#2 US consumers do not report high confidence in purchasing EVs
According to a Q4 2019 J.D. Power survey, the Mobility Confidence Index was just 55 for battery-electric vehicles (on a scale up to 100).
These consumer sentiments are categorized as follows: low (0-40), neutral (41-60) and positive (61-100).
Not impressive. But not the only, nor final, word.
#3 AAA finds it more expensive to own an EV than a regular combustion vehicle
According to a recent AAA study, as reported by Inside EVs, the fully loaded cost of owning an electric vehicle is higher than owning an ICE (internal combustion) vehicle. This math includes fuel, maintenance, insurance, depreciation, taxes, and finance.
Their study shows the following benefits for EVs:
Fuel = 57% cheaper
Maintenance = 26% cheaper
Taxes = Way cheaper, due to tax credits at the federal or state level
And importantly, it also shows that EVs are more expensive for the following categories:
Depreciation = 214% higher
Finance = 140% higher
The biggest difference comes from depreciation, which suggests that EVs lose their value more quickly after purchase, as compared to ICE vehicles.
However, as the author notes, the AAA study only looked at EVs from Chevrolet, Hyundai, Kia, Nissan, and VW.
For executives in companies focused on solving big energy, climate change, and materials problems, the takeaway is this...
We have to be our first critic, before others (doubters, haters) can criticize us.
Instead of cheerleading exciting trends, we need to be our own devil's advocate. Our Masterminds aim to provide this balanced "pro vs. con" perspective for CEOs and founders.
That Kool-Aid is sweet, but we have to be careful about how much we drink.