By Joseph Tohill
For years petroleum-backed analysts have
been down-playing the importance of EVs as a viable form of personal
transportation. Arguing that EVs will only serve a
micro-niche segment of the population, they claim that sales have been
underwhelming and that the market will soon approach saturation.
However, a look at the cold hard numbers
paints a different picture of the EV economy.
Yes EVs still constitute a small share of
the automobile market. But new reports from industry analysts and EV manufacturers
themselves suggest that the EV market has been performing exceptionally well
for such a brand new industry. Current EV users are some of the most satisfied
automobile owners in the country, and EV technology is improving by leaps and
bounds every year.
In fact, 2013 has been one of the best
years for the EV market.
So without further ado, let’s look at the
cold hard number of the EV economy and how far things have come over the past
year.
The
EV Market: Comparisons, Sales, and Trends
Neal Dikeman from Jane Capital Partners LLC
perhaps sums
up the EV market best: “EVs may have been underselling the
hype, but they are outselling the reality.” While initial projections of the EV
market were perhaps a bit too optimistic, when one compares the performance of
the EV market with other brand new technologies, it becomes immediately
apparent EVs are performing exceptionally well.
By comparing sales of hybrids and EVs (which includes both
full electric and plug-ins hybrids), Dikeman reveals that EVs have been
outperforming hybrids by three to one. Hybrids took 6 years years to achieve
100,000 units sold and 1% market share. EVs are on pace to accomplish the same
thing in just three years. Therefore, EVs are being adopted much faster than
hybrids when they were first released.
In addition, BMW has released its first ever EV – the Active
E – and the race is now on to tap into the burgeoning luxury EV market. Tesla
will be hard to knock off its throne in this category, but it will be
interesting to see how the luxury EV market will play out in the coming years.
Since Nissan released the new model for the Leaf in March, sales have
surged 335%. The Leaf is currently Nissan’s top selling vehicle in
Seattle, Portland, and San Francisco with sales taking off in other markets
across the country as well. The Chevy Volt and the Nissan Leaf are now neck and
neck in the race to dominate the mid-range EV market.
Navigant Research reveals that growth in
EVs sales have been driven by appeal for new technology, lower
lifetime operating costs, government regulations, and a rebounding economy.
The
Emerging EV Consumer
What are some defining features of the current EV owner? Are
there certain characteristics future EV buyers will
share?
Current and future EV drivers are predominantly eco-minded
individuals who embrace new technology and favor convenience and efficiency.
They are not as obsessed with horsepower and RPM’s as their parents were.
Realizing this, Nissan has
decided to recast itself as a high-tech company defined by
sustainability and cool electronics.
It realizes that tomorrow’s car buyers will be increasingly selecting companies
that align with their own personal values.
And most user reviews of EVs reveal that these cars perform
exceptionally well, feature sleek and sexy designs, and tap into existing
technologies.
EVs feature a user interface that taps into smart
technologies and mobile devices. For instance, the MyFord
interface establishes a network between the owner’s mobile devices and
their car, so they can easily track driving information and get the most out of
their EV driving experience.
M2M
technology is not merely some gimmick meant to eke out a few extra
sales – it is rapidly becoming a defining feature of the coming transportation
revolution.
EV Charging
Stations – The Infrastructure for the Future EV Network
One of the most important components of the emerging EV
economy is the infrastructure. Realizing that there are increasing numbers of
EVs on the road yet not enough infrastructure to support them, many companies
and government agencies have decided to invest in EV charging stations in a big
way.
For the past few years EV charging station have emerged at
Walgreens, Ikea, office buildings, sports
stadiums, and even
airports. Over the past year, many companies have come to the realization
that tapping into the EV market is one of the easiest but most important ways
to remain ahead of the curve in the future economy.
And when it comes to providing the actual EV charging
stations, the most successful companies have been the ones that tap right into
the emerging EV ownership lifestyle. This means providing charging stations
that are sleekly designed, feature easy payment options, and easy to locate via
mobile devices. M2M technology is also a key component of EV charging stations
– just like in EVs themselves.
SemaConnect understands the necessity of tapping into mobile
devices and providing convenient payment options. By implementing Pay-By-Cell
at charging stations, we allow customers to simply scan a
QR code to pay for charging. No longer is it necessary to pull out a credit
card or call into customer service to charge an EV (of course these are still
options).
Over the past year the playing field for EV charging stations
has started to level out. Some
companies have failed while others have established
themselves as leaders in providing EV charging stations. The ones that have
succeeded understand their customers and are able to effectively tap into the
EV lifestyle.
Conclusion
2013 has been a big year for the EV economy in nearly every
facet – from the EV themselves, to the drivers, to the EV charging stations.
Although initial projections regarding the EV market were a bit
over-optimistic, when compared to reality EVs have been performing
exceptionally well in virtually every department.
So what is the biggest takeaway from 2013 going forward?
The EV economy is not merely defined by its vehicles. Instead
the EV economy is multi-faceted, and includes a network of EV charging
stations, driver interfaces, and smart devices. An EV lifestyle is emerging that
is defined by sustainability, high technology, fluid networks, and a high
degree of connectivity.
All of these components are defining features of the clean
transportation revolution. Companies that are able to sufficiently tap into the
emerging EV economy will succeed, while those that don’t will be left in the
dust.
Joseph Tohill is a freelance writer and online communications specialist for organizations in the sustainability sector. He has a B.A. in Interdisciplinary Studies from the University of British Columbia and spent most of his academic career studying sustainable urban development; namely the interdisciplinary relationship between built form and natural environment.