Tesla’s Price Cuts Drive Online Traffic Spike, Says Citi

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Decreasing prices of Tesla vehicles are leading to a surge in online traffic, Citi's observation shows. The firm notes that Tesla has consistently experienced significant net inflows from all automakers, particularly after the price reduction in April.

Citi recently revised its “mindshare” EV tracker, which monitors EV-related web traffic, according to investing.com (via @SawyerMerritt/Twitter). This tracker measures the level of engagement on websites related to the EV market in general, as well as specific brands or companies. In doing so, companies serve as a possible predictor of future EV market share and brand influence.

The latest mindshare data show that Tesla's price cuts in April led to an increase in traffic in April (51% vs. 47% in March). Preliminary data for May show that the company's share remained above the March level (48% vs. 47%) and above the first quarter (46%) but below the initial April peak. The future remains to be seen how the availability of all Model 3 variants for the full $7,500 tax credit has affected Tesla traffic.

In addition, Citi conducted an analysis of net inflow and outflow traffic for various bi-directional automaker pairings in April and May. The purpose was to identify patterns of conquest. The findings revealed that Tesla has consistently experienced significant net inflows from all automakers, particularly after the price reduction in April.

Citi’s mindshare also tracks visit duration, pages per visit, and bounce rate (those who leave a website after viewing one page), and found that Tesla, Ford, BMW, and Porsche continue to be the top performers. Notable outsiders include Fisker and Volvo.

© 2023, Eva Fox | Tesmanian. All rights reserved.

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Article edited by @SmokeyShorts; follow him on Twitter

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