Research Overview

Having delivered close to a million battery electric vehicles (BEVs) globally in model year 2021, Tesla is clearly leading the worldwide shift towards electric mobility. The company’s vertically integrated sales format that eliminates third-party intermediaries in the downstream automotive value chain has received a lot of press coverage. However, not much has been written about Tesla’s aftersales strategy, barring a few articles highlighting aspects that are by-products of the company’s convention-defying approach to vehicle delivery.

Frost & Sullivan has performed an extensive analysis of this relatively less-spoken-about aspect of Tesla’s automotive business and attempts to build a signpost of things to come, for both Tesla and other pure-play BEV start-ups during what is widely acknowledged as the decade of the xEV. This research identifies and thoroughly analyses the standout features of Tesla’s aftersales strategy, thereby uncovering valuable insights for both independent aftermarket participants and legacy OEMs foraying into the xEV space.

Through extensive primary and secondary research, supplemented by an annual report study, Frost & Sullivan has gathered several crucial data points that were subjected to rigorous analysis to yield rich qualitative insights on an aspect of Tesla’s automotive business that has not yet become a prominent subject of market research titles. This study attempts to fill a gap in existing aftermarket research literature, thereby facilitating strategic decision-making by stakeholders in the EV aftermarket, in both the independent and OEM channels.