Move over, Jetsons—the future of electric vehicles is now. And for automotive dealerships, that means it’s crucial to stay in-the-know about top facts and figures in 2023 EV market trends and what they mean for your store.

Even with supply chain disruptions, economic and political uncertainty, and high prices of energy and goods, sales of electric vehicles exceeded expectations in 2022 and are expected to continue growth this year. With federal tax credits, expanded EV charging options, and improved batteries, industry experts agree that electric vehicle market trends hold the keys that auto dealers need to stay ahead in the market.

What’s Trending in the Electric Vehicle Market

In order to adapt your sales and service strategies to capitalize on these emerging opportunities, you must pinpoint the 2023 EV market trends that matter most for your business.

While the Segment is Small, Sales Numbers are Growing

It’s true—according to the 2023 EV Study recently completed by Affinitiv, only 5.8% of all new vehicles sold in the United States in 2022 were electric vehicles. But the EV segment continues to break records even amidst supply shortages, inflation, and other issues. Even though total vehicle sales dropped in 2022, electric vehicle sales broke 10 million worldwide—55% more than the year before.

Heavy Competition Means More Availability of Affordable Models

While Tesla has long been the leader of the EV market, their market share has been trending down as other brands begin to offer electric vehicle models. In 2022, the number of available electric vehicle models reached 500, more than double the options available in 2018. Some of the OEMs that customers are gaining awareness of include Ford, Chevrolet, and BMW, allowing a wider customer base to enter a previously luxury-based market.

Fuel and Maintenance Savings are Important Factors for Buyers

In fact, the savings in gas and maintenance electric vehicle owners enjoy are great selling points for your staff to leverage, too. The higher upfront costs of purchasing an electric vehicle can be offset in the long run with these savings, in addition to federal tax credits. Plus, your service department can use this opportunity to upsell prepaid maintenance plans to help ease the concerns of new EV owners while building long-term customer relationships.

Battery Safety and Longevity Continues to Improve

According to the Department of Energy, the estimated cost of a lithium-ion battery pack used in an EV declined 89% between 2008 and 2022, from $1,355 per kWh (before the first mass-market EVs were available) to $153 per kWh. These price drops mean today’s electric vehicles can provide more range for the same cost. Plus, plans are in the works for EVs to use solid-state batteries, which can hold three times more energy with a lower risk of catching fire.

Home Charging Stations are Revenue Opportunities

Many potential electric vehicle shoppers believe that the charging infrastructure is insufficient, but this is a myth. Most EV charging takes place at home, and these chargers are capable of charging an EV in a few hours. These home charging stations are ideal revenue opportunities for your store, helping overcome customers’ hesitation to make the leap to EV.

Charge into the Electric Vehicle Market with the Right Solutions

Understanding the electric vehicle market trends doesn’t have to be a challenge. With the right solutions at hand and industry experts to help lead the way, your store can tap into the electric vehicle market with proven results. For a live demo of Voltage, our comprehensive EV solution, contact us today.

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To learn more about the latest EV trends, download the 2023 EV Study recently completed by Affinitiv below.