The automotive world is currently enjoying a high-stakes drama. On one side, you have the spectacular saga of Elon Musk‘s $878 billion compensation package, recently approved by shareholders. It’s worth remembering that this colossal sum is paid only in Tesla stock and contingent upon Musk achieving a series of laughably difficult goals, including multiplying the company’s current value by a factor of eight. Given the aging Tesla lineup and the notorious slump in EV demand across major markets like the US, Europe, and China, one might consider those goals purely motivational fiction.
Unsurprisingly, the company is scrambling to move metal. New, cheaper versions of the Model 3 and Model Y have appeared, the mysterious Cybercab is slated for a release next year, and now, Tesla is offering rentals starting at just $60 per day.
This move comes amid a broader market malaise. Used car giant CarMax, famous for its no-haggle pricing, just missed earnings targets and saw its CEO resign, prompting at least one analyst to declare the company “officially failed”. Tesla sales in China just hit a three-year low due to fierce domestic competition, and Rivian’s CEO, RJ Scaringe, has received a massive pay package seemingly inspired by Musk’s.
The marketing team at Tesla has clearly embraced the old wisdom that the best way to sell a product is to let people live with it. The new rental program is, quite transparently, an extended, multi-day test drive. Available through the Official Rental System, the terms are intriguing. A minimum of three and a maximum of seven days, starting at that compelling $60 daily rate. Customers are even offered a purchase incentive of up to $250, depending on the rental duration.
However, the program’s limitations provide a hint of the logistical chaos behind the scenes. The mileage is unlimited, but you cannot, under any circumstances, leave the state. This rental program is currently only active at two dealerships, both conveniently located in sun-drenched Southern California. The fine print even includes a $30 fee if the car is returned below a 50% charge.
