Tesla Officially Launches the New Model 3 Performance, Deliveries Start Next Month

Today, a few hours before releasing their first quarter financial results, Tesla launched the highly anticipated Model 3 Performance. The new version starts at $45,490 (after applying the $7,500 Federal EV tax credit) and deliveries are scheduled to start in May.

With 510 horsepower and a top speed of 163 mph, the new Performance variant brings an improved sound system, a re-designed interior featuring more comfortable rear seats with some features coming directly from the recently revamped Model 3. Tesla also says that the new Performance model has “significantly less” road and wind noise thanks to the rear spoiler and changes to the front bumper.

“The front and rear fascias, rear diffuser and carbon fiber spoiler work together to help reduce drag and improve lift balance at high speeds”

Tesla’s most powerful Model 3 ever is now cheaper than the Model 3 Long Range after the federal tax credit. The Model 3 Performance model is the only Model 3 variant that is eligible for the government incentive.

Performance

While the new Performance model is largely based on the recently revamped Model 3, while including design changes to the front and rear diffuser, as well as the addition of a rear spoiler. In terms of performance, the model announced today offers a 22% increase in continuous power, a 32% increase in peak power, and an additional 16% of peak torque. The Performance model now has 500 hp and includes a “performance” motor that’s unique to the Performance model.

New Model 3 Performance launching today ????️

→ https://t.co/IEF8dpRyvJ

0-60 mph in 2.9510 hp / 741 Nm163 mph top speed—Performance-tuned chassisSame quiet & comfortable cabin plus bespoke chassis hardware for improved stiffness and higher performance baseline.

More power,… pic.twitter.com/kJKOuDpOTP

— Tesla (@Tesla) April 23, 2024

The new Model 3 Performance is capable of going 0 to 60 in 2.9 seconds, 0.2 seconds faster than the previous incarnation. It didn’t take long for Tesla’s CEO Elon Musk to comment on X stating that the Model 3 Performance is “quicker than a Porsche 911.”

Track Mode V3

The new Model 3 Performance is equipped with an updated Track Mode, v3, that features an all-new calibration for the powertrain and adaptive suspension.

Range

The Model 3 Performance has an EPA range of 296 miles (476km) on a single charge, an increase of 10 miles (16km) when compared to the previous version while being slightly lower than the Long Range variant.

Rear Display

As seen in the revamped version of the Model 3, Tesla is also bringing the rear 8” touchscreen with climate controls, Bluetooth connectivity and entertainment for the rear passengers. With Tesla update 2024.14, Tesla is improving the rear screen by adding trip information, time and temperature information to the top of the display.

All-new Adaptive Suspension

According to Tesla, the new adaptive dampening system adjusts to driver and road input in real-time. While the new Model 3 already included suspension improvements over the previous generation, the Performance model takes it one step further.

New Seats

The new model includes the new Sport Seats that we’ve seen in spy shots before. Although the new model is officially named “Performance,” the sport seats feature the Ludicrous badge. The seats include improved side and cushion bolsters to help keep you in an ideal driving position

Deliveries

The model just went up for sale a few hours ago, but orders placed minutes after the launch show an estimated delivery of May/June 2024 in the United States. In Canada, where the Model 3 Performance starts at CA $69,990, the estimated delivery is currently slated for June/July.

Tesla eliminated a newly formed marketing team of about 40 employees as part of its global layoffs, Bloomberg reported on Monday morning. On X, Elon Musk said the ads created by the team were “far too generic” adding that they would apply to “any car”.

Exactly. The ads were far too generic – could’ve been any car.

— Elon Musk (@elonmusk) April 22, 2024

The team was led by Alexander Ingram who joined Tesla in August 2019 as Communication lead for Automotive. After a few different roles connected with content and social media, Ingram was promoted last December to Senior Manager of Global Growth Content. In the new role, he was leading a global team of creatives focused on Tesla's first ads, as well as social media.

Ingram put out some excellent behind-the-scenes videos on Tesla’s technological advancements such as the one below explaining Tesla’s single casting.

Tesla’s Advertisement Strategy

At Tesla’s 2023 annual meeting of shareholders, Elon Musk said that the company would “try a little advertising and see how it goes”. Since then, Tesla ads have been seen in Google search results and on YouTube.

In Tesla’s proxy statement filed last week, it is seen that the automaker has spent around $200,000 on X-advertising through February 2024.

“As part of a multi-platform advertising campaign, Tesla also directly or indirectly purchased advertising on X, which totaled approximately $0.2 million through February 2024”

Bloomberg’s source added that Tesla still has a smaller marketing team in Europe.

Tesla shared on X that it’s ending its current referral program globally by the end of April. It’ll be replaced by a new one, but that is still “a few months away”, according to CEO Elon Musk.

When Musk was asked if the current credits would be lost, Musk responded by saying “No, just that new credits would not be earned until we launch a future referral program.” That means there’ll be a gap of a couple of months when owners will not be able to earn referral credits.

Tesla was always famous for relying on its community to promote its vehicles rather than spending millions (or even billions) in ad campaigns.

Through Tesla’s referral program — which started back in 2015— customers have been earning referral credits by having friends use their referral link when ordering a Tesla product or taking their first demo drive. At the time, it started with a direct $1,000 prize for the referrer but later evolved to a more complex system with different tiers and points.

Prizes have changed a lot over the years

In its latest version, scheduled to end by the end of the month, Tesla models (S, X, and Y), along with Powerwall, solar panels, and solar roofs, are available for purchase using a referral link. In this version, owners can redeem credits from merchandise to software upgrades for their vehicles. They can even redeem credits for several months free of Premium Connectivity or FSD.

Our current referral program benefits will end after April 30 in all markets

— Tesla North America (@tesla_na) April 20, 2024

The Evolution of the Referral Program

Tesla’s first referral program was released in July 2015 where customers who referred new buyers would receive $1,000 for every new Tesla Model S delivered. For those who were able to accrue 5 or 10 referrals for the US automaker, Tesla raised the bar and offered invitations to the opening of its Giga Factories or even a fully loaded Model X.

Over the first 2 years, Tesla significantly increased the value of the prizes and even offered free or discounted Roadsters with enough referrals. However, in 2019, Elon Musk decided to stop amid cost concerns.

The referral program was re-launched in late 2019 offering new buyers free supercharging for a period of time, FSD access, premium connectivity, or $500 off a new vehicle.

What’s Next

Given the considerable gap of “a few months” between the current program and the next one, it is expected that Tesla will bring a new structure with updated awards focused on minimizing Tesla’s cost while increasing the brand’s awareness.