Where can Apple sell cars?

The year 2020 is slated to be an epic one for the auto industry.  By then, Tesla plans to have a ‘gigafactory’ capable of producing enough batteries for 500,000 electric vehicles, the seven major automotive manufacturers (including Musk’s juggernaut) will be selling driverless cars and Apple is going to release a car to sell along with its phone and watch. Or so they say.

Apple is not only the richest company in the world, they’re also known as one of the most secretive. Nobody knows whether or not they will actually manufacture and ship a car, but there is enough evidence to suggest that they are seriously considering it. We won’t lie, we’re excited about it, so we decided to join in the speculation.

Last year, we made an infographic asking the question “Can Tesla sell cars in my state?” In order for a state to be able to sell Teslas, the state would need to meet two criteria: first, direct sales from manufacturer to consumer would have to be legal and second, the state would need to have at least one Tesla showroom.

In our Apple infographic we broke it down in similar fashion.  The 25 blue states represent those where direct to consumer selling is legal, while red states are those where it is illegal.  The size of the apple icon indicates how many stores Apple already has in that state. There are only five states that do not have Apple stores yet: Montana, North Dakota, South Dakota, Vermont and Wyoming.

can apple sell cars in my state mojo motors infographic

If Apple starts manufacturing cars, they will encounter many of the same obstacles that have plagued Tesla. Fortunately for them, Tesla will have already fought many of the the tough battles. For example, New Jersey just passed a law allowing direct sales to consumers. Other states like Texas are fighting to overturn bans on direct sales as well.

In terms of making sales, Tesla uses its showrooms to generate interest, but in states like Texas they can’t actually complete the transaction in-store. Interested customers are required to make the purchase online. The internet selling allows Tesla to reach customers who live in states where direct sales are banned since an online sale technically gets registered as a sale in California, Tesla’s home state.

tesla showroom mall mojo motorsGiven the amount of time and money Tesla is investing to build more showrooms and lobby for the legalization of direct sales, it’s obvious that traditional retail is crucial to Tesla’s growth strategy. Tesla currently sells tens of thousands of cars a year, but it will have to increase its presence on the ground if it wants to reach the masses and compete with the likes of Mercedes and BMW.

Thanks to the leaders such as Steve Jobs and Micky Drexler, Apple is already a leader in both ecommerce and brick and mortar sales. In many ways Tesla has borrowed from Apple’s retail strategy. Like Apple, Tesla’s showrooms are located in prime, high-traffic locations such as luxury malls and metropolitan hubs. They’re also staffed with knowledgable product experts who aren’t pushy salespeople. 

iPhone 5 models are pictured on display at an Apple Store in Pasadena, California

For those that choose to buy the iPhone or the Model S, it’s not about the cost, rather it’s the love of the product that ultimately drives the purchase decision. Apple knows how to design and market products. This is why they’ve been so successful, and much of their success is due to their stores.  Apple lets customers play with and test the products as much as they want.  If Apple produces a car, one would imagine that Apple stores would serve as a showroom where potential buyers could test it out just as they can with any Apple product.

If they choose to go with this strategy, Apple has a big head start.  They already have storefronts in 45 states while Tesla only has stores in 21 states.

If Apple shipped a car today, the company could only sell directly to consumers in 25 states (the blue states on the map). Tesla supporters are already working full-on to increase that number. New Jersey represents a major win, and if Texas overturns the direct sales ban as well, that will be another huge win for Tesla and perhaps Apple too.


Subscribe for car shopping alerts and advice

Get alerts with buying guides, car reviews and other tips for car shopping

Written by Sam Jackson

Infographic by Sam Jackson

Image Credits: Tesla, Apple 

Where can Tesla sell cars?

Updated on March 19, 2015 – Direct sales allowed in NJ, new service stations, superchargers and galleries opened

Updated on November 4, 2014 – Direct sales banned in AZ and WV, new service stations, superchargers and galleries opened

We saw one of the first used Tesla Model S sedans go up for sale last week and it got us thinking, where can you buy, supercharge or service a Tesla these days? We scoured the internet and bribed our design team to put it all together in a sweet infographic – enjoy!

tesla map mojo motors 3-19-15 update

Summary

States that Ban Direct Sales: 25

States that Allow Tesla to Sell Cars: 25

Notes

Manufacturer direct sales are banned in the red states. Tesla can have service centers, superchargers and stores and galleries in these states but cannot sell or deliver cars. For example, you can check out a Tesla at Short Hills Mall in New Jersey, but you cannot take a test drive or discuss pricing with a salesperson. If you want to purchase a car, you would have to buy at TeslaMotors.com and then arrange a delivery. On March 15, 2014 Ohio passed a bill that will allow Tesla to sell its electric cars but it’s waiting to be signed into law by Governor Kasich. Read about it here.

Like the infograph?

Sign up for updates with the latest infographics, news and car shopping tips.


Written by Max Katsarelas

Best Getaway Cars

It doesn’t matter if you’re stealing precious jewels, famous artwork or cold hard cash, you need the right vehicle to make sure you and your crew getaway without any heat. Looking for a set of preowned wheels to accompany you on your next heist? We have some ideas for you.

