EV sales Archives - Page 3 of 3 -

Keeping hybrid and electric vehicle sales figures in perspective

We’ve seen sales numbers decline on hybrid and electric vehicles (EVs) in the past few months. When you look at the broad spectrum of market reports and analysis of that data, it’s a good reminder to keep things in perspective. That being said, here’s the latest…………

Automakers do believe that sales of hybrids and EVs will go up eventually; even though recent sales figures have declined, their production schedules are still staying on track – and that includes expecting demand for hydrogen fuel cell vehicles. BMW now plans to sell a plug-in hybrid version of every major model in its vehicle lineup. Daimler will be investing 100 million euros to increase production of batteries for its EVs; Tesla is clearly optimistic with its grand vision of building the $5 billion “gigafactory.” Toyota is preparing to sell its first fuel-cell vehicle in Japan, which it recently named the Mirai. One of the reasons for the trend is that automakers do believe gasoline prices will eventually climb up. “We think the trend is clear,” said Ford CEO Mark Fields. “Over time, we believe gas prices around the world will continue moving higher.”
Hybrid sales were down nearly14% from last year in November, but EV sales were up slightly over last year and last month. Hybrids did see a 0.7% increase over October 2014. Hybrids are down nearly 5,000 units year-to-date from last year as of the end of November. Plug-in electric vehicles have a different story, according to Electric Drive Transportation Association: “With 9,785 plug in vehicles (3,609 plug-in hybrids and 6,176 battery EVs) sold last month, the total number of plug-ins that have been sold in 2014 rose to 107,487. This year-to-date cumulative number represents a 24 percent increase over the 86,912 plug-in vehicles that had been sold thru the same period last year,” the association reported.
Retail vehicle sales guru Art Spinella and his CNW Research firm just reported its consumer survey study indicating upper-middle class Americans are not crazy about buying EVs. “High Yield” new-car customers, upper-middle income Americans in their middle to late forties pre-disposed to buying a vehicle regularly, are not interested in buying an EV. That would be the case if the EV had identical prices as comparably-sized gasoline or diesel cars. That demographic group doesn’t represent the lion’s share of new vehicle sales in the US, but the study does point to a telling trend: you can’t depend on upper income early adopters to make a new technology successful. As suggested last week in Green Auto Market, long-term success in green vehicle sales will need to come from cost-sensitive fleets and consumers. They’ll be bringing in the larger sales numbers long term as these vehicles become more mainstream and accepted – and affordable. Marketing messages need to deliver more than concern over climate change or “keeping up with the Joneses” on cool new technologies.
The Nissan Leaf saw 2,687 units sold last month; what was its 22nd straight month of sales increases year-over-year. Overall, battery electric vehicles are continuing to see stronger sales than the plug-in hybrids in the US. There are likely a few influential factors behind it: car shoppers are impressed and confident in the Nissan Leaf, Tesla Model S, and BMW i3; their lease programs are attractive and make the deals more affordable; there are more charging stations installed in major metros across the US, relieving range anxiety; and battery range is increasing with each new model year.
Keep your eyes on the big picture. When you look at studies that are being released, such as the new EV City Casebook, you’ll see signs that perspectives are changing on EV ownership in global markets (including the US) that should increase EV adoption. Fleets are definitely influencing this trend, with a good example coming from California-based consulting firm Vision Fleet and its fleet partners. In late October, Indianapolis Mayor Greg Ballard was enthusiastic to announce the city’s “Freedom Fleet,” which will bring in 425 plug-in sedans. That project with Vision Fleet is expected to save the city 2.2 million gallons of gasoline over the next decade. The greenhouse gas reduction will be impressive, too.

Climate change is real for large institutions but it’s not making the case for cost-cutting fleets and consumers

Whatever you want to call it – climate science, climate disruption, or global warming – climate change is still coming up all over the map. Institutions of all types – large corporations, government agencies, research centers, and the United Nations – quickly set aside arguments that climate change isn’t happening. Their concern is whether it’s too late to stop devastating weather events, ocean acidification, melting ice caps, and massive losses of natural resources.

