Ford Offers Discounts to Tesla Owners

Ford Motor Company has recently escalated its competition with electric vehicle giant Tesla by introducing a significant discount aimed exclusively at Tesla owners.

by Faruk Imamovic
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Ford Offers Discounts to Tesla Owners
© Getty Images/Nathan Howard

Ford Motor Company has recently escalated its competition with electric vehicle giant Tesla by introducing a significant discount aimed exclusively at Tesla owners. This initiative, launched on April 3, offers an additional $1,500 off on Ford's electric models, the F-150 Lightning and the Mustang Mach-E.

Ford Authority first reported the move. This strategic discount, known as the "Tesla Competitive Conquest Bonus Cash," is designed to lure Tesla customers towards Ford’s expanding electric vehicle lineup. Importantly, the offer does not require Tesla owners to trade in their vehicles; instead, they simply must verify their Tesla ownership to qualify for the savings, as detailed by a source to Yahoo!Finance.

The promotion is set to run until July 8, providing a limited window for Tesla owners to capitalize on this offer.

Adjusting Strategies Amidst Market Challenges

Ford's aggressive pricing strategy doesn't stop at targeted discounts.

In a recent adjustment, the automaker has also reduced the prices of its F-150 Lightning models. According to CNBC, these reductions range from $2,000 to $5,500, varying by the vehicle’s trim level. This price reduction is part of Ford’s broader strategy to stay competitive in an increasingly crowded and competitive electric vehicle market, dominated by Tesla's innovative products and strategic pricing.

Currently, the 2024 models of the F-150 Lightning and Mustang Mach-E are priced starting at $54,995 and $39,995 respectively. This pricing places Ford’s offerings in direct competition with Tesla’s most affordable model, the Model 3, priced at $38,990, and its electric pickup, the Cybertruck, starting at $60,990.

Overcoming Production and Sales Hurdles

Despite these aggressive marketing and pricing strategies, Ford has encountered significant challenges in its electric vehicle sector. Business Insider reported that Mustang Mach-E SUVs were accumulating unsold at dealerships last year.

The company also announced a delay in approximately $12 billion planned investments in its EV initiatives during 2023. Further complicating matters, Ford announced in December that it was reducing the production of the F-150 Lightning due to various issues.

The production woes continued into February when Ford temporarily halted shipments of the model due to an undisclosed quality concern, only resuming on a recent Thursday, as reported by CNBC.

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