Photo: Solid Color Backgrounds / Automakers / autoevolution edit
It's no secret that Tesla upset some of its existing customers by applying hefty discounts to its entire portfolio of all-electric vehicles. But while the EV maker remained in the spotlight, other auto brands adopted similar price strategies. Here's what else got considerably cheaper in 2023.
When Tesla started increasing the MSRPs of its EVs out of nowhere and for no valid reason, we looked into it and concluded that it was just a strategy. That smart move helped the brand deal with industry-specific challenges. Basically, it tried to curb demand because manufacturing got very complicated.
But not having many cars to sell isn't something you want to do as a for-profit auto company. So, Tesla got its affairs in order, amplified production, and had to restart convincing people to buy its units. After offering some incentives that kept becoming more and more attractive as the quarters were ending, it did the most obvious thing and brought acquisition costs down significantly.
The highlight of the price downtrend came earlier this month when the cool-looking Model X with its falcon-wing rear doors became eligible for the EV tax credit because it met the final criterion – having an under-$80,000 MSRP.
The Model S, Model Y, and Model 3 received their own discounts, too. Federal, state, local, and utility company-sponsored incentives for EVs, coupled with rising gas prices, made more and more Americans consider buying a zero-tailpipe emission car that can either be charged at home or faster at a reliable and convenient Supercharger.
Moreover, the prospect of barely used battery-electric vehicles joining the secondary market with huge discounts helped Americans needing wheels make the decision to buy a Tesla much simpler.
But the well-known EV maker wasn't the only one to cut prices this year. A RealCarTips analysis published on Twitter (X) showed that the following models got cheaper since the beginning of 2023:
Other notable discounts were applied to the Ford Edge (-12.5%), the Kia Niro EV (-12.1%), and the Volvo XC40 Recharge (-11.1%).
This practice should continue because inflation is still not under complete control, and many Americans are facing the prospect of having their vehicles repossessed because of missed car payments.
Lenders are also approving fewer loans, and some entities are getting out of the business. The auto industry might have to face a very different reality soon enough unless something palpable changes.
But if you waited to get a brand-new car, now could be a good time to start exploring options at brands that manufacture low-demand units. So, definitely don't ask Porsche for a great deal.
But not having many cars to sell isn't something you want to do as a for-profit auto company. So, Tesla got its affairs in order, amplified production, and had to restart convincing people to buy its units. After offering some incentives that kept becoming more and more attractive as the quarters were ending, it did the most obvious thing and brought acquisition costs down significantly.
The highlight of the price downtrend came earlier this month when the cool-looking Model X with its falcon-wing rear doors became eligible for the EV tax credit because it met the final criterion – having an under-$80,000 MSRP.
The Model S, Model Y, and Model 3 received their own discounts, too. Federal, state, local, and utility company-sponsored incentives for EVs, coupled with rising gas prices, made more and more Americans consider buying a zero-tailpipe emission car that can either be charged at home or faster at a reliable and convenient Supercharger.
Moreover, the prospect of barely used battery-electric vehicles joining the secondary market with huge discounts helped Americans needing wheels make the decision to buy a Tesla much simpler.
But the well-known EV maker wasn't the only one to cut prices this year. A RealCarTips analysis published on Twitter (X) showed that the following models got cheaper since the beginning of 2023:
- Dodge Durango – was $44,440, now is $36,899 (-17.4%);
- Hyundai Ioniq 5 – was $49,186, now is $41,315 (-16.2%);
- Dodge Charger – was $40,642, now is $34,559 (-15.4%);
- Kia EV6 – was $45,574, now is $39,048 (-14.5%);
- Dodge Challenger – was $35,265, now is $30,755 (-13.1%).
Other notable discounts were applied to the Ford Edge (-12.5%), the Kia Niro EV (-12.1%), and the Volvo XC40 Recharge (-11.1%).
This practice should continue because inflation is still not under complete control, and many Americans are facing the prospect of having their vehicles repossessed because of missed car payments.
Lenders are also approving fewer loans, and some entities are getting out of the business. The auto industry might have to face a very different reality soon enough unless something palpable changes.
But if you waited to get a brand-new car, now could be a good time to start exploring options at brands that manufacture low-demand units. So, definitely don't ask Porsche for a great deal.
Biggest price drops since January: pic.twitter.com/ptVxxQ6BRW
— CarDealershipGuy (@GuyDealership) September 13, 2023
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