Most automakers and other major stakeholders tend to agree with making the case for climate change. Volvo Group renewed its partnership with World Wide Fund supporting its Climate Savers program. Renault-Nissan CEO Carlos Ghosn says that climate change is one of his company’s primary concerns. Honda has been pleased to announce that it’s further reducing carbon footprint by building a wind farm in Brazil that will produce enough energy to power its car factory in that country. Alternative Clean Transportation (ACT) Expo has made a partnership with Carbon War Room and The North American Council for Freight Efficiency for the Trucking Efficiency joint effort. Thousands of diplomats from around the world are meeting in Lima, Peru to make a United Nations agreement on the long dragged-out debate on implementing its Framework Convention on Climate Change.

Even though ground transportation makes up a big share of greenhouse gas emissions, it’s been a very tough sell to gain green vehicle acquisitions from fleet purchasing managers, truck transportation companies, corporate and government procurement officers, car shoppers, and consumers with influence over what their peers may purchase. Declining gasoline prices recently have had a big impact on retail car buyer decisions dipping on hybrids and electric vehicles. Those pump prices may drop down to $2 per gallon by Christmas-time at some US gas stations. OPEC failing to cut down on oil production should have something to do with dropping gasoline prices.

Fleets are shying away from investing in natural gas vehicles and fueling, and to some extent propane, when they can better contain costs with fuel-efficient internal combustion engine vehicles. Consumers are facing similar challenges – the economic collapse of 2008-2009 is over, but the environment has definitely changed. There are still a lot of layoffs going on, sending kids to college is incredibly expensive, medical coverage hasn’t been turned around yet by Obamacare, and the cost of living can quickly creep up on each month’s bill-paying cycle for many Americans. Making an investment in a new vehicle technology is a tough sell, and the early adopters are done with their fascination with electric vehicles and other alternative powertrains.

So how does one make the case for green vehicle acquisitions in this landscape? Wearing my consultant hat, and being a rabid consumer of news and peer conversations on the topic, here are a few strategies that seem to be working:

Make the case for return on investment (ROI). Fleets are finding they can reach payback in about two-to-three years in duty cycles after making the acquisitions; sometimes that happens within a year-and-a-half. After that point, the fleet saves money on that vehicle acquisition through fuel cost savings and sometimes through reducing maintenance costs.
Green vehicles support the organization’s sustainability priorities. Many government and corporate employees will tell you impressive stories about their leaderships’ programs designed around handing over a clean environment to future generations. Their fleet vehicles make up a lot of that environmental impact, and today there are many practical and viable options for reducing greenhouse gas emissions in transportation.
Don’t forget infrastructure. For alternative vehicle technologies to take off, they need a lot more fueling and charging stations out there. That takes a lot of funding and support, but the resources are impressive for those willing to build a network of leaders in the community. Go to your local Clean Cities Coordinator to get the ball rolling.
Speak to other reasons besides climate change. While many key stakeholders accept climate change as a given, some don’t and will shut down their attention and support if that’s the cause they’re asked to buy into. When you’re making the case for gaining funding support from your city council, corporate board, investors, or your spouse, also mention other top issues. These days, air quality and health hazards would make top of the list; independence from foreign oil imports still gains support out there (anti-OPEC is still a good one); and a broad sustainability perspective usually works, especially the idea of being responsible for what’s handed over to future generations.
Don’t forget economic growth. In this day and age of economic globalization, fast-changing technologies, and industry shutdowns, supporting clean transportation makes more sense. It’s usually part of political lobbying and grant funding applications; but it also goes over well with business leaders looking for growth opportunities as the economic landscape continues to become more of a moving shell game. Job creation, public and private investment, infrastructure development, training and education programs, and technology innovations generally support the case for growth in clean transportation.

This Week’s Top 10: EV sales were down a little bit in September, Electric Drive Transportation Association joins up with ACT Expo

by Jon LeSage, editor and publisher, Green Auto Market

Here’s my take on the 10 most significant and interesting occurrences during the past week…….