Kjwp98You need a car that doesn’t draw attention, but still has enough power to flee the scene if things get ugly. You’ll probably need some off roading power, too. Unlike Grand Theft Auto, you can’t restart the mission when your Banshee flips over and catches fire. We’re talking IRL here, so choose wisely.


 Audi RS6

2003-audi-rs-6-image

Specialty: Going fast while looking slow.

In a heist, you want to draw as little attention as possible, and there’s no car that draws less attention that an Audi A6. Although the supped-up RS6 packs a twin turbocharged V8 that pumps out 450 horsepower underneath the hood, it looks almost identical to a regular A6. Find one in a nice beige and you’ll be in the clear. [keep reading]

Auto Insurance Minimums by State

old timey car crash mojo motors blog

We have been crashing cars as long as we have been building them. And we’ve made a lot more progress with the building than we have with the crashing. State car insurance minimums are in the news right now because Arizona is considering a bill to increase the required insurance minimums in their state. This is important because when the amount of damage in an accident exceeds what’s covered under the insurance policy the driver is often liable and it can result in catastrophic financial damage and often bankruptcy. [keep reading]

What do NASCAR pros use as their daily drivers?

This may come as a bit of a surprise to some, but NASCAR Sprint Cup vehicles are not legal street-driven vehicles. In fact, NASCAR race cars are a lot different than the one you drive. So despite what you see in commercials, they are not the daily drivers of your favorite oval track hero. NASCAR success and fame comes with a nice payday, and the drivers can afford pretty much any vehicle made, which explains the wide variety found on this list of their rides of choice.

Dale Earnhardt Jr.

Djr-16-9-camaro

The Earnhardt family has been in Chevy dealerships for generations, and Jr has a particular affinity for the Camaro. A fourth generation Camaro could be bought with dealer modifications to become an “Intimidator SS”, and this process was repeated in 2011 with a fifth generation Camaro SS making 704 hp. Intimidator indeed. While Jr sells these at his dealership, he’d rather drive the older ones. He owns a silver 1967 Camaro rebuilt by Detroit Speed Inc., featuring a traditional small block Chevy v8 with aluminum heads and a carburetor running power to a five-speed stick. A different flavor is available with his orange 1972 Camaro. This one has a modern six-speed and LS2 v8, but the EFI has been ripped out in favor of a carb. Oddities of his collection include a 1977 Oldsmobile Cutlass, and a Pontiac G8 converted to look like a Holden Commodore. [keep reading]

Used Electric Vehicles are Finally Here

Tesla is facing the best kind of problem an automaker can have —they can’t produce enough cars to meet the demand. That’s especially impressive when you consider the Model S starts at over $70,000.  Other manufacturers aren’t quite as lucky as Tesla, but overall the market for EVs (Electric Vehicles) and PHEVs (Plug-In Hybrids) is growing at a steady clip. The world is getter greener, and we’re not referring to these green cars. These days, Nissan Leafs and charging stations are a normal sight in parking garages and driveways around the US. With 126,000 all-electric vehicles and 142,000 plug-in hybrids sold in the US between 2010 and 2014, a market for used electric vehicles has finally emerged.

Used-Electric-Vehicle-Sales-2-16-15

At over 70,000 cars sold, the Nissan Leaf is leading the charge (no pun intended). The Leaf also stands out as the only EV to sell over 10,000 units in its first year of availability. Most EV models have only been available for a year or two, although a small batch of Toyota Rav4 EVs was rolled out in the early 2000’s. [keep reading]

Will 3D printing change the auto industry?

local-motors-3d-printed-car

The automotive industry is changing rapidly. There are more than a quarter million electric cars on American roads, some of which have a range over 200 miles in between charges.  It is legal to operate driverless cars in five states and at least 7 automakers will launch driverless cars by 2020. Will 3D printing, the Star Trek-esque technology that’s been all over the news lately, be the next technology to disrupt the auto industry? The short answer is, yes. It already has. [keep reading]

Paul’s automotive predictions for 2015

With automakers finally regaining pre-recession vitality, 2015 is shaping up to be an exciting year in the industry. As tech and auto amalgamate, automakers are forming partnerships with technology companies and vice versa.

150115_EM_VoltMostTalked2

Recently the Mojo marketing team sat down with Paul Nadjarian, our founder and CEO, to discuss what’s in store for our industry this year. We put together a list of the thirteen trends that Paul believes will dictate the automotive storylines of 2015. [keep reading]

Meet Paul Nadjarian, Founder of Mojo Motors

Paul_Option1

Paul Nadjarian is the Founder and Chief Executive Officer of Mojo Motors. Nadjarian has an extensive background in both the automotive industry and the Internet. He started his career at Ford Motor Co. selling inventory and programs to auto dealers and eventually ran the Internet lead management group at Ford.

After Ford, Nadjarian joined eBay Motors to run the Parts & Accessories category, growing the business to $2 billion in sales, the largest category at eBay. Most recently, he was the head of Product and Marketing at OnForce, an online marketplace for local contract professionals.

Paul has also been on the founding team of GreenLeaf Auto, an auto-recycling venture within Ford, and CombineNet, an advanced sourcing & optimization platform. Nadjarian earned a B.S. in economics from the University of Michigan and an M.B.A. from Harvard Business School.

To learn more, check out his LinkedIn profile: http://www.linkedin.com/in/nadjarian

« Older Entries