Will EV Motivations Shift Under High Gas Prices?

A recent spike in gas prices tied to events in the Middle East has some shoppers reconsidering alternative fuel vehicles, including EVs. However, over the course of the past few years CDK has studied EV owners and shoppers and, typically, cost savings aren’t a primary motivator.

EV Technology Leads the Way

When EVs first gained traction in the market, many assumed environmental concern was the primary motivator for buyers. However, CDK research tells a different story: Advanced technology has consistently ranked as the top reason people choose EVs. 

This aligns with the psychology of early adopters, who are often willing to pay more for the earliest access to cutting-edge technology. For these buyers, the appeal goes beyond reducing fuel costs or lowering their environmental footprint: The real draw is the technology itself. It's about innovation and the fact that their vehicle offers better performance and an owner experience that feels a step ahead of the curve.

This technology-first mindset has shaped how automakers developed their vehicles. Tesla's early models, which were as sporty as they were futuristic, set a precedent that pushed legacy automakers to rethink their own offerings. Today, brands like Hyundai and Kia have broadened their EV portfolios to include everything from practical commuters to sporty crossovers and even off-road variants and long-range models. Others, like Nissan, have blurred the line between hybrid and electric with systems that use gas engines solely to charge the battery rather than power the wheels directly.

Environmental Priorities Gain Ground

While technology sparked early adoption, 2025 data from CDK shows environmental impact rapidly gaining traction as a purchase motivator. Environmental concerns increased by six percentage points between 2023 and 2025, with 44% of EV buyers now citing sustainability as a primary reason for purchase. 

Early adopters may have been drawn by innovation and novelty, but as the market matures, environmental consciousness is playing an increasingly central role in decision-making. 

EV Cost and Tax Incentives Make Less of an Impact

If technology and environmental concerns are number one and two on EV shoppers’ consideration list, that leaves cost effectiveness at number three. More than a third (35%) said it was a motivator last year. However, continued high gas prices may impact the value equation of EVs heading into this year’s study.

The federal government also ended EV tax incentives in September 2025, but the dip in sales directly afterward were partly due to pulled-up demand leaving a gaping hole in its wake. Data shows this current trough in the sales curve may be short lived. And that could be accelerated by high gas prices.

Only 32% of buyers indicated that tax incentives influenced their decision to purchase an EV, down from 43% and 38% in previous years. Interestingly, gas-powered vehicle buyers were actually more likely to cite tax incentives as a motivator for purchasing EVs than EV buyers themselves. 

The declining influence of incentives suggests that most EV buyers now see enough value in the vehicles' technological, environmental and financial benefits to justify the higher upfront cost. Even as post-incentive lease deals taper off, enthusiasm for EV ownership remains strong. 

Motivators Become More Diverse

Buyer motivation continues to evolve as EVs move into the mainstream. When technology is the primary draw, emphasizing environmental benefits may not resonate. And while environmental concerns rise in importance, make no mistake, the headlines and high gas prices will likely move the needle — at least in terms of interest.