Overcoming EV Obstacles

According to Edmunds, 2021 could be a pivotal year for electric vehicle adoption and record sales in the U.S. thanks to greater selection of EV offerings and rising consumer interest. In a recent Consumer Reports survey, 71% of American drivers said they had at least some interest in getting an electric vehicle at some point, with a total of 31% saying they would consider getting an EV for their next lease or purchase. And with several states and many automakers vowing to become mostly, if not all, electric within the next 10 to 15 years, that interest is most likely to continue to grow.

If the idea of an internal combustion-less engine future stresses you out, you’re not alone. As the push for greater electric vehicle adoption in the U.S. grows, so does the anxiety among traditional car dealerships, EV manufacturers, and consumers alike.

For traditional auto dealers, stress is fueled by state and government mandates that could supersede the free market system, legislative battles that would result in EV makers being allowed to sell directly to the driver, and of course, lack of consumer interest in their markets. As far as EV start-ups are concerned, they run the risk of losing entire market shares in states that don’t allow direct sales. Perhaps most importantly, however, are anxious consumers who are worried they won’t be able to afford electric vehicles, even with federal tax credits, and whether or not the charging infrastructure will be in place, not only outside of big cities, but along lengthy rural and suburban commutes.

All of those are valid concerns, but for now, let’s just focus on you, the car dealer. To be frank, when it comes to legislation and government mandates, there’s really not a whole lot you can do to control whatever decisions the powers that be make. However, there are several things you can do at the dealership level to prepare your staff for a surge in the EV market and to spark EV interest within your community.

So, let’s recap. What can your dealership start doing right now to prepare for this sweeping change in the auto industry?

Embrace the change. Annual electric vehicle sales in the U.S. are expected to exceed 3.5 million by the year 2030. The EV toothpaste is out of the tube and there’s no putting it back in. Better to accept the inevitable changes in the automotive industry now than to try and play catch-up later.

Train and educate. One of the main frustrations of EV buyers is the knowledge gap of traditional car dealers. According to a Morning Consult poll, only 37% of adults who expressed some interest in purchasing an EV said they would prefer a traditional dealership. Now, even though that number is a majority of the respondents (the remaining responding with 21% Manufacturer showroom, 22% Online service with EV delivery or pickup, 3% Another way, and 17% Don’t know/No opinion), you can grow that percentage by establishing your dealership as the EV market leader with highly trained, extremely knowledgeable sales associates and service technicians. Invest in training seminars. Make sure every sales associate on the floor knows everything there is to know about electric vehicles, their battery cycles, capabilities and limitations, and charging networks. Incentivize your service technicians by offering scholarships, pay raises or bonuses for continuing education. Chances are EV shoppers have already done a lot of research online before setting foot inside your dealership. You will need well-trained staff to answer any and all questions from your well-informed customers.

Advertise. Your target audience for EV may be small right now, but it’s important to let consumers know that you are the market expert and that your dealership is the best place to go for electric vehicle sales and service. In both traditional and digital automotive marketing, you have the opportunity to target EV intenders who are at the bottom of the funnel while building brand awareness for the casual consumers who are still at the top of the buying funnel. This may get a little tricky when web browsers stop allowing third-party cookies later this year, but at Intermark, we have several alternative solutions, like contextual marketing, for targeting the EV shopper.

Provide what EV shoppers want most. 72% of respondents in the Morning Consult Poll said that test drives would be a “very important” part of a potential purchase of their first EV. 71% said access to mechanical help would also be “very important.” Your dealership meeting both of these needs should be a crucial talking point in your marketing messages.

For more information on how you can take advantage of the emerging EV market, as well as other automotive marketing strategies, contact Intermark Automotive today!

by Shea Posey, Senior Account Executive/Blog Writer/Compliance & Co-op Specialist


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