Nissan Leaf continues to lead the pack. Electric vehicle sales saw a little bit of softening in September after two months of strong numbers – falling short of the recent 10,000 per month mark with 9,340 units sold last month. That was 15% greater than one year earlier; for the year, 88,149 units have been sold – a 30% gain over the first nine months of 2013. The Nissan Leaf continues to steam along, reaching its 19^th consecutive month of year-over-year increases. Hitting 2,881 units sold last month was nearly a 50% gain over last year’s 1,953. The Chevy Volt didn’t do as well – hitting 1,394, its lowest sales number since February and down from September 2013’s 1,766. The new 2016 Volt will be rolled out at the Detroit Auto Show in January, and current sales are expected to remain down for 2014 and 2015 models. The Tesla Model S isn’t reported but was expected to sell about 1,300 last month. Right behind the Model S is the BMW i3, which sold 1,022 last month – its second month over 1,000 sold. The company expects to roll out a higher share of i electric and plug-in hybrid models in the US in coming months. Tesla has raised interest with CEO Elon Musk’s recent tweet about unveiling its mysterious Model D on Oct. 9. Tesla also gained interest in its used car remarketing strategy in an Automotive News feature article. Tesla is developing a certified pre-owned (CPO) vehicle program for its off-lease Model S units. That should make it more competitive with pre-owned luxury models from BMW and Mercedes-Benz, the company said.
EVs will play a larger role at ACT Expo. Alternative Clean Transportation (ACT) Expo and Electric Drive Transportation Association (EDTA) have formed a new event partnership for 2015 ACT Expo, taking place May 4-7 in Dallas. The partnership signals a renewed focus on the rise of electric vehicles; it’s one more significant step that event manager Gladstein Neandross & Associates (GNA) has taken to expand the fuels and technologies being embraced by the clean transportation community.
RFS gets an impressive list of supporters. A group of 33 state governors is asking the US Environmental Protection Agency to increase blending mandates for its soon-to-be-announced ruling on Renewable Fuel Standard volumes for biodiesel and cellulosic ethanol. The Governors’ Biofuels Coalition says that decreasing RFS volumes could hurt production of biofuels from waste products.
Spiking gas prices is a scare tactic, UCS says. The Union of Concerned Scientists (UCS) says that the possibility of rising gas prices in California being warned by oil companies won’t take hold. With California’s cap-and-trade rule from AB 32 (California Global Warming Solutions Act) and the Low Carbon Fuel Standard coming from that legislation, oil companies are saying that with their increasing state taxes, they’ll have to pass that on to gas station pumps. A new report by UCS states that concerns about rising gas prices are overblown; the group thinks that any increases in transportation costs will be offset by savings from decreased oil consumption.
What happened at Paris Motor Show? Green Car Reports traveled overseas for the opening of the famous auto show. Here’s their list of impressive debuts…… Citroen C4 CactusAIRFLOW concept car…… 2016 Ford C-Max……… Infiniti Q80 Inspiration concept….. 2017 Jaguar XE diesel…….. 2016 Mitsubishi Outlander Plug-In Hybrid…….. Renault Eolab concept…….. Volkswagen Passat GTE Plug-In Hybrid and Volkswagen XL Sport.
USDA investing $91M in biofuel plant. Secretary Tom Vilsack said that the US Department of Agriculture is offering a $91 million loan guarantee to help finance an innovative advanced biofuel plant in Rapides Parish, La, with the Cool Planet corporation. The Cool Planet facilities will produce about eight to 10 million gallons of reformate per year at full capacity. Often referred to as a “drop-in” fuel, reformate is an ingredient in gasoline and jet fuel that can be added during the regular refinery process.
Full-size Transit van on propane. Roush CleanTech will be offering a propane-powered Ford Transit full-size van to fleets by the middle of 2016. The Transit is in development now with Roush, and will be certified under Ford’s Qualified Vehicle Modifier (QVM) program. For the latest on the benefits of bringing propane autogas into a fleet, see a recent Q&A article by Michael Taylor, director of propane autogas business development at Propane Education & Research Council.
Lamborghini enters EV space. Lamborghini announced at the Paris Motor Show it will roll out its first-ever plug-in hybrid vehicle. The Asterion LPI 910-4 concept car has a V-10 aspirated engine and three electric motors. The company said the Asterion can get 30 miles to the gallon on the lithium electric battery alone.
Green Across America Trip #2. The compressed natural gas (CNG)-powered Honda Civic road trip across the country that started in 2012 by Evelynn Corbitt and Curtis Martin, national chairman for Green Across America, will make its run this month in coordination with Alternative Fuel Vehicle Odyssey Day 2014. There will be scheduled stops in Lynden, Renton, Portland, Lebanon, Eugene, Medford, Saratoga, Paso Robles, Santa Maria, Los Angeles, Long Beach, and San Diego. The road trip will be supported by Clean Cities coalitions in Washington, Oregon, and California, the National Alternative Fuels Training Consortium (NAFTC), and CNGChat.com.
More propane conversion centers in Alliance AutoGas. Alliance AutoGas now has 100 member companies in its network with Virginia-based Better Fuels and Oklahoma-based CNG Interstate. CNG Interstate has traditionally specialized in compressed natural gas conversions for light- and medium-duty fleet vehicles and has become active in the propane autogas space.

