As demand for Tesla, Inc.’s (NASDAQ:TSLA) electric vehicle fails to kickstart in a meaningful way, Future Fund’s Gary Black has been recommending that the company considers advertising as an option.
What Happened: With former Fox News host Tucker Carlson announcing that he would bring a new version of his show on Twitter, Black suggested that Tesla should jump at the opportunity.
Tagging Tesla CEO Elon Musk, the fund manager raised the possibility of Tesla running a 60-second ad called “Why go EV?”
The ad could talk about how EVs lower operating costs, how they are easy to charge, the near-autonomy of Tesla’s EVs, lightning 0-60 performance, higher residual value and climate impact, according to Black.
“All while showing a TSLA Model Y product as a hero,” the analyst said. “Like lower price, it drives EV adoption.”
See Also: Everything You Need To Know About Tesla Stock
Why It’s Important: Following LCID) quarterly results, Black tweeted that advertising can’t fix a bad business model. Lucid advertises but the company, with an ASP of $106,000 for its EVs, is catering to a segment that is tiny and shrinking, he said.
Black earlier this month highlighted the failure to advertise as a missed opportunity for Tesla and suggested it could render the company more valuable than Apple.
The fund manager said Tesla, though, could spend some dollars educating users on the advantages EVs have over ICE vehicles.
Despite the slew of price reductions Tesla announced across geographies this year a demand pickup has proved elusive.
Tesla closed Tuesday’s session down 1.54% at $169.15, according to Benzinga Pro data.
Check out more of Benzinga’s Future Of Mobility coverage by following this link.
Read Next: The EV Market Through The Eyes Of Warren Buffett, Adam Smith And Charles Darwin: An Analyst’s Take
