Tesla is facing vehicle distribution problems, making car carriers to avoid it.
Tesla, the electric carmaker giant, attempts to make its own car carriers. The company is upgrading its logistics system but running into an extreme shortage of car carrier trailers. The CEO, Elon Musk tweeted on in response to a customer, who placed an order for a Model 3 All-Wheel Drive (AWD), but still have not received the car – “Started building our own car carriers this weekend to alleviate load.”
In the automobile industry, shortage of carriers, trucks, and trailers is already a common problem, but with Tesla’s increasing production numbers, it is now facing logistical issues. Earlier, Musk acknowledged that the company was facing more logistical problems now than production delays.
4,000 Model 3 cars per week
With the recent consistent production of about 4,000 Model 3 vehicles per week, Tesla’s delivery volume is increasing so much as the company attempts to finish the quarter strong. The company is now facing an issue where they are running out of car carriers. As it is a usual case with Tesla, it has decided to come up with a solution in-house, to build own car carrier trailers.
Aims to customer service response time
The automaker’s customer service response-time and delivery logistics are their new top priorities with the increased delivery volume. Such a strategy is evidently out of the ordinary for an automaker. Conventionally, automakers employ car carrier trailers to transport vehicles from the production plant to dealers, where the vehicles kept stored until customers buy them. Tesla’s business model does not utilize dealerships, and the company is in the middle of ramping its deliveries for the Model 3. As such, car carrier trailers filled with electric vehicles are deployed from the main Fremont factory directly to delivery centers, where reservation holders receive them. Considering the mass number of vehicles that need to be moved and distributed, a shortage of car carriers is possible.
The company has not provided any other details about their self-designed car carriers. The company’s such a strategy is reflective of its tendency to adopt creative and outside-the-box solutions when it faces issues and going through bottlenecks.
Tesla’s Door-to Door Service
Recently, Tesla has launched its ‘door-to-door service’ called ‘Tesla Direct’ to help with Model 3 delivery during rush week. Tesla is bringing those truckloads to delivery centers and delivering them directly to customers at their places. The automaker expects to deliver so many cars during the week that even invited Tesla owners to come help ‘educate’ new buyers in order to help delivery employees. It is all happening as Tesla is making a massive push to achieve a record quarter.