Tesla Brand Loyalty Drops An Unprecedented Degree In USA - CleanTechnica

A recent leaked update from S&P Global Mobility reveals a significant and unprecedented decline in Tesla's brand loyalty in the United States, attributed largely to CEO Elon Musk's controversial behavior. Although Tesla's brand loyalty rebounded slightly to 57.4% in May—comparable to Toyota and slightly above average—it remains 16 percentage points lower than the previous year. Notably, Tesla now trails behind Ford and Chevrolet in this key industry metric, marking a dramatic shift given Tesla's historically strong loyalty rates exceeding 70%. S&P analyst Tom Libby emphasized the rapidity and scale of this decline as unprecedented in his experience. The drop in Tesla's new car sales appears directly linked to Musk's increasingly erratic public and political actions. The article raises the question of whether Tesla's brand loyalty can recover if Musk reduces his political visibility or if the damage is permanent. Overall, the report highlights a critical challenge for Tesla as it faces growing competition and reputational risks amid shifting consumer sentiments.