Diving Into Advertising After Years of Avoidance
Not long following the declaration of Tesla CEO Elon Musk that the firm would “experiment a bit with advertising and find out what happens,” at a shareholders gathering at Giga Texas in May 2021, their efforts have started to be displayed on Google Ads.
On June 27, 2023, a Twitter user reported that eighteen commercials were coming up on Google with the Tesla Inc. moniker. Not only do these advertisements seem to present their hot-selling EVs such as the Model 3 and Model Y, but furthermore their solar panels and the Supercharger network in both the United States and Britain.
Musk has long held the belief that Tesla would be better served devoting their ad budget to improving their products. This notion appears to have paid off, given the company’s current market capitalization of $800 billion – more than any other auto manufacturer in the universe. Surprisingly, without marketing, their electric vehicles are still moving fast off the shelves; The Model Y was the top-selling car of any class in the first quarter of 2023.
Last year, we spotted a noticeable alteration in Musk’s attitude; he had become more receptive towards advertisement. Through an interview, he commented that automakers generally constitute the prime advertisers of conventional media, hence they dodge delivering caustic reports around them. According to Statistics from Statista, carmakers invested around $17 billion dollars for digital commercials during 2022, and are set to splash out approximately $19 billion dollars throughout 2023.
At the Giga Texas investor meet, Musk declared that many individuals remain oblivious of the “stunning specifications and capabilities” of Tesla vehicles.
The business has recently intensified advertising endeavors on their social networks, with a commercial for the Model 3 premiering on Tesla Asia. In the footage, a working mom of two highlights the car’s autonomous maneuvering and security components.
Therefore, one could safely say Tesla will remain a prominent presence within EV discussions, regardless of their ad campaigns. What are your views on the automaker’s decision? Given its established reputation without commercials, do they still require an advertising budget? Please weigh in and leave us your comments below.
