Not many people interested in Electric Vehicle!

A recent McKinsey study shows that one in two people consider buying an electric car, but only 3% decide to buy an electric vehicle.

The management consultancy McKinsey & Company has published a study entitled “The road ahead for e-mobility.” More than 12,000 consumers in Germany, Norway, China, and the United States were surveyed. Test purchases were also made in almost 60 car dealerships of eight brands in three countries.

Every second car buyer is considering buying an electric car in Germany, and the trend is rising. However, environmental protection is not the main reason for purchasing an electric vehicle, the driving characteristics are more important.

Electric Vehicle

51% of Germany customers have recently given serious thought to an electric car when buying a car. But only 3% have decided to buy such a vehicle in 2019.

36% of these customers have not purchased a car with a purely electric drive due to perceived uncertainty about the battery’s reliability and life and lack of charging options.

27% give higher acquisition costs as a reason.

The range (16%) and the missing model selection (8%) plays a minor role.

For many, electric cars have an added value – even if it is only an excellent acceleration.

Also, potential buyers and buyers of electric cars name driving characteristics such as acceleration as the most important added value – for a third of them, this is the most important added value. Incentives such as purchase incentives, tax benefits, free parking (25%), and lower total cost of ownership (22%) also speak in favor of electric cars. Environmental protection is decisive for only 15%.

According to Andreas Tschiesner (head of McKinsey’s European automotive consultancy and co-author of the study), the fear of autonomy is irrational.

“2020 could be the year of electric mobility. The charging infrastructure is massively expanded, battery and vehicle prices are falling, and manufacturers are working hard with a model offensive to meet the EU’s strict CO2 requirements.

Electric Vehicle Charging

Tschiesner:

“Almost all customers are coming to car dealerships with more excellent prior knowledge than three years ago. However, the car manufacturers must take the two biggest concerns of the buyers – namely the batteries’ quality and the question of charging options – seriously and provide even better information on site.

For example, the “range anxiety” discourages many potential buyers from buying an electric car unfounded in most cases. Only one percent of trips required a full battery charge – 88% of electric car owners drive less than 40 kilometers to work. In any case, according to the expert, potential buyers of electric cars should be approached differently in the auction rooms: They are, on average, five years younger than ICE buyers, usually live in large cities, have a 30% higher income, and are much more digitally literate. 8% of them have bought their car online – 6 times more than other car owners.

Patrick Schaufuss (partner at McKinsey in Munich and co-author of the study) says

“For car manufacturers and dealers, it is important to start at five crucial points in the sales process to improve the customer experience.”

Digital offer: 54% of car buyers start their search online. Today, many car manufacturers focus on sophisticated online configurator.

Schaufuss says:

“There will be fewer configuration options for electric cars. On the contrary, buyers’ concerns about battery and charging options should be taken into account at an early stage of the purchasing process”.

The customer experience in the dealership: People interested in electric cars appreciate a modern atmosphere that reflects electric cars’ technological leadership. In a car dealership, it is important to have competent sales advisors who can actually answer customers’ questions – and not just be measured by the number of cars sold.

Schaufuss says:

“The first test drive of an electric car is a real aha-experience for many new drivers.”

Ninety-one percent of electric car buyers would choose such a vehicle again – mainly because of the driving experience. Car manufacturers must therefore ensure that customers can experience e-mobility quickly and easily, not only during a test drive but also, for example, in car-sharing or as a passenger in a cab. Charging: In Norway and the United States, charging speed is the most significant nuisance from electric car owners’ perspective!