For EV sales strength, it’s not all about California

Living in California is a choice made by many, whether they’re originally from Mexico, Korea, or England; or from parts of the United States where the freezing and muggy weather drove them west. It’s a vacation center, and its cities host major conferences and awards shows. Some companies are moving out of California to Texas, while others quickly fill in those now-empty spaces; they’re willing to pay for the land and the workforce to reach the talent they need, and to be located near key partners and clients. The regulatory climate is tougher for businesses to increase earnings in California, but they keep moving or starting up here.

As the state’s Zero Emission Vehicle (ZEV) target shows with other states adopting that policy, what happens in California doesn’t necessarily stay in California. But, how true is that of plug-in electric vehicle sales?

The California Plug-in Electric Vehicle Collaborative just announced a milestone: the 100,000 mark has been crossed. At the end of August, 102,440 plug-in electric vehicles (EVs) have been sold in the state since the launch of the Nissan Leaf and Chevrolet Volt in late 2010. Californians are buying about 40% of all the EVs sold in the US.

“California’s plug-in electric vehicle market is ramping up, and we expect to see significant growth over the next ten years as customers realize how economical and convenient they are,” said California Plug-In Electric Vehicle Collaborative Executive Director Christine Kehoe. The collaborative, made up of key stakeholders in the EV space, are hoping Gov. Jerry Brown’s goal of having 1.5 million EVs on the roads by 2025 can be realized.

As for the rest of the country, EVs just reached their quarter-million sale mark in the US. These announcements were made on the eve of the fourth annual National Drive Electric Week, which is taking place this week – Sept. 15-21, 2014, in more than 130 cities in 35 states.

San Francisco is the top selling US city for EVs, with San Diego and Los Angeles also making a top 10 list issued not long ago by ChargePoint. Other cities making the top 10 were Seattle, Austin, Honolulu, Portland (Ore.), Detroit, Washington, DC, and Boston.

While EVs are impressive in their US sales numbers since their launch in late 2010 – compared to hybrid electric vehicles in 2001 – some analysts see the excitement waning. As a Californian who probably won’t be moving out this state, I’m proud to see the Golden State take another leading role in technology innovation and ambitious environmental targets. The question becomes: How to increase EV sales across the rest of the country?

While interviewing Cary Donovan, vice president at Sam Swope Auto Group in Louisville, Ky., I asked him about the dealer group’s experience selling EVs. Sam Swope Auto Group manages about every brand of car you can think of and works with customers who want to check out all of them. “The BMW i3 and Cadillac ELR offer great technology – they’re world class,” Donovan said. “But American car buyers are not quite ready for them.”

