Why Tesla Has the Most Loyal Customers
Original Content Publication Date: 09/06/2014
Tesla has done an excellent job of creating brand loyalty among its customers. Unlike traditional automakers such as Ford and GM, Tesla doesn't have a massive advertising budget, nor does it conduct multinational marketing campaigns. Instead, Tesla relies on word-of-mouth marketing and mall showrooms for selling its cars. This works because of Tesla's tremendous brand loyalty.
Important factors to create brand loyalty include:
- Making an Enemy: Apple made an enemy of Microsoft. Tesla chose to be an enemy of big automakers and traditional auto dealerships.
- Establishing an Emotional Connection: A study by marketing research firm CEB found that rather than being loyal to a company per se, people are loyal to what that company represents. Tesla represents saving the environment from fossil fuels.
- Consumer Reports: Tesla communicates openly with its customers and listens to their concerns.
- What deliberate steps do you think Tesla took to create brand loyalty?
- Other automobile manufacturers also make electric or hybrid cars. Do they have the same emotional connection? Why or why not?
- What brands are you loyal to? Why do you think you are loyal to them?