Tesla Motors Inc (NASDAQ:TSLA) Model S Maintains Its Dominance In The US Luxury Sedan Market

Tesla Motors Inc (NASDAQ:TSLA) has managed to secure a big lead over the competition in the US luxury sedan market according to a Bloomberg report.

Story continues below

The report indicates that Tesla is the dominant sedan manufacturer in the US, beating key players such as BMW and Mercedes. Tesla’s luxury sedan sales have skyrocketed by as high as 59 percent in 2016 Q3 compared to the sales figures recorded in Q3 in the previous year. The electric automotive manufacturer revealed that the sales figures for the Model S grew from 5,800 to roughly 9,200 within the period from Q3 in 2015.

Tesla reported that it has dominated a third of all the sales in the luxury sedan category. The announcement comes in the midst of growing fame for the Model S compared to similar vehicles from Mercedes and BMW. The BMW 7-Series and the Mercedes S-Class have been considered the closest competitors to the Tesla Model S. The report revealed that the S-class secured 4,900 sales while BMW managed to sell 3,600 units of the 7-Series.

“First, the Tesla brand is maintaining a solid reputation against some headwinds,” pointed out David Z. Morris of Fortune.

The good numbers reported by Tesla suggests that people have grown to like electric vehicles and the skepticism about electric cars is surely becoming a thing of the past. Critics have always pointed out limited electric mileage as one of the shortcomings of electric vehicles compared to fossil-fuel driven vehicles. However, Tesla put those worries to rest by fitting batteries that can propel the Model S well over 200 miles on a single charge.

Tesla’s competitors have taken note of the growing acceptance of electric vehicles and are also venturing or planning to start producing electric vehicles to compete more effectively against Tesla. The latter boasts of an impressive head start in the electric vehicle technology and has already become a global phenomenon which is something that the rivals will have a hard to beating.

Tesla stock closed the latest trading session at $200.24.

An ad to help with our costs