The dealer group had a similar experience selling hybrids. “Hybrids go hot and cold with gas prices,” Donovan said. “Hybrids were confusing to consumers.”

What will it take to win over consumers – and fleets – to purchasing more EVs around the country? This is a very big question, one that I’ve put out to leaders in the industry; and some of them who participate in my monthly stakeholder conference calls. Here are a few ideas to consider on reaching a significant audience outside California:

Get dealer staff trained on effectively selling EVs: As Donovan said, you’ve got very intelligent consumers walking into dealer offices these days. Dealer sales reps need to be well trained and concise in selling the benefits of an EV to a car shopper. That can be overwhelming for dealers these days with all the mobile devices being paired to electronic controls in cars for GPS, driving directions, music, satellite radio, etc. Selling the EV is too much for many of the staff – if a sharp customer finds out the dealer associate doesn’t know what he or she is talking about, they’ll lose that sell. Sale reps are enticed to direct car shoppers to cars that are easier to sell and will give them their sales commission faster. What about a sales program training staff on how to effectively tell that story in less than 10 minutes? What if they can answer all those questions professionally – incentives, home charging installations and what they cost, charging time, driving range, model options, and payment plans would be great starting points for staff training.
Reach the four market segments: For automakers and dealer networks, there appears to be four key market segments to reach in marketing programs for EVs. It may be wise to adapt marketing content to each niche. Those interested in the Tesla Model S, BMW i Series, Fisker Karma, and Cadillac ELR, many times are in the near-luxury and upscale luxury consumer segments. They’re most impressed by the performance of the car, the gadgetry on the dashboard, and the brand image – and are willing to pay for them, many times through leasing programs. I would call the second category NextGen technologists; they’re younger consumers who usually buy the next Android, iPhone, or tablet before anyone else does. They bought their share of Leafs and Volts in the early adopter phase. They do have a lot of influence on their peers. Sustainability stewards have environmental concerns and many times belong to environmental groups; they’re likely to have solar panels on their houses, do a lot of recycling, donate to causes, have owned a hybrid for years, and are ready to transition over to EVs. Some of them were among the early adopters. As for the largest group of all: cost savers, which applies to fleet managers as much as consumers. You’ve got to have the numbers in order: acquisition costs with every type of incentive you can find out there; cost per mile compared to gasoline-engine counterparts and current gas prices; maintenance – what’s required and how often (which is a real benefit EVs have over internal combustion engines and all their oil and filter changes). Resale value is another question – it’s still a bit early to have much reliable data on this question, though it hasn’t looked so good for the Nissan Leaf.
Ramp up production and deliver more EVs to dealers: The Chevrolet Volt is the most obvious example of this issue to me. But there are several observers who say that most of the EV strategies being followed by automakers comes from the “compliance car” conundrum based on California and a few colleague states aiming for zero emission vehicle targets through regulations. There are a lot of attractive EV deals out there for consumers and fleets with state and federal incentives, and OEM and dealer incentives. They need to reach a wider swath of markets for more consumers to take them seriously. Like most new vehicle technologies, they need to cross a few boundaries to see sales growth – that might include displaying them at car shows; ride and drive events; test programs with fleets and car rental companies; partnerships with carsharing agencies; social media campaigns; and special events such as those being carried out during National Drive Electric Week. There are a few dealers out there standing out in their markets as the No. 1 green car dealer. All of this takes more investment, commitment, and staff resources from automakers and dealers – and usually in alliance with event planners, conferences, and car shows. Automakers and dealers will be drivers of change in EV adoption, if they can stand up to the challenge.
Work things out with Tesla Motors on its retail stores. Dealer groups are not happy to see state legislative and legal settlements allowing a set number of Tesla retail stores within the state, such as the high court ruling in Massachusetts yesterday. That issue was also addressed in New York earlier this year when Tesla was allowed through a settlement to operate five existing stores within the state. I recommend that it be accepted as a resolution. Tesla is fine with it, as are major automakers. The conflicts end, and large dealers will likely go unaffected. The real competition right now is coming down to Tesla vs. BMW for the near-luxury and upscale luxury segments. As for the franchise vs. corporate store battle, that’s one going back to the origins of property law in England that was carried over to the US. That battle will go on for years to come. In the meantime, it’s seems obvious that Tesla isn’t going away. Retailing is morphing as consumers go through most of the decision-making process on their mobile devices and laptops before stepping into a store to close the deal.

