the Model 3 to his S3XY shorts.
And, more importantly, does it work?
How about 500k Model 3 pre-orders.
15. Reducing Friction With Purchase Speed
What is the typical method of purchasing a car?
Go to a dealership, spend hours upon hours filling out paperwork, and then, FINALLY, get your car.
In the case of Tesla, you can go from 0 to Model 3 in one minute. You actually go online, choose your features, upgrades, and payment plan, and then wait for your Model 3 to arrive.
Talk about lowering friction.
Key Takeaways
Tesla excels at communicating its vision to the masses.
This is a vision of the future people can get excited for. Because of that, there are entire YouTube pages dedicated to Tesla.
Elon's, advocates do the marketing for him.
They don’t spend a dollar in advertising because they don’t need to.
They generate leads with experience-driven marketing, make the purchase process frictionless, and have a return policy that makes customers sure about their purchase.
- Share the vision
- Build-in public
- Own a title
- Use Social (preferably a person)
- Create a newsletter
- Rotate referral programs
- Experience-driven lead generation
- Generate Hype
- Create epic events with epic moments
- UGC is social proof
- Generate free ads
- Create WTF moments
- Customer
-Service is the best marketing
- Create scarcity
- Reduce friction
- Tackle objections
