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Why Is Tesla's Approach To Advertising So Effective?


When a substantial multinational company devises their advertising strategy, they need to be sure that it meets set criteria. There are dozens of questions that come into play, but the two biggest questions are

  • Do they believe it will generate profit in the long run?
  • Is it cost-effective?

These are certainly two questions Elon Musk would have been pondering for some years while structuring Tesla's meteoric rise to the top of the electric vehicle industry.

The Advertising Genius Of Tesla

How has Tesla risen from relative obscurity to becoming one of the most recognizable brand names in the world? The spectacular ascension has been the topic of discussion for many in the industry who marvel at the tactical brilliance of Musk. But is it really that complex?

COPYRIGHT_MARX: Published on https://marxcommunications.com/why-is-tesla-s-approach-to-advertising-so-effective/ by Keith Peterson on 2023-02-22T13:16:28.637Z

Rolls-Royce was the first car company to use the minimalist advertising approach. Although they have since advertised their products sporadically, they relied heavily on word-of-mouth and happy super-rich clientele.

Tesla does employ some of this strategy. However, given that their product isn't considered niche or for the super-rich, they had to consider additional supplementations to make it work.

Enter the chat, Elon Musk.

Although Musk has become preoccupied in recent months following his Twitter takeover and other ventures into cryptocurrency, his advertising prowess cannot be denied. Nevertheless, cryptocurrency appears at a critical juncture, so it would be unfair to say this was time wasted.

If cryptocurrency could obtain regulatory clarity in the USA, it could send the price through the roof, making Musk's investment look like a stroke of genius.

Besides, Musk has listed Bitcoin on Tesla's balance sheet, and plenty, too. The digital asset has emerged from the internet's shadows to become a payment method for all sorts of institutions, ranging from countries to casinos. Crypto slots are a new way to gamble, and it's beginning to pick up traction online.

Given that, the self-proclaimed "Chief Twit" is now spinning several plates, especially considering his Twitter takeover. However, the fact he is such a huge public figure and the world's second-richest man means he is undoubtedly one of the most recognizable faces on the planet.

His combined approach of not advertising Tesla whilst simultaneously promoting himself almost 24/7 has worked wonders for the brand. He doesn't need to pay himself to advertise. He has a legion of loyal social media fans willing to divulge his apparent genius's legend to anybody who will listen. Striking a balance between a cool yet affordable brand is the big challenge for Elon. However, he is navigating it well, judging by his net worth.

Why Don't More Companies Stop Advertising?

Tesla is a unique example of a company that relies heavily on the activity and reputation of its CEO. However, there is also an argument that no advertising creates a coolness and enigmatic mystery that you don't get with more visible brands.

Famous rockstars and actors have often turned down the lure of big money to plaster their name against a product. In addition, many people view adverts as a way of "selling out", and according to research, many people dislike advertisements altogether.

Maybe this approach has helped Tesla through word-of-mouth. It shows that Elon Musk is willing to put any possible advertising budget back into the company and allow the brand to grow organically via social media and word-of-mouth.

A lack of advertising can often work because companies essentially say, "let our brand speak for itself". In addition, some adverts are incredibly annoying and can completely put people off a brand.

Ultimately, that is one of the biggest advertisements you can have. Imagine having so much faith in your product that you don't even bother advertising it, knowing that the revenue will eventually flow. That mystery and hysteria can accelerate; if the product is of the best quality, profit will begin to pick up immensely. It wouldn't work for more companies to simply stop advertising, though. Tesla has the golden ticket when they combine it with Elon. Other corporations don't have that star power. Or at least the perception of star power, which is just as important.


It hasn't all been plain sailing for Tesla or Elon Musk. He has been subject to some bad headlines over the years. However, the overall success Tesla continues to have means the CEO is predominantly driving sales and people are not phased by any of his public behavior.

One of the oldest sayings in advertising is that any publicity is good publicity, good or bad. While this statement has obvious limitations, Elon's multiple SEC issues or court cases accusing him of share manipulation have done little to damage the Tesla brand.

The considerable slump the company took in 2022 can be attributed to Elon Musk purchasing social media giant Twitter.

His focus seemed to stray away from Tesla at this time, and the stock price plummeted. However, now that he has refocused his attention on the company, the stock price is booming again in early 2023, and there still hasn't been a single advert.

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About The Authors

Keith Peterson

Keith Peterson - I'm an expert IT marketing professional with over 10 years of experience in various Digital Marketing channels such as SEO (search engine optimization), SEM (search engine marketing), SMO (social media optimization), ORM (online reputation management), PPC (Google Adwords, Bing Adwords), Lead Generation, Adwords campaign management, Blogging (Corporate and Personal), and so on. Web development and design are unquestionably another of my passions. In fast-paced, high-pressure environments, I excel as an SEO Executive, SEO Analyst, SR SEO Analyst, team leader, and digital marketing strategist, efficiently managing multiple projects, prioritizing and meeting tight deadlines, analyzing and solving problems.

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