Big Picture: Nissan Leaf leading pack in plug-in sales, Zipcar offers one-way trip with guaranteed parking

The Nissan Leaf continues to lead the plug-in electric vehicle space, selling 2,088 units in the US during April – compared to the Toyota Prius Plug-in bringing in 1,741, the Chevrolet Volt selling 1,548, and Tesla selling about 1,400 of its Model S units. While Leaf sales were down nearly 17% from March, they were up nearly 8% over April 2013 and were one-third higher than that same four month period during 2013. The previous neck-and-neck race between the Leaf and Volt appears to be going Nissan’s way. Volt sales for the first four months of 2014 are down about 7% from that same time period in 2013. Toyota is seeing different results in the plug-in hybrid segment – its 2014 Prius Plug-in sales figures are up 70.6% over the first four months of 2013.

Toyota’s hybrids were down in sales from March, but still accounted for four of the top five in April sales figures. The Toyota Camry Hybrid was up 20.2% in sales over April 2013 and the Prius C was up 2.4% over that same time period. The Hyundai Sonata Hybrid saw the largest sale gain among top-selling hybrid models last month; at 2,055 units sold in April that was 42% over a year ago. As for clean diesel passenger cars, the Volkswagen Jetta lead the pack – 4,355 units sold in April, up 7.5% over March and 37.9% over April 2013.

And in other clean transportation news…….

Here’s a correction to the news item last week on ClipperCreek co-founder and former President Dave Packard taking on a new job with ChargePoint. Packard is now running ChargePoint’s utilities business development. He will not be leading ChargePoint as a whole, which was incorrectly reported last week.
Zipcar customers can simplify the driving experience even more with the new ONE>WAY car-sharing service. Zipcar drivers can access the 2015 Honda Fit for one-way travel with a guaranteed parking spot at the end. Throughout several cities and at certain airport locations, Zipcar users get to have the carsharing experience along a guaranteed parking spot at the end of it. (You can also sign-up for Zipcar and get $25 in free driving.)
Tesla Motors will soon be naming at least two US states for its upcoming “gigafactory” battery manufacturing plant. Tesla is getting ready to product lithium ion battery packs that may coincide with the launch of its first affordable mass-market electric car.
Electric Car Guest Drive, a California-based initiative, is offering consumers an opportunity to get behind the wheel and experience driving and electric vehicle. Events are being hosted throughout May in 12 California cities. Details can be found on its website. It’s been set up by a car club called EV Quorum. EV owners are offering others a chance to try out just about any EV you can think of – and it’s much more than the typical driving experience you’ll find at dealerships.
Schneider Electric and ChargePoint yesterday announced a collaboration to unveil Schneider Electric’s new EVlink™ cloud connected charging stations with the ChargePoint network. It includes hardware, software, ChargePoint connectivity and advanced services such as installation, deployment planning, project management, and ongoing maintenance. The collaboration will serve host station owners and electric vehicle drivers. “With this partnership, Schneider Electric makes it easier for EV drivers and station owners to leverage ChargePoint, the world’s largest and most open EV charging network,” according to the press release.
If you’re looking for a domestically grown plant offering environmental and economic benefits, how about hemp? Twenty-three states have now adopted supportive hemp legislation and it’s becoming well understood that it contains little to no THC like its same-species cousin marijuana. Some of the benefits include: a 2009 University of Connecticut study found that hemp seed oil made a viable and attractive feedstock for producing biodiesel. Lotus has practiced using hemp in its composite body panels and spoiler since 2008, leading to many automakers switching to hemp composites from plastic for door panels and other components. Environmentalists appreciate that hemp absorbs CO2 while it grows through natural photosynthesis; and economists like that fact that hemp imports are declining and that the US has a strong change of creating domestic jobs and financial gains – Canada’s hemp industry is expected to bring in a billion dollars in earnings this year.
The 2014 Mercedes-Benz B-Class Electric Drive is set to show up this summer at US showrooms. It’s powered by a Tesla Motors-developed electric motor and a 28-kilowatt-hour lithium-ion battery pack. It starts with a base price of $41,450.
Volvo and Google are taking the self-driving car to the next phase – city street driving. “Drive Me” has begun testing in 100 cars on the streets of Volvo’s home base in Gothenburg, Sweden. That follows several years of test drives on freeways by Google.
IBM has made a revolutionary claim – that it can create “an affordable photovoltaic system that can concentrate solar radiation 2,000 times.” IBM is working with other researchers on a High Concentration PhotoVoltaic Thermal system that can convert 80% of incoming solar radiation into useful energy.
The US Supreme Court has overturned a lower court ruling that brings back the US Environmental Protection Agency’s Cross-State Air Pollution Rule; it’s a regulatory structure in 28 eastern US states that requires states to cut emissions that cause downwind states to exceed the EPA’s air quality standards. It’s considered a landmark win for the Obama administration and public health advocates. The program had been stopped in August 2012 by a federal appeals court in a case initiated by utilities and several states. That Supreme Court ruling happened right before President Obama’s long-awaited climate change report, which will be released today; so, it’s a very interesting time for federal environmental policy.

