3 Min ReadJuly 17, 2024

Does Your Staff Know Their Stuff When It Comes To Selling EVs?

Does Your Dealership  Staff Know Their Stuff When It Comes to Selling E Vs?

Electric vehicles make up a small percentage of the auto market today, and their adoption has had its ups and downs. But their appeal continues to grow as new models with lower price points, greater range and a variety of body styles roll off factory floors. And, those drivers who already made the leap won’t be going back to gas anytime soon.

In a recent CDK study, The EV Ownership Lifestyle, 73% of EV owners surveyed said they’ll only buy EVs moving forward. Whether a Tesla or any other EV, these owners were beyond happy with their purchases.

What does this mean for dealerships? A unique wave of veterans will be joining the novice shopper as time marches on. Sales skills to win over both veteran EV owners and EV newbies will be put to the test.

A Wave of EV Veteran Drivers

There are a couple reasons your dealership will likely see more veteran EV drivers in the near future. First, that “only buying an EV” number above means current owners have their minds made up. Since the average length of car ownership is five years or less for nearly two-thirds of Americans, there are a lot of EV owners near that sweet spot who’ll be looking to level up as tech improves or adds to their personal EV fleet.

Second, these drivers aren’t necessarily going to be brand loyal. There are many more EV models to choose from these days from legacy automakers, and it’s logical to think current EV drivers will be curious about what else is out there. Even brand-loyal Tesla drivers may be ready to play the field. There have been indications that Tesla’s sky-high brand loyalty has been slipping over the past few years, especially as CEO Elon Musk has become more polarizing and competition has ramped up.

The New EV Shopper

As more shoppers learn about EVs, dealerships are a crucial linchpin in clearing up confusion over the technology, tax incentives, charging anxiety and maintenance costs.

In the EV Confusion Carries On study last year, CDK asked over 1,200 shoppers planning to buy a car within six months about EVs. What stood out is that despite efforts across the industry, shoppers — including those set on buying an EV — are still unsure about the benefits, costs and performance of EVs. And it’s the dealer who they want and trust answers from. For example, nearly 89% want the salesperson at the dealership to explain how they can claim tax incentives.

With new EV buyers looking to dealership salespeople for answers, ramped-up training is in order. This includes education around incentives, performance, charging costs and access, maintenance plans and competitive comparisons with similar models from other automakers.

Charging, in particular, was a source of confusion for shoppers of all types. It’s recommended that dealers create a map of charging stations in their communities. You can reassure those EV shoppers concerned about lack of charging access if you simply have a total number to cite.

The test drive is another area where dealers can shine. Owning an EV creates a change in lifestyle so a traditional test drive is unlikely to reveal the benefits of ditching the gas station. In our research, the majority of hybrid shoppers (73%) and more than half of gas shoppers (59%) said an EV loan for a day or more would help them decide if it was the right purchase for them. Not all dealers can accommodate this request, but those who can would do well to map out a plan for this new kind of test drive.

As more EVs hit the market and more shoppers are intrigued about the benefits of electrification, it would be wise to focus on comprehensive training to set your dealership apart and grab your fair share of this growing market, even if today’s headlines suggest a slowdown.

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CDK Global
By CDK Global
Staff

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