Tesla will now offer its buyers an opportunity to earn extra incentives through referrals from existing customers.
A marketing strategy typically used by automakers like Ford and GM, the incentive, which the EV maker calls "Refer and Earn," is the equivalent of about $500 in cash back to U.S. customers buying the Model 3 and Model Y. New customers will also receive three months of its Full Self-Driving feature.
The program is debuting in Tesla's largest markets including the U.S., China, Germany, France, Canada, Mexico, Hong Kong and Singapore.
For customers in China, the Elon Musk-led company said it would offer new buyers of its Model Y and Model 3 vehicles a cash rebate of 3,500 yuan or $483.69 if they could cite a referral from an existing owner.
Since Jan. 1, the price war among EV competitors like Tesla, Rivian, GM and Ford has heated up amid a string of price cuts to EV models, capital investment and infrastructure applications like charging stations and electric battery plants.
On Thursday, Lamborghini reported selling out of combustion engine cars and will now only sell hybrids. Last month, Stellantis launched its own charging system while Rivian agreed to join Ford and GM on Tesla’s North American Standard.
Meanwhile, the supply chain of electric vehicles is being put into place with GM announcing a $3 billion EV battery center in Indiana, while Hyundai and LR partner on a $4.3 billion EV plant in Georgia.