3 Min ReadSeptember 12, 2023

Talking About a Different EV Bubble

Talking About a Different EV Bubble

The elevation of electric vehicles (EVs) to the top of the automotive food chain has been taking its time. On some sides, it seems like the inevitable is already here while on others, we still seem far away. Some say that we’re in an EV bubble that may lead to a major bump in adoption.

That’s why CDK Global spends so much time researching this issue, and in our latest study EV Confusion Carries On, our team uncovered that not only are gas and hybrid car shoppers unsure about the benefits of EVs but even those specifically shopping for EVs are missing the mark.

One of the most interesting findings, in my opinion, was just how insulated each type of shopper was in their own vehicle world. While it wasn’t a surprise that 84% of EV shoppers knew a friend or family member who owned an EV, that number dropped to 54% for hybrid shoppers and was just 37% for gasoline-powered car shoppers.

Talking About a Different EV Bubble

This is possibly the key factor in EV adoption as 82% of these EV shoppers said friends and family members influenced their purchase decision.

Let that sink in for a minute and then go back to those other two groups of shoppers.

When I heard just how isolated gas vehicle shoppers are from people with different driving experiences, it reminded me of the country’s polarized political climate. Or to take it to less of a hot topic: sports fans. If you don’t know many golfers, you’re probably less likely to play golf or tennis or pickleball. This may explain the pickleball phenomenon.

Also, these siloed drivers aren’t all in the states you think. Yes, there are far fewer EVs registered in Montana (3,000) than California (903,000) but even in one of the most populated states of Pennsylvania, there are only 47,000 EVs registered. That means 0.4% of the population owns an EV versus 2.3% of Californians. And Pennsylvania is slightly ahead of Michigan where the domestic auto industry is centered and determined to bring EVs to the masses.

The dealer has always been a key fixture in whatever community they’re based whether that’s a mountain town in Montana or right outside Pittsburgh or Philadelphia. And as our new EV study shows, the dealer is where these siloed shoppers could get their first hands-on exposure. A sales rep might not replace that friend or family member in terms of influence, but they’ll have keys to an EV at hand. They’ll know the range, the benefits, the maintenance schedules and, of course, the cost.

If EV adoption is the goal, the American car dealer is going to be the one to burst that bubble.

Read more
EV Confusion Carries On
Plug-In Hybrids Remain a Solid Bridge to EVs

Share This

Barb Edson
By Barb Edson
EVP, Chief Marketing Officer

Barb Edson is executive vice president and chief marketing officer at CDK Global.

Barb and her team focus on delivering successful marketing and commercial strategies that help strengthen connections across the automotive retail ecosystem for CDK, its dealer and manufacturer customers and the consumers they serve. She has more than three decades of business strategy and marketing experience in software and technology.

Recent Insights

That’s a Wrap. Takeaways From N A D A 2024.

That’s a Wrap: Takeaways From NADA 2024

The camaraderie and partnership that comes with being at NADA were in full effect at this year’s show in Las...
3 Min ReadFeb 19CDK Global
Buyers Take the Wheel for Car Sales in 2024.

Buyers Take the Wheel for Car Sales in 2024

After three years of dramatic post-pandemic market swings, buyers in 2024 are poised to take back the wheel with plenty...
3 Min ReadFeb 13CDK Global
What’s the Key to Win the Automotive Service Wars.

What’s the Key to Win the Automotive Service Wars?

Although 2024 is shaping up to be a buyer’s market, new and used vehicles continue to be painfully expensive for...
3 Min ReadFeb 9David Thomas
Friction Points 2024

CDK Releases the Friction Points 2024 Study

The automotive industry has returned to somewhat of a pre-pandemic state at the end of 2023, but car buyers are...
1 Min ReadFeb 1CDK Global
The Game Changing Value of an Automotive C R M.

The Game-Changing Value of an Automotive CRM

The automotive industry is known for its love of acronyms and buzzwords. Most of the time we see dealers change...
4 Min ReadFeb 1Amber Good
Busting the Top Five Myths About the American Car Dealer.

Busting the Top Five Myths About the American Car Dealer

When you live and breathe the industry you work in, you tend to get a little protective of your colleagues...
5 Min ReadJan 29Barb Edson
Service Shopper 3 point 0 white paper.

What’s Changed in Service Shopper 3.0

Winning over a shopper is difficult for any type of retailer. Securing someone’s business looking to service their car however,...
1 Min ReadJan 12CDK Global
F and I Manager Tips. Hidden Opportunities in the Service Department.

F&I Manager Tips: Hidden Opportunities in the Service Dept

At first glance, the F&I and Service departments may seem worlds apart. Yet, both departments are critical linchpins in connecting...
4 Min ReadJan 12Saundi Crandall
New Cars Easier to Find, Bolstering Buyer Attitudes.

New Cars Easier to Find, Bolstering Buyer Attitudes

Car buyers raced against the clock to secure deals before the end of the year while inventories and incentives were...
2 Min ReadJan 3David Thomas
Pull Back the Curtain on Your Dealership’s F&I to Modernize the Car Sales Process.

Pull Back the Curtain on Your Dealership’s F&I to Modernize the Car Sales Process

Today’s car buyers value a fast, easy and convenient experience. Transactions have become faster over time due to tools like...
3 Min ReadDec 21Jason Swiech