How are hybrid and EV sales performing?

Sales were down in June from May for hybrids but up for plug-ins. The hybrid sales trend looks more in line with the overall new vehicle market – up from a year ago and down from May, which can be seasonally normal. Gasoline prices have not spiked up in several months, either, which is always a sales factor for hybrids – new and used.
During the past six months, battery electric vehicles took the lead in sales over plug-in hybrid/extended range. Much of that had to do with the Tesla Model S coming to market and an aggressive marketing campaign for the Nissan Leaf. Plug-in hybrids/extended range (Volt) led the market over battery electric models (Leaf) during 2011 and 2012, and that changed over in the first six months of this year.
That’s not the whole story, though. There are more pure EV models on the market than hybrid/extended range. The Chevy Volt has taken the lead again for first time since February but pure EVs are still doing better with the Tesla Model S joining the race and price wars for the Honda Fit EV and Nissan Leaf moving up sales. At some point soon, there will be more plug-in hybrids on the market (including Mitsubishi models), and the Ford C-Max Energi and Fusion Energi are likely to grow in sales transactions.
Everything else is fairly far behind the Volt, Leaf, and Model S with volumes of 2,698, 2,225, and 1,800, respectively, in June. The Prius Plug In is staying steady (584 units) and the two Ford Energi models are somewhat in that range (455 for C-Max Energi and 390 for the Fusion Energi). Automakers are making price cuts and pushing promotional campaigns, such as the Honda Fit EV, but its sales are still far behind the Big 3 EVs (208 units sold in June for the Fit EV).
The Chevrolet Spark EV has been long awaited and saw very slow sales in its first month; this has been the case for most of these cars like the Ford Focus EV and Honda Fit EV. GM appears ready to make a significant commitment to marketing the Spark and, as mentioned in The Big Picture, is focusing on it torque power as an appealing message to get “car guys” down to the dealerships. GM will start selling the Spark EV in South Korea by the end of this year, and will be bringing it to Europe as well.
Overall, plug-in EV sales are seeing an upward climb – it had a 12.7% growth from the previous month and 163.5% jump from a year earlier. The six month totals are impressive, too – 41,047 in the first six months of this year versus 17,837 in the first half of 2012. Regardless of the influence of new model launches and incentives, people are buying these cars in much larger numbers.