An electric SUV. Those are two words the auto industry might not have expected to ever see side by side a decade ago.

Of course, automakers have begun exploring the possibility of this segment in recent years, an example being the Toyota RAV4 EV.

But today, the industry buzz is all about the new Tesla Model X, which launched on Wednesday. The pure electric SUV will serve to push the company forward beyond the car market and its popular Model S sedan.

Industry analysts were already discussing the potential of the Model X hours before the launch. For example, Edmunds.com director of industry analysis Jessica Caldwell took a look at some of the opportunities for Tesla that arose in looking at trade-in data.

Interestingly, Caldwell pointed out many Tesla owners second vehicle choice has leaned toward SUVs.

"According to Edmunds.com's transaction data, nearly 30 percent of all Tesla trade-ins have gone toward purchasing an SUV. By adding an SUV to their lineup, Tesla can capture those Model S owners who either want something larger or would like an SUV to add to their personal fleet,” she explained in an analysis Wednesday.

And interest on the new site for the long-awaited Model X is soaring.

"As expected, Model X traffic on Edmunds.com has been trending upward. Last month, its traffic surpassed most of its luxury SUV competitors including the popular Range Rover Sport and Porsche Cayenne,” Caldwell said.

And as oil prices decline — though not relevant for the electric Tesla X — shoppers have been turning to larger models. In fact, beyond low gar prices,

Edmunds shared sentiment among today’s buyers leans toward, “bigger is better.” This trend bodes well for the timing of the launch of the Model X.

"Today's Americans have an insatiable craving for larger vehicles,” Caldwell said. “Edmunds' analysis of sales data finds that trucks and SUVs have outsold cars in the U.S. in each of the last 24 months. It would be an understatement to say that Tesla is launching Model X at an opportune time."

One must also take a look at how the Tesla Model X is a “unique option” for luxury SUV shoppers. Caldwell shared that many shoppers looking at luxury SUVs on the site are already showing interest in the Model X.

“Model X will stand out for shoppers because it will be the only fully electric luxury SUV in the marketplace at launch, which brings something unique to this competitive segment,” she added.

Diversification of offerings and the lineup itself has been a trend for Tesla over the past year.

For example, the automaker launched its CPO program back in April, which will allow the company to take advantage of its trade-ins.

And the company also recently opened a “hub” in the Buena Park Auto Center in Orange County, Calif., where buyers in the market for a CPO model can test drive and purchase a pre-owned Tesla Model S right off the lot.

The Tesla retail centers, coined by the company as Stores & Galleries, in the past just gave buyers the option to test-drive a new Tesla car at the store and place an order, while drivers looking to purchase a certified pre-owned model had to request a test drive and buy the vehicle through the company’s CPO website. 

Now, the company is entering the SUV market with another move to diversify its offerings.

"The name of the game for Tesla right now is 'diversification.' The company made a big splash with Model S, and the next step is to win over a larger audience in other segments,” Caldwell said.

Caldwell also said the Model X might open the Tesla brand up to another demographic.

“Model X is a smart step toward capturing the attention of high-end SUV shoppers. And while the Model S skews heavily male, the Model X is an opportunity for Tesla to expand its customer base by appealing to more female consumers who make up a strong share of crossover SUV buyers,” she said.

The Model X is bound to appeal to those in the market for high-end luxury SUVs, but it will be interesting to see what occurs when the automaker launches the Model 3, the $35,000 Tesla model that is expected to hit the market in March 2016.

"There's little doubt in the marketplace that Model X will be successful with its audience of wealthy early adopters. But today's launch is a quick stop on a longer and more important journey,” said Caldwell. “The real test for Tesla comes down the road when it launches the Model 3, when we'll learn for sure if mainstream car buyers are ready to make the switch from gas to electric."