Got a new tweet from Elon. Musk, Elon Musk, Elon Musk unleashed a series of perplexing posts on Friday. Well, he tweeted.
Yes, let's start price is too high IMO. What the **** is Elon Musk up to now? We know the multi-billionaire serial investor isn't exactly conventional.
We know he's outspoken and he courts controversy. And we know he spent the last 16 years obsessing on how to make Tesla. The world's best selling electric brand.
The mystery is how he's succeeded without spending a cent on advertising zero, nothing. And that mystery deepens when you discover that car manufacturers are amongst the biggest advertisers in America want to know who's the first acute to pay more than $10 million for a single commercial spot during the super bowl, think Ford, Audi, Porsche, and GM. In fact, that last company recently spent over $5 billion on advertising.
That's half their annual profit, by the way. Now, of course, it's actually the consumers who end up paying you. See when you buy a car, as much of it goes on advertising, as the company spends on research and development, or even raw materials take Jaguar land Rover for every car they sell, they spend around $3,000 on marketing for Tesla.
On the other hand, it's less than $6. Now for most car makers, marketing is a vicious cycle. You see, for the last 50 years, they've just released slightly updated, slightly tweaked versions of the same model.
So the only way they've persuaded people to buy them is by creating glossy ads and promotions, but not Elon Musk. You see Elon Musk had a different idea and in fact, he even made it public. You can actually go back to 2006 and see a public blog post.
And he actually put up on the Tesla website and it was there where he actually announced his plan to shake up the entire automotive industry Musk promise that Tesla would one build a sports car to use that money, to build an affordable car, and then use that money to build an even more affordable car while doing the above. It would provide zero emission electrical power generation options for its customers. And in his own words, that when someone buys a Tesla Roadster sports car, they're actually helping pay for the development of the low cost family car and must kept his word.
Tesla built the sports car, then the affordable car and even more affordable car all the, while it poured more and more money into research and development until its cars, weren't just good electric cars. They were the best cars full stop. And the revolution didn't stop with the vehicles.
Tesla rejected. The typical dealership experience. The buyers were used to it set up stores in malls.
So people could shop for their cars as easily as they could buy clothes. And it didn't pay their sales staff, a sales commission whatsoever. You remember all of this happened without a single dime being spent on ads.
Elon Musk has publicly stated his disdain advertising many times. And he's also mentioned that Tesla doesn't pay for marketing or placements anywhere. So how did he do it?
How did Tesla become one of the most valuable automotive companies in the world in such a short space of time where really it came down to three step process. Number one, they engaged in the peculiar, the more ridiculous and remarkable it's inventions and features the more their owners and the media talked about it is he unlike other manufacturers which named their features sports. Plus, as an example, Tesla went ahead and created the ludicrous mode and it gave drivers a way to opt out by saying, no, I want mommy.
Thousands of videos are uploaded to Facebook, Instagram, YouTube, and tick. Talk of these ridiculous features. It's cheap publicity in mixed Tesla.
Drvers want to actually show off their cars. Number two, like a chess Grandmaster, Elon Musk, Bates, the media, you see whatever the tragedy or newsworthy event he makes sure Tesla is at the forefront of the coverage. And he's not afraid of the media either in 2011, Tesla actually sued top gear after the host left a negative review of a car.
Sure. It lost the case, but what was that compared to the millions of pounds worth of publicity, it brought and talking of values. Let's look at number three, you almost knows the worth of his personal brand and he isn't shy to leverage it.
Think about it. Can you name the CEO of any other car company or to be honest, any company for that matter? You know, you've got your Tim Cook's, you've got all your Jeff Bezos, but apart from that, you've probably struggled to name any others.
And he loans not just achieved global fame. He's made his brand inseparable from Teslas. So whenever he gets publicity, so does Tesla, no other car manufacturer would dare to risk their brand by being so vocal and controversial.
But as Musk's brand and myth grows, he only gets more popular by being more outrageous. You see, he's amplified a trick once used by the boss of the Irish budget, airline Ryanair. Now, Michael O'Leary purposely spread questionable stories about his company, knowing that when the press reported them, they would always name, check it as Europe's cheapest airline, of course intertwining your image would that of your company has it's dangerous as y'all must found out when he actually smoked weed on Joe Rogan's podcast.
I'm sure we all remember that. And Tesla's stock plummeted by 9%, but like most negative stories involving Tesla, the damage was temporary. And I think it's unlikely to make you almost change course anytime soon, but then again, why should he, this is a guy who's built one of the world's most valuable brands without spending a single dime on advertising.
So ladies and gentlemen, I hope you enjoyed that video. This is something a little out of the ordinary for my channel, but I, I just find this topic so fascinating. Especially as someone who runs an advertising agency himself, you know, part of me wants to ignore the genius of Tesla and Elon Musk because my entire business is literally we're running ads for other companies.
And in the world we live in today, paid advertising is the way to aggressively scale brands and companies that said paid advertising isn't for everyone. And to be honest, I think there's a lot of commonly held beliefs or traditions or methodologies that Ilan took a look at Tesla, took a look at, and we're just like, you know what? We're not doing that.
So all the more respect towards them, they have an incredible tribe. Their customers scream about their product and they've created a perfect flywheel effect from it. Now, if you're new to the channel, my name is Iman Gadzhi.
I run an advertising agency called IAG Media. We've worked with some awesome e-commerce and info-product clients over the past four years and actually make weekly videos here as well as on my second channel, basically revealing everything that's working well at my agency, how I've actually been able to scale my agency to the point where we've hit 100K months profit in the business sharing what's working for me in terms of sales, advertising, operations, handling my team, et cetera, et cetera. And that's actually the business that I started when I was 16, that led to me dropping out 17 and actually making my first million at 18.
So if any of that sounds interesting to you for most of you, probably won't, I'm a bit of a nerd and most of my content is very nerdy, but if it does appeal to you, go ahead and hit that subscribe button. And if you leave a comment down below, you'll be automatically drawn into when a piece of apparel from my bespoke clothing line gadgets, as many guys know everything is done in house. This ain't no print on demand BS and in the comments as a pin post, you'll also be able to find last videos, giveaway winner.
So ladies and gentlemen, I hope you enjoyed this video and see the next one.
