Tesla fired its entire new ad team in recent layoffs
Tesla has fired its entire 40-person “growth content” ad team as part of its recent massive round of layoffs. The ad team had been part of Tesla’s push to increase traditional advertising.
Since Tesla’s very beginning, the company has shied away from traditional advertising methods to sell its cars. Tesla still had marketing spend – events and so on – but just didn’t spend money to put paid advertisements on TV, on the internet, billboards, etc.
Instead, it focused on other methods to get its brand in front of people – for example, an early unique push to open Tesla stores in malls, rather than using traditional dealerships. Or its referral program, which turned owners into paid word-of-mouth advocates (incidentally, Tesla is shutting that down on April 30, but says it will bring it back in another form later). Or… blasting a Roadster into space.
But for a long time, there has been a push among advocates for Tesla to start advertising in mass media, as one of the few companies that is big enough and has enough money and interest to really make a full-throated case for EVs (as opposed to other companies, many of which focus on greenwashing or disinformation).
Finally, last year, a shareholder brought up the question of advertising at Tesla’s annual shareholder meeting, and CEO Elon Musk, who “hates advertising,” said “we’ll try a little advertising and see how it goes.“
Since then, Tesla started running ads in various media. This included video ads on YouTube, Facebook and, controversially, putting ads on Twitter after Tesla CEO Elon Musk wasted tens of billions of dollars (and tons of his own time) on it. We recently reported that Tesla has spent at least $200,000 on ads on Twitter.
But those ads apparently did not turn out to Musk’s liking, as today Bloomberg reported that Tesla has cut its entire 40-person “global growth content” ad team. Musk confirmed the layoffs on twitter in a reply to the Bloomberg article, saying that the ads, one of which highlighted the ability to turn your lock sound into a fart, were “too generic”:
The team was led by Alex Ingram, who had worked in marketing for Tesla since 2020. But the new “growth content” team only started in December, and Ingram was actively recruiting to grow it in the last few months. Another director, Jorge Milburn, who had been with Tesla for 9 years and built the company’s presence in Iberia before moving into a growth position in the Netherlands, was laid off as well.
The team’s “maiden voyage” was only last month, with a 30-minute livestream going over the details of the new Model 3 “Highland” refresh. That livestream was promoted by Musk seen by 4.2 million people according to twitter’s, uh, generous view count methodology.
The firings come as part of a volatile time for the company, which in the week since it laid off 10% of its staff (including two key executives) has also ended its referral program (perhaps temporarily), lowered the price of FSD software and of most of its cars, put its $25k car on the backburner, recalled its new Cybertruck, all while filing to ask for a $55billion payout for its CEO and to move the company’s incorporation to Texas.
All of this news comes in a month where Tesla announced bad quarterly delivery results, with a rare year-over-year drop in deliveries. The company will release its quarterly results tomorrow afternoon (and perhaps also unveil its Model 3 Ludicrous performance car).
Electrek’s Take
I’ve never particularly thought that Tesla did need to push into advertising. While ads are effective and marketing is necessary for any business, Tesla has never had any trouble selling cars before, with nearly every quarter in the company’s history resulting in higher sales than the year prior. For a long time, Tesla has been supply-constrained, not demand-constrained, so it didn’t really matter if it advertised or not.
However, last quarter specifically, Tesla was very much not supply-constrained. Inventory grew a lot last quarter, as Tesla produced many more cars than it sold.
This is precisely the time when a company could use a little advertising or marketing to manage the way its getting its name out in front of the public.
This is especially true when the company’s other primary marketing outlet is an outspoken CEO who has recently dedicated his time more towards boosting anti-semitic conspiracy theories than to boosting Tesla. This has turned off Tesla’s core demographics, which is having a significant effect on people’s desire to buy the company’s cars.
One might say that Tesla’s poor performance over the last quarter is an example of why this team was cut, since their methods were clearly not effective given Tesla’s sales results. But the team hadn’t even had time to get off the ground yet, so it seems premature to axe it this early on.
There’s a lot of ways that traditional advertising is boring, and that utilizing new methods to their maximum extent can help companies reach new customers in more interesting and efficient ways. Tesla has done a good job of the latter, so far.
But I think firing a whole team that’s meant to explore those methods, while also relying on your company’s part-time CEO (who’s seemingly more interested in getting in dumb fights and responding to racist/sexist/everything-else-ist memes on twitter) to do the bulk of Tesla’s outreach, is probably not the best way to get out of a sales slump.
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If you’re considering going electric, May will be a great time to score a deal on an EV lease. Automakers are slashing lease prices on some of the most popular EVs to move inventory – here are four standouts.
Nissan Ariya SUV
The Nissan Ariya SUV has an MSRP of $41,805. Its lease term is 36 months, with $4,409 due at signing and a mileage allowance of 10,000 a year. Monthly payment? A sweet $129!
Nissan cut the 2025 Ariya Engage’s price by $144 in April, so it now has an effective monthly cost of $251 – that’s seriously affordable for an electric SUV. If you’re already a Nissan driver, then you’re going to get an even better deal, because Nissan is offering a $1,000 loyalty discount on the Ariya, which brings its effective cost down to $224 per month.
