Connecticut Dealers Push To Ban Tesla Stores Because Educated Buyers Are Purchasing Them Online

After a recent victory in Indiana, Tesla is making a push to allow its direct-sale business model in Connecticut and bypass the third-party car dealer model.

As the company makes its case and backs a new bill introduced by the Transportation Committee this week, the state dealership association launched its own effort to block the bill, which they managed to do 3 years in a row now.

Tesla has tried in the past to push for new legislations that would enable them to sell cars directly to customers in Connecticut, but the local dealerships appear to have a strong influence in the state.

Read Article

TheSteve - 2/21/2017 2:04:49 PM

+2 Boost

What can I say? Some folks (traditional car dealer franchises and their interests) are vigorously protecting their fiefdom.

I believe the real gripe here is that an auto franchise has to put up a tremendous amount of money to open up a dealership and to keep it running. That's the way virtually every automaker works, because they don't sell directly to the consumer. Tesla bucks the trend, and members of The Old School don't like it.

Just as a data point, selling yachts and most civilian aircraft used to be done through middlemen (AKA "resellers") as well. During a recent recession, these manufacturers changed the way they did business. They had to, to stay afloat. Today, in many cases, you can buy your yacht or plane directly from the manufacturer. They initially did this to reduce the retail price by bypassing the middlemen. Consumers liked it because they got more value for the dollar.

Multi-Level Marketing "creates jobs." Selling direct reduces (arguably) unnecessary middlemen and provides superior value to the customer.

atc98092 - 2/21/2017 3:27:46 PM

+3 Boost

If Tesla also had franchised dealers, then they would have to follow the same rule. That is the only reason the rule is in place. No franchisees? No problem selling direct and opening their own stores.

222max - 2/21/2017 4:10:10 PM

+2 Boost

I'm calling it FAKE NEWS.

Stotten - 2/23/2017 3:07:14 AM

+2 Boost

They need to let Tesla sell there cars directly in Connecticut. The old model of selling cars do not work. You
pay more for the car because if the middleman & have to be at the dealership ship for hours playing there stupid game trying to get the best deal. Then leaving to go to another dealership & getting a better deal. GM & other manuafactures do not push the sales of hybrid or electric vehicles, they actually try to push you away from buying electric & to buy Ice car. I know this from exsperience when I had brought my chevy volt but no longer have because no lumbar support & now have back issues because of it, but that's another story. If GM & all automobile manufacturers are against letting Tesla sell directly because they would be exception to the rule , then they should let all car manufacturers sell directly but I figured GM would be against that as well. It is 2017 time to change with the times. How about instead of complaining GM, make better quality & better looking cars. GM & all manufactures except for Tesla pushing Trump to be relaxed on environmental protection. They do not care about the consumer they only care about there bank accounts & this proves it.