EV purchases Online Only or Dealer Franchises?

Car Dealers Franchise Dealers Online Sales


Dana Sinno
Published on January 22, 2020
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Tesla is hoping to sell their new EVs direct in Texas but there is something called Dealer Franchise Laws that are in the way.

Historically, dealers have been protected by state laws that generally don’t allow manufacturers to sell direct.  Texas is one of several states that 

requires automakers to use third party dealerships.

Electric vehicle companies like Tesla, Lucid, Rivian, Lordstown and others who want to control the entire process (including pricing) are fighting to sell direct.  

Citing that franchised dealers can’t properly sell electric vehicles; these companies are lobbying with proposed legislation to allow direct sales. It is believed that consumer choice and ease will help accelerate the EV adoption.

Which buying experience do you prefer?  

How will franchise dealerships compete?  Will they lose their long-standing protection?  

Car Dealers and Consumers, please comment!

📸 Cred: @ istockphoto.com

Go electric ✌🏼


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