An EV Update | The Future of the Industry
Rising gas prices and quickly improving technology in combination with many other factors have led to a continuously growing interest in electric and EV vehicles. In Q2 of 2022, EV sales made up 5.6% of the total market, which is an increase from 5.3% in Q1 and an all-time record high. The trajectory of growth has been clearly established yet pitfalls in affordability, infrastructure, and maintenance could stunt growth. Today we explore the current status of EV and electric vehicle sales in the US as well as how dealers can prepare for future growth.
Growth
Across the board EV and electric sales are up. While Tesla has remained dominant, many other manufacturers are beginning to compete by introducing eclectic models. New tax credits could further bolster the availability and affordability of EV and electric vehicles. According to a Pew Research report, about 40% of Americans say they are “somewhat likely to seriously consider buying an electric car”.
Infrastructure
While interest and sales are surging, one area of concern is the lack of infrastructure to support a larger EV and electric fleet. That being said, there are lots of resources on the horizon. Tesla has said they will be opening their 1,400 Supercharger stations to all manufacturers- though the timeline on that is still uncertain. In addition to that, President Biden has announced the construction of chargers along 53,000 miles of national highways. Promising as this all seems, only time will tell if the increase in infrastructure is enough to meet the exponential growth- especially in lower-income communities.
Dealership opportunities
Even with the uncertainties for dealerships, it makes sense to adapt the strategy to better support EV and electric buyers. This might look like increasing training about how to sell electric, improving your online SEO for buyers searching for EV cars and information, and supporting your parts and service department in growing electric expertise and resources. Technicians may want to consider diversifying and increasing their knowledge in programming and bodywork.
What’s your take on the current EV/electric market? Leave a comment below!
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