Tesla remains firmly on the radar of new-car shoppers, according to the latest Kelley Blue Book Brand Watch study, which tracks vehicle consideration across the non-luxury, luxury, and electrified segments. While competition in the EV market continues to intensify, Tesla’s lineup—led by the Model Y—continued to attract strong interest from buyers throughout 2025.
In the luxury category, Tesla remained one of the most considered brands in 2025, with overall interest holding steady year over year in ninth place. However, the study shows that Genesis has now edged ahead, reflecting a more crowded luxury EV landscape than in previous years.
While Tesla’s lineup remains among the best-selling in the segment, Kelley Blue Book notes that some shoppers are beginning to view the brand as less novel than before, particularly as new EV competitors arrive with fresh designs and aggressive marketing.
Despite that, Tesla still posted a notable win at the model level. The Model Y was one of only four luxury vehicles to record year-over-year growth in shopper consideration. This performance highlights the Model Y’s continued appeal as buyers increasingly favor SUVs and crossovers over traditional sedans.
Tesla’s position in the electrified segment tells a similar story. Overall consideration for electrified vehicles—including EVs, hybrids, and fuel-cell models—rose in 2025, even as government incentives declined in many markets. Among electrified brands, Tesla ranked fourth, trailing Toyota, Honda, and Ford, but still ahead of Hyundai.
Importantly, Tesla’s standing improved year over year, pushing Hyundai down a spot in the rankings.
Once again, the Model Y was a key driver. It was one of only three electrified models to see consideration increase, alongside Toyota’s Grand Highlander Hybrid and the Hyundai Tucson Hybrid. Kelley Blue Book attributed Tesla’s resilience to aggressive pricing adjustments and the broad consumer appeal of the refreshed Model Y, which helped maintain strong interest even as overall Tesla sales softened.
Not all news was positive however. The study found that consideration for the Model 3 declined in 2025, a shift that may point to growing fatigue with EV sedans. Many shoppers appear to be gravitating toward crossovers like the Model Y or exploring newer sedan options from rival automakers.
