Tesla has surprised everyone with the return of its referral program. Just a few months after it was discontinued, the electric car manufacturer is now once again offering rewards. Is this a sign of weakening sales or just a return to the old marketing strategy?
Tesla has surprisingly reintroduced its referral program in the USA – and with significantly improved conditions. The electric car pioneer had only discontinued the program worldwide in April of this year. The new edition now provides more generous rewards. The Online magazine Electrek reports on the details of the new program – whose return is now quite likely for Germany.
The new program works like this: Prospective buyers receive a $1,000 discount on a new Tesla vehicle when they use the referral code of an existing Tesla owner. The referrer is rewarded with a $500 credit. This credit can be used in a variety of ways – be it for Supercharging, software upgrades, merchandise, services or even the purchase of a new Tesla.
Compared to previous versions of the referral program, Tesla now offers significantly more flexibility in how the rewards are used. Previously, the rewards were often limited to specific products or services that were available through the Tesla app. The ability to use the credit to purchase a new vehicle should significantly increase the program’s attractiveness.
This revival of the referral program raises some questions about Tesla’s current market situation. Industry observers speculate whether this step could be a response to a possible decline in demand. Tesla itself has not publicly commented on the reasons for the reintroduction. Electrek editor Fred Lambert suspects that Tesla is now taking demand more seriously and is returning to tried and tested marketing methods with the referral program.
Tesla’s referral program has had a varied history. Over the past ten years, it has been introduced, modified, and discontinued several times. Tesla offered very generous incentives at times. Over time, however, the rewards have been gradually reduced.
The program, which was ultimately discontinued in April 2024, was criticized. Many participants complained about the limited usability of the rewards. Some Tesla owners reported millions of unused Supercharger miles or thousands of Tesla points that expired due to restrictive terms of use.
Electrek author Frederic Lambert himself, for example, explained that he was “sitting” on a million Supercharger miles that expired because Tesla did not allow them to be passed on. The new version of the program now seems to have addressed at least some of the criticisms.
The reintroduction of the referral program could of course also have an impact on the electric car market – Tesla probably hopes so. It is to be expected that existing Tesla owners will now increasingly act as brand ambassadors.
While the details for the US market are already known, it remains to be seen how the program will be implemented in other countries. In Germany, the program was previously called “Refer and Earn”. According to Tesla’s German website, the program ended on April 30, 2024, and an update has not yet been seen there.
It is to be expected that Tesla will make similar adjustments here to increase the attractiveness of the purchase. What do you think of Tesla’s decision to revive the referral program? Do you think this will boost sales or are you rather critical of it? Share your thoughts and experiences in the comments
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