CarsDirect, which sniffed out this deal, thinks this Ariya deal will be in place until Memorial Day, so take advantage of tariff-free pricing while you can.
Click here to find a local dealer that may have the Nissan Ariya in stock. –trusted affiliate copy
Honda Prologue SUV
The Honda Prologue SUV has an MSRP of $48,850. Its lease term is 36 months, with $1,399 due at signing and a mileage allowance of 10,000 a year. The monthly payment on the Prologue is $239.
The 2024 Honda Prologue has up to $18,800 in rebates, and the price includes a $1,000 lease loyalty discount or conquest offer. In California and other ZEV states, the EX has an effective cost of just $278 per month; in other parts of the US, pricing will be around $30 higher. This offer ends July 7.
Click here to find a local dealer that may have the Honda Prologue in stock. –trusted affiliate copy
Tesla Model 3
The Tesla Model 3 has an MSRP of $43,880. Its best lease term is 24 months, with $1,044 due at signing and a mileage allowance of 10,000 a year. The monthly payment on the Model 3 is $349.
The 2025 Tesla Model 3 still has the $7,500 federal government EV rebate. Several months ago, Tesla reduced the amount due at signing on all Model 3s. And for those who want to lease a Long Range Model 3, the effective cost can be as low as $393 per month.
You can lease the Model 3 for 36 months, but the folks at CarsDirect found that the better deal will be had on 24-month leases. They compared the Model 3’s MSRP to the 2025 Lexus IS 300 F Sport’s MSRP, which is nearly identical, and the Model 3 was around 30% cheaper to lease.
Acura ZDX
The 2024 Acura ZDX has an MSRP of $65,850. Its best lease term is 36 months, with $4,699 due at signing and a mileage allowance of 7,500 a year. The monthly payment on the ZDX is $299.
The 2024 ZDX is Acura’s cheapest vehicle to lease because it features up to $29,450 in lease cash. However, the best deal is limited to California and ZEV states. If you cash in on a loyalty discount or conquest cash, the effective cost is $430 per month. This offer runs til June 30.
Click here to find a local dealer that may have the Acura ZDX in stock. –trusted affiliate copy
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Ford (F) reported its first-quarter earnings, beating Wall Street’s revenue and EPS expectations. However, with Trump’s auto tariffs, Ford is suspending full-year guidance. Here’s a breakdown of Ford’s Q1 2025 earnings
Ford Q1 2025 earnings preview
After crosstown rival General Motors cut its full-year financial guidance last week, investors are waiting to see if Ford will follow suit.
Ford’s previous 2025 forecast called for EBIT of $7 billion to $8.5 billion and capital expenditures between $8 billion and $9 billion.
The biggest threat is Trump’s new auto tariffs, which include a 25% duty on imported vehicles and many parts. Since Ford builds a greater percentage of vehicles in the US than any other major automaker, outside of Tesla, it isn’t expected to see as big of an impact.
CEO Jim Farley called it “an opportunity for Ford,” during an interview with CNN last week, saying the company has a “different footprint, a different exposure for tariffs.”
Ford imports around 21% of the vehicles it sells in the US, while GM imports around 46%. According to Estimize, Wall St expects Ford to post Q1 EPS of $0.0 on revenue of $38.02 billion.
The company reports earnings for each of its three business units, Ford Blue (gas-powered vehicles), Model e (electric vehicles), and Ford Pro (commercial and software business).
In the fourth quarter, Ford’s EV unit (Model e) lost another $1.4 billion while Pro and Blue each reported an adjusted EBIT of $1.6 billion.
Financial breakdown
Ford beat Wall Street estimates, reporting first-quarter revenue of $40.7 billion with an adjusted EPS of 0.49.
- Q1 2025 Revenue: $40.7 billion vs $38.02 billion expected.
- Q1 2025 Adjusted EPS: $0.49 vs $0.0 expected.
The company posted adjusted EBIT of $1 billion, down 63% from Q1 2024. Ford said its first-quarter EBIT suffered a nearly $200 million hit from added tariff costs, primarily in Ford Blue and Ford Pro.
Ford Pro generated an EBIT of $1.3 billion, Ford Blue $96 million, and Ford Model e reported an EBIT loss of $849 million.
For Model e, the company is focused on improving gross margins and “exercising a disciplined approach to investments in battery facilities and next-generation products.” Although still a nearly $1 billion loss, it’s still a $500 million improvement from Q1 2024.
Ford said higher Model e revenue was driven by new EVs launching in Europe, like the electric Explorer and Capri.
The company said its “Power Promise” promotion, which includes a free home charger and several other benefits, has helped drive demand in the US.
Although it’s tracking within its previous full-year adjusted EBIT guidance of between $7 billion and $8.5 billion, Ford is suspending full-year guidance due to the uncertainty surrounding tariffs.
Ford estimates the full-year gross cost of tariffs to be around $2.5 billion. It expects a tariff-related net adverse adjusted EBIT impact of about $1.5 billion for the full year 2025.
Ford also extended its “From America, For America” campaign last week. The promo includes employee pricing on most 2024 and 2025 models and now runs through July 4.
Check back for more info from Ford’s first quarter conference call. Ford is also hosting its annual meeting on Thursday, May 8, where we should learn more about its EV plans and how it will navigate the new